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    Job Openings Remained Elevated in December Despite Omicron Surge

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    The Omicron variant of the coronavirus has disrupted business and kept millions of people home from work. But in December, at least, it did little to cool off the red-hot job market.Employers posted 10.9 million open jobs in the last month of 2021, the Labor Department said Tuesday. That was up modestly from November, and close to the record 11.1 million openings in July. There were roughly 1.7 job openings for every unemployed worker in December, the most in the two decades the government has been keeping track.Lots of jobs, not enough workersThere were nearly 11 million jobs posted in December and fewer than 7 million unemployed workers, the highest ratio in the two decades the government has been keeping track.

    Notes: Unemployment figures adjusted to account for workers misclassified as employed. Data is seasonally adjusted.Source: Labor DepartmentBy The New York TimesForecasters had expected the jump in coronavirus cases to lead to a pullback in recruiting, and a slowdown is still possible. Nationally, coronavirus cases did not reach their peak until mid-January, and they are still rising in some parts of the country. Job postings on the career site Indeed, which tend to track the government’s data relatively closely, remained high through much of December but fell in January.The virus kept millions of workers home in December and January, leaving many businesses short staffed and forcing some to close or limit their hours. That probably forced some companies to postpone hiring. Employers might have also found it harder to hire because some people were unwilling to look for or start new jobs as virus cases rose, or unable to do so because of child care obligations.But there is little evidence so far that Omicron has derailed a strong job market. Employers laid off or fired just 1.2 million workers in December, the fewest on record. The difficult hiring environment may have led some companies that normally shed temporary workers after the holidays to hold on to them this year, said Diane Swonk, chief economist for the accounting firm Grant Thornton.“Companies kept their seasonal hires,” she said. “One, because it’s already a labor shortage. And two, because they had so many people out sick that they wanted to keep people on.”Many workers are taking advantage of their leverage by seeking out better jobs. More than 4.3 million workers quit their jobs voluntarily, down a bit from November but still near a record.With workers scarce and employees in the driver’s seat, companies are raising pay. Wages and salaries rose 4.5 percent in the final three months of 2021, according to separate data released by the Labor Department last week. Wages are rising fastest in sectors where labor is particularly scarce, such as leisure and hospitality.Economists will get a more up-to-date snapshot of the labor market on Friday, when the Labor Department releases data on job growth and unemployment in January. Forecasters surveyed by FactSet expect the report to show that employers added 165,000 jobs. But Omicron has created an unusual amount of uncertainty, and some economists believe the report could show a net loss of jobs last month. More

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    Job Openings Report Shows Record Number of Workers Quit in November

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    The number of Americans quitting their jobs is the highest on record, as workers take advantage of strong employer demand to pursue better opportunities.More than 4.5 million people voluntarily left their jobs in November, the Labor Department said Tuesday. That was up from 4.2 million in October and was the most in the two decades that the government has been keeping track.The surge in quitting in recent months — along with the continuing difficulty reported by employers in filling openings — underscores the strange, contradictory moment facing the U.S. economy after two years of pandemic-induced disruptions.

