Effects of September Hurricanes on US Job Market
For nearly the past seven years, United States’ job growth rate embarked on a continuously ascending journey. That journey, however, came to a halt subsequent to the intervention of Hurricanes Harvey and Irma. "It is likely that the payroll employment estimates for September were lower due to the effects of Hurricanes Irma and Harvey," affirmed the Bureau of Labor Statistics Commissioner William J. Wiatrowski.
Whereas a typical September would boast of only 30,000 people taking off from their occupations due to inclement weather, this year that number climbed to 1.5 million. Given the ravaging effects the hurricanes had in Texas and Florida, such a deviation from the norm may not be a surprise. Let’s take a deeper look at some other statistics.
Brooking Institute's economist Jonathan Wright claimed that a potential job increase of 67,000 was hampered by the hurricanes. Further analysis reveals that a significant burden of the job cuts was tolled on low-wage industries, such as hotels and restaurants. As a matter of fact, approximately 111,000 jobs were lost in the hospitality and leisure sector, forcing many lower-middle class citizens to confront unemployment.
To make matters worse, many employers working in the food services and drinking places sector were devoid of their income during the hurricanes and their aftermaths. "In this industry, a large majority of workers are not paid when they are absent from work," Wiatrowski claimed. With the decline of payrolls and elimination of many low-wage jobs, annual average hourly earnings deceptively increased. However, it is imperative for the country to bring back essentials jobs and restore the job market, specifically in low-wage industries.
The question which is lingering in many minds deals with the duration of these unpleasant economic effects. With every setback, there is a recovery. Recovery endeavors are expected to increase jobs, specifically in areas directly affected by the storms. Other jobs which have been lost are expected to return over the course of the next month or so.
September definitely proved to be a difficult pill to swallow. However the tendency of Americans to unite during challenging times will definitely bring happier moments in the months to come.