Newsbrief: Employment plummets as pandemic continues

by Alexis Briggs
edited by Paul Lambert

(Photo: BBC.com)

Unemployment has skyrocketed within the US due to the pandemic according to BBC.com. 

As of March 21, 3.3 million people claimed unemployment benefits, according to the Department of Labor data. The previous record was 695,000 set in 1982. 

State officials across the country have closed businesses, movie theaters, hotels and gyms. Air travel has decreased tremendously and car firms have stopped production. These closings have caused a fifth of the workforce to be in a form of lockdown. 

Ian Shepherdson, chief economist of Pantheon Economies, said he expects to see the unemployment rate almost double from the current 6.5% in March. 

“I`ve been writing about the US economy…since 1996, and this is the single worst data point I`ve seen, by far,” wrote Shepherdson. 

In Washington, Congress is working on a $2 trillion stimulus bill, including direct payments of $1,200 to adults plus financing for affected industries, such as airlines. Steps to shore up the economy have been taken by the Federal Reserve. 

In April, the US unemployment rate hovered near historic lows. About three weeks ago, the number of unemployment claims was only about 210,000 and President Donald Trump was boasting about the stock market`s health on Twitter.

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J1 student Alexis Briggs volunteered to write this newsbrief out of a belief that FPU students deserve good journalism in this time of crisis.