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Friday morning’s jobs report, which indicates that the U.S. economy added 266,000 jobs in April, was a dud compared both to the number of jobs added in March (916,000) and the number widely forecast by economists (975,000). Some see Friday’s disappointing figure as the result of predictable policy failures.
“We’ve been warning about this for six months,” said Stephen Moore, a senior economic contributor at Freedom Works and founder of the Club for Growth.
“The economy is strong right now, businesses are in good shape,” said Moore. “These numbers are the result of the huge incentive that is paying people not to work.”
Since last year, federal and state governments have been supplying enhanced unemployment benefits for those initially hit by the economic collapse triggered by the pandemic. But now, those benefits may be discouraging workers from returning to jobs that can’t offer compensation packages attractive enough to competitive with generous, no-strings government payments.
“One step policymakers should take now is ending the $300 weekly supplemental unemployment benefit,” said Neil Bradley, the executive vice president of the U.S. Chamber of Commerce.
“Based on the Chamber’s analysis, the $300 benefit results in approximately one in four recipients taking home more in unemployment than they earned working,” Bradley told The Hill.
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