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    Number of People Who Quit Jobs by Month
    Note: Voluntary quits, excluding retirements, seasonally adjustedSource: Bureau of Labor StatisticsBy The New York TimesMuch of the discussion about the increase in quitting, sometimes referred to as the Great Resignation, has focused on white-collar workers re-evaluating their priorities in the pandemic. But job turnover has been concentrated in hospitality and other low-wage sectors, where intense competition for employees has given workers the leverage to seek better pay.“This Great Resignation story is really more about lower-wage workers finding new opportunities in a reopening labor market and seizing them,” said Nick Bunker, director of economic research at the Indeed Hiring Lab.For some workers, the rush to reopen the economy has created a rare opportunity to demand better pay and working conditions. But for those who can’t change jobs as easily, or who are in sectors where demand isn’t as strong, pay gains have been more modest, and have been overwhelmed by faster inflation. Data from the Federal Reserve Bank of Atlanta shows that job-switchers are getting significantly faster pay increases than people who stay in their jobs..css-1xzcza9{list-style-type:disc;padding-inline-start:1em;}.css-3btd0c{font-family:nyt-franklin,helvetica,arial,sans-serif;font-size:1rem;line-height:1.375rem;color:#333;margin-bottom:0.78125rem;}@media (min-width:740px){.css-3btd0c{font-size:1.0625rem;line-height:1.5rem;margin-bottom:0.9375rem;}}.css-3btd0c strong{font-weight:600;}.css-3btd0c em{font-style:italic;}.css-1kpebx{margin:0 auto;font-family:nyt-franklin,helvetica,arial,sans-serif;font-weight:700;font-size:1.125rem;line-height:1.3125rem;color:#121212;}#NYT_BELOW_MAIN_CONTENT_REGION .css-1kpebx{font-family:nyt-cheltenham,georgia,’times new roman’,times,serif;font-weight:700;font-size:1.375rem;line-height:1.625rem;}@media (min-width:740px){#NYT_BELOW_MAIN_CONTENT_REGION .css-1kpebx{font-size:1.6875rem;line-height:1.875rem;}}@media (min-width:740px){.css-1kpebx{font-size:1.25rem;line-height:1.4375rem;}}.css-1gtxqqv{margin-bottom:0;}.css-1g3vlj0{font-family:nyt-franklin,helvetica,arial,sans-serif;font-size:1rem;line-height:1.375rem;color:#333;margin-bottom:0.78125rem;}@media (min-width:740px){.css-1g3vlj0{font-size:1.0625rem;line-height:1.5rem;margin-bottom:0.9375rem;}}.css-1g3vlj0 strong{font-weight:600;}.css-1g3vlj0 em{font-style:italic;}.css-1g3vlj0{margin-bottom:0;margin-top:0.25rem;}.css-19zsuqr{display:block;margin-bottom:0.9375rem;}.css-12vbvwq{background-color:white;border:1px solid #e2e2e2;width:calc(100% – 40px);max-width:600px;margin:1.5rem auto 1.9rem;padding:15px;box-sizing:border-box;}@media (min-width:740px){.css-12vbvwq{padding:20px;width:100%;}}.css-12vbvwq:focus{outline:1px solid #e2e2e2;}#NYT_BELOW_MAIN_CONTENT_REGION .css-12vbvwq{border:none;padding:10px 0 0;border-top:2px solid #121212;}.css-12vbvwq[data-truncated] .css-rdoyk0{-webkit-transform:rotate(0deg);-ms-transform:rotate(0deg);transform:rotate(0deg);}.css-12vbvwq[data-truncated] .css-eb027h{max-height:300px;overflow:hidden;-webkit-transition:none;transition:none;}.css-12vbvwq[data-truncated] .css-5gimkt:after{content:’See more’;}.css-12vbvwq[data-truncated] .css-6mllg9{opacity:1;}.css-qjk116{margin:0 auto;overflow:hidden;}.css-qjk116 strong{font-weight:700;}.css-qjk116 em{font-style:italic;}.css-qjk116 a{color:#326891;-webkit-text-decoration:underline;text-decoration:underline;text-underline-offset:1px;-webkit-text-decoration-thickness:1px;text-decoration-thickness:1px;-webkit-text-decoration-color:#326891;text-decoration-color:#326891;}.css-qjk116 a:visited{color:#326891;-webkit-text-decoration-color:#326891;text-decoration-color:#326891;}.css-qjk116 a:hover{-webkit-text-decoration:none;text-decoration:none;}Faster pay increases and faster inflation are both at least partly a result of the remarkable strength of the economic recovery. After collapsing in the first weeks of the pandemic, consumer spending quickly rebounded and eventually reached record levels, helped by hundreds of billions of dollars in federal aid. Businesses, whipsawed by the sudden reversals, struggled to keep up with demand, leading to supply chain snarls, labor shortages and rising prices.The stubborn nature of the pandemic itself contributed to the problems, upending spending patterns and keeping workers on the sidelines.

