The Reality of the US Jobs Situation
We hear about all the jobs that are being created. The last jobs report, which valids the Fed tightening (at least in their minds), showed an increase of over 500K.
In this video I discuss how this is misleading. While there was a net job gain, it is mostly at the lower end. This is more than being offset, in economic value, by the layoffs that starts on Wall Street and within many corporations.
▶️ 3Speak
0
0
0.000
View or trade
BEER.Hey @taskmaster4450le, here is a little bit of
BEERfrom @pixresteemer for you. Enjoy it!Learn how to earn FREE BEER each day by staking your
BEER.This post has been manually curated by @bhattg from Indiaunited community. Join us on our Discord Server.
Do you know that you can earn a passive income by delegating your Leo power to @india-leo account? We share 100 % of the curation rewards with the delegators.
Please contribute to the community by upvoting this comment and posts made by @indiaunited.
I am also not optimistic about the job market and the earnings report for companies are bad. There are also quite a few saying they will be laying off a lot of workers.
Posted Using LeoFinance Beta
The jobs report numbers have always been such a load of shit. It’s just verbal manipulation at it’s finest. Things suck but we added 500k jobs! Don’t worry that they are the lowest tier of jobs. Also don’t worry that it was jobs that were eliminated a year or two ago. What a sham.
Posted Using LeoFinance Beta
Summary:
In this video, Taskmaster addresses the recent job market situation in the United States, contrasting the positive narrative presented by the Federal Reserve with his own analysis. He argues that despite the job creation numbers, layoffs in various sectors such as Wall Street, Megatech, and real estate suggest a different reality. Taskmaster highlights the shift in job composition towards lower-paying roles, impacting consumption patterns and economic dynamics. He discusses how layoffs of higher-income workers lead to decreased disposable income, affecting spending habits. The video concludes with a warning about the potential repercussions of job losses at the higher end of the job market.
Detailed Article:
Taskmaster's video delves into the discrepancies between the perceived strength of the US job market as portrayed by the Federal Reserve and the underlying issues he observes. While acknowledging that the job creation numbers may speak positively for themselves, Taskmaster cautions viewers to consider the 'smoothing' of such figures and potential revisions that may occur down the line. He points out the significant layoffs occurring in sectors like Wall Street, Megatech, and real estate, raising questions about the sustainability of the current job market narrative.
The discussion expands to highlight the nature of job creation, focusing on lower-paying roles in traditional fields such as the food, restaurant, and retail industries. Taskmaster notes that while certain industries like retail may exhibit signs of instability with layoffs in specific roles, they continue to hire at store levels. He references Walmart's layoffs at its corporate headquarters, emphasizing the trend of white-collar job losses forewarned by individuals like Ray Dalio.
A critical aspect of Taskmaster's analysis involves examining the impact of job composition shifts on spending patterns and the overall economy. He contrasts the spending capacity of higher-income workers who are being laid off with that of lower-wage workers entering the workforce. Taskmaster illustrates how reductions in high-income jobs lead to decreased discretionary spending, affecting sectors like travel, luxury goods, and technology. This shift, he argues, contributes to a negative net effect on consumption and economic growth.
Moreover, Taskmaster highlights the repercussions of corporate layoffs on the economy, particularly shedding light on cost-cutting measures in response to squeezed profit margins and excess inventory. He details how corporations adopt strategies like staff reductions, task reallocation, and reorganization to mitigate financial challenges, resulting in job losses, especially in white-collar positions.
In conclusion, Taskmaster warns viewers about the broader economic implications of job losses at the higher end of the market, emphasizing the need to scrutinize beyond surface-level job creation numbers. By dissecting the job market landscape and its intertwined effects on consumption, spending, and corporate strategies, Taskmaster delivers a thought-provoking analysis of the evolving job scenario in the United States.