Chairman Yarmuth on June Jobs Report
WASHINGTON, D.C. – Today, Kentucky Representative John Yarmuth, Chair of the House Budget Committee, released the following statement after the Bureau of Labor Statistics (BLS) reported that nonfarm payroll employment increased by 850,000 in June. The unemployment rate rose slightly from 5.8 percent to 5.9 percent, but this is largely due to 151,000 people returning to the labor force looking for work.
These impressive job gains follow yesterday’s report by the Congressional Budget Office (CBO) confirming that the American Rescue Plan continues to strengthen our economy: the US economy will grow by a historic 7.4% in 2021, unemployment will continue to decrease, and inflation is transitory.
“Today’s employment numbers and yesterday’s CBO report forecasting historic economic growth offer quantitative and undeniable proof that the American Rescue Plan is working,” said Chairman Yarmuth. “But this is not the time to stop and pat ourselves on the back.
“We still have a ways to go to fully recover the jobs lost during the pandemic, and without access to affordable child care, job training, and other key resources, we won’t get there,” Chairman Yarmuth continued. “The transformative and desperately needed investments outlined in President Biden’s budget will help ensure a strong and inclusive recovery, building on our economic momentum by creating millions of good-paying jobs and a fairer, more modern economy in the process. I look forward to working with the Biden-Harris Administration and my colleagues in Congress to advance these shared priorities.”
Additional statistics of note:
- The U.S. economy added 850,000 Jobs in June 2021. This marks the sixth straight month our economy has added back jobs. Total payrolls still have a long way to go, with the economy still 6.8 million jobs short of February 2020 levels.
- The unemployment rate ticked up slightly to 5.9 percent. However, this is largely due to 151,000 people, who had given up on looking for work, entering or re-entering the labor force as the economy continues to recover and reopen, creating opportunities for workers.
- Racial disparities persist, with Black men facing an unemployment rate almost twice as high as their white counterparts.
- Much of the job growth this month was driven by an increase of 343,000 jobs in leisure and hospitality as businesses continue to reopen. The other largest gains were in government employment (+188,000) and professional and business services (+72,000).
- State and local employment is starting to show some improvement, though employment levels are still 4-5 percent below their February 2020 levels.
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