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Labor Day 2020 sees the US economy in trouble because of Covid 19 and the bungled federal government response to the ongoing global pandemic. In August, the U.S. economy added 1.4 million jobs according to the Labor Department, down from 1.7 million in July and down abruptly from the 4.8 million added in June. Workforces are still more than 11 million jobs below their pre-pandemic level.
The unemployment rate fell to 8.4%, down from 14.7% in April and 10.2 % in July (The so-called U-3 measure is people without jobs who must have looked for a job in the last four weeks). Any way you look at it, joblessness is still higher than the peak of many past recessions. The real unemployment rate was 14.2% because it contains 535,000 discouraged workers. (This is U-6 or the real rate because it includes people who would like a better job. It also includes those who are underemployed and marginally attached.)
Jerome H. Powell, chair of the Federal Reserve, claims that the economy, while slowly recovering, will need extraordinary support for an extended amount of time given the pandemic.
His comments, in an interview with NPR, were at odds to those from the never-never land White House, which claimed the jobs report showed a quick recovery from the depths of the pandemic recession.
“The economy is now recovering,” Mr. Powell said. “But it’s going to be a long time, we think. We think that the economy’s going to need low interest rates, which support economic activity, for an extended period. It will be measured in years.”
Labor Day, the first Monday in September, is a creation of the labor movement and is dedicated to the social and economic achievements of American workers.
The first governmental recognition came through municipal ordinances passed in 1885 and 1886. The first state bill was introduced into the New York legislature, but the first to become law was passed by Oregon on February 21, 1887. During 1887 four more states — Colorado, Massachusetts, New Jersey, and New York — created the Labor Day holiday by legislative enactment.
On 28 June 1894, Congress passed an act making the first Monday in September of each year a legal holiday in the District of Columbia and the territories.
“The Trump Administration’s cruel and inexplicable refusal to expand health coverage during the worst public health crisis in modern history has devastated families across the country and hurt our economy. Throughout this crisis, the president has failed to develop a real national strategy to protect our families, our frontline workers, and our small businesses from this virus. We are now approaching 200,000 American deaths from COVID-19 – deaths that could have been prevented had the president put partisan games aside, done the right thing, and worked to save lives. In Michigan, we’re continuing to work around the clock to slow the spread of this virus and keep people healthy. It’s time for the Trump Administration to do the same.”
Editor:Governor Gretchen Whitmer released this statement after Centers for Medicare and Medicaid Services (CMS) Administrator Seema Verma denied her and 11 other governors’ request for the Trump Administration to allow for a special enrollment period of at least 30 days on the federal health care exchange.
“This Labor Day, we think of those workers on the front lines of COVID-19. While studies show that wearing a mask is one of the best ways we can prevent the spread of COVID-19, many are working without proper PPE because bosses refuse to do enough to protect their employees from COVID-19 in the workplace.
“The labor movement has always led the charge to protect working folks from getting hurt, sick, or dying on the job, but in 2020 we face threats like nothing we’ve seen before. 115 days after the U.S. House passed the HEROES Act, Republicans in Washington still haven’t taken action on the much-needed COVID relief package, and we have a president who is too weak to confront the pandemic. To be clear, the virus isn’t Donald Trump’s fault. But his total failure to address the pandemic is his fault.
“As we return from Labor Day, we’ll be just eight weeks out from November 3rd – the most important election in a generation. Now more than ever, Michigan’s workers need us to fight for them, by defeating Trump and electing a slate of pro-labor candidates who will fight to protect Michigan workers from COVID-19. We appreciate your partnership and support as we enjoy this day of rest brought to you by the labor movement, and we resolve to keep fighting hard for working people. Only together can we win.”
In Solidarity,
Ron Bieber, President, Michigan AFL-CIO