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Fifth Third Bank economist Jeffrey Korzenik: How businesses should address labor shortage - Dallas Business Journal

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The 'Great Resignation,' early retirements and declining birth rates all point to an impending labor shortage that business leaders need to accept and address, argues Fifth Third Bank economist Jeffrey Korzenik.

with about 10.7 million jobs and only 6 million job seekers, Korzenik said during the bank's third annual economic outlook event, which was held in Houston last week. He called the gap unprecedented, though the data was also used to argue that the U.S. is currently not in a recession due to strong job growth.

Korzenik pointed out that 2.3 million Baby Boomers retired early, so those former workers are no longer playing musical chairs at all. Additionally, birth rates are at 1.64 children per mother in the U.S., below the replacement rate of 2.1, he said. That limits the number of people who will play the game in the first place.

“We’re not only below replacement level, we’re so far below that level that immigration, at least legal immigration under current policy, can’t make up the difference,” Korzenik said. “If you are an employer, should terrify you.”

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Fifth Third Bank economist Jeffrey Korzenik: How businesses should address labor shortage - Dallas Business JournalThe 'Great Resignation,' early retirements and declining birth rates all point to an impending labor shortage that business leaders need to accept and address, argues Fifth Third Bank economist Jeffrey Korzenik.
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