SAN ANTONIO – Though the coronavirus pandemic has begun to loosen its grip as extra folks get vaccinated, the pandemic’s results on the financial system linger.
Many companies have opened again up, however the job market reveals some individuals are nonetheless struggling to search out work and employers are struggling to search out staff.
New knowledge recently released by the U.S. Bureau of Labor Statistics reveals the pandemic’s affect on the native job market.
Unemployment charges hit the San Antonio area more durable than the nationwide common, in keeping with the info.
The federal labor company considers the San Antonio area to incorporate Atascosa, Bandera, Bexar, Comal, Guadalupe, Kendall, Medina and Wilson counties.
In the United States, the unemployment rate sat at 4.5% in March 2020. A year later, the unemployment rate was reported at 6.2%.
The San Antonio area began out at 4.5% unemployment, too, however noticed their rate hit 6.5% in March 2021.
The knowledge additionally confirmed how every trade fared in the San Antonio area.
Perhaps unsurprisingly, leisure and hospitality took the most important hit. The sector lost roughly 18,600 jobs, an annual drop of 18.6%, in the San Antonio area. Education and well being providers had been additionally impacted by the pandemic, posting a lack of roughly 7,900 jobs, a decline of 4.6%. Mining and logging took the most important share drop, with the workforce slashed by 31.6%. However, as a result of the trade is smaller, solely 3,100 jobs had been shed in mining and logging, the numbers confirmed.
On the opposite hand, the industries that noticed a progress in jobs in the San Antonio area between March 2020 and March 2021 had been manufacturing and commerce. The greatest progress was seen in skilled and business providers sector, which grew by 11.2% and added 15,900 jobs, in keeping with the info.
Some of these jobs are coming again. In March, employers in the United States posted a document variety of job openings.
Across the nation, job openings rose almost 8%, to eight.1 million in March, probably the most on information relationship again to December 2000, in keeping with authorities figures. Job postings rose in most industries, together with eating places, bars and inns; manufacturing; building; and retail. They fell in well being care and transportation and warehousing.
Some have pointed to ongoing unemployment assist stemming from the pandemic as a purpose business house owners are struggling to search out folks to hire. But economists discover the problem to be extra nuanced.
According to a examine by the Federal Reserve Bank of Chicago, unemployment advantages will not be the rationale some industries are struggling to hire. Those receiving advantages “search intensely for new work, and their effort appears to be somewhat greater than that of the unemployed not receiving benefits,” the examine discovered.
“I think there’s a lot of validity to the findings of that study,” mentioned Thomas Tunstall, Ph.D., the chief director of the UTSA Institute for Economic Development. “I think it’s fair to say most people don’t want to sit at home.”
Many of these unemployed are nonetheless frightened of getting contaminated with COVID-19 and others say they’re nonetheless wanted at dwelling to maintain kids as colleges proceed to cycle between in-person and distant instruction. Some staff are additionally contemplating career adjustments. Restaurant staff have seen inconsistent wages from suggestions all through the pandemic, marking a novel problem for that trade.
There’s additionally the problem of wages. In the San Antonio area, the typical wage for staff is decrease than the nationwide common. Construction jobs, for instance, pay an hourly common of $16.05, whereas the nationwide common sits at $20.67.
Tunstall, the us professor, mentioned one resolution could also be to lift the nationwide or state minimal wage.
“We’ve been kind of overdue for this discussion for a long time,” Tunstall mentioned.
The minimal wage was final raised nationwide in 2009 to $7.25 an hour. Though different states have already raised the minimal wage, Texas has stored its wage on the federal minimal.
But what Tunstall mentioned is obvious is the problem is multi-faceted, and might’t be boiled down to 1 trigger.
“It seems like we always want to find the one reason something is occurring,” Tunstall mentioned. “But there’s lots of sides to this story.”
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