The U.S. added 916,000 jobs in March, far exceeding expectations and offering a sign that the economy is strengthening even as the fight against the coronavirus pandemic continues. Heather Boushey, a member of the White House Council of Economic Advisors, pointed to the American Rescue Plan as part of the reason for the drastic surge in added jobs.
Boushey said focusing on vaccine distribution and providing Americans with additional income in the form of stimulus checks were confidence boosters for the economy.
"We don’t want to make too much of any one-month trend, but this is certainly a step in the right direction. And, I think it reflects all of the work we have done to try to contain the pandemic and to get all of that aid and support out to so many millions of families all across the country," she told Cheddar.
Average Wages Drop
Though the report blew expectations out of the water by roughly 300,000 jobs, data shows that recently hired Americans are earning less than those who were added to payrolls in previous months. Average earnings fell by a tenth of a percentage point. Boushey attributed the decline to the surge in rehires of low-wage workers. Jobs in sectors like leisure and hospitality, education, and construction account for many of the added roles last month.
Analysts expect average wages to continue slipping as more local economies reopen and people in low-wage positions are rehired even as the Federal Reserve expects inflation to rise.
"The wage numbers in recent months have been elevated because so many workers who were in those face-to-face jobs in retail or in the leisure and hospitality sectors that make less than average were out of work. So, now that they’re coming back in, you’re seeing that affect the average numbers," Boushey said.
"We know that even pre-pandemic when we were still in the longest recovery in U.S. recorded history, we were not seeing the kinds of wage growth that we really needed to see for families in the bottom and the middle of the wage distribution," she further explained. "And so as we looked at the American Rescue Plan, as we look at the American Jobs Plan, a core goal is to make sure that we’re not just creating jobs but that we're creating good jobs and we’re focused on making sure that there are jobs that can support a family."
Unemployment Racial Disparities
However, there is concern that trending growth could be skewed in the April jobs report because of rising COVID-19 infections. As a result, Boushey said the Biden administration’s first priority is to contain the virus and ramp up vaccination efforts with the issue of economic growth second.
Data in the March jobs report shows there are continuing unemployment disparities in the Black and Latino communities, and Asian Americans saw the unemployment rate in their community grow nearly a full percentage point from February. Boushey said she will be watching "very closely" to see if that was a single-month event or it is the first sign of a greater trend, although she noted Asian American unemployment is currently about average when compared to the overall economy.
For the Biden administration, its American Rescue Plan, which was signed in mid-March, "was an important step forward" in closing the wealth gap for minorities.
"If you go through the plan, there are so many pieces that are really targeted at making sure that we are creating those good jobs in all parts of our economy and that we are being really attentive to the inequities across communities, especially by race," she noted.
Members of Congress have voted to advance a bill meant to address antitrust concerns related to tech giants including Amazon, Apple, Google, and Meta. The 'American Innovation and Choice Online Act' is largely seen as one of the best chances for the government to reign in Big Tech's dominance
Seth Schachner, Managing Director StratAmericas; Digital Business Executive joined Cheddar's Opening Bell to discuss.
American semiconductor company, Intel officially announcing plans to build a new $20 billion chip manufacturing complex outside Columbus, Ohio. This comes as the global chip shortage continues to hamper production of everything from smart phones, to cars. Jennifer Smith - Logistics and Supply Chain Reporter, WSJ joined Cheddar's Opening Bell to discuss.
The U.S. has put more than 8,000 American troops on high alert for possible deployment to Eastern Europe as the West prepares for a potential Russian invasion of Ukraine. With Russia building up more than 100,000 troops near the Ukrainian border, concerns over the country's behavior are mounting. Joel Rubin, Former Deputy Assistant Secretary of State and President of the Washington Strategy Group, joined Cheddar to discuss what this means for U.S.-Russia relations, and where the conflict might be heading next.
As the midterm election looms, things aren't looking too promising for President Joe Biden. One year into his term as president, Biden is facing one of the lowest approval ratings of any modern-day president, threatening his party's control of the House in 2022. Brian Bennett, Senior White House Correspondent for TIME, joined Cheddar's Opening Bell to discuss.
A full one year into his term as President of The United States, President Biden addressed the nation on Wednesday, facing questions on everything from inflation to chip shortages and covid-19. As Biden enters his second year in office, he is facing one of the lowest approval ratings of any modern-day president. Kate Davidson, Reporter, POLITICO joined Cheddar's Opening Bell to discuss.
"Barbara Lee: Speaking Truth to Power" is the story of how the longtime House Democrat became, as she Is known to some, as "the Conscience of Congress." The film also
shows Representative Lee from her days working to fight community poverty to famously becoming the only member of Congress to vote "no" against the war in Afghanistan days after 9/11. The film is nominated for an NAACP Image Award, and Premieres on Starz on February 1. Film director Abby Ginzberg and Rep. Barbara Lee (D-Calif. 13th District), joined Cheddar to discuss more.
San Diego has just implemented a new law that could set the stage for how the country deals with food waste. This new law hopes to make a dent in that. Businesses and groceries stores out in San Diego will need to put a plan in place to *donate edible food rather than toss it straight to the trash. Food Rescue Manager at Feeding San Diego, Kate Garret
Earlier this month, New York City experienced one of the deadliest fires it has seen in decades. 17 people lost their lives in the Fordham section of the Bronx. This was due to a faulty space heater which reportedly began on the lower floor of the 120 unit building. Thanks to the F. D. N. Y. And heroic neighbors, many were able to get out in time. Unfortunately, the toxic smoke surged upwards through a safety door. Now, many advocates say negligence by policymakers and landlords has led to the deaths in black and brown communities from fires that honestly could have been preventable. Legislative Director of Citizen Action of New York, Rebecca Garrard, and the Chair of Journalism and New Media Studies at St. Joseph's College Theodore Hamm, joined Cheddar to discuss more.
The Supreme Court has declined to order the Texas Abortion case back to the original trial judge for further proceedings. Essentially if Texas abortion providers were able to get their case back to the lower court., It would have greatly helped the group move against the law. However, this decision is likely to prolong the case legal battle. Professor and Author of "The Turnaway Study: Ten Years, a Thousand Women, and the Consequences of Having — Or Being Denied — An Abortion", Diane Foster, joined Cheddar to discuss more.
The Supreme Court rejected yet another bid by abortion providers to block Texas's law - which bans most abortions after six weeks of pregnancy. This is the fourth time that advocates have tried and failed to block the most restrictive abortion ban in the country. Leah Litman, assistant professor of law at The University of Michigan and co-host of the "Strict Scrutiny" podcast, joins Cheddar News to discuss.
