Washington | Economic activity in the United States improved over the summer, as did employment, but at a slower pace and levels remain far below pre-pandemic levels, according to a survey by the Central bank released Wednesday.
“Economic activity has increased in most (regions), but the gains are generally modest and activity remains well below its pre-pandemic levels,” notes the US Federal Reserve in its Beige Book, a survey carried out periodically with companies in the country.
It also warns that many temporary layoffs are becoming permanent, with demand remaining weak. Companies in several regions have thus reported a “slowdown in employment growth and (of) increased hiring volatility, particularly in services”.
Despite this situation, the companies questioned by the Fed are still “still struggling to find the necessary labor.”
In question, the difficulty to find a place in nursery, “as well as the uncertainty which surrounds the school year which begins (many schools offering only virtual courses, Editor’s note) and on unemployment benefits”.
Indeed, additional aid to the unemployed, of $ 600 per week, was adopted by the Trump administration and Congress in late March, but ended on July 31.
The White House and the elected Democrats of the Senate and the House of Representatives have been trying for more than a month to agree to extend it, as part of a new economic aid plan, in vain for the moment.
Donald Trump signed an executive order allowing states that wish to maintain additional aid, but at a lower amount.