Fed’s Bowman says U.S. labor market could struggle to return to pre-pandemic levels
U.S. Federal Reserve Governor Michelle Bowman provides her first public remarks as a Fed policymaker at an American Bankers Affiliation convention in San Diego, California, U.S., February 11 2019. REUTERS/Ann Saphir
Oct 19 (Reuters) – The obstacles making it tough for a lot of girls to work, mixed with a rise in retirements, might hinder the labor market restoration and be a drag on the U.S. economic system, Federal Reserve Governor Michelle Bowman stated on Tuesday.
Ladies with younger kids left the labor pressure at a better charge than different staff and a few are nonetheless struggling to search out childcare they will afford, Bowman stated. And lots of the older staff who left the labor pressure through the pandemic, together with a excessive share of girls, could not return, Bowman stated.
“The lack of these staff will restrict the productive capability of the economic system, and will make it more durable, and even not possible within the close to time period, to return to the excessive degree of employment achieved earlier than the pandemic,” Bowman stated in remarks ready for a digital occasion hosted by the Richmond Fed.
Bowman didn’t touch upon her outlook for financial coverage within the ready remarks.
Reporting by Jonnelle Marte; Enhancing by Andrea Ricci
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