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    Number of Job Openings Per Month
    Note: Seasonally adjustedSource: Bureau of Labor StatisticsBy The New York TimesThere are signs that the worst of the turbulence was beginning to ease late last year. The number of job openings posted by employers fell in November, the Labor Department said Tuesday, though it remained high by historical standards. Hiring picked up, too. Earlier data showed that more people returned to the labor force in November, and various measures of supply-chain pressures have begun to ease.But that was before the explosion in coronavirus cases linked to the Omicron variant, which has forced airlines to cancel flights, businesses to delay return-to-office plans and school districts to return temporarily to remote learning. Forecasters say the latest Covid-19 wave is all but certain to prolong the economic uncertainty, though it is too soon to say how it will affect inflation, spending or the job market.Despite the demand for workers and the pay increases landed by some, Americans are pessimistic about the economy. Only 21 percent of adults said their finances were better off than a year ago, according to a survey released Tuesday — down from 26 percent when the question was asked a year earlier, even though, by most measures, the economy had improved substantially during that period. The survey of 5,365 adults was conducted last month for The New York Times by Momentive, the online research firm formerly known as SurveyMonkey.Overall consumer confidence is at the lowest level in the nearly five years Momentive has been conducting its survey. Republicans have been particularly pessimistic about the economy since President Biden took office a year ago, but in recent months, Democrats, too, have become more dour. Other surveys have found similar results.Inflation appears to be a big reason for people’s dark outlook. Most respondents in the Momentive survey said inflation had not yet had a major effect on their finances. But nearly nine in 10 said they were at least “somewhat concerned” about inflation, and six in 10 said they were “very concerned.” Worries about inflation cross generational, racial and even partisan lines: 95 percent of Republicans, 88 percent of independents and 82 percent of Democrats say they are concerned.“Pretty much the only group of people who say they’re better off now than they were a year ago are people who’ve gotten a pay raise that matches or beats inflation,” said Laura Wronski, a research scientist at Momentive.There aren’t many of them. Only 17 percent of workers say they have received raises that kept up with inflation over the past year. Most of the rest say either that they have received raises that lagged price increases or that they have received no raise at all; 8 percent of respondents said they had taken a pay cut.Government data likewise shows that, in the aggregate, prices have risen faster than pay in recent months: The Consumer Price Index rose 6.8 percent in November, a nearly four-decade high; average hourly earnings rose 4.8 percent in November, and other measures likewise show pay gains lagging price increases.Yet some workers are seeing much faster wage growth. Hourly earnings for leisure and hospitality workers were up 12.3 percent in November, much faster than inflation. Workers in other low-wage service sectors are also seeing strong gains.Businesses in Brooklyn advertised open positions.Gabby Jones for The New York TimesIn the Momentive survey, respondents who reported voluntarily changing jobs during the pandemic were more likely to say their wages had kept up with inflation, and more likely to rate the economy highly overall. Those who were laid off during the pandemic, or who have kept the same job throughout, were less likely to say their wages had kept pace.Somer Welch, a 40-year-old survey respondent in Maine, lost her job in the pandemic when the brewpub where she worked shut down. She has since found a job at another restaurant, but her earnings haven’t fully rebounded. Her husband, who works at a local ship builder, has kept his job throughout the pandemic, other than a brief furlough, but he hasn’t gotten a raise.The result: The family is losing ground relative to inflation.“The cost of things rose, our rent increased, while our income decreased,” Ms. Welch said. The couple was able to build up some savings early in the pandemic, but that rainy-day fund has been largely depleted. “The rainy day came a lot sooner than we expected,” she said.Ms. Welch isn’t ready to join the ranks of the quitters. She likes her job and its flexible hours. But she knows there are better-paying jobs out there, she said, and she will consider making a move if rising prices make it hard to afford basic needs for her four-person family.Workers like Ms. Welch might have leverage in theory, said Daniel Zhao, senior economist at the career site Glassdoor. But to take advantage of that leverage, they have to be willing to use it.“At a time when employers are competing and raising wages so quickly, if you’re not switching jobs right now then you can get left behind by the market,” Mr. Zhao said.Mr. Zhao said it wasn’t clear whether concerns about inflation were directly contributing to people’s decision to switch jobs. But mentions of “inflation” in reviews on Glassdoor by companies’ current or former employees were up 385 percent in December from a year ago.About the survey: Data in this article came from an online survey of 5,365 adults conducted by the polling firm Momentive from Dec. 14 to Dec. 19. The company selected respondents at random from the nearly three million people who take surveys on its platform each day. Responses were weighted to match the demographic profile of the population of the United States. The survey has a modeled error estimate (similar to a margin of error in a standard telephone poll) of plus or minus 2 percentage points, so differences of less than that amount are statistically insignificant. More

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    November 2021 Jobs Report Is Expected to Show Another Healthy Gain

