We Could See A Million Layoffs Or More" - Here Comes The Job Market Shock:"Commenting on the surge in layoffs, Piper Sandler's chief economist Nancy Lazar says that "post-covid rightsizing means that lots more layoffs are coming" and adds that "many companies overhired and overpaid during the Covid crisis." Lazar also points out the obvious, that "the stay-at-home bubble was a bubble, and not a "new paradigm" of goods consumption" which means that "a right-sizing cycle is coming, with weaker growth in jobs and wages."

Here are the stunning implications according to Piper Sandler:

We could see a million layoffs or more, as many goods sectors that benefited from the pandemic now realize they added too much capacity (as involuntary admissions make clear).

Low-income workers - who enjoyed the hottest wage gains during the crisis - are now most at risk of layoffs, with remaining job holders to see much slower wage growth.

Payrolls gains are poised to downshift to just 100k/month on average in the second half of the year, from about 515k/month through April."

https://www.zerohedge.com/markets/we-could-see-million-layoffs-or-more-here-comes-job-market-shock

#Unemployment #Layoffs #JobMarket #NurseUp