Prior to the COVID-19 pandemic, then-President Donald Trump, with a big tax reform assist from the then-GOP majority in Congress, had the U.S. economy cooking with gas, as the saying goes.
It was red-hot and getting hotter as American corporations relocated assets back to the states, canceled foreign expansions, and reinvested in their domestic operations. Small businesses sprang up with existing businesses thrived. There were literally more jobs than available workers; with a 3.5 percent unemployment rate, many economists stated that the country was essentially at full employment.
Millions of jobs were lost in the ensuing COVID lockdowns and work stoppages over the next several months. But because Trump and Republicans laid the groundwork for rapid recovery, the economy began to bounce back very nicely as more of the country reopened beginning with red states like Florida, Missouri, South Dakota and Texas last fall.
So by now, with most of the country reopened, we should be experiencing an economic juggernaut; economists and labor experts actually predicted 1 million new jobs would be filled in April alone.
But they weren’t. In fact, the final figures came in at a dismal 266,000 last month; unemployment actually rose from 6 percent to 6.1 percent.
How is that possible?
“Thanks to Biden’s policies, the unemployment rate ROSE in April to 6.1 percent. This is the first the unemployment rate has gone up during the recovery. Now, his proposed tax hikes could kill hundreds of thousands of jobs,” the Republican National Committee noted on Twitter.
Thanks to Biden’s policies, the unemployment rate ROSE in April to 6.1 percent.
This is the first the unemployment rate has gone up during the recovery.
Now, his proposed tax hikes could kill hundreds of thousands of jobs.https://t.co/bHPPnorMBr
— RNC Research (@RNCResearch) May 7, 2021
For one thing, Biden and the Democrats, via the recently passed COVID relief measure, offered additional unemployment payments to Americans on top of what they were already getting from states and other sources. The result: Millions of potential workers are staying out of the workforce because they’re taking in more in taxpayer money than they could earn at many jobs.
Translation: Biden and the Democrats are paying Americans to stay at home, meaning they have already accomplished one leg of their Marxist agenda: ‘Universal Basic Income.’ As such, there is a predictable shortage of workers because there is a disincentive to actually get a job.
The Hill reports that the Chamber of Commerce is sounding the alarm to states:
The U.S. Chamber of Commerce called Friday for states to stop offering a $300 weekly boost to unemployment insurance payments in the wake of April’s below-expectations jobs report.
The influential business trade group argued that the additional support for jobless workers is preventing Americans from seeking employment and should be pulled back before it is set to expire in September.
“The disappointing jobs report makes it clear that paying people not to work is dampening what should be a stronger jobs market,” said Chamber Executive Vice President Neil Bradley.
“We need a comprehensive approach to dealing with our workforce issues and the very real threat unfilled positions poses to our economic recovery from the pandemic.”
Some states have already begun to act, including Florida, where GOP Gov. Ron DeSantis announced Thursday a job search requirement for unemployment beneficiaries he idled via executive order during the pandemic when jobs were disappearing is going back into effect May 29.
“Normally when you’re getting unemployment, the whole idea is that’s temporary, and you need to be looking for work to be able to get off unemployment,” DeSantis said at a news conference. “It was a disaster [at the beginning of the pandemic], so we suspended those job search requirements. I think it’s pretty clear now, we have an abundance of job openings.”
Once again, more state governors need to ‘Be Like Ron.’