The Breakdown: Businesses struggle to find workers

Plus, the Supreme Court rules against the NCAA in a landmark case, and the child tax credit is expected to go out to families next month.
32:38 | 06/21/21

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Transcript for The Breakdown: Businesses struggle to find workers
I. Hi everyone welcome to the breakdown I'm Diane Macedo and. I'm Terry Moran a blockbuster ruling from the Supreme Court could change the face of college sports forever any unanimous ruling. The justices struck down a portion of the NCAA is amateurism rules. And did violate federal antitrust laws were break that down he didn't just let it and what it means for compensation. For student deaths and. Plus the White House is revealing new details about the expanded child tax credits and payments will start going to families as soon as next month. White House deputy Press Secretary Karine John Pierre joins us with more on that and the major voting rights bill set to hit the senate floor tomorrow. And a dozen states have decided to prematurely and an additional unemployment benefits before they were set to expire in September there are unique. There are plenty of jobs available and those benefits are no longer needed now job openings did hit a record of the end of April but the false stories. A bit more complicated way to tell you where the jobs are and why companies there's. Struggled to find people to hire and born to start with the supreme court's unanimous ruling siding with former college athletes are against the NCAA when it comes to player compensation. This ruling will allow for some educated related payments with do things like computer who laptops and things like that does not yet. Allow salaries for players. But couldn't his ruling allowing for enhanced education benefits that could be paid to college athletes open the door of that NCAA president mark Cameron responded to the ruling saying. Quote while today's decision preserves the lower court ruling it also reaffirms the NC double a.'s authority to adopt a reasonable rules and repeatedly notes. That the NCAA remains free to articulate. What they are what are and are not truly educational benefits so. We're to break this down and joining me to help but guide to help us is a senior Washington reported Devin Dwyer and ESPN analyst and former NBA player Jay Williams so Jake. I'd like to start would you. Have you heard anything from players or us school officials about this decision how big is this for the players themselves do you think. We eggs talking about this part of the past twenty years and to meet. This is opening punch of the final combination. Using a boxing analogy correct in the NCAA is not above the law. And disagreed arsenal quick context here know when I was coming into school and you start to recognize the amount of abuse that was being generated. All my New Jersey alone you saw. Aspects of shoe deals you've noticed what TV network deals or even rising too extreme and so. We are always aware of I think now even hear judge however not about this recognizing that this is the beginning of the process are really opening a pandora's box all our decisions in general. It certainly is now in and a unanimous Supreme Court DeVon that court is saying the NCAA can no longer bar schools from providing student athletes with those. Education related benefits like free laptops paid intern ships but the statement released by the NCAA president there. We just heard he's showing the NCAA still has its door to determine what an educational benefit actually did so what's the conflict here what's he trying to say. Will be NCAA Terry has argued for a long time. That the caps. On some of these benefits the limits on compensation for athletes are essential to preserving amateurism. In the sport under federal antitrust law they argued that basically. This is a product what they are putting out and. The fact that these athletes are not paid wages are what are limited in the terms of their competition that's part of a deal. That's part of this package and so in response to today's decision the NCAA is basically making clear that that while they'll but you know abide by. The supreme court's decision they still get to decide what. Our. Education related benefits you mentioned some of them paid internships computers musical instruments touring expenses study abroad programs. Those are what have fallen under the definition. Up education related benefits no limits on those any longer after today's decision but the NCAA making clear. They'll continue to hold that line. And Jay you mentioned that maybe the opening. Shot now in the opening punching back in a combination could bring down the whole structure of NCAA limiting. What student athletes can can earn and in a concurring opinion. The Supreme Court justice spread capped almost seem to invite a case to get to that point he said the bottom line here is that the NCAA and its members are suppressing the pay of student athletes. Who collectively generate billions of dollars in revenues for colleges every year that was. Justice Kavanagh. So surge you've heard this before. Yeah some people say oh well this would ruin that be the spirit to ease costs of college athletics as a great