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How the Labor Shortage is Changing the Economy – Colorado Springs, Colorado

Colorado Springs, Colorado 2021-09-27 19:00:54 –

Colorado Springs, Colorado – Economists hope that the strength of their employment will recover during September when their children return to school.

“We really need to get these workers back into a vibrant workforce, look for jobs, and find jobs at livable wages,” said Dr. Tatiana Bailey. Economist and director of the Economic Forum at Colorado Springs, University of Colorado.

Labor participation in the United States has been one of the lowest points since the late 1950s, less than 62% of adults.

Despite opposition, rates remained unchanged from July to August, curbing expectations for employment in late summer.

Bailey says hospitality workers have moved to other careers with more stable time and better wages. She also says that the booming stock market has allowed some people on the verge of retirement to economically withdraw from their career jobs early.

Labor rates are not far from pre-pandemic levels, and Bailey says that issues such as childcare shortages and worker skill gaps are two things that have been consistent from before to the present. But as the output of the US economy continues to grow, it creates a strange economic reality.

“These are all structural issues. All of this means that labor force participation is still really low,” she said. “GDP continues to grow, so how did GDP continue to grow when the number of 8 million workers declined?”

Bailey believes that companies and companies are able to do more with fewer workers, such as automation, enhanced robotics, workflow changes, or simply asking more workers. Said that.

She also said that ensuring access and availability for people to train, retrain, or improve their viable skills will help address the problem in the long run. ..

In the short term, companies are offering higher wages and profits to acquire and retain workers.

“Maybe we’re experiencing some change in the capitalist model,” Bailey said. “Prices can continue to rise as our capitalist model shifts from a highly employer-led model in terms of wages and profits to a more employee-led model.”

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