Job Market Growth Slows Across U.S. as Covid-19 Cases Surge

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The labor market is flashing signs of slowdown in states where coronavirus cases are surging—and in places where they are not

The U.S. jobless rate shot up faster than in any other developed country during the pandemic. WSJ explains how differences in government aid and labor-market structures can help predict how and where jobs might recover. Video/Illustration: Jaden Urbi/Wall Street Journal.

The growth in the number of daily job postings in Midwestern states, where the virus is raging, is slowing sharply compared with October, according to data from the job site ZipRecruiter. But other states with among the lowest virus infection rates in the nation, including California, New York and North Carolina, are also seeing a slowdown.

The regional data suggest it is not the level of Covid-19 infections but how state officials, businesses and consumers respond to the pandemic that appears to have the greater impact on the pace of the labor market’s recovery in a state. “The relationship between Covid cases and labor-market outcomes is complicated by the fact that it’s mediated by people’s individual decisions…and policy makers’ decisions,” said Julia Pollak, labor economist at ZipRecruiter.

Political views regarding the virus are key to driving decision making among consumers and policy makers. Republicans are much less likely to be worried about the virus than Democrats, according to polling by Gallup. That suggests consumers are more likely to venture out in Republican-leaning states despite virus risks. Republican governors, too, have been less likely than Democrats to impose restrictions on businesses and individuals, such as requiring social distancing or mask wearing.

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The American people are a bomb a bioweapon. 1 million people every 7 days and it's going to get worse. Once the hospital in your area runs out of beds the death toll will be like NY. Stop talking about jobs we need to SHELTER.

Then stop supporting kingLear in WhiteHouse so the Biden leadership who actually want to mitigate and end covid19 can get to work. The health of the economy is tied to covid19. It's time for your editorial TrumpConcede or justgo rupertmurdoch

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