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    The trajectory of the economy as the holidays approach and a tumultuous year nears its conclusion will come into focus Friday morning when the government releases data on hiring and unemployment in November.Economists polled by Bloomberg are looking for a gain of 550,000 jobs, a robust number that suggests economic momentum. In October, employers added 531,000 jobs, and initial claims for unemployment benefits recently touched a 52-year low.The unemployment rate is expected to dip one-tenth of a percentage point, to 4.5 percent.Employment has been helped by the easing of the Delta variant of the coronavirus in many places and increased hiring at bars and restaurants as well as stores, offices and factories. The emergence of the Omicron variant threatens some of those gains, but it is too soon to gauge the risk to the economy.“We should continue to see strong jobs growth because demand for labor is red hot, but there is a lid on potential acceleration as the pandemic is still going on,” said Daniel Zhao, senior economist at the career site Glassdoor.He expects the report to show formidable hiring in retailing, transportation and warehousing with companies staffing up in anticipation of holiday demand.Despite the tight labor market and the healthy recent hiring number, the economy remains roughly four million jobs short of prepandemic levels. About one-third of those positions are in the leisure and hospitality sector, which is vulnerable if the Omicron variant turns out to be as much of a threat as the Delta variant, constraining travel and gatherings.“That’s the risk, but it probably won’t show up before Christmas,” said Scott Anderson, chief economist at Bank of the West in San Francisco. “It could be an issue in the new year. We’re still dealing with the Covid pandemic, and the risks are there for the economy and hiring.”The economy’s path has been characterized by clashing signals throughout the fall.The “quits rate” — a measurement of workers leaving jobs as a share of overall employment — has been at or near record highs, evidence of confidence among workers that they can navigate the labor market and find something better. But the University of Michigan’s survey of consumer sentiment dropped to levels not seen since the sluggish recovery from the recession of 2007-9.The report noted “the growing belief among consumers that no effective policies have yet been developed to reduce the damage from surging inflation.” Shoppers are facing the steepest inflation in 31 years. In October, prices increased 6.2 percent from a year earlier.Nonetheless, markets have remained relatively calm. The major stock indexes are up by impressive levels this year. And bond yields, which tend to move higher in inflationary environments, remain near record lows, indicating that investors don’t see inflation as a longer-term threat to the economy or financial stability. More

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    Initial unemployment claims last week fell to a half-century low.

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    Initial U.S. jobless claims
    Weekly initial unemployment insurance claims, seasonally adjusted. Latest data: week ending Nov. 20.Source: U.S. Employment and Training AdministrationBy The New York TimesInitial unemployment claims tumbled last week to their lowest point since 1969, the Labor Department reported Wednesday.New filings for state benefits totaled 199,000 on a seasonally adjusted basis, a decline of 71,000 from the previous week.The drop marks a milestone in the economy’s recovery from the pandemic. Weekly claims peaked at more than six million in April 2020 as the coronavirus forced businesses and consumers alike to shut down. As recently as early January, amid a winter resurgence of the coronavirus, new state claims exceeded 900,000 in one week.Filing for unemployment benefits has come down sharply since then, but remained well above prepandemic levels until very recently.Unemployment insurance was a key source of relief after the pandemic threw more than 20 million people out of work. To buttress state payments, emergency benefits were funded through federal pandemic relief bills, although those payments ceased in September, cutting off aid to 7.5 million people.Despite a summer lull, the economy has been showing signs of life lately. Employers added 531,000 jobs in October, and most economists expect growth to pick up in the final quarter of the year, boosted by healthy consumer spending.“Today’s data reinforce the historic economic progress we are making and the importance of building on that progress in the weeks ahead,” President Biden said in a statement about the unemployment claims report.As one measure of progress, Mr. Biden pointed to the most recent tally of unemployment benefits of all sorts, from early November, which showed the number of people with continuing claims — those filing for benefits who have already filed an initial claim — at 2.4 million. The figure right before Thanksgiving last year was more than 20 million.The biggest economic worry lately hasn’t been joblessness but inflation, which has been surging amid labor shortages, supply chain disruptions and higher energy prices.In a separate report Wednesday, the Commerce Department said that household spending rose 1.3 percent in October, while personal income jumped 0.5 percent, before adjusting for inflation. It also showed that prices climbed by 5 percent in the 12 months through October.The data for unemployment claims, although certainly welcome news, may not be quite as good as it seems. On an unadjusted basis, state claims rose last week. And employment remains 4.2 million below its level in February 2020, before the pandemic.“While the labor market is recovering, we think the latest drop in claims may be overstated,” said Gregory Daco, chief U.S. economist at Oxford Economics. “We suspect the decline last week may have been exaggerated by quirky seasonal adjustment factors and think we might see a bounce-back in the weeks ahead.” More

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    $15 minimum wage for federal contractors will take effect Jan. 30.

