US companies approve unemployment benefits and exacerbate “employee shortage”

The US government’s relief plan extended the unemployment benefit of $300 a week to September this year, but with the gradual release of employment data, many states in the United States began to worry that unemployment benefits were “preventing Americans from finding new jobs,” most notably in Republican states. The Fox website reported on the 15th that restaurant owners believe that unemployment benefits are exacerbating the shortage of employees.

According to reports, there were 8.12 million job vacancies in the United States in March this year, a record high since December 2000. The US Department of Labor said on the 14th that US employers added 266,000 jobs in April, far below the 1 million predicted. The number of employees in the service industry such as restaurants and hotels in Florida and other places is obviously insufficient.

New York City Mayor Blasio said on the 13th that companies are trying to recover from the epidemic, but the Biden administration “generous unemployment benefits prevent employees from returning to work.” The “New York Post” reported that the extended unemployment benefits accrued before the anti-epidemic subsidy has made the unemployment allowance available to the unemployed in New York ranging from $600 to $805 per week. The report quoted a poll conducted by the local chamber of commerce showing that more than two-thirds of enterprises suffered a labor shortage, and 42% of business owners believed that this should be attributed to unemployment benefits. In order to win more employees, McDonald’s announced on the 13th that it will increase the hourly wages of its more than 36,500 employees in the United States, increase the wages of the company’s approximately 650 directly-operated restaurants by an average of 10%, and encourage the owners and operations of its franchise stores. They also increase employee salaries.

According to the “Washington Post” report, Montana became the first state to announce that it will end the federal weekly unemployment benefit policy of $300. On May 4, the state’s Republican governor stated that federal relief payments do more harm than good. On May 7, the Republican governor of South Carolina stated that the state will also end the federal relief policy. Since then, the governors of Alabama, Arkansas, and Mississippi have also stated that they will take similar measures. US Secretary of Commerce Raymondo on the 15th refuted the so-called extension of unemployment benefits affecting the results of the recent employment report, and suggested that the governors of each state do their utmost to improve their own job markets.