and welcome back to Cheddar News is closing bell.
Everyone, I'm Kristen schueler live down here on the
floor of the new york stock exchange in what's been
a busy day for the markets. It's a brand
new quarter, a brand new month. And we
have a jobs report out this morning. The good
news is that the jobs market continues to power ahead
While the economy added just a little bit fewer than
431,000 jobs that were expected the unemployment rate taking lower
to 3.6%, showing a market that is strong despite
concerns over slowing growth. Well, some demographic groups
are still struggling though to join the workforce. The
jobless rate for black Americans remaining the highest at 6.2%
for Hispanics, it's 4.2%. Women overall are still
seeing an unemployment rate of 3.3%. So joining me
now is William Rogers, vice president and director of
the Institute for Economic Equity at the Federal Reserve Bank
of ST louis bill. It's good to see you
, thanks for coming on. What is this March
jobs report. Tell us about the state of the
labor market. Well, as you said, uh
, what it tells me is that the operative word
is still growth to be this deep into a recovery
I believe were 24 or 25 months in uh and
to have the kind of job growth that we've we've
seen uh is pretty also given the the inflation,
the wage increased number, which we'll talk and I'm
sure that for that to be happening. It's,
it's pretty, it's pretty good um and and also
the other reason to be, I think encouraging about
this report is the unemployment rates of minorities fell,
but not only just the unemployment rate, you also
saw this increase in participation, that is the share
of the sampling population for these particular groups continue to
continue to tick up, which is again quite quite
good for this this stage of the recovery. I'm
glad that you brought that up bill because that is
an important part of this equation. Right? I
think a lot of people have wondered really for the
past year, why is the unemployment rate so low
When people are still on the sidelines? And of
course it takes into account those who are actually actively
looking for jobs. So that labor-force participation rate,
such a key component of the overall headline number wages
at 5.6%. I think that's what we're showing on
our full screen. They're from the same time a
year ago for workers that's a positive and leisure and
hospitality. The most beaten up sector during this pandemic
, seeing the most job gains in this latest quote
or how does this set us up for the spring
knowing that covid cases have declined from their own macron
peak. They are rising in more than a dozen
states with this new some variant. But what does
this mean for the spring is people may look to
get back out there and enjoy the warmer weather?
Well I would be I'm encouraged for the spring.
However, there are a variety of headwinds, covid
uh 19 as has abated however, as our public
health officials have been sharing with us reminding and teaching
us that we're moving from a pandemic to an endemic
and that by by moving to that endemic, we're
saying that we're going to be having to learn how
to live or continue to live with with the virus
or and its mutations. So we have to maintain
their vigilance around around social distancing around getting people getting
their boosters. Uh And from an economic standpoint,
this is important because it helps to maintain people's productivity
which is a key ingredient of of economic growth.
You also have the challenge of the headwinds of what
we're seeing going on in the invasion of Ukraine.
And that's that's chilled some people's consumer sentiment or confidence
because of potential energy crisis, energy price swings.
Uh And again we have, we have to make
the right choices that can help abate or lesson The
adverse impact of that. So, and then let
me ask you this. Um of course we see
inflation at its highest level in 40 years, getting
closer and closer by the month to even a double-digit
print on a monthly basis from the same time a
year ago when it comes to inflation. We're not
there just yet But with wage gains of 5.6%.
Is that competitive enough? Is that enough growth To
survive to make a living wage when inflation is running
at just about 7%. Yeah, that's a big
challenge. And and from the standpoint of my institute
, that's one of the key issues that we're digging
into right now has been, what's the impact of
this inflation on on on the real earnings? Uh
and hence the take home pay of of americans,
particularly those who are who live in low and moderate
income communities, because this is really critical for them
because um in some of the work that I've done
over the years when you look at uh young out
of school, men and women who have no more
than a college degree, they're at the lowest rungs
of the ladder there in these low and moderate income
communities and if inflation continues it's going to eat away
right more and more of their hard, hard fought
gains. Uh and and and and make it harder
for them to achieve to it to have all the
, be able to be able to meet their their
their needs. Uh The other group that you also
have to focus on are those folks who are retired
on fixed incomes and the adverse effect that it's going
to have on them and and and pulling back on
consumption, which could then lead us to a slowdown
very quickly here bill because we're tight on time.
What's the solution to this because inflation is showing no
signs of abetting, unfortunately. Yeah, well,
there's a variety of solutions. There's no silver bullet
, the one that I think you're leading me into
on uh FOMC policy, that's something I leave to
. Chairman Powell, uh chair and also vice chair
Leo Brainerd. Uh and then also my bank President
, Jim Bullard. But I think there are other
things that we can focus on and that's making sure
that we are reimagining the kinds of childcare access and
quality childcare access that people can have, making sure
that we're investing in education and training and also addressing
discrimination that young out of school minorities may be facing
. Um and and uh and then also making sure
that we continue to be vigilant around fighting, fighting
covid in any other of its variants and we do
that we make those right choices. We can continue
to propel this economy into the future into this,
into the summer. Alright, William Bill Rogers,
Vice president and director of the Institute for Economic Equity
at the Federal Reserve Bank of ST louis, thank
you for coming on