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    Employees of federal contractors will make at least $15 per hour under a final rule that the Labor Department announced Monday, providing a likely wage increase for over 300,000 workers, according to administration estimates.The wage floor will affect contracts that are executed or extended beginning on Jan. 30, 2022. The current minimum wage for contractors is $10.95 under a rule enacted by the Obama administration in 2014 and is scheduled to rise to $11.25 on Jan. 1. Both rules require that the minimum wage increase over time to account for inflation.Paul Light, an expert on the federal work force at New York University, has estimated that five million people work for employers that have federal contracts, including security guards, food workers, janitors and call center workers, but most already make more than $15 per hour. The rule will also apply to construction contracts entered into by the federal government.Labor Secretary Martin J. Walsh said in a statement that the rule “improves the economic security of these workers and their families, many of whom are women and people of color.”President Biden announced the rule in April when he signed an executive order directing the department to issue it. Mr. Biden’s announcement came amid a series of pro-labor moves by the administration, which included reversing Trump-era rules softening worker protections and enacting legislation that allocated tens of billions of dollars to strengthen union pension funds.Administration officials said they did not expect the minimum wage increase to result in significant job losses or cost increases, contending that the higher wage would improve productivity and reduce turnover, providing employers and the government with greater value.The federal minimum wage remains $7.25 per hour, though many cities and states have laws setting their wage floors substantially higher. The House of Representatives has passed a bill to raise the federal minimum to $15 per hour by 2025, but the legislation has not advanced in the Senate. More

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    Record Number of American Workers Quit Jobs in September

