Layoffs in the United States fell in April, but remained the second highest on record, while hiring hit an all-time low, suggesting the labor market could take years to recover from the COVID-19 crisis despite a surprise rebound in employment in May.
The report from the Labor Department on Tuesday also showed a decline in job openings as the economy battles a recession triggered by the pandemic. The National Bureau of Economic Research, the arbiter of U.S. recessions, declared on Monday that the economy slipped into recession in February.
“We may continue to see elevated rates of layoffs and job cuts continue to spread to other sectors, but the tidal wave of layoffs appears to be behind us,” said Nick Bunker, research director at Indeed Hiring Lab. “The labor market has a lot more progress to make.”