Almost Half of the US Population Does Not Have a Job
Forget the 1950s stay-at-home mom era. The US in 2020 has lower employment than even then
The percentage of Americans who are employed sits at just over 50%, according to the Bureau of Labor Statistics’ employment-population ratio. The figure plunged to 51.3% in April (the lowest level on record) and edged up to 52.8% in May.
The backdrop: The ratio was as high as 61.2% in January, but has fallen precipitously since coronavirus-induced lockdowns shuttered businesses across the United States.
- The measure reached its peak in April 2000 when 64.7% of eligible American adults were employed.
What it means: While the BLS’ jobs report categorizes people as “employed,” “unemployed” or “out of the labor force,” the employment-to-population ratio simply captures those who are and are not employed.
The intrigue: Torsten Sløk, chief economist at Deutsche Bank Securities notes, “To get the employment-to-population ratio back to where it was at its peak in 2000 we need to create 30 million jobs.”