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    Number of People Who Left Their Jobs Voluntarily by Month
    Note: Seasonally adjusted. Voluntary quits exclude retirements.Source: Bureau of Labor StatisticsBy The New York TimesEmployers are still struggling to fill millions of open jobs — and to hold on to the workers they already have.More than 4.4 million workers quit their jobs voluntarily in September, the Labor Department said Friday. That was up from 4.3 million in August and was the most in the two decades the government has been keeping track. Nearly a million quit their jobs in the leisure and hospitality industry alone, reflecting the steep competition for workers there as businesses recover from last year’s pandemic-induced shutdowns.There were 10.4 million job openings in the United States at the end of September. That is down a bit from the record 11.1 million posted in July, before the spread of the Delta variant of the coronavirus led to a slump in sales in some businesses. But demand for labor remains extraordinarily high by historical standards — before the pandemic, the record for job openings in a month was 7.6 million in November 2018. The Labor Department revised its estimate of job openings in August to 10.6 million.There were roughly 75 unemployed workers for every 100 job openings in September, the lowest ratio on record. Separate data released last week by the Labor Department showed that job growth rebounded in October but that the labor force barely grew.“You’re essentially seeing demand continuing to increase without an offsetting increase in talent,” said Ryan Sutton, a district director for Robert Half International, a staffing firm. “Until some new talent comes in, until we get employees who are on the sidelines back into the market, it’s very likely this is going to continue.”A hiring sign at a store in Manhattan. There were 10.4 million job openings in the United States at the end of September.Jeenah Moon for The New York TimesEconomists cite a number of reasons for the slow return. The pandemic is still disrupting child care, making it hard for some parents to work; other workers are worried about contracting the virus or spreading it to high-risk family members. Many Americans have also built up their savings during the pandemic, allowing them to be choosier about jobs..css-1xzcza9{list-style-type:disc;padding-inline-start:1em;}.css-3btd0c{font-family:nyt-franklin,helvetica,arial,sans-serif;font-size:1rem;line-height:1.375rem;color:#333;margin-bottom:0.78125rem;}@media (min-width:740px){.css-3btd0c{font-size:1.0625rem;line-height:1.5rem;margin-bottom:0.9375rem;}}.css-3btd0c strong{font-weight:600;}.css-3btd0c em{font-style:italic;}.css-1kpebx{margin:0 auto;font-family:nyt-franklin,helvetica,arial,sans-serif;font-weight:700;font-size:1.125rem;line-height:1.3125rem;color:#121212;}#NYT_BELOW_MAIN_CONTENT_REGION .css-1kpebx{font-family:nyt-cheltenham,georgia,’times new roman’,times,serif;font-weight:700;font-size:1.375rem;line-height:1.625rem;}@media (min-width:740px){#NYT_BELOW_MAIN_CONTENT_REGION .css-1kpebx{font-size:1.6875rem;line-height:1.875rem;}}@media (min-width:740px){.css-1kpebx{font-size:1.25rem;line-height:1.4375rem;}}.css-1gtxqqv{margin-bottom:0;}.css-1g3vlj0{font-family:nyt-franklin,helvetica,arial,sans-serif;font-size:1rem;line-height:1.375rem;color:#333;margin-bottom:0.78125rem;}@media (min-width:740px){.css-1g3vlj0{font-size:1.0625rem;line-height:1.5rem;margin-bottom:0.9375rem;}}.css-1g3vlj0 strong{font-weight:600;}.css-1g3vlj0 em{font-style:italic;}.css-1g3vlj0{margin-bottom:0;margin-top:0.25rem;}.css-19zsuqr{display:block;margin-bottom:0.9375rem;}.css-12vbvwq{background-color:white;border:1px solid #e2e2e2;width:calc(100% – 40px);max-width:600px;margin:1.5rem auto 1.9rem;padding:15px;box-sizing:border-box;}@media (min-width:740px){.css-12vbvwq{padding:20px;width:100%;}}.css-12vbvwq:focus{outline:1px solid #e2e2e2;}#NYT_BELOW_MAIN_CONTENT_REGION .css-12vbvwq{border:none;padding:10px 0 0;border-top:2px solid #121212;}.css-12vbvwq[data-truncated] .css-rdoyk0{-webkit-transform:rotate(0deg);-ms-transform:rotate(0deg);transform:rotate(0deg);}.css-12vbvwq[data-truncated] .css-eb027h{max-height:300px;overflow:hidden;-webkit-transition:none;transition:none;}.css-12vbvwq[data-truncated] .css-5gimkt:after{content:’See more’;}.css-12vbvwq[data-truncated] .css-6mllg9{opacity:1;}.css-qjk116{margin:0 auto;overflow:hidden;}.css-qjk116 strong{font-weight:700;}.css-qjk116 em{font-style:italic;}.css-qjk116 a{color:#326891;-webkit-text-decoration:underline;text-decoration:underline;text-underline-offset:1px;-webkit-text-decoration-thickness:1px;text-decoration-thickness:1px;-webkit-text-decoration-color:#326891;text-decoration-color:#326891;}.css-qjk116 a:visited{color:#326891;-webkit-text-decoration-color:#326891;text-decoration-color:#326891;}.css-qjk116 a:hover{-webkit-text-decoration:none;text-decoration:none;}Those factors are likely to ease as the pandemic ebbs and savings dwindle. But other shifts could prove more lasting. In a research note published Friday, economists at Goldman Sachs observed that roughly two-thirds of the people who had left the labor force during the pandemic were over 55; many of them have retired and are unlikely to go back to work.The labor crunch is giving workers the upper hand in negotiations. Wages have risen sharply in recent months, particularly in service jobs, although in other industries pay is lagging behind the pace of inflation.The recent rise in the number of workers quitting suggests that many are taking advantage of their leverage to accept better-paying jobs, or to look for them. At the same time, understaffing in many businesses may be putting stress on remaining workers, leading even more people to leave their jobs. Industries that require most employees to work in person, such as manufacturing, retail and health care — as well as leisure and hospitality — report the biggest increases in the rate of workers leaving their jobs.“We are seeing big pickups in quits in the industries that are having the hardest time hiring right now,” said Nick Bunker, director of economic research for the job site Indeed.Kaylie Sweeting worked as a bartender in Millburn, N.J., through most of the pandemic, despite concerns about interacting with unmasked customers and frustration about low wages. But when the restaurant pressured a colleague to come to work sick this summer, Ms. Sweeting quit.“The job was absolutely no longer worth it,” she said. “I was hurt that a company that I gave my time to did not seem to prioritize me or my safety.”So Ms. Sweeting, 23, and her partner, a cook, decided to take the money they had saved to buy a house and open their own vegan restaurant instead. They recently signed a lease and are beginning renovations, with plans to open early next year. They are trying to apply the lessons they have learned as employees, promising good wages, paid time off and other basic benefits that restaurant jobs have often failed to provide.“I genuinely love the industry,” Ms. Sweeting said. “I just don’t love the way it’s managed. I feel like the only way to change it is to implement the change yourself.” More

