Business

Unemployment benefits are becoming a scapegoat in US labor debates


Frank Phillips, owner of a handful of coffee franchises based in Polding, Fulley, says he once received 200 job applications while opening a new job. At the end of March, he had 35.

One of the factors he blames is unemployment benefits fired by laid-off workers. pandemic, with a sweetened federal government charge that currently adds $ 300 a week to state inspections.

“There’s a lot of competition in the market when the federal government is playing on that playground,” Phillips said. “We have to push the federal government out so we can do business.”

When countries came out of a deadlock, the economy grew, and businesses, especially those in the entertainment and hospitality business, said they could not find enough workers to meet the high demand.

Some larger companies, including: Walmart, McDonald’s and Chipotle: They have tried to seduce employees with incentives such as bonuses and increased salaries, while some small business owners say they have had to fill out extra shifts or cut back on transactions.

Some fear that a shortage of willing workers could hinder the economic recovery from the epidemic and boost growing demand. Conservatives say the Biden administration’s $ 300-a-week pay raise for extending unemployment insurance benefits until September may encourage some workers to stay home instead of looking for a new job.

Their concerns grew unexpectedly booth in job creation in April, although employers reported a record number of jobs to the Bureau of Labor Statistics.

The Covidian crisis forced the federal government expand its safety net from controlling the spread of vaccines to spending trillions of dollars on stimulants. Republicans say it’s time to call, starting with unemployment insurance.

In an effort to draw in people, more than 20 Republican governors have scrapped federal state insurance supplement schemes ahead of schedule.

More than half of Americans support reducing unemployment benefits survey: discovered by Quinnipiac University. But workers and labor advocates say what the economy really needs is safer, higher-paying jobs.

a survey: Of the 2,000 people who worked in restaurant kitchens run by the staffing company Mis en Place, 26 percent found that they left the industry forever. Some reported long hours և relatively low wages.

One-third of those surveyed by Mise en Place said they intended to return but had not yet arrived for various reasons. Some said they were still looking for the right opportunity or were concerned about the Covid-19 deal. Only 6% mentioned unemployment benefits and incentive checks.

Researchers at the Federal Reserve Bank of San Francisco last summer found that the federal bonus, then $ 600, would allow some unemployed workers to quit their jobs. In: current $ 300 recharge benefit They believe that it is likely to have only a small effect on the ability of enterprises to find employees.

It is unclear how successful it will be to cut back on the benefits of getting people back to work, says Osh osh Beavens, research director at the Left Economic Policy Institute.

“Because of the epidemic, these have become much less desirable jobs,” says Beavens. “If someone has to go to a rather crowded restaurant, they may not feel great about it yet. I think it ‘s quite rational.”

Countries where federal unemployment benefits are being cut have seen a temporary increase in job search since the initial announcement, according to the Jobs Indeed website. However, that outburst in search activity died down a few days later.

Activists և Some economists say that benefits can only be one of the factors that employees take into account before going to work.

“There are people who get paid more than they would if they got a job, but I think a gambler has assumed that this is the only reason why some businesses find it difficult to hire,” said AnnElizabeth Konkel. really an economist. “We are still in an epidemic, workers are still concerned about their public health.”

Conkel says childcare responsibilities are likely to be a bigger factor for women, who make up both the large number of workers who left the workforce during the epidemic and those in the entertainment and hospitality business.

Schools that return to classroom training are closed in the summer; other facilities, including summer camps and day care centers, operate at lower capacity.

Reports of labor shortages are largely limited to leisure and hospitality, economists say. In other areas, such as construction, the arts, leisure and recreation, job seekers still outnumber open positions, according to the BLS.



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