During remarks at The White House on Friday, President Biden laughed off concerns about today’s lower than expected job numbers.
“We knew this wouldn’t be a sprint, it would be a marathon. Quite frankly, we’re moving more rapidly than I thought we would … In listening to commentators today as I was getting dressed, you might think that we should be disappointed.”
Many economists were indeed disappointed by the 266,000 jobs added to the economy in April; it fell well short of predictions, some of which forecast a million new jobs. The unemployment rate ticked up to 6.1%.
“Outside of the possibility that employers are unable to find people willing to work to fill positions, the weakness is totally baffling,” Jefferies, a financial service firm wrote to client. “Nothing in the lead-up to today suggested that we would see a weak number.”
Biden’s critics blamed the low growth in the job market on enhanced unemployment benefits, claiming workers are sitting on the sidelines and living off of government-funded handouts instead of pursuing job openings.
On Friday morning, the U.S. Chamber of Commerce released a statement saying, “One step policymakers should take now is ending the $300 weekly supplemental unemployment benefit. Based on the Chamber’s analysis, the $300 benefit results in approximately one in four recipients taking home more in unemployment than they earned working.”
When asked if enhanced unemployment benefits were curbing job growth, Biden said, “No, nothing measurable.” He condemned “loose talk that Americans just don’t want to work.”
Biden was upbeat on the economy through his remarks. “Our efforts are starting to work,” he said. “But the climb is steep, and we’ve got a long way to go. We’re still digging out of an economic collapse that cost us 22 million jobs.”
The economy has re-gained 14 million of those jobs but is still 8 million short of pre-pandemic levels.
“Some critics said we didn’t need the American Rescue Plan, that this economy would just heal itself. Today’s report just underscores, in my view, how vital the actions we’re taking are,” Biden added.