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Home » Valentine's Day » Will unemployment rates improve after benefits end on Sept. 6? Experts mostly say yes, but not in the ways we might think

Will unemployment rates improve after benefits end on Sept. 6? Experts mostly say yes, but not in the ways we might think

Sept. 6 is almost upon us and that will be the day people lose their $300 per week in Federal unemployment benefits.

Despite the date looming ahead one would think people would begin job searching- but that is not the case in some states, like California.

People believed the unemployment rate would drop when benefits ended because they appeared to be making around the same as when they were working.

The issue isn’t just the money, but priorities have been realigned for many.

Some people are putting their children first as childcare issues continue to plague the country. Some people also just don’t like the idea of returning to person-to-person contact when the Delta variant is on the rise.

The answers to what may happen differ, we won’t know until we get there, but expert analysts have different ideas.

Some believe when unemployment ends Americans will take the jobs available and this will create the need for childcare again, creating its own solution.

Others think parents will care more about the spike in COVID and whether they want to expose themselves and their children.

Studies have suggested that there is little to no difference in states that have ended payments early and their unemployment rate getting better.

People may also switch their profession when they do decide to return to work after they’ve had time to reflect on their lives. Many sectors just offer unappealing benefits and wages, and with labor shortages everywhere, many people may not return to places like restaurants. They will need to fix the issues causing the shortage from within.

Overall, experts believe that yes, numbers will improve, but it is not as simple as turning the benefits off and everyone returns to work.

Things like access to child care, fear of the virus, and how someone feels about their job make it a much more complex issue. Without childcare, parents can’t return to work, and if parents don’t work a job where they can afford child care, then they can’t send their child there in order to work.

Once benefits end, society will truly see the impact these benefits have had on the labor market.

Categories: BusinessNews