Why 42% of coronavirus-related job losses will be permanent: Economist
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- Опубликовано: 7 сен 2024
- Steven Davis, University of Chicago Booth School, joins 'Power Lunch' to discuss the study which found many of the jobs lost during the economy's self-reduced recession may never come back.
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If someone makes more from unemployment than from their job, maybe that's a sign the job wasn't paying enough.
Nah, unemployment benefits are ridiculously stupid right now
Unemployment runs out. It is artificially high right now because of the special Federal government supplement payments that only exist because of the corona virus response.
Unemployment in Arizona normally is just 980 a month- not even enough for food and electric bill
Higher wages mean higher cost of goods and services.
@@misterj1396 nope
30 years of increasing productivity all went to the one percent
Wages have stagnated.
Just look at Europe
Govt stepped in
Company pays 4 days of work
Govt pays one day
No one played off
Economy still going strong
Only the USA with an incompetent president sees increasing inflation with 30 percent unemployment
I quit my job in Sept 2018 to focus on my creativity and happiness and to travel. My advice for those who dare, find ways to cut back on expenses and make due, and find real freedom in the simple things in life. I am totally comfortable, happier than I have ever been, grounded, learning and growing. I've taken up a lot of new hobbies and crafts. I've forgotten all about the Joneses and brew far better coffee for myself than Starbucks ever did.
Will probably need a job at some point, but really not worried about it for the foreseeable future. You have so so much time to find ways to generate income and think these things through clearly when you aren't totally exhausted from being a corporate office slave like I was.
People need shelter and food no matter how cheap you live you must pay. If you are out of work for too long it will be hard to get hired again, hope you have a plan for that.
I started working from home before the pandemic best decision I ever made...cut my stress tremendously now Im looking into several other streams of income and a home based business
I understand the whole “why would I come back to work if I’m getting more” but at the same time it’s like what jobs will even be available?
There are millions of jobs available. With this pandemic has come other opportunities to fill voids created by the pandemic. If I'm a furloughed airline pilot should I get $20,000 a month so I can continue living the lifestyle I was living? How about a $10K a month computer programmer or a $5,000 per month bus driver or a $3000 per month box truck driver? Where does this craziness end?
But what do they do when the unemployment runs out?
@@stephanwilliams4143 : I think you'll see multi-generation families living together like they used to. There will probably be more boarding houses too, but homelessness will drastically increase. The govt cannot bail us out if this mess; they will try, but printing massive amounts of currency into existence will lead to it becoming worthless really.
@@pmh1nic what are you even saying
Food Delivery and Programming?
This is the most honest discussion on what our real economic reality is. Don’t listen to people who talk about how the stock market is doing. Homelessness and food insecurity will increase.
any economist or financial executive speaking on tv will never tell the hard truth. they’re paid not to....
@Sam Mencia food scarcity is a better term for you. In Europe we are already seeing it with milk, potatoes and other veggies rotting away on the farms because there isn't any labor force to take it off the fields for the exact reason what this economist said: wage insurance which is double the payout of the wage earned by picking veggies..
M eh Europe is also doing that insanity?
It appears the CCP virus has made a lot of decision makers sick in the head.
no one cares though..unless its in there face. life does not distribute qualitires equally
Yes, absolutely, I may have watched almost 100 videos on the current crisis and this is the only one which gives honest picture in very simple way.
The extra unemployment is just for 4 months and in most states you get reported if you refuse to come back to work (regardless of risk) and you lose your unemployment.
Yeah, I know someone that happened to in GA. She was offered her job back and refused so she couldn’t collect unemployment any longer.
Paul Conner That is all true but the problem is that alot of the companies do not want all the workers back.
Employees need to file class action suits against these companies. The only language they speak litigation and finance.
It’s the same way in PA. One of 3 questions they ask you is are you available for work. If you answer no then you don’t get unemployment anymore. I believe they also ask if you were offered work. Businesses turn in employees that turn down coming back because they also pay part of that claim so why would they pay it if they offered you your job and you said no.
I got the extra $600 for 3 weeks, but missed out on 2 others since I was honest and reported about $300 worth of income. I don't know how anyone can think this is overly generous.
People who sit at home making 100k+ a year working from home don’t seem to grasp that reality most of us Americans are going to face
@Anthony Thomas not necessarily - jobs pay higher because they are harder to do.
How many people can code or manage high tech projects?
The premium is all in education, how hard a job is, and how many people can do it. Very few people can do high tech and finance jobs.
@Louise McMillin yet they don't and good coders are hard to come by
Dude 100%
Louise McMillin No skill is a “secret” if there’s an education program for it, so I don’t get your point. Regarding the coding jobs, I have a good education in science and engineering and my job isn’t at risk, but I would never want to code because it’s such a pain. It’s not the kind of hard work I am good at or the kind I want to do.
The reality that most Americans should get off their ass and learn a skill set that allows them to make $100k a year while working from home?
