The Economic Rebound Is Still Waiting for Workers
The New York Times
Despite school reopenings and the end of some federal aid, many people are in no rush to land a job. Savings and health concerns are playing a role.
Fall was meant to mark the beginning of the end of the labor shortage that has held back the nation’s economic recovery. Expanded unemployment benefits were ending. Schools were reopening, freeing up many caregivers. Surely, economists and business owners reasoned, a flood of workers would follow.
Instead, the labor force shrank in September. There are five million fewer people working than before the pandemic began, and three million fewer even looking for work.
The slow return of workers is causing headaches for the Biden administration, which was counting on a strong economic rebound to give momentum to its political agenda. Forecasters were largely blindsided by the problem and don’t know how long it will last.
