Today, the U.S. Department of Labor released its monthly jobs report. The US economy added 528,000 jobs in July. The unemployment rate fell from 3.6% to 3.5%. The labor force participation (LFPR) rate fell from 62.2 to 62.1%.
Alfredo Ortiz, President and CEO of the Job Creators Network (JCN), released the following statement:
“We are glad that more and more Americans are getting their jobs back. But recent layoffs in retail and tech are a foreshadowing of what’s to come with record high inflation continuing as it has been. Labor tends to be a lagging indicator and so we anticipate the upward increase to be short lived as small businesses continue to cut jobs and curtail spending to preserve cash. Also, keep in mind, the labor force participation rate declined in July, it’s lower than it was pre-pandemic, and it’s much lower than it was a decade ago. One of the reasons the unemployment rate looks low is because millions of people aren’t being counted. This is a consequence of paying people to stay home during the pandemic when they could have and should have been part of the workforce. The last thing the economy needs now is further spending that will just exacerbate inflation over the next few years. Counting on spending today to save money in the future, is like Wimpy gladly paying Tuesday for a hamburger today.”
Last week, the Washington Times published Mr. Ortiz’s op-ed, The reconciliation package is a raw deal for Americans. To read it, click here.