This guy's takeaway about low income workers "getting too much money" is totally upside down. The takeaway isn't that the benefits are too high, it's that these folks were not getting paid enough previously. Edit: removed an extra word.
Lol what? We have the richest citizens in the WORLD
@@briankelly1732 we have one of the highest gini coefficients as well. The country is very unequal in wealth distribution. We're talking here about walmart workers, not elon musk.
Class warfare just got complicated
Well said! Let's see him take care of his family on $1200 per month
Exactly!
I’m expecting permanent job losses in many sectors of the economy; and that there will be unemployed people who are going to be homeless because they were evicted from their homes; and apartments by their landlords.
There are many middle class people who were earning high five figures, and low six figures living comfortably until they lost their jobs; now they are receiving unemployment benefits; or are frustratingly waiting for their unemployment benefits ; and they might become homeless, and that can cause health problems!
Lots of people have little to no money. And lots of people are hoarding cash and will continue. Plus lots of people will not be eating out like before. I know I’m cutting back.
Charles M Rinehart Me too. Saving all my money. They are trying to gaslight or bully us into spending. Not going to work.
Cash is the worst thing to hold right now. It’s going to be worthless soon.
I work at a pizza place and our business has been booming since the lockdown started. I thought people would be tighter with money now but apparently not.
This guy has things upside down. You get people to work by offering decent wages, not by giving terrible unemployment benefits.
And every unemployed American is spending their stimulus money and unemployment checks shopping online. I know because I'm delivering the parcels and I've never been busier with so much overtime. I'd be saving it if I was out of a job. That's my two cents.
That's the exact opposite of what you’re supposed to do with the stimulus money lol. If everyone saves the money they receive and no money is moving throughout the economy the situation worsens considerably due to the nature of ours being driven by the consumer which accounts for over 2/3rd's GDP.
@@internetusercynthia1621 I'm not saying don't spend your stimulus if you're not unemployed. I would like to see more people actually save their disposable income for when the Main Street economy reopens and we can support local and brick and mortar stores. Ecommerce has had their share of the economic pie. We as Americans need to save more anyway and not have so much debt.
@@mayor399999999999999 well said!
@@mayor399999999999999 big box retail can bite me like they bit small businesses.
I work at one of the biggest online distribution factories without saying their name online people are spending lots of money that they don't have getting used to spending trends they won't be able keep up once unemployment goes dry check California state asking from money from fed to pay unemployment for that reference, we live in a backward ass country where weed is considered esestinal , not cause most people are using it for digestive issues or something related to medical needs but simply put cause they Wana get high, same goes for alcohol but everyone with even half a brain cell knows alcohol is posion to the human body
At least 50% of jobs cannot work via telecommute. Doctors, nurses, stores, restaurants, dentists, real estate agents, supply chain (trucks, trains, manufacturing, distribution centers)...the list goes on.
Doctors Are working, Telemedicine.
Predicted nearly 30 years ago, fewer doctors, especially in Rural parts of the country, even Satellite supported health treatments and diagnosis.
Phil the people you just listed are already working in a limited capacity as they are essential workers. They are not the ones who are unemployed.
Sure. Robots at warehouse, AI driving trucks, and teledoctors in India doing medicine here. It saves alot of money for corporations and they work during future pandemics. With everyone working at home why not outsourced to a third would country for white collar workers? $$$$
Rich guy wants poor people to receive less in unemployment benefits... typical...
wtfhappenedin1971.com/ it’s only going to your bank or a landlord.
Poor guy wanting people to start being adults and save their money ffs
That’s not even true
This pandemic demanded that we all #STAYHOME, so the federal $600/week was designed to help ensure that. It was and is smart economics. Bailouts for casinos and cruise ships, not so much.
The solution for problem of unemployment income more than employment income is not that we don’t pay unemployed , the real solution is increased wages for people who come to work
If the minimum wage from the late 60's kept up with inflation it would be more than $11/hour today.
Habib may I say that you cannot have higher wages with lower profit margins is an unsustainable model. Companies would fail and will create even more unemployment. Wages should be lowered to reflect the decrease in demand and lower prices which would enable the rebound. You cannot rebound if you don’t hit rock bottom. Only then companies would start to re hire. Government intervention will delay the recovery despite the intention is to aid it.
@@lxtx99v12 Don't blame a living wage for the fact that deregulation dug a hole it can't get out of. Again.
@@codent it would be $21 per hour if it moved up relative to costs from that same time which would stimulate growth by increasing consumption which is 71% of our GDP
@@InactiveAccount2 How is raising a minimum hourly wage a livable income if you get fewer hours. If you want a livable income for all, you need to bring in an UBI and remove minimum wage as minimum wage just becomes a barrier for employers to try less vetted prospects and fewer starting opportunities for the prospective employees.
Economy before feb 2020 was already destined to implode, FED was already decreasing rates long time before
They had no business raising them every quarter after Trump got elected. Europe stayed negative rates. Puts us at a disadvantage.
