“All the sugar and twice as much caffeine.” Those of us of a certain age will immediately recognize the iconic JOLT Cola slogan. And even though we haven’t had a can of JOLT Cola in years (luckily or unfortunately, depending on how you feel about carbonated, sugary, high-caffeine drinks, JOLT Cola is no longer there), we wrote about JOLT Glue a couple of years ago. We used it as a starting point to get a closer look at the Office of Labor Statistics Openings of Jobs and Labor Turnover Survey, affectionately called JOLTS.
At the time, our focus was on a stronger job market, as indicated by more job opportunities than job-seeking Americans. This week, our focus is once again on strengthening the labor market, as indicated by the April JOLTS survey which shows a record 9.3 million jobs, almost two million more than the previous period in the pandemic (and more than the number of Americans currently looking for work). The JOLTS April survey also showed 4 million “layoffs” or people voluntarily leaving a job, another survey record, and another indicator of a stronger labor market.
It can be debated why there seems to be a disconnect between the staffing needs of companies across the country and the ability of those companies to address these staffing needs. Among other reasons, it could be health problems for unemployed workers, improved unemployment insurance or a mismatch between workers ’skills and the needs of the company, as we wrote recently. Either way, in order for the economy to continue to recover at a rapid pace and for wage inflation to remain under control, we will probably have to withdraw millions of Americans to the labor market soon.
Download the weekly cable
The views expressed are those of Brinker Capital and are not intended to be investment advice or recommendations. For informational purposes only. Brinker Capital Investments, LLC, registered investment advisor. 1830-BCI-6/14/2021
Tagged: Tim Holland, weekly cable, market outlook, US economic growth
Sometimes we include links to online retail stores. If you click on one and make a purchase we may receive a small commission.