Summary
America's blue-collar workforce, which includes jobs in industries like manufacturing and construction, is getting smaller. This decline is partly due to policies related to trade and immigration. These sectors are experiencing job losses, and hiring is slowing down.
Key Facts
- The manufacturing sector lost 12,000 jobs in August, marking the fourth month in a row of job losses.
- The construction industry has also been losing jobs for three consecutive months.
- The wholesale trade sector, which includes jobs like transportation and warehousing, lost 32,000 jobs since May.
- Employment issues are linked to higher tariffs, which increase costs for manufacturers and reduce demand.
- Immigration policies are impacting sectors that depend on foreign-born workers, making hiring more difficult.
- The unemployment rate in the construction sector reached a record low in August, partly due to workers leaving jobs to avoid immigration issues.
- Average wage growth has slowed; manufacturing wages grew by 3.9% in August, down from 4.6% in March.
- Economists at Morgan Stanley believe that trade policy uncertainty is a key factor in lower manufacturing employment.