@BIG HEAD The same schools as most clueless liberals
COVID-19 is the cover for the collapse they knew was coming.
Chris Choir lol good response!
Richard Folkers not to this extent
The typical university professor who is living a little bit out of reality. How many people will feel well paid receiving unemployment checks? Thanks professor, pls stay in the classroom.
This guys makes 1 point but then contradicts himself with the next: many jobs are not coming back and layoffs will be permanent. Followed by, unemployed workers should get less benefits so they are incentivized to go back to work. Problem: of jobs have permanently disappeared, where does he proposed these workers go to find new employment? The jobs are gone as he accurately points out.
They are, but there are businesses that are doing well for now and cannot find people to work.
Yes, exactly. Since a large swathe of jobs have disappeared and may not come back, what is obvious is that the government needs to do exactly the kind of thing they did in 1930s America: give people work rebuilding the infrastructure of country, for example.
@@peacefuldaizy5717 I call BS there.
I think he expects them to take far lower paying jobs picking fruit or something.
@@peacefuldaizy5717 yeah that's bull lol
my job was at my airport and considering the fact that i NEVER hear any comercial airliners flying over im sure im not coming back to my job
and if the jobs come back? There thousand others that will work for less as you
@Deb Monyetta It won't benefit China either.
At Midway Airport in Chicago, today, there were more planes coming in for landings. Not exactly non stop like before but, traffic has picked up a bit. I understand people who were stranded may want to get home but, how many of these people are from other States and bringing another strain with them?!
So sorry. It may be 2 or 3 years before all of the airport jobs come back. Keep your head up.
@@bigkahunaburger5185 based on what evidence how u know what will happen in a few years
Is the problem that the bottom 1/5 of workers earn more on social welfare or just that they are so poorly paid that social welfare is a better option?
Nothing is permanent. It might take two years, might take 10 years, but the economies keep growing long term. Heck, we recovered from the Spanish flu and WW2. We will recover from this.
Societies also change throughout time, as well as what professions are in demand. For example, look at what the internet did to the travel agent profession. It's not a question of recovery; it's a question of will our society's culture be permanently altered by this event..
TupacLives - It will he changed for sure. But, if you go back even further; we transitioned from an agrarian to an industrial society. Flash forward 100 years and the majority of telecom employees were switch-board operators. We will endure this. This may be more painful, and the pandemic surely has accelerated the trend to more business being driven by eComm. But, there will be progress. And 5, 10, 30 years from now; I still believe in a bright future.
world debt is the problem.
If you are 'licensed' in one state it should be recognised in all states. Same to with driving licenses. Airlines and cruise ships have had their hay days!
paul broderick thank the US people that loves states to have freedom even when it makes no sense, such as drivers license
@ldfnnlt
There's a purpose for licensing because every state has their own laws unless you want the same laws for all states.
@ldfnnlt You really think professional want that. Of course they want to protect their turf
Each state makes money on licensing fees. So you have to pay for a license in each state where you practice.
@@natashadickson4819 Yes, indeed. Then there ought to be national federal government licences. This state, that state totally ridiculous.
Those workers where under paid to begin with, maybe that should be addressed.
I agree. As long as they don't keep most of their money in the bank, many people should be paid much better...
More automation and AI is coming.
Massive redistribution of wealth coupled with a reduction in the length of the work week would solve most of this
finally, somebody waking up to the fact that things are never going back to "normal", we need to adapt not pretend things will be normal again. Those that adapt will recover and thrive
Never? Even in 100 years we will still be in a lockdown you are saying?
umop apIsdn no a revolution is upon us. Like how horses were used before cars came to be.....
Diminish the money gave to the unemployed to help the economy, without realizing that 25% of customers won't be able to spend anymore so stores won't sell anymore and won't be able to make those unemployed work. There's something flawed in Steven Davis logic!
"If there is no testing, it means no one will be positive"
Problem solved
Doesn’t this mean that companies should pay a living wage?? Why are we trying to take money away from people who need it most. Big corporations ate ALL of the money meant for small businesses with ZERO oversight. But he wants to talk about poor people getting a few extra dollars for once? Smfh...
The virus really didn't change anything that was on the verge of happening. It simply sped things up. Companies were already bleeding from e- commerce giants and other companies that know how to progress in the digital age. Once the automation really hits good luck people
That's BS. I don't know anyone that's being paid more for unemployment. I certainly never did. Even if that's true on what he's saying, then maybe employers need to pay their employees more than unemployment benefits.
Lots of people up this way getting more from cerb benefit than had they worked
My wife and I have covid in Canada, wife worked in a care home with a covid outbreak, now both of us are off work and haven’t seen a cent, hell her temporary co workers from Fraser health were paid a few dollars more when she wasn’t... she was one of the few to give medications and care in covid rooms. Neither of us have employment now and both of have not seen a cent even after applying. Canada has communists in positions of government, there will be a second wave as someone who has seen just how contagious and sever it is. God speed. If either of us succumb to this disease blood of tyrants will flow.
