Trades Corps


The Valley's Commercial / Residential Construction Temp Agency

Good workers are hard to find

The subsidies for not working continue to hurt the labor market.

Broad vaccine distribution and the end of government lockdowns should result in soaring job creation. Yet the U.S. labor market turned in its second disappointing result in a row in May, according to Friday’s Labor Department report. That’s what happens when government pays Americans not to work. Most workers should have found new jobs by now but haven’t. Willing workers are getting increasingly hard for businesses like TRADES Corp. to find. Possible explanation is that in March the Biden Administration and Congress ladled out another mountain of cash to Americans—work not required. The extra $300 a week in enhanced jobless benefits is one problem, since millions of Americans can make more staying on the couch. This jobless pay isn’t subject to the payroll tax, unlike wage and salary income. This is on top of regular jobless benefits, plus new or extended cash payments such as the $3,000 per child tax credit, additional ObamaCare subsidies, and the $1,400 checks to individuals. Again, no work required.

In a new study it is estimated that in 21 states households that qualify can receive a maximum wage equivalent of $25 an hour in cash without working. In 19 states, the maximum benefit is the equivalent of $100,000 a year in salary for a family of four with two unemployed parents. Not working is a rational economic choice. Democrats were warned this would happen but went ahead with the payments anyway.

Wages are rising: 24% since March on an annual basis in leisure and hospitality. That’s good for workers, but it squeezes small businesses that are still struggling to recover from the pandemic. Some simply can’t afford to pay more. It’s also worth noting that this is how a universal basic income is likely to work in practice. The threshold wage or salary required for workers, especially the young and unskilled, to enter the workforce would rise considerably. 

At TRADES Corp. we are experiencing this spike in the hourly rate of pay for the young and unskilled of nearly 12% since the start of the Pandemic. Add commuting and other costs as well as lost leisure, and more people will choose not to work. This means fewer opportunities to rise up the income ladder, and more dependence on government.

If you’re struggling to find temporary or permanent workers post-pandemic– exhausting the traditional avenues such as tapping into your network, or posting job ads try TRADES Corp on a “Temp to Perm” basis. Our daily focus is on recruitment of commercial construction skilled trades and we’re well equipped to supply you with reliable skilled trades workers, carpenters, electricians, plumbers, and more who seek full-time positions with commercial contractors.