college and pro athlete. Did you feel then did it was a different experience for you because you ward be paid in terms of the spirit of the thing. And and how do you think this could pave the way down the road for a team to change all that. Well every business model needs to fall but I like the fact that we should refer to it as a business model but the main participants. If the players are about to participate in the business model. So look at it this whole thing to meet this argument has been our. It's been something that people automatically go back to say it's going to ruin the Eagles and overall feeling of amateurism but is better bit amateurism. And this has been free labor to a degree predicated mostly amongst all people of color who were desperation to a degree and recognize it. Let my father worked at American Express my mother received dual master degrees critical principle. What I wasn't. Are in the majority a lot of other I knew where it was either. To be breaking yards but he says he'll kick rocks or play sports writers that allow that you get to the next level so. It also allows us to address issues we changed their curriculum how it's easy to brow. Financial literacy and things like course to help our young student athletes be more prepared as a inserted free market. And that's what it's rescission easily exit. If you're allowed to capitalize York in the industry should be able to watch on what the free market dictates and I think now words are easy conversation. Ended in that direction. Him and that whole amateur Ito's. Really an import and invented tradition imported from Britain where they they thought that gentlemen amateurs that gentleman amateur shouldn't soil there. They're games by playing against dirty professionals it was it was something brought into the United States or DeVon what does it say. That this court was able to make a unanimous. Decision here isn't term amateurism essential to college athletic so why it wasn't so important. In this case as well but what was it say about the court in this area. But I says a couple of things Terry first it's isn't the NCAA is argument has completely crumbled as Jane mentioned there and it didn't wasn't particularly persuasive I was there. Listening to the oral argument the justices on the left and the right showed a heck of a lot of empathy in this case for the athletes. And to Jay's point they pointed out they said walk many of them. It you know it. You talk about amateurism but why is this a multi billion dollar business with the culture is reaping multimillion dollar salaries the commissioners. Bernie multi million dollar salaries the school's raking it in a niche here you have the players. On the sideline something just doesn't add up and said this decision is the court really blowing the whistle on that model. Even if they did stop a little bit short and I think that's the other reason why. It was unanimous here in that it was so narrow this just applies to those education related benefits but as you've been saying it might. Open the door to more. Threat and and the reason it was limited is because that was the case that came before the court it was a lower court ruling that the court. Upheld here they'll only was asked the court was only asked to deal with these education benefits so Jake. Now that we're in this world. We're schools will be able to compete offering. The kinds of things to DeVon has mentioned educational are related benefits and compensation essentially for their their labor as athletes. How will it affect college forcing crew recruiting and and the nature of the winners getting Yahoo! better I guess or. How do you read what this will do to college sports. Well I love this question because there's a natural question to ask but I wouldn't recur Max you another question. How does change Cal's sports at all it it it doesn't. This is it could look how sports is always been it's to be very frank we do it's been an open market. There been a lot of these issues that instantly has arisen about as a really see you. The compensation but he's admitting being paid his beginning at times or ten different colleges. That's a reality in the matter whether people like to admit it or not because I know we live in holistic world where is about amateurism but it hasn't amateurs from the beginning so now what we're doing is just legalizing what's already been at current in the underbelly of sports it's been how. Happening when. Agencies. Agents financial advisors accounts. Everybody's been able to participate in that business of the sport but yet. It is one that gets criticized or scrutinized when he receives compensation or not what we're saying is. Hey let's legalize it let's make it okay and then you can still take a squeal like what's. Who has a great analysis. Esther thank you. Starting next month nearly forty million households across the country will be eligible to get child tax credits that passed. As part of the American rescue plan. The credit will give families making less than 150000. Dollars a year. 3000 dollars per child or 3600. Dollars if the child under six years old. White House deputy Press Secretary Korean John Pierre is here to break this down for a stream. Thanks so much for being here at some real good