Drink hot tea ginger with turmeric, lemon, and garlic.
Did you not apply for cerb benefits. I lost my job and I work in healthcare I got my benefits within 3 days. I sympathize with you and hope you and your wife get better, but financially I have no idea what you are talking about
Our system of business works like this; pay is only given to sustain most people for a month. We live in a cycle where nearly all your money goes right back to businesses to pay for bills to survive. When you remove a month of pay you literally wipeout most of your people’s money. Hence no money for spending. If we paid our employees based on performance and had reasonable prices; more people would have more savings. Meaning More money flowing to keep the system running. This information has been available for decades.
republicans are too stupid to understand that
@@found_my_chapstick190 They're just brainwashed like the Dems are brainwashed in their own way.
But yes, that is definitely the strategy; Keep people permanently on their back foot and barely scraping by so they don't have the time or energy to take a good, long look at exactly how they're being screwed.
if the employees choose to stay they'll hire their position. Once your company opens up you have to go back, or lose unemployment. This man is incorrect about a lot. Just a data reader. It also shows how very little most jobs pay, and the living week to week will never stop. Brought down by cheap legal/illegal labor.
It's not financial crisis. It's behavioural change crises for some businesses
It's both
Yea, i see times are changing for both sides. this virus has caused a lot to change even if things were going wrong before it came along.
As a small business owner (less than 50 employees) I've pared down my operation to necessity levels. I've shed excess square footage in my physical plant and ditched the products and services that I relied on for volume rather than profit. That will make 15 of my previous employees redundant and my business more profitable in the future. Many businesses are doing exactly the same thing. Everything from work-at-home offices (lowers office costs) to cutting production on less profitable products (lowers payroll). It's going to be a leaner, meaner world out there.
Leaner and meaner, Dave? I agree. Exactly why another stimulus is needed.
Raising minimum wage would incentivize low-wage workers to return to work
but that doesnt benefit republicans.
Covid 19 goes with class warfare
Starvation and eviction is a much better incentive.
@@ancelrick5396 starvation, eviction, and societal shaming for not having a job.
Raising minimum wage would also prevent a lot of low-wage workers from getting a job to begin with.
So IF you're in a state that's paying the federal unemployment (and a lot of red states aren't) and IF you're job loss is directly related to COVID, then you might get the extra $600/wk. That's $15/hr. In Texas, if you're in the lower 20%, you're weakly UEI rate is about $65/wk. He admits that a lot of these jobs aren't coming back ... at least not right away if even at all. We also have to face the fact that there are not other jobs 35 million people can be doing right now. So it doesn't matter how much more you're being paid in UEI, if there isn't another option than it's really not a disincentive. It sounds like Davis is advocating letting the bottom 20% starve, and end up in an alley. And we're a Christian nation?
If you pay less than the unemployment benefits, your business shouldn't exist.
Depends
I only pay per job completed.
Contracts
Better than having employees.
Freelancers are great.
Each job is like $600 max for the freelancer
Which is their own charge not even mine. I’m saving $$$
Though they get the benefit of multiple jobs per month. Which is good for both.
Employees are more expensive than hiring freelancers. And freelancers do the job way better.
@Spiderus. Have you ever run your own business? Try opening a restaurant where you need to pay your dishwashers $30 an hour. Minimum wage laws destroy jobs by making entry level jobs economically impossible.
so I pay a college student 10 hours a week as a part time and now they makes 5 times more on unemployment than working. My business should not exist?
Jay Lin maybe u should pay ur employees more then, they’re the ones making u money.
@@found_my_chapstick190 Please start your own business. People get paid mostly based on the value of their work. That's why heart surgeons get paid more than dish washers, for example.
God forbid we raise the minimum wage to a living wage.
The airline industry will undoubtedly take the third option: lay off the workers and keep the subsidies for profits and executive bonuses.
