Delta taps the brakes on job expansion

The August details on the Tri-Cities labor market is several weeks away. But if the U.S. labor report is an indicator, don’t be surprised to see another slump.

U.S. payroll jobs grew in August, but employers were pulling back due to a surge in Delta-driven Covid-19 cases. Locally, the Tri-Cities’ labor market lost jobs in July. Since then, the number of local Covid cases has skyrocketed. Events and meetings have been canceled. People are masking up again. And hospital intensive care wards are full.

Hiring nationwide was especially weak in the service sectors in August, according to the Bureau of Labor Statistics. Jobs in the Leisure and Hospitality Sector held steady after adding more jobs than during the previous six months. Retailers cut jobs.

Here in the Tri-Cities, employers in the Leisure and Hospitality sector cut 100 jobs in July. During the first seven months of the year, that sector has grown by 1,400 jobs. Local retailers cut 200 jobs in July. That sector is down 700 jobs so far this year.

The total non-adjusted July local payroll number is down 1,900 jobs. Season adjusting smooths out the volatility of the summer labor market for a loss of 200 jobs in July.  The full report on jobs, unemployment, and unemployment claims can be found by CLICKING HERE. The August local report will be available later this month.

The number of continued NE Tenn. unemployment claims for the week ending Aug. 28 were down 80, and the number of new claims was down by 3 from the previous week.

The only counties with increase new claims were Carter, Johnson, and Sullivan.

Since the state cut off from extended unemployment benefits, the number of claims has decreased by 789. During the same period, the number of jobs has declined by 300, and the number of people who reported they were working increased by 1,090. That employment number includes full-time and part-time employees.



Categories: LABOR MARKET

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