United States: job creation in the private sector down sharply in July
For the fifth consecutive month, the leisure and hospitality industry has experienced the fastest growth in the United States.
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Text by: RFI Follow
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In the United States, job creation in the private sector in July fell sharply.
According to the monthly survey by the firm ADP, the private sector has created 330,000 jobs against 650,000 expected.
A result well below forecasts.
Publicity
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With mass vaccination in the United States, the economy picked up in the spring, suggesting that job creation would follow the same curve.
However, this is not the case for the month of July when the private sector created 330,000 jobs against 680,000 in June, raising fears of a pause in the
economic recovery
.
It is the service sector, the most affected during the pandemic, which created the majority of jobs last month, with 318,000 job creations, more than half of which in the hotel industry.
With the arrival of the Delta variant, many sectors are struggling to recruit for various reasons.
Potential employees fear contamination, some still have difficulty in caring for their children, others fear using transport.
Not to mention the extension of exceptional unemployment benefits paid in the face of the pandemic, which analysts say do not encourage people to find a job.
This is why some states have stopped them before they expire.
Finally, there are companies that are unable to create jobs.
This is the case with the
automotive
and computing industries, which still suffer from the global shortage of semiconductors.
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United States
Employment and Work
Economy