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Tag: Labor economy

  • Apple workers in Oklahoma vote to unionize in 2nd labor win

    Apple workers in Oklahoma vote to unionize in 2nd labor win

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    NEW YORK — Workers at an Apple store in Oklahoma City voted to unionize, marking the second unionized Apple store in the U.S. in a matter of months, according to the federal labor board.

    The vote on Friday signaled another win for the labor movement, which has been gaining momentum since the pandemic.

    Fifty-six workers at the store, located at Oklahoma City’s Penn Square Mall, voted to be represented by The Communications Workers of America, while 32 voted against it, according to a preliminary tally by National Labor Relations Board. The approximate number of eligible voters was 95, the board said.

    The labor board said Friday that both parties have five business days to file objections to the election. If no objections are filed, the results will be certified, and the employer must begin bargaining in good faith with the union.

    The union victory follows a vote to unionize an Apple store in Towson, Maryland, in June. That effort was spearheaded by the International Association of Machinists and Aerospace Workers in Maryland, which is preparing to begin formal negotiations.

    In a statement emailed to The Associated Press on Saturday, Apple said, “We believe the open, direct and collaborative relationship we have with our valued team members is the best way to provide an excellent experience for our customers, and for our teams.”

    Apple also cited “strong compensation and exceptional benefits,” and noted that since 2018, it has increased starting rates in the U.S. by 45% and made significant improvements in other benefits, including new educational and family support programs.

    The Communications Workers of America could not be immediately reached for comment.

    Worker discontent has invigorated the labor movements at several major companies in the U.S. in the wake of the COVID-19 pandemic, which triggered tensions over sick leave policies, scheduling, and other issues.

    In a surprise victory, Amazon workers at a Staten Island warehouse voted in favor of unionizing in April, though similar efforts at other warehouses so far have been unsuccessful. Voting for an Amazon facility near Albany, New York, began on Wednesday and is expected go through Monday. Well over 200 U.S. Starbucks stores have voted to unionize over the past year, according to the NLRB.

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  • Apple workers in Oklahoma vote to unionize in 2nd labor win

    Apple workers in Oklahoma vote to unionize in 2nd labor win

    [ad_1]

    NEW YORK — Workers at an Apple store in Oklahoma City voted to unionize, marking the second unionized Apple store in the U.S. in a matter of months, according to the federal labor board.

    The vote on Friday signaled another win for the labor movement, which has been gaining momentum since the pandemic.

    Fifty-six workers at the store, located at Oklahoma City’s Penn Square Mall, voted to be represented by The Communications Workers of America, while 32 voted against it, according to a preliminary tally by National Labor Relations Board. The approximate number of eligible voters was 95, the board said.

    The labor board said Friday that both parties have five business days to file objections to the election. If no objections are filed, the results will be certified, and the employer must begin bargaining in good faith with the union.

    The union victory follows a vote to unionize an Apple store in Towson, Maryland, in June. That effort was spearheaded by the International Association of Machinists and Aerospace Workers in Maryland, which is preparing to begin formal negotiations.

    In a statement emailed to The Associated Press on Saturday, Apple said, “We believe the open, direct and collaborative relationship we have with our valued team members is the best way to provide an excellent experience for our customers, and for our teams.”

    Apple also cited “strong compensation and exceptional benefits,” and noted that since 2018, it has increased starting rates in the U.S. by 45% and made significant improvements in other benefits, including new educational and family support programs.

    The Communications Workers of America could not be immediately reached for comment.

    Worker discontent has invigorated the labor movements at several major companies in the U.S. in the wake of the COVID-19 pandemic, which triggered tensions over sick leave policies, scheduling, and other issues.

    In a surprise victory, Amazon workers at a Staten Island warehouse voted in favor of unionizing in April, though similar efforts at other warehouses so far have been unsuccessful. Voting for an Amazon facility near Albany, New York, began on Wednesday and is expected go through Monday. Well over 200 U.S. Starbucks stores have voted to unionize over the past year, according to the NLRB.

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  • In drawn-out recovery, NYC inches out from COVID’s shadow

    In drawn-out recovery, NYC inches out from COVID’s shadow

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    NEW YORK — As kids returned to school last month, people watching New York City pull itself out of COVID-19’s shadow wondered whether workers who fled Manhattan’s office towers during the pandemic would finally return in a rush, too.

    More workers did return to their offices, at least part time, as the summer ended, limited data suggests. But the onset of autumn has also made it clearer than ever that the recovery will be drawn out, and that some aspects of the city’s economic ecosystem could be changed for good.

    “We’re certainly entered a changed relationship between office workers and their offices,” said James Parrott, director of Economic and Fiscal Policies at the Center for New York City Affairs at The New School.

    That’s meant hardship for New Yorkers who are part of the economy built around the commuting class.

    They are the workers whose livelihoods can’t happen over an internet connection, who have depended on that serendipity of a customer being in the right place at the right time — the sudden impulse to buy a snack, pop into a store, throw some dollars into a street performer’s tip bucket.

    They’re people like Emad Ahmed, 58, who for more than two decades has worked in lower Manhattan, running his food cart on a plaza near Wall Street and the World Trade Center.

    The pandemic forced a pause, but as soon as he was able, Ahmed came back — and really wishes he could say the same for all the workers he relied on as customers, many of them still working at home and coