Private companies added 127,000 jobs in November, missing investor expectations by more than 70,000 to post the worst result since January 2021, according to private payroll firm ADP and CNBC Monday.
The addition represented a sharp decline from the 239,000 new jobs reported by the firm in October. Industries that were most directly impacted by higher interest rates, such as construction, were hit the hardest by job cuts, while consumer-facing industries, such as hospitality, largely weathered the storm, according to ADP.
Several manufacturing and business leaders are concerned about how inflationary pressures are hurting businesses through heightened input and transportation costs.
Participants at a round table event on Capitol Hill Thursday said that inflation has increased the cost of raw materials, making it harder for manufacturers to obtain what they need to do business.
Automobile maker General Motors on Tuesday announced a new, $7 billion investment in Michigan to expand manufacturing capacity for electric vehicles and batteries.
According to projections released by the company, the investment will create 4,000 new jobs, while retaining an additional 1,000.
Gov. Gretchen Whitmer and the Michigan Department of Labor and Economic Opportunity (LEO) awarded $2.5 million in Michigan Industry Cluster Approach 3.0 (MICA 3.0) grants to business groups statewide to address labor shortages.
“These grants are putting Michiganders first by helping innovative employers in high-demand industries address talent shortages across Michigan,” Whitmer said in a statement. “Together, we can continue leading the future of agriculture, construction, IT, manufacturing, mobility, and so much more as we usher in a new era of prosperity for our families, communities, and small businesses.”
The global chip shortage is beginning to impact consumers, driving up prices of smartphones, vehicles and personal electronics as manufacturers struggle to keep up with rising demand.
“We’re seeing 5% to 10% price increases right now,” Glen O’Donnell, vice president and research director at Forrester, told the Daily Caller News Foundation. “They will increase more as this issue drags on.”
Semiconductors, the internal components essential to the functioning of almost every electronic device, have been in short supply since early 2020 due to high consumer demand of mobile electronics cloud services, and other products that require computer chips, according to O’Donnell. The COVID-19 pandemic exacerbated the problem by stalling semiconductor production and disrupting supply chains, with demand for consumer electronics only skyrocketing due to more people working from home.
Economists expect inflation to “accelerate strongly” in the coming weeks and months, but said consumer prices would eventually moderate.
The consumer price index (CPI), a common measure for inflation, is expected to rise 2.8% in 2021 and 2.3% in 2022 compared to the 1.2% increase that occurred in 2020, according to economists surveyed by the National Association for Business Economics (NABE).
The projection, released Monday, reflected the Federal Reserve consensus that inflation will heat up by the end of the year before cooling down as the economic recovery continues.
Machine shop training in public high schools has dwindled nationally either because of a lack of funding or no funding at all. So in 2006, instructor Craig Cegielski approached the Eleva-Strum School Board in Strum, Wisconsin with an odd request. Rather than asking for money, Cegielski instead requested permission to launch an in-school manufacturing business.
President Trump has started using the line, “whether you love me or hate me, you’ve got to vote for me.”
Some people are unhappy, but is he wrong? Is that so different from what so many Michiganders recognized they were voting for in 2016?