April Labor Report
The Employment Situation Report for April 2021 is infinitely more optimistic than the April 2020 report. One year into the pandemic, and things are truly starting to bounce back. The unemployment rate has been gradually lowering as businesses reopen and hiring resumes.
Total nonfarm payroll employment experienced a net increase of 266,000 jobs in April, and the nationwide unemployment rate was 6.1 percent.
This is a vast improvement from the unemployment levels seen last year early on in the pandemic. However, the unemployment rate is still slightly higher than it was prior to the pandemic. While there was a decline in industries such as industries hit hard by covid are beginning to bounce back.
Leisure and Hospitality
The largest employment increase that we saw in April 2021 was within the leisure and hospitality industry.
Employment in leisure and hospitality increased by 331,000 jobs. A contributing factor of this was the easing of Pandemic-related restrictions in many regions across the country. 187,000 out of the 331,000 jobs gained were in food services and drinking places. Job growth also occurred in the amusements,
gambling, and recreation sector, which added 73,000 new jobs as theme parks, casinos, and other tourist attractions started reopening or expanding their capacity limits, There were also 54,000 jobs gained in accommodation.
Although the leisure and hospitality industry has been making great strides so far in 2021, employment in the field is still down by 2.8 million jobs, or 16.8 percent, from its pre-pandemic numbers in February 2020.
Employment in the social assistance assistance industry rose by 23,000, with just over half of the increase coming from child day care services (12,000 jobs). The reopening of this sector is a great sign for the economy as increased childcare services will allow others to return to work. Lack of child care has been a large concern for working parents throughout the pandemic, and its kept many people from being available to regain employment.
The housing market has been heating up and real estate job opportunities are increasing. Employment in the financial activities sector increased by 19,000 last month, with 17,000 of those new jobs occurring in real estate and rental and leasing. It is currently a seller’s market with high demand for the available supply of homes. Construction employment has increased throughout 2021 as renovations and new developments are in high demand.
Reopening in Progress
The economy is reopening across the country. Each state has its own trajectory, but progress is underway nationwide. Decreasing covid infection rates as well as increased vaccine availability are allowing events, hospitality, and even travel to start resuming safely. In California, many counties have already moved into less restrictive tiers. The state expects to officially reopen on June 15th.
The number of people teleworking due to the pandemic declined in April 2021. 18.3% of employed individuals worked from home (fully or partially) compared to 21% in March 2021. Offices are slowly starting to reopen.
Among those not currently employed, 2.8 million people were prevented from
looking for work due to the pandemic in April. This is a large decrease from the 3.7 million people unable to look for work during the prior month. Increased child care availability and vaccine availability likely played a role in this.
If your business needs help hiring staff to accommodate increased demand during this economic reopening, Faveo can help. Finding on-demand labor for your business shouldn’t be a hassle. Faveo makes hiring short-term help easy so you can operate with flexibility and efficiency.
Comments are closed.