(TheLibertyRevolution.com)- Last week’s jobs report from the Bureau of Labor Statistics showed June added more jobs than previously projected, with another 372,000 jobs recovered. The unemployment rate remained fixed at 3.6 percent.
While June’s strong jobs gains are good news, the US remains below pre-pandemic employment levels and the labor participation rate dropped from 62.3 percent in May to 62.2 percent last month, meaning fewer people are participating in the job market than the month before.
While the Biden administration was quick to seize on the better-than-expected jobs numbers for June, the reality is, over two years after governments forced workers out of their jobs, the country still hasn’t recovered all the jobs lost during the COVID lockdowns.
Last week’s job report from the Bureau of Labor Statistics notes that nonfarm employment remains 524,000 jobs down from pre-pandemic levels.
In short, Biden crowing about “jobs created” is a bald-faced lie. Not one new job has been created and we still haven’t been restored to pre-lockdown jobs numbers.
What remains to be seen is if the better-than-expected June jobs report reflects a broader economic trend or if it job growth remains an anomaly in an otherwise abysmal economy.
The current imbalance in supply and demand has employers struggling to fill positions. According to experts, there are nearly 2 job openings for each job-seeker. This imbalance implies that the improving job numbers may be an anomaly in the overall economic outlook.
Second-quarter GDP numbers are expected soon and economists believe we may be poised for a second consecutive quarter of negative growth, a telltale sign of recession.
The 40-year-high inflation has erased any wage gains made in the last year, with any bump in pay workers received being devoured by the rising cost of consumer prices.
With fewer Americans looking for jobs while job openings remain high, companies may have to increase wages to attract workers. Increasing wages would result in increased pricing, further driving the already high inflation.