The problem with academic studies based on pleasing political factions and economic social support groups is that they ask questions in order to create answers that will support their interests, intentions and the agendas of political economic social brands that are paying their bills. The money given to corporations so they can purchase their own corporate stock with government support and then sell personal shares at inflated value does not really improve the economy. It effects their personal earnings. The opposition to lower 1/5 of earners making a livable income on unemployment creates fear that people will recognize that they are treated as little more than peasants at minimum wage. That desperation is economic exploitation creating competition for scarce employment. The exploitation is engineered into the economy for purposes of exploitation and market control. We don’t have a functioning free market economy nor a politically independent democratic republic functioning properly. The people who are earning the economic stimulus funding due to being laid off during the pandemic are in fact stimulating the economy. The forces opposing a UBI do so because it creates a actual economy. The problem to economists who are supported by particular sectors of the economy that have created economic exploitation of those people is easily recognized. They don’t want them to escape the economic exploitation situation. Their bottom line requires that their “used cars” (example market) be highly valued and interest rates be high on those things. That the items be temporary and that recycling of those commodities sales rates be high... and the next resale of the “used cars” create recycled materials for corporate profits but not values for the consumers who now are replacing their “used cars”... they are not interested in a working functioning economy for everyone... they are not interested in creating value. They are interested in a economy that functions in a way that works for them. The only thing that makes money is money. If you have money you can make money. You would be free to make other choices. Corporations would have to incentivize because desperation would not be a driving force. So they are dedicated to limiting the money in the real economy. Thus the corporations are dependent upon foreign manufacturing because they treat people no differently than commodities. Looking closely the model is based on being exploitative. The repeated failure of the market, banking and financial sectors is because of the gaming of the system. Because they don’t want a functioning free market economy nor do they want to abide by responsible, reasonable regulations. By market manipulation the brokers make money. They make money... not value, not products, not services other than trading abstract pieces of paper. If the economy recovered in a functioning free market economy system that could result in independent Americans who could choose their own work. Choose their products rather the limited monopolies that are the current status quo. Choose their own politicians to represent them rather than current model of political social engineering created by corporate interests and a system of corrupt campaign funding that allows corporate interests to suppress actual peoples interests in favor of corporations. At the same time the corporate interests are manipulated by foreign interests and because of short term thinking and profit motives... people don’t want to recognize the big picture. So they can paid to create studies and ask questions in a manner that skews the statements to the agendas of their masters. Getting to appear on corporate media television and retire before the problems are easily recognizable. The socialism of corporations began when they sold out to communism for labor and manufacturing purposes. Now its trying to create a systemic re-education of understanding so that communism and corporations have the goal... and eventual ownership. Sshhh... it’s a secret. Average people are not supposed to know or be educated enough to figure it out. Many educators are not aware of this... they just go along in order to keep their jobs and get paid. LOL ... sigh. The short attention spans and endless distractions are simply helpful to furthering the apathy at center of our collective problems and people are caught up in short term actions preventing them from being able to think about their situation. The people who are maintaining their status quo position don’t recognize what that actually leads towards. The people who have been involved in creating this morass want it to be successful and wonderful... and so they don’t want to recognize the situation. People don’t tune in to be informed and educated... they turn the channel to hear what they want to believe and to be entertained.
4:11 "Don't get me wrong, but we have to get everybody back on the plantation"
We don't have to defeat covid we have to make peace with it
Printing money to solve problems never works out well in the end. The USA has been able to do it because they are a nuclear super power.
With unlimited printing now it's guaranteed to crash.
The only category in the United States Laws that allow Discrimination. The answer: Money. Not all men's WALLETS are Created Equal. This guy proves the point.
$600 extra for the unemployed is the only thing keeping companies from cutting wages those who oppose the extra money people on unemployment are getting better hope they extend this benefit if not watch your wages get slash
He's absolutely right about restrictions on starting new small businesses, states not recognizing out of state occupational licenses, and economic disincentives to working. If we actually wanted to help people, we would make structural reforms (change laws) to improve these areas and allow more ordinary people to start their own businesses, create and find better jobs, etc.
I am disabled and keep an Etsy shop doing what I am suppose too be doing even if my art isn’t good enough too sell.
"🎵 Take up arms in holy union 🎵
🎵 For the ever surging revolution 🎵
Wait I was told I just needed to WANT to work and everything would be okay. What changed?
Saying that unemployment benefits must be gutted when nobody is hiring is insane and typical from an economist disconnected from real life.
The reality is your employer doesn't ask you to come back to work they tell you and if you refuse they fire you and replace you and you don't get unemployment at all this guy made zero valid points for his fear mongering
We obviously if your employer lays you off permanently or decides to get rid of your job that will happen but in the small town I leave in they have done the exact opposite they have pretty much put everyone back to work and hopefully it stays that way
I've been telling people this same thing.. people want to open up my state (NC) so people can go back to work..but my job isn't hiring us back 🤷
companies are going to recognize that many of their previous costs, like travel to conferences, are unnecessary and become more efficient as a result which in long run will benefit macro economy. fact is that there are too many restaurants, bars, airlines, and hotels in the US and not enough innovators of new products, particularly in bio-technology, which are the real factor behind economic growth and prosperity. Don't use public money to maintain jobs that are not necessary.
we’ve become a consumer nation
Unfortunately I cannot agree. If there was no demand for the bars, restaurants, and hotels they would not be in business. Currently there is no demand, so some will definitely fail, but when the economy recovers, demand will also recover. In the big scheme of things, a bar is not as important as a company trying to cure an infectious disease, but it is a business that employs people and helps our economy grow.
The government is basically propping up the entire economy with all its spending, like a table of cards.So this fall all the cards might fall, causing a recession we’ve never seen before.
It all boils down to the transition of the US economy from a manufacturing economy to a service economy. Good paying manufacturing jobs outsourced to China made the 1% Corporate tier of workers very wealthy, and they had big big bucks to spend on self indulgent luxuries such as nice cars, lavish homes, vacations, food, and amenities. Their lifestyles built the gig economy and it became the only place for the displaced manufacturing workers to earn a living. A good number of "Gig" workers have to work 2-3 different jobs just to stay afloat.
