The U.S. economy unexpectedly added jobs in May, surprising economists and analysts who had forecast millions more losing their livelihoods, and raising hopes of a faster economic recovery than expected.
FILE PHOTO: A"Now Hiring" sign advertising jobs at Lowe's is seen as the spread of the coronavirus disease continues, in Homestead, Florida, U.S., April 17, 2020. REUTERS/Marco Bello/File Photo
It makes sense that more people would become employed as stay-at-home restrictions eased. More than 95% of Americans were under some form of lockdown order in the month of April. By May 19, all 50 states had begun some partial re-opening of their economies. Healthcare employment increased by 312,000 in May as dentists, doctors and other healthcare providers were able to see patients again.
Howard Flax is a case in point. He shut his art supply stores in San Francisco and Oakland in mid-March, laying off his 16 employees. He applied to the PPP program in early April but didn’t receive a $137,500 loan until mid May. Flax immediately hired back 14 workers, even though revenues are still well short of pre-crisis levels and his business restricted to curbside pickup.
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