The US economy is expected to have added nearly a million jobs
Organizations in the United States are likely to have decided to hire nearly one million people in April as they scrambled to meet a significant growth spurred by the country’s economic inauguration, rapidly expanding public health, and massive government assistance.
The widely followed employment report from the Labor Department will be the latest to show the impact of the $1.9 trillion COVID-19 pandemic handout approved by the White House in March. It is said to show that the economy gained even more momentum in the second quarter, putting the economy on track to have its best year in nearly four decades this year.
According to a Reuters poll of economists, non-farm payrolls likely doubled in April after rising by 916,000 in March. This means that the number of people working will be about 7.5 million in February 2020.
The number of jobs added in April is estimated to range from 656,000 to 2.1 million. New unemployment insurance claims have dropped below 500,000 in the first quarter since the pandemic started, and job losses posted by US-based employers in April were at their lowest level in nearly two decades.
According to the report, James Knightley, chief international economist at ING in New York, said that they are looking for a reasonable number that reflects the ongoing reopening.
Expectations in the consumer labor market continue to be at an all-time high, meaning another month of record job growth. However, labor and the raw material shortage has resulted from stifled demand, which helped the economy expand at a 6.4 percent annual rate in the first quarter, the second-fastest since the third quarter of 2003.
From manufacturers to restaurant chains, organizations are still fighting for employment. Several factors, including parents now at home caring for children, coronavirus-related retirement benefits, and favorable unemployment checks, were blamed for the labor shortages.
Thousands of Americans have lost their employment as a result of the pandemic, and some have lost their jobs permanently. According to the source, nobody knew what the economy would look like after COVID, according to Steven Blitz, chief US economist at TS Lombard in New York.
To assess the recovery, economists will consider the number of people who have been out of work for more than 6 months and those who have lost their jobs permanently.
Source: BBC News