A quarter of temporary layoffs in US will be permanent - Goldman Sachs
The US employers shed more than 22 million people from their payroll in the early days of the coronavirus pandemic. And while 18 million of those were billed as temporary layoffs in April, analysts at Goldman Sachs now fear that almost a quarter of them will become permanent.
Some 2 million of those individuals could remain unemployed well into 2021, Joseph Briggs, an economist at Goldman Sachs, wrote in a research note on Friday.
Key quotes (source: Bloomberg Quint)
The labor market seems poised for additional large job gains later this year.
Other patterns suggest that rehiring prospects for temporarily laid-off workers started to deteriorate in July.
Temporarily laid-off workers will boost the labor market recovery for the remainder of 2020, but will increasingly transition to permanent unemployment as time separated from their prior job increases.
Reprinted from FXStreet,the copyright all reserved by the original author.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
FOLLOWME Trading Community Website: https://www.followme.com
Hot
-THE END-