about how the administration is expecting this credit to impact American families and eco. On a new more broadly. Hello Diane thank you so much for having me here today I'm so the child tax credit is such a critical. Critical component element of the American rescue plan which was a historic plan that the president. Dot get that was passed and the president signed just a few months ago and what and the way we see the child tax credit it is giving relief much needed relief. Two it nearly all. By American families and one of the things that is I think great critical and important. That you'll see from from this child tax credit it will cut cut child poverty by 50%. And when we're when we're in this pandemic coming out of this pandemic dealing with an economic down downturn the president wanted to make sure when we think we think about the American rescue plan to meet the moment and that's what this. This chop this child tax credit does. And not and not only in that I mean if you think about this summer if you think about. How families are still trying to figure out how to put food on their table. Pay rent also that some families really want to try and make sure this summer that they have activities for their kids or belt or be able to buy some supplies for schools. This is the relief in the help. That the child tax credit will move will be able to do for families that the country has some Republicans and analysts have criticized the structure of the child. Tax credit that is not linked. To working because they say as is it will dis incentivize parents from seeking work. And could reduce the number of two parent household so there argument is that in the long run it actually won't help child poverty what's your response about. Well that's not what the experts say the experts say in the envelope in the long run as you look at this child tax credit it will indeed cut. Poverty by half when it comes to children child poverty so that's what the experts say and here's a thing as I was saying this is. This is an opportunity that the weather president wanted to meet the moment to meet the moment since then beat the Stanley is where they are and make sure that they have the needs. That they need and so you're talking about it the top where we're talking about a households that are making up 250000. Dollars and cents couples. And head of households that are making a 112. 1500. Dollars so this is the real help. If you think about children if you have if your family that have kids six years and under. That's you know that that's going to be some much needed help of 300 dollars a month if you think about families that have kids 66 years old to seventeen. That's 250 dollars a month. I mean this isn't real needs that we're seeing you think about. How more then two million women left the workforce this past years because of the of the pandemic. This is the type of knee that the president understand is is this critical. At this moment as as families and end up parents are trying to get back on their feet. All right I want to voting rights attic of the senate is set to vote on the for the people act tomorrow and I'll moderate Democrat senator Joseph mansion put forward some revisions to the bill. Including a voter ID requirement that would include things like utility bills he seems to have his party's support but still not enough support. From Republicans to break a filibuster so what's an administration going to do if the senate doesn't move this legislation forward tomorrow. Well let me first say that we are you know we are encouraged. By what we're seeing this this this kind of movement on voting rights look it's an incremental step. We've herds Stacey Abrams who is a fighter. For voting rights and who has that lead that not just in Georgia but across the country we've heard that from many for many Democrats you know just senator Manchin is trying to bring. Bipartisanship. When it comes to voting rights and we encourage that. And so as you know the president not too long ago about two weeks ago has asked the vice president vice president Harris to lead this effort. I'm voting rights so you'll see much more to come from that White House but as you can imagine we continue to support. The efforts and ring courage by what we're seeing. And Iran has a new president elect Abraham ray C diplomats are already expressing some concern that this could complicate. The returns the Iran nuclear agreement he said to be inaugurated an August he has already said today that he will not meet. With president Biden so how's the president planning to handle that. Well first let me just say we just ended up a session and come as you get the European Union just ended the session and in the end in Vienna just past weekend. But to continue that conversation. On the Iran deal that is gonna continue but to happen we are working towards that that is our focus that's been on folk our focus since day one. Of our administration and and that's what where we're zeroing in on right now. As so. Is the administration worried at all about this are you trying to get this done by August. We're focused on it we've seen we've seen some progress and we're just enough we're gonna just states to stay ahead. Be laser focus not on what what what and