iStock/JLGutierrez (NEW YORK) — Since the first COVID-19 case was first reported in the U.S., the virus has devastated the economy and the American work force. On Thursday, an additional 1.9 million workers filed for unemployment and pushed the total job loss to 42 million. The country began shedding jobs around mid-March.
This is the highest unemployment rate since the Great Depression.
A May jobs report is due out today, which will provide a broader picture of the economic impact of COVID-19.
Glassdoor senior economist Daniel Zhao explained why economists are dreading this report. “The steady drumbeat of UI claims in May is likely enough to push the unemployment rate in Friday’s jobs report into the high teens, if not over 20 percent,” he said. “But there is growing disagreement among economists about whether May will represent the worst of the crisis for the job market.”
“While UI claims have acted as a useful real-time indicator thus far, we may soon enter a phase where UI claims understate the health of the labor market as claims remain elevated but hiring picks up,” Zhao added.
However, the world is cautiously reopening, with airlines now adding summer flights to their schedules now that air travel is slowly recovering.
Reopening the economy has been a staunch goal for President Donald Trump, who is eager to return to the campaign trail. He has not held any rallies for three months.
The president will resume in-person campaigning next week for a “summer kick off,” as said by Trump Victory, the joint effort between the Trump campaign and Republican National Committee.
RNC National Press Secretary Mandi Merritt said, “Starting next week, Trump Victory field teams will resume in person volunteer activities and campaigning where states allow. Just as Trump Victory was able to transition to virtual campaigning in less than 24 hours, our teams across the country will seamlessly adapt again just as efficiently.”
Currently, President Trump is lagging in the polls in a matchup against presumptive Democratic nominee Joe Biden. Biden currently leads by 10 points, according to a new Monmouth national poll.
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