This virus has crushed the gig economy, and now there is no one left to service the 1%, who are sitting at home still drawing a 100% salary because they are able to work at home. The gig economy will bounce back, but it will take many many years before it returns to the level it was a few months ago.
Bernie Schmitz well said
He’s ignoring that people are social creatures. They want to interact with others, travel and learn new things. People are resourceful, they will find ways to provide for their families. Although demand clearly will not snap back, it will be greater than he thinks. Also, his reference to people making more on unemployment, the benefit can only be used temporarily....
People used to be resourceful but not anymore! Also, there are lot of obstacles in the way of people providing for their families & more than ever before
Comparing this economic mess to the previous one for jobs isn’t nearly the same: only the companies that were unable to sustain enough demand to be profitable closed, and it was not nearly as quick of a cutoff of demand for those companies/employers. This time, almost all at once, a huge number of employers were forced to close for business with no predictable time to reopen at all, and artificially kept from opening for business. A huge portion don’t have resources to keep paying fixed expenses without normal incoming business, even with CARES, long enough to ride out this storm.
When those businesses run out of funds, those jobs have no chance of coming back, no matter how well they thought they were doing right before the shutdown.
💚🧡💙💛
Working from Home is going to DESTROY commercial real estate & other bubble prices
💚🧡💙💛
It all depends on the job you did. Certain foods and restaurants will probably never quite recover from this for example
airoport job..im not going back..
I noticed as minimum wage went up that and some was quiting, they just had people do more . so as virus came along they gave more pay to keep people around but that isnt helping any now. some jobs be gone and some slowly to come back later if at all as wage goes up if it changes after virus hass passed later anytime.
We're all buggered. I'm already dipping into my savings. The job I was supposed to begin, last March, never happened. #Shutdown #Lockdown #Covid19
Oh, and I'm NOT getting UI.
People forget that since corporations received the corporate tax cuts, they gearing towards automation to reduce “expense” for a larger bottom line. This just gave some corporations reasons to move faster
Do something about truck Brokers they taking 50 to 70% of the money 💰
Paul Gill - I’m a broker , you’d be surprised how many loads we lose money on
The reason unemployment pays more at the moment is because of the stimulus, not because it's too much money. Notice how non of the A-holes that say unemployment benefits are too good ever suggest raising the minimum wage.
This guy acts like unemployment is equal to salary it’s not that’s why they added the extra money. For example Florida is 200 week for only a few months!
In Canada it is. People get $ 500 CAD per week not to work now. Many low-wage workers make more on it than on their previous jobs.
Yea, i have read that in usa any unemployed is not taxed what they get so make more now by chance then what made before maybe. so not sure how many gonna try go back same job if it reopens later cause places traffic wont be same with new rules and limits to start. so some jobs are gone while others gonna take awhile to reopen and get stabilized with any traffic over time. this virus has changed everything now.
The Republicans and business owners in Florida want to force people to accept low wage positions. Unemployment is the lowest in the country and for the fewest weeks. They will starve people into working for low wages. Working people were forced into unemployment at no fault of their own. Now it's to much money and they are not suffering enough??
@@cable30 thats not quite correct, it is taxed! Consider this as well this is money that the person has already contributed out of their check...
Michael Flynn yeah. They want people to go back to work. No handouts. WORK for your money, something Democrat’s can’t understand.
There is a reason economics is called ‘the dismal science’. It’s his job ( and he can work from home) to think of the complications that follow the policies put out by your elected representatives. It doesn’t happen ( particularly during important election years) for obvious reasons. His message to those who’s jobs are disappearing is to use that safety net to move on to something else. The economics of a pandemic are not real warm and fuzzy.
The government jobs won't be affected. The problem is in the private sector. The the business owners can get back on there feet but not there employees.
Government never gets affected because they steal and do not earn. If the government income reduces they just increase taxes and call it: cutting costs.
Local governments are also severely affected. Look forward to public library, cultural centers, and recreation center reductions.
But there will be explosive new jobs growth, because manufacturing is moving back to the U.S. given of the pandemic lessons we learned. Those manufacturing jobs will require even more workers.
Unlikely. Some manufacturing jobs will come back for sure but robotics and AI will take a large number of them. If you run a manufacturing business, do you want to deal with the constant union, partisan politics bs in your workforce? I am a Canadian and I do hope for manufacturing jobs to come back to NA but Vietnam, Indo, Thailand, India are simply much more lucrative to invest.
So I'm supposed to believe that the public will stop using air travel, and stop taking vacations all around the world? Seriously?
Excellent example that what they teach in Economics departments now is how to be a sociopath.
Both are true. What is taught is how to become an effective sociopath.
"Bottom 1/5 of wage earners make more on unemployment than what they are actually paid"
Oh no! If only there was some way to make the bottom 1/5 of wage earners make more money so they are are incentivized to go back! I guess the only option we have is to lower unemployment...
get ride of regulations and bring back the free market. It's been over 40 years of the B.S. Look how many wage slaves are in the US now. They can't even go 2 weeks on there own. Most of them are dead weight.