what what it is that we need to do is make sure that we have. An hour oh Ron deal and and what we're moving in the right people but to the table we are video we aren't worth thankful for that. Four before the you know the difference sessions that have occurred Indiana and those were continue we don't have a dates set yet or to announce on Wednesday. The seven session is gonna happen and that's going to be our our focus and we have seen. Yes we have seen some progress there we're just gonna continue that. Effort and train every close up pride month I know you made history last month becoming the first openly gay spokeswoman to take the podium. In a formal briefing at the White House are also only the second black woman to do so what's the significance to you upholding this space in history. Well here's a thing you know I said this I said this that than the day that I briefed and and I truly believe this which is you know the podium. The briefing room the White House is not about one person it's about the American people. And to be quite honest it's an honor to be doing this job. To be speaking in communicating with with reporters like yourself and the American people in a truthful in a truthful way and I would not have been. Behind that podium if it wasn't for this president president Biden who believes that representation matters and when you believe representation matters you see. Also all the voices or different diet and a diverse cities in it in an administration and that's what we're seeing this is the most. Diverse administration ever. And it makes me incredibly proud to be working for this president and also to to just be doing this job that I love. And I White House deputy Press Secretary train jumped Gary appreciate your time today thank you thank you so much I appreciate the time. Well Saturday marked the first new federal holiday created by congress in nearly four decades June 18. Recognized as national holiday to commemorate the end of slavery in the United States. What enslaving Americans in Galveston Texas. Learned they were afraid two and half years after the emancipation proclamation took effect. But today we got a Galveston resident Sam Collins co chair of the June 18 legacy project to talk about the significance of June team can. What's next now that it's a federal holiday Sam welcome thanks for being with us. Thank you for them to those who speaks nude. So out June team honors black emancipation the hope of equality. How much do you think a federal help opt out a holiday helped get us down the road towards those goals. Well you know we all of them is American house and we're all Libby and an American now says acquire foundation. The national holiday helps us feel better car or truly Arab and crack. It also has bad weren't in the how bad information. False narratives so we need to correct or narrative and empire and a national holiday best and helpless to tow the true history. But what happened here on the south what's more. 22 string. And in Gump's what is being. This has been a holiday is celebrated. First in Galveston in the years following civil war and then. Really a cross Black America over the years and now the nation will celebrate just a little bit about that. Tradition and how important June 18 has been in the black community there and beyond. Yet in 20/20 of course Junichi became very popular. But June team has always been important for the former enslaved individuals and their descendants. So we have been celebrating and here's this 1860 problem gals. There are all parades festivals. Well. The passion attached we get a mural dedication Saturday with the new trial thousand square could absolute equality mural. Our Dunbar artist original Adams and his team to creatives. Created us we. We have many vets on the island to celebrate freedom sold July or us our freedom Burke buried in June 19 there's also freedom Burke that it. So we want to celebrate from June 19 July 4 three to. In tradition. In that tradition now. Living as a federal holiday there and it was welcomed it seemed really across the board there were some critics is there is it's America we're divide there's going to be some of that but. I guess some of the critics were saying that have in the day as the federal holiday. Is nice but there are more pressing matters I've heard people say that affect the black communities voting rights addressing race to the classroom. Is freedom something everyone can celebrate and embrace. Or Drew Stubbs a long way to go in and how does June 18 fit into that. Mullah. So that we could change that true history. And individuals could warrant giant ball has spoke of these innocent people or trapped in the history. They don't understand and until they understand it they can't be removed each moment so we are hoping that as individuals until the saw what's on it does I'll go qwest home. They will learn the true history of being ransom 1860 are in which. Show me Carson of the so sick came into Texas where United States color troops in Texas were taught to remember the Alamo which was a law. But we're not torture and history of these union soldiers who were winners. They're four or freedom. Two Texas have been enslaved people and also brought notification to Britain's laborers