The US Bureau of Labor Statistics on Friday said the US unemployment rate spiked to 14.7% in April as the coronavirus forced a widespread US economic shutdown. That’s the highest level since the Great Depression and about 25 times the worst monthly decline seen during the 2007-2009 recession.
Payrolls dropped by an unprecedented 20.5 million. By comparison, the steepest monthly loss on record was 1.96 million jobs in 1945.
Just two months ago, the unemployment rate was 3.5%, a roughly 50-year low.
According to Glassdoor data, In the seven weeks since massive coronavirus-induced layoffs began, more than 33 million Americans have filed for unemployment insurance, and about 25% of all job postings have evaporated.
As the country slowly reopens, the economy is not expected to simply bounce back. Many customers remain hesitant about returning to restaurants and bars, watching movies, or attending sporting events.
Many economist believe the job outlook for May will be worse before beginning to improve in June.