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Study Finds 42% Of Pandemic Layoffs Will Become Permanent Job Losses
Washington Examiner ^ | 05/11/20 | Mica Soellner

Posted on 05/12/2020 2:00:06 AM PDT by Enlightened1

Many of the coronavirus pandemic layoffs will become permanent job losses, according to a new study with alarming implications for the future of the economy.

Forty-two percent of workers experiencing recent layoffs will suffer permanent job losses, according to a paper circulated by the National Bureau of Economic Research.

The finding is especially grim news because officials are hoping that most of the workers sent home during the pandemic will return quickly to their old jobs. The vast majority of the massive layoffs in response to the pandemic have been on a temporary basis: In April, 18 million of the 20.6 million people who lost work said that their job losses were "temporary," according to the Bureau of Labor Statistics.

"If the pandemic and partial economic shutdown linger for many months, or if pandemics with serious health consequences and high mortality rates become a recurring phenomenon, there will be profound, long-term consequences for the reallocation of jobs, workers and capital across firms and locations," the study said.

The study cited a number of policy actions that may be harmful to the recovery process. It said efforts to preserve the jobs and employment relationships available before the virus outbreak could result in huge costs to taxpayers and the misallocation of resources. On the other hand, there could be benefits of policy reforms that expedite a speedy reallocation of jobs, workers, and capital to new, productive uses during the pandemic.

"If we are correct that many of the lost jobs are gone for good, there are important implications for policy," the study said.

Last week, President Trump vowed that the job losses will be temporary, promising a "phenomenal year" in 2021 following a hopeful recovery from the public health crisis.

(Excerpt) Read more at washingtonexaminer.com ...


TOPICS: Business/Economy; Culture/Society; News/Current Events; Politics/Elections
KEYWORDS: 42; covid19; economy; employment; layoffs; pandemic; permanent
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To: Enlightened1

“The sky is falling!” (again).

“Babies are dying!” didn’t work.
“The virus gets in through the eyes!” didn’t work.
None of their crap thrown out there to stir up angst is being believed.

Enough already!


21 posted on 05/12/2020 3:52:31 AM PDT by MayflowerMadam (Nothing happens to a Christian that God does not allow to happen.)
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To: a little elbow grease
William Bendix played a great Babe Ruth. I'm glad his pal Waldo didn't show up for that movie :)

I think I'll go take a ride to Dauphin county this week and buy something from one of the rebels who have opened up for business. F the man in the dress and baldy, our governor.

22 posted on 05/12/2020 3:53:39 AM PDT by JonPreston
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To: Boardwalk

My son has two jobs. One was catering and he quit at the very beginning to give folks that needed the work a chance. His second job put him on full time.

His second job offered to extend his full time another month. He said he found it hard to put 40 hours into the second job working from home so he declined - well, maybe he could do 25 to 30 hrs.

The next day his catering job called him in to work 10 to 20 hours a week. I really thought the catering business was gone - but they are finding ways to adapt.


23 posted on 05/12/2020 3:55:02 AM PDT by 21twelve (Ever Vigilant. Never Fearful!)
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To: irishjuggler

When the economy revives, people will want to eat out.

It may not be the same restaurant, but restaurants will come back.

Also, many people got used to ordering from restaurants. I was stuck in the idea that if you ordered food to be delivered, it had to be pizza or Chinese. Not any more.

I expect restaurant delivery to become big in the future. It may mean fewer waiters, but more delivery drivers.


24 posted on 05/12/2020 4:11:25 AM PDT by Brookhaven (If CNN is playing, ask them to change the channel. #ChangeCNN)
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To: a little elbow grease

If Chester a Riley says it it truly is a revolting development.


25 posted on 05/12/2020 4:13:36 AM PDT by Mouton (The media is the enemy of the people.)
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To: Enlightened1

There’s no underlying economic reason for this downturn—no bank crash, no housing crash, no nothing. We just decided to stop commerce in its tracks.

I expect the economy to rebound quickly once it is opened.


26 posted on 05/12/2020 4:13:40 AM PDT by Brookhaven (If CNN is playing, ask them to change the channel. #ChangeCNN)
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To: ScottinVA

Can you just here the applaud in the distance. studies find, experts say, experts predict


27 posted on 05/12/2020 4:25:59 AM PDT by ronnie raygun
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To: ronnie raygun
Can you just here the applaud in the distance. studies find, experts say, experts predict

Followed by, "experts walk back," "experts clarify," "experts adjust predictions." All of which make them less than experts.

28 posted on 05/12/2020 4:29:37 AM PDT by ScottinVA (Prayers up for Rush Limbaugh...)
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To: cba123

Here in “locked down” CT, most blue collar outdoor trades are still working.

Most white collar jobs are being done at home.

There are certain industries (we all know what they are) that are being crushed, and they rely on crowded venues or large crowds to survive.

The impacts are _very_ uneven and _very_ complex.


29 posted on 05/12/2020 4:45:07 AM PDT by cgbg (New poll: post elderly voters like Biden's experience as Wilson's VP fighting the Spanish Flu.)
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To: MayflowerMadam

I think it can get in through, your eyes, actually.