brits slavery had ended and no we're not where we want to be well we're on this continued. More toward absolutely Baltic. As you can see in this mayoral with the people in the June tasteful are. It's it's great history in Galveston now destination for me nag I have a confession sim which is that. Really I grew up in suburban Chicago didn't hear I'd learned about June teams probably. All within the last ten years maybe fifteen years I'd say. So four and there may be a lot of people like me how how should we celebrated how should my family celebrated next year would what's the best way gone about. Commemorate again as a country. Yet another huge huge welcome what was look at remember they couldn't country June 19 as the freedom Berkeley for the moment each slaves and justice in a friendly you have are poor children three of them ever faced within three weeks. I cannot have one Berkeley border and they all want individual orders so our cigarette company and join with us. Let's come celebrate because the same way he was celebrated. On the fourth of July. All Americans can celebrate the state because June chase all over its evolution of our country to a more perfect union. We're not perfect and 1528161970. Certainly 61865. Or even today but this gives us an opportunity. To move. Also sure middle more perfect union. As we do the repair works of this American how commitment and so that future generations don't have the bill would put our foundation bear bombing. All rare warm. Thanks Gregg and Sam Collins coach you're the June came to legacy project congratulations on this first holiday and thanks for helping us celebrate. Thank you when you come on the Galveston an album it's out. Will do already. For sure. Up next and what more than a dozen states now are turning the economy and prematurely. Ended extra unemployment benefits they're arguing that there are a lot of jobs available and that extra money is actually making it. Harder for companies and businesses to hire and I may be partially true. Doesn't actually tell the full story we look at where the jobs are and why do some companies still struggling to higher after the brain there was some. Welcome back several states are ending extra unemployment benefits prematurely as this this is a reporting trouble hiring. That means thousands of Americans will no longer have access to those additional 300 dollars in weekly payments we talked to a few business owners about what they are dealing with. And why take a look. And it's very difficult time recruiting and hiring people is Shia group China really aren't. The residential heating company with a lot of house paint and not enough workers and you keep people from the now we have a little hundred. Demand for services is incredible and the really hard this thing I think it's permeated isn't understanding. YE and people are wanting to work I'm. Not saying that there is lessening work that's again these people I. I believe that for the first time allow these people's lives they had a unique opportunity V. June. And makes its money that is livable. By Matt happy to work. So far is Hindu in his new extremely hard to congregants. The crisis. TD UP engaged in various. Confidence that comes with Martin Anderson kindly and a lot of people are anti child care and I didn't feel as teen flick. That's why this song is able to pay workers. Can't afford to increase our prices aren't racist violent crazy. There's a lot that happened during the pandemic of one and I think people don't they can earn money in unconventional ways and I continue to do that to. Vaccine hesitancy is very real as we open on the honor system. A lot of people who who don't want to take the vaccine are ready come back to work yet. So my prediction is Republican continues she labor shortages even as unemployment benefits expire. And it's an effect volatile prices of the goods and services were used to happen. Those are some business owner struggling to find enough staff despite millions of Americans still unemployed job openings reach nine point three million at the end of April according to the Bureau of Labor Statistics. And as of June 11 job postings on hiring web site indeed are up 29%. So why are so many positions going unfilled. Economist at indeed hiring lab analysts bit comical an economist at the Economic Policy Institute Ben zipper. Are here to help us break this all down thank you both for joining us. Thanks for having me. And aluminum or do you a dozen states have now ended unemployment benefits prematurely several more. Are set to follow suit in the coming weeks how are those extra benefits contributing. To this worker shortage. So I think there are in trouble being better acting labor supply right now. That certainly you know there are the federal unemployment benefits that we can't forget that we are still and it cannot act. I want to be done at the pandemic everybody wants to be done at the pandemic but we are still and it. They're all good child care challenges and together and though street east at the fact that we're still on a pandemic. Child care challenges and federal Eli come together. And all those different. And that that may be contributing to what we're seeing on the labor supply side I will note that in state or federal