Unemployment could top 32% as 47M workers are laid off amid coronavirus
The unemployment rate in the U.S. could reach a staggering 32.1% in the second quarter as 47 million workers are laid off amid the coronavirus outbreak, according to estimates published in a blog by the Federal Reserve Bank of St. Louis. That would be the highest jobless rate on records dating to 1948 and easily top the 25% rate during the Great Depression. “These are very large numbers by historical standards, but this is a rather unique shock that is unlike any other experienced by the U.S. economy in the last 100 years, “ St. Louis Fed economist Miguel Faria-e-Castro wrote in the blog. https://amp.usatoday.com/amp/5091156002
That’s sad. Did not expect the US economy this fragile. Hope we’d get through this soon and the unemployment rate is just a temporary spike.
Testing robustness is when you have 10-20% decline, not 80-90% for most service industry. This is like nuking the economy and expecting it to stay alive.
Yup, our parent company and competitors are haemorrhaging cash atm. We do food for unis, events, K12, company cafeterias, etc (you guys might be one of our accounts, I know LinkedIn is) Everything went poof overnight, contractors insta furloughed and all remaining employees took a huge pay cut. In fact, I don't think one of our competitors will survive this...
We yanggang we yanggang. Start writing the next great American novel now
Once you hit 32%, not sure how you stop the downward spiral to 100%.
Well if we go to 100% then there is no more civilization.
Correct.
The companies that are laying off everyone now are the ones that have a plan to stay fiscally solvent and eventually reopen. I would be concerned if businesses kept payroll flowing while their doors are shuttered via governor’s order.
And yet stock market is going up.
After a big decline tho.
If so high unemployment, what will happen to us on H1B visa with million $$ loan on houses 😟
Foreclosures? Unemployment has yet to trigger in IT sector.
We're already seeing it in the IT sector.
Anyone else worried about increase in crime? With how easily weapons are available in this country - some of these 32% might just decide to start mugging people.
Not to mention, increased gun violence against innocents. I feel like the mental toll might be too much for some people coupled with the fact that they cant get help for their mental issues might cause increase in mass shootings. There is already too much gun violence to begin with -afraid to think how much that might escalate
Yes, this country can become a semi-war zone when 20-30% of unemployment becomes a reality.
If that happens they'd better terminate the H1B program. https://www.teamblind.com/post/Great-Depression-level-unemployment-and-H1B-sfSdaiiU
I doubt that very much.
Helicopter money incoming.
No helicopter money for us. Most folks working at FAANG and many startup companies should not qualify to get a penny because your AGI will be higher than the limit ($99,000 for single and $198,000 for married): https://www.forbes.com/sites/robertwood/2020/03/30/irs-gives-stimulus-check-timeline-payment-details/amp/
More like helicopter loans 😟