According to a report issued on Friday, only around 45 percent of L.A. County residents are currently employed. That represents a 16 percent spike in unemployment just since mid-March, the Los Angeles Times reports. The data comes out as Governor Gavin Newsom officially declares that the state is in the midst of what he terms a “pandemic-induced recession.”
That surge in unemployment translates to an estimated 1.3 million jobs lost in the county in one month’s time. Over the same period, approximately 25.5 million jobs have been eliminated nationally–however, of those, 67 percent have been classified as “temporary layoffs” which holds the possibility that some portion of those workers will have jobs to return to as businesses begin to reopen.
The economic downturn triggered by the COVID-19 outbreak has ended a decade-long streak of continuous job growth in California, KCRA reports. This month’s drop is the most precipitous recorded since the state began using its current record-keeping formula in 1976. Statewide unemployment could hit 13 percent by some estimates–a record previously set amid the Great Recession of 2009–before things turn around.
Newsom announced he has convened a panel of economic experts to help advise state leaders on how to tackle the dire situation. The panel includes Bob Iger, Tim Cook, Obama-era Fed Chair Janet Yellen, and billionaire ex-presidential candidate Tom Steyer.
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