benefit benefits are ending eminently. Job search activity on indeed have not by relative to the national trend that does push back on the idea that federal. An offense artists all we know what we're seeing right now. And Ben this station that are out there cutting these benefits early there arguing that the economy's improving. As we just heard a lot of companies big and small looking for workers so this extra money. Is no longer leave needed people can go find work you've said that's that's not quite accurate why. Yeah that's not accurate and I think I would also plays a little less emphasis on unemployment benefits being. The problem you know in the states that have decided. To prematurely. And possibly illegally. And unemployment Vince. Benefits early so it's about 25 cities like you said a dozen states thirty Dimon. Those sons those states go swore they ended benefits. You know this day actually you know had her recovered employment by about 70% of their shortfall. But they still up about 30% of you know adapting Alice are a lot of jobs. That you know are out there but you know vaccine headed hesitancy. And you know basically that big shock of the pandemic is still gonna linger and you know cause job growth to be a little slow slower than we would like. Armed in the coming months. And Allen and at what industries are looking to hire right now angry Sarah burst people see are still making job cuts are at the very least stagnant. So on Indian we're seeing Lenny sector different Asian for example. Production and manufacturing. Absent June 11 does that 76%. Compared to its pre pandemic a fine. Loading and sucking it up as well. And I can't characterize those as sectors that are. They don't making goods moving cannons at the other end of the scale we have sports related jobs. Which are up only 2.2 percent compared to their pre and then he'd be fine and one that still has not cast a pandemic they find hot Italian are as adamant that line I expect you only see. You know really fully recover and get those double digit is once we have business travel and leisure travel slowly recover. An average year employers complaining about how hard it is to find work or kind of incentives are some of them coming out wet then are you seeing any patterns where it's working. Abbott last Friday a four point 1% of job postings on indeed our advertising hiring incentives like signing bonus says retention bonuses cash incentives. And present contacts. That is more than doubled compared to last July so employers are really looking to create an imminent and just signed different ways to attract job seekers and that job and I noticed pain because job searches for hiring incentives. Our a 130. We're percent compared to this Jane and. And bandits did this may sound dumb but got maybe one of the issues this is did the employers are. Offering enough money if people would prefer to get paid by the governor and employers but I know that the Economic Policy Institute where you work. We saw this report you put together about the benefits of raising the minimum wage saying that more than two out of five child care workers for example. Would make more money with a fifteen dollar national minimum wage. In 20/20 five but. What about the parents that can't afford to pay that stay out of work force instead is that an issue that might contribute to. Less people going back to work fewer people he. Yeah I think all of those issues are relevant in particular you know in the sectors that are claiming that they're having the hardest time. You know finding people to work. They are actually like leisure and hospitality restaurant they actually are seeing very fast in undergrowth about three quarters of all jobs created in last were are taken in the last down two months we're in leisure and hospitality. At the same time one of the things that's holding. You know further job growth pact has been very low wages are paid to it is true that employers are thinking. Very creatively about higher how to hire workers don't want to think that they're not doing is. You don't that we don't have a lot of evidence that they're doing is that there they're not actually raising hourly wages so much so we actually see a very clearly in the aggregate data in fact the Atlanta sat puts out low wage tracker and it doesn't seem to us show you know kind of like an overall acceleration. In wage growth people who already have jobs so you know that in my mind is you know signal that we're still kind of in this. Nina reality Shannon's struggle that pandemic where you know were finally. Able you know with enough vaccination kind of you know so. Fight and us support security and people are you know looking for the right kinds of jobs that had taken number one's arm before we actually see you know employment levels on you know closer to creep endemic levels. An economist and Elizabeth and then zipper we appreciate your time today thank you. Thanks for having me. And that does it for us on the breakdown today thank you all for joining us I'm Diana stayed out and and I'm Terry Moran will see you back here at 3 PM eastern tomorrow. Yeah.

This transcript has been automatically generated and may not be 100% accurate.

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