Transcript for US adds 559,000 jobs in May as businesses try to entice workers
We begin with that new jobs report showing promising news for the economy. US employers added 559000. Jobs in May more than doubling the number from April but still falling short of expectations. The unemployment rate fell to five point 8% down from six point 1% last month. Chief business and economics correspondent Rebecca Jarvis. Joins you live now for more from on the one hand we did better than last month's really disappointing numbers on the other hand still falling short. Of expectations so what does this tell you about the state of the economic recovery. Well I'm Diana it tells you that things are okay but they're not what economists were expecting. If you take a look at the average forecast for this jobs report. Economists were forecasting an increase of 671000. Jobs what we got was the 559000. Jobs. There are currently in this country eight million job openings. The struggle is filling those jobs and there are myriad of reasons YE it's complicated. For employers to get people new workers in those roles. You have the schools are still not in person child care is an issue in some cases. There is family cared caring for sick loved ones and then you have this issue around the unemployment benefits which has been a hot button political issue Diane. And one then we will really in a very short time see how big of a situation it has cost as 25 states. Decided that they won't be. Lessening those benefits over the course of June and July they were sad to extend all the way to September the 25 states. Have decided that they will not extend them all the weighed. Q September and the bottom line here Diana is that there is still nine point three million according to this labor report. Unemployed Americans that's still much higher than where things stood pre pandemic when it was five point seven million. People who were out of work the unemployment rate now. Five point 8% you go back to February of one each when he. The unemployment rate was three and a half percent so there's still a ways to go up climbing out of the deep wounds of the pandemic I am. So already got millions of Americans still looking for work what industries are doing the most tiring right now where should people be looking. The strongest industry by far in this last jobs report was leisure and hospitality and that really make sense because leisure and hospitality bars restaurants cafes. They weren't on places that were forced to shut down during the pandemic they are reopening so far the consumer has been very Abbott about dining out traveling again. In many places so that's a very strong area I'm some other areas that we've seen strength. Health care. Education. Some of these areas that also had closure is over the course of this summer. Are now starting to reopen manufacturing is another one. But something to watch here in this jobs report is that we side. That doesn't make sense especially on construction. When you've seen. Home buying beaten in so many parts of the country people are so avid about purchasing new homes you want to see those construction jobs. Continue to get created and get filled because those Diane tend to be some of the best paying jobs that you can find. Diane and Rebecca despite the fact that you got millions of people looking for work some businesses say that they're trying to hire. And yet they can. Find the help that they need as you mentioned the unemployment benefits have become a political issue here some people are blaming. Kobe to release and things like bolstered and employment for that so what's behind those numbers. Welling kids very. Blockading here Diane because ice box is small business owners all the time would tell me I've listed the jobs this month and yet I've gotten no applications. More than jobs. Certainly unemployment benefits and as you talk to economists and I do every day are part of this equation as I mentioned so is child care so was caring for the sick. We willing in the next couple of months here really have a much stronger sense about the degree to which those unemployment benefits are playing a role because. They are set to expire in the coming months. One other thing I would point out and this is specially has impacted. A lot of the bar and restaurant owners I talk to. A lot of people moved during the course of the pandemic. What every other life was pre pandemic has dramatically change now so if you're employer and you reaching out to the employees who left you in February or march of 20/20. A lot of them just aren't there anymore it is a whole new crop of talent which is both good news if you're a job seeker there's opportunity there. What if your employer. Going back to the same people might not be the best way to get people in the chairs and and I will point out one last thing if you're a worker right now. Here's part of the issue for workers there's the burnout factor if you are working at a company that needs ten employees and they only have. 45 right now we'll and if you're aboard an employee at that company you're doing the acts to work to compensate for those remaining people who have yet to be hired Diane. And I Rebecca Jarvis thanks for that.
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