The Hiring Dilemma: corporate America is raising wages to bring reluctant workers back

Check the math... Something strange is happening in US employment. 9M+ Americans are still unemployed, and companies are scrambling to hire as the economy revs up — but they can't find enough people. In March, job openings hit a record 8.1M... but exceeded hires by 2M+. And in April, the unemployment rate jumped. Now, companies are boosting wages to lure workers (and your Chipotle delivery just got pricier).

• Amazon is now paying new hires an average starting wage of $17/hour (up from $15). It's also offering $1K signing bonuses.
• Chipotle is bumping average pay for restaurant workers to $15/hour, and says employees can earn $100K/year after three years. Meanwhile, McDonald's is raising wages for 36K+ workers.
• Uber and Lyft, which are dealing with driver shortages, are offering large bonuses to get people driving.
• Walmart, aka: America's largest private employer, raised its average hourly wage to $15+.

Now add it up... Average hourly earnings for private-sector employees rose by 21 cents to $30.17 in April, as companies struggled to hire. A few potential reasons workers aren’t returning:

• Unemployment $$$: President Biden extended the $300 extra/week benefit through September. Now, the average monthly unemployment payout is ~$2.5K (tax-free up to $10.2K). 42% of people receiving benefits earn more than they did at their jobs.
• Childcare: Only 60% of the largest US school districts were fully open in April, leaving some without childcare. Women carried out the bulk of duties.
• Corona: Workers are worried about catching Covid while rolling burritos side-by-side.