Try starting a restaurant business where you must pay your dishwashers $20 an hour. Why do you prefer that entry level jobs don't exist? Why are you against job creation?
@@LoanwordEggcorn I'm for no min wage. If that dishwasher has no skill and you'll give him a job for $1 a day and after 2-3 months he knows how a restaurant works. If you don't pay him more he can go and get better pay somwere else, he'll have industry skills.
@@LMIMSsoi ya, that's going to look great on a resume. I washed dishes for 3 months and made $200 and now I know how everything works.🤔
Genius. Let’s just give everyone $. That’ll solve problems!! (!!!) print off trillions and end world poverty
Compensatory concepts
To eliminate unemployment
Eliminate 5 day work week &
Implement 3.5 day work week
2 shifts
10 hour day
3.5 day out of one week
10 hours Sunday - Tuesday
.5 or 1/2 days on Wednesday
10 hours Thursday - Saturday
4 shifts
24/7 day business
12 hour day
3.5 day out of the week
Saw my cardiologist by telemedicine. However, he did want an updated echocardiogram so I will be going in to see him as his office is attached to hospital so they do testing there. My nephew in law is bringing back all employees and hiring extra computer tech support. My sister is a CPA in the hospitality industry. They are bringing back as many as they can but still down by 1/2. They took the small business loan so all are paid but no extra $600 a week. Many employees pre Covid only ate one meal a day and it’s the free meal provided by the restaurant. The restaurant is giving employees only a heavily discounted meal they can take out, since there is no dine in. But that means with no free school lunch and breakfast and backpack meal they will probably take most of it home for their kids to eat. Our county food banks are working hard to still provide back packs that are 2-3 meals a day instead of just one, it taxing on the system. None of the Free lunch/breakfast money transferred to the food banks. We are considered rural so most kids ride a bus to school and cannot go to school to pick up food daily, no gas money.
Let greedy corporations fund guaranteed income for everyone.
Workers getting more from unemployment and not having the incentive to go back to work says more about low wages than anything else...
Fascinating how the corporatism isn’t being brought up. Let’s focus on benefits, not on the billions put into companies that don’t have financial discipline, the type that is demanded of the citizens. Actions are speaking louder than there words
I had scheduled a follow-up with my proctologist in April and they called the day before asking if I wanted to do a teleconference. When I got the call I joked to myself they might ask that question. Who would have guessed?
Nothing in this world is permanent. And people are resilient.
I love this guy. He forgot to mention. If Americans want to compete China they have to be willing to work for $3 an hour.
$1.
@@naeemmalik8153 and a sucicde nets!!!
I agree that many regulations need to be changed/removed but then when I think about it, I get depressed again thinking that in the short term these may be loosened but over time these things will just get added back and then stifle new business again over time and end up creating these same problems for the future.
This, is as I had feared. Sadly, people will not recognize it was by design.
Also, students will get used to online classes and continue to demand it for the open book open note exams. Professors will get used to it because they literally can copy paste the same material every semester. People care about safety very much, and they will consider jobs that allow working at home.
yup, people like working from home, and stats show their on avg their more productive. i bet schools, are gonna introduce online versions of classes, and you only come to class for things that need to be done in a lab.
this is the kind of corporate stooge who thinks regulations are the problem rather than the fix to a problem. why? profits. the problem, people's health and an honest playing field.
Shutting down in the first place was a major, major mistake.
There is some truth to what he is saying. I use self checkouts, order food on apps, cut my own hair, and wash my own cars. I don’t fly anymore and take more day trips. This cut down on hotel use and rental cars. With telework I probably won’t be buying more than 1 more car before retirement.
Your damed if you do & your damed if you don't. Yes, the compensation is correct and in it's rightful design. Keeping it real and how it is right now. Many would say it makes no sense. I believe it does, for a few reasons. Yes, it's not meant to discourage workers from getting back out there. Except you sure could think it does. Bottoms line: You have a potential to get sick and serverly sick. Not a sick day folks, a sick LEAVE! I was out there and got sick & lost my job over it. Yes, I had been replaced. I went back and forth. Struggling through work days feeling terrible to feeling guilty for being ill. This was a no fault of my own. Your health and recovery are primarily concern. So I wouldn't listen to a political view on over compensation. This guy thinks it's a valid reasoning, to good of a deal. Someone that made more money in their job than I did. Shouldn't apply when I'm going through the same war zone! So no reasoning there truly. We are at war an invisible war. People need their own small securities too. Especially the ones that don't have that security. That's like saying oh, you tested negative now, so get back out there. This virus stormtrooped your whole body and you still feel it's effect. Get a clean bill of health people, before anything! This is temporary relief, its not ordinary. People will recover and will be back fueling the economy again. Until then let the thought out relief efforts do what they are designed to do. Help the people in a damed PANDEMIC!