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    U.S. Economy Added 531,000 Jobs in October

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    The American economy added 531,000 jobs in October, the Labor Department said Friday, a sharp rebound from the prior month and a sign that employers are feeling more optimistic as the latest coronavirus surge eases.Economists polled by Bloomberg had been looking for a gain of 450,000 jobs. The unemployment rate declined to 4.6 percent, from 4.8 percent.The October gain was an improvement from the 312,000 positions added in September — a number that was revised upward on Friday.Hiring has seesawed this year along with the pandemic, especially in vulnerable sectors like hospitality and retail, where workers must deal face to face with customers. White-collar employees have fared better, since many can work remotely.Some employers are complaining of a shortage of workers, as many people remain on the sidelines of the job market. The labor force participation rate — the share of the working-age population employed or looking for a job — was flat in October.In theory, the demand for workers should be drawing more people into the labor force, but the participation rate is nearly two percentage points below where it was before the pandemic. Early retirements have been a factor.A federal supplement to unemployment benefits expired in early September, and experts are watching whether the end of that assistance — and a depletion of savings accumulated from other emergency programs — increases the availability of workers.So far, those effects have been muted, as health concerns and child care challenges have continued to affect many families. At the same time, the labor shortage has given workers a measure of leverage they’ve not experienced in recent years.“For the last 25, maybe 30 years, labor has been on its back heels and losing its share of the economic pie,” said Mark Zandi, the chief economist at Moody’s Analytics. “But that dynamic is now shifting.”Supply chain problems are another headache for employers. Automobile manufacturers have been particularly hurt by a shortage of semiconductors, while many companies are dealing with rising prices for raw materials and transportation.The Commerce Department reported last week that the economy grew by 0.5 percent in the third quarter, compared with 1.6 percent in the second quarter. Economists attributed the slowdown to the resurgent pandemic and the supply chain holdups.Still, there are reasons to be optimistic. The Federal Reserve said Wednesday that it would begin winding down the large-scale bond purchases that have been underway since the pandemic struck, signaling that it considers the economy healthy enough to be weaned from the extra stimulus.“The labor market is tight,” said Scott Anderson, chief economist at Bank of the West in San Francisco. “Consumers are in good shape, and the willingness to spend is certainly there.” More

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    U.S. Workers Quitting Their Jobs Hit a Record in August

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    As the economy struggles to get back on track amid the pandemic, businesses are struggling to find employees — and workers are discovering that they have leverage.Nearly 4.3 million workers voluntarily quit their jobs in August, the Labor Department said Tuesday. That was up from four million in July and is by far the most in the two decades the government has been keeping track.

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    Number of People Who Left Their Jobs Voluntarily by Month
    Note: Seasonally adjusted. Voluntary quits exclude retirements.Source: Bureau of Labor StatisticsBy The New York TimesThe explosion of quitting is the latest evidence that the balance of power in the labor market has swung toward workers, at least temporarily. Average hourly earnings have surged in recent months, particularly for the lowest-paid workers, and yet many businesses report they are still having difficulty finding workers.The abundance of opportunities may be helping to fuel the wave of quitting: The government’s tally includes people who left jobs to take other, perhaps better-paying, positions — or who didn’t have another job lined up but were confident they could find one — as well as those choosing to leave the work force. (The figure does not include retirements, which are counted separately.)The number of open jobs actually fell somewhat in August, to 10.4 million from a record 11.1 million in July, as the latest wave of the pandemic took a bite out of consumer demand, especially in the service sector. But the slowdown did little to ease the hiring logjam: There were more open jobs than unemployed workers in August. Openings were particularly elevated in the leisure and hospitality sector, where the number of people quitting was also highest. Economists said the spread of the more-contagious Delta variant of the coronavirus could be contributing to workers’ reluctance to return to work.At the same time, hiring fell in August. That is consistent with data released earlier showing that job growth slowed in late summer. That data, also from the Labor Department but based on different surveys, showed that the Delta-driven slowdown continued in September. So did the hiring difficulties: The labor force shrank in September, as higher wages failed to draw people back to work.“We know that the Delta variant has likely made it more difficult to unlock labor supply because there are some workers who are concerned about health risks — and then on top of that, many school reopenings were disrupted,” said Daniel Zhao, an economist at the career site Glassdoor. “It’s possible that as the Delta wave recedes, then we will realize some of those benefits of reopened schools and a revitalized economy, but that is going to take some time.” More