I think starting from a facemask, at an absolute minimum, you also can just wear some sort of covering over your eyes, then increase both of those up to an N-95 mask, and actual goggles.

Yes that can make sense. I wore both, flying in January.

(N-95 mask and goggles)

Absolutely.


30 posted on 05/12/2020 4:59:19 AM PDT by cba123 ( Toi la nguoi My. Toi bay gio o Viet Nam.)
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To: irishjuggler
If you were teetering on the edge of failure in during a *good* economy, and then you get involuntarily shut down for 2+ months, well, you’re pretty much down for the count.

Many shopping malls were on the brink.

31 posted on 05/12/2020 5:04:24 AM PDT by Labyrinthos
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To: Enlightened1

Nonsense.
Bar and restaurants are going to want their trained and reliable people back.


32 posted on 05/12/2020 5:06:11 AM PDT by Zathras
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To: Enlightened1
Study Finds 42% Of Pandemic Layoffs...
Is this the same group that came up with a study showing 2 million American deaths?
33 posted on 05/12/2020 5:08:11 AM PDT by lewislynn (STOP SUPPORTING CHINA AND ANTI-AMERICAN GLOBALISTS! DO IT NOW!)
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To: Zathras
Bar and restaurants are going to want their trained and reliable people back.

I see help wanted signs in a couple of the establishments down in the valley that I frequent. This in anticipation for the re-openings next week. Hopefully things bounce back on the pent up demand.

Karens can stay home. It will make for a more pleasant dining out experience.

34 posted on 05/12/2020 5:10:43 AM PDT by Sirius Lee (They are openly stating that they intend to murder us. Prep if you want to live.)
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To: Enlightened1
We will have a better idea for sure 6 to 9 months from now.

Agreed. Now is too soon to determine exactly how many of the layoffs were permanent, and we have no idea how easy or how hard it will be for those were permanently laid off to find new positions.

35 posted on 05/12/2020 5:10:55 AM PDT by DoodleDawg
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To: Enlightened1

The devastating economic outcome that we are witnessing in shock and horror is what the leftist wanted to accomplish with “global climate change” legislation. This destruction was to supposed happen slowly over a period of years if not decades. However with WuFlu, they got the desired end result all at once! The COVID hype has been like Christmas, New Years and winning the election all rolled into one. In their warped estimation the COVID hoax was the best thing that has ever happened.


36 posted on 05/12/2020 5:14:55 AM PDT by central_va (I won't be reconstructed and I do not give a damn...)
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To: bagster
Did the jobs suddenly disappear forever or are they just not being filled for the moment?

There are unfilled jobs that are currently available even in the hard hit NYC metro area. One of the reasons is the $600 unemployment bonus, which makes staying home for many hourly workers as lucrative as going to work without the risk of catching Wuhan Flu. I know contractors who can't get workers from the union hall. I know small businesses who are returning PPP loans because they fear that furloughed workers will not return by June 30 (which is required for loan forgiveness) because the unemployment bonus makes staying home affordable.

And then there is the Wuhan Flu benefits under the Emergency Family Medical Leave Act, which requires -- requires -- small employers to pay employees not to work if they claim they can't work due to Wuhan Flu or its impact. Do you have a 15 year old child who has to stay home because school has been canceled? No problem, stay home with your child and you get 2/3 pay for 12 weeks, and if the employer asks the employee to work remotely during that 12 week period -- even for a few hours -- the Department of Labor may launch an investigation. (At 15 years old, I had a job and my parents routinely left me alone, overnight, on weekends.)

37 posted on 05/12/2020 5:24:58 AM PDT by Labyrinthos
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To: cba123

I love how people who have never owned a small business think it will be as easy as pushing the on button.


38 posted on 05/12/2020 5:30:49 AM PDT by cp124 (If you weak physically or mentally stay home.)
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To: cba123

“I think it can get in through, your eyes, actually.”

Of course; I believe that, too. And probably ears, too, as all of those orifices are connected. Yup. In a couple weeks when citizens have the audacity to start living their lives again, Fauci will start screaming, “Your ears! Your ears! Buy ear plugs!”

My post was just making fun of them WARNING that the virus can enter through your eyes last week as if it were a newly discovered thing. They had told us that back in March, and they assume we’re so STUPID we don’t remember eight weeks in the past. They needed a way to create more fear and angst. Citizens were realizing the hype is a crock and wanted to live like Americans again. (Such audacity!) TPTB can’t have that.

I won’t wear a mask, except if I need to go to a doctor’s office and it’s mandatory. If I die, I die — mask-less, and I don’t care. I will not look like the Asian drones roaming the streets in faraway communist lands.

Since you’re in a high risk category, it makes sense that you wore an N-95 mask and goggles on flights. I can understand if you’re in a high risk category; that makes sense. We flew in January and February, cruised on Princess in February, are over 70, and we’re fine.


39 posted on 05/12/2020 5:39:09 AM PDT by MayflowerMadam (Nothing happens to a Christian that God does not allow to happen.)
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To: Enlightened1

Am I the only one who instinctively draws back a step when I read something that begins with the words, “Study finds...” these days?


40 posted on 05/12/2020 5:41:42 AM PDT by _longranger81 (Speak up for those who cannot speak for themselves; defend the defenseless; care for the unloved.)
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