This pandemic I think has pushed most countries to take the big tech leap finally. It nudged them forward as far as what employees are really needed, what employees are really not, how can they still run their companies given minimal staffing, who should work from home, how do they become more efficient with less workers etc etc.
@Louise McMillin Employers, at least the ones that employ skilled laborers, do not want a market where compensation packages are renegotiated and markets are tested every 6-12 months. Salaries and benefits packages are a relatively inexpensive but incredibly effective retention and cost control mechanism. Take those away and the churn would be insane... It would also be turning everyone into "job hoppers" and studies have already shown that job hoppers make more than their counterparts.
To comment on the statement made at 3.4 minutes: "unemployment insurance pays more than the salaries of the bottom 1/5 of wage earners". A very elitist observation. Perhaps we should cut their benefits, let them go hungry for a while. I myself collected unemployment insurance once in my life, during the mid-1970's. I lost my job working in a factory, and after a couple of months looking for work, I enrolled in college night classes. I paid for the classes, and my day to day living with savings. After a semester, I enrolled full time and worked my way through college with a variety of jobs. Thanks to that decision, I enjoyed a good career. Unemployment insurance helped me bridge between those two worlds.
Pay people more and they will go back to work. People are sick of sh*t wages.
I bet in this economy companies are sick of sh*t profits too
This guy is a jerk! I was collecting unemployment for a retail job I got laid off from in March. They just called me yesterday and said they want me to come back next week...so guess what? I am going back next week even though I am going to be making less money. I am more than happy to work and earn my paycheck. This economist thinks very little of the working class.
Prices are going up across the board...tariff on items with China, restaurant, supermarket, salons, airlines, nails are barely surviving...all small business will have to rise prices because demand is lower than before and profit margin are slim...Covd-19 surcharges will apply due to higher risk of contact in human contact job in a pandemic...my barbar shop just raise it up $2 more for hair cut now.
Lower demand raises prices what a genius
Actually prices on things overall went down with the pandemic. The barber situation is different.x
I think the restaurant has been a huge part of economic recovery and a huge percentage of jobs pre-covid. Many will close, many will cut hours open substantially and the few that are left have seen demand fall off a cliff. If restaurant sales are down by half we should see employment in restaurant fall in half as well. Even after layoff and reduced hours most restaurants will lose money.
It was obvious from the very beginning that the extra $600 federal unemployment was a horrible, horrible idea.
Gregory jon exactly - this bailed out your landlord, not you
@@bleacherz7503 What a dumb statement. Do you expect poor people to hoard their cash like the rich do? Do you think that would offer them any benefit over exchanging it for necessary goods and services? Do you think it's a bad idea to spend money and thus perpetuate the economy?
Gregory jon-how did you make rent prior to having $600 handed to you a week on top of unemployment benefits? I get that there needs to be a cushion and some states pay lousy unemployment benefits but an extra $600 a week is ludicrous.
@@brendanwright8415 It really depends where you live and what Cost of Living is there. Some parts of the country that's a huge windfall, other parts it's barely enough to skim by. Have to set the number somewhere, though, and I'd rather err on the side of people keeping their homes until we've sorted out a plan.
They give the child tax credit as an economic stimulus. How is enhanced unemployment benefits not the same thing?
Those folks at the bottom of the economic ladder may be getting a little more money but it’s not permanent. These people were struggling to survive before the pandemic. Regular unemployment will be less than they were making. How will they survive?
.01 % of the world population own 99% of the wealth. Thats the big issue. I am no Commie but there is a happy medium.Also most people will never be rich thats the reality. Borrowing money and spending like its yours ends badly normally.
So your economy was all a big bubble in the first place?
Covid was only the pin to pop the bubble. It was going to pop sooner or later
May God provide strength to those who are heavy laden, weakened with worldly pain and lost their jobs due to pandemic... the very source of their income and living!! May God show them channels to works or jobs to possible best that can help them and their families!!
This is what happens when you stifle innovation. Eventually something happens that shows how far behind improving/evolving our ways are. Reset!
Who is stifling innovation, and what does that "innovated world " going to look like.
People aren't paid more unemployment benefits than the wages that they earned. What planet are you living on?. They only get a percentage of what they earned based on amounts set aside for them. It is much less than what they earned and for a short period of time, usually in weeks.
Yes, historical data is such a relevant thing to look at it for a once in a century pandemic!
Damn, I should’ve went into healthcare. The only recession proof jobs
Wi
People are afraid of clinics and hospitals, hours there are being cut as well
@@d1492ay its not that people are afraid it's that they weren't allowed to do elective procedures and when those disappeared it killed hospitals profit if they didn't have many COVID-19 patients.
Your still can!
@@scottyhaines4226 people are afraid. Even if I was sick, I would certainly not step foot into a hospital bc it is the hotspot for coronavirus. I've heard many people say this too now. People who would normally go to hospital or urgent care for any ailment they might have are staving it off, unless it feels life threatening.