April jobs report lower than expected, local economist reacts

Posted at 9:14 PM, May 07, 2021
and last updated 2021-05-07 22:14:02-04

We’re still waiting on the unemployment numbers for the state but nationwide the Bureau of Labor Statistics says April’s job report only added 266,000 jobs nationwide. Which is much lower than the one million jobs economist expected.

Economists were shocked by the recent report job report, the country reaching only 25% of the 1 million jobs expected to be created. That means there are 8.9 million fewer people working compared to this time last year.

While many are unhappy with the recent jobs report, it’s all a part of the plan, according to President Joe Biden.

“When we passed the American Rescue Plan, I want to remind everybody, it was designed to help us over the course of a year, not 60 days, a year," said Biden.

Nationwide the unemployment rate is at 6.1%, with many industries still largely impacted by COVID-19 restrictions. Here in Texas, the unemployment rate is a little higher right a 6.9%. In Central Texas, places are hiring, but many folks just aren't applying.

"It is a mixture of fewer jobs and employers having a difficult time finding people to fill, just that are now reemerging," said Dr. Robert Tennant, Professor of Economics at A&M Central Texas.

Although Texas's unemployment rate is a bit higher compared to most of the country, Dr. Tennant said the Lone Star State is still in a better position than most states because COVID restrictions began rolling back sooner than other states.

Tennant said, "Some people are accusatory to decisions the government has made. Some people are mad at businesses for not paying enough wages. I think Texas has a good plan as far as allowing businesses to make their own decisions on whether they're gonna have people work remotely or in their offices, or in their restaurants.”

The entire country is now on the rebound.

“Our economy is moving in the right direction, but it's clear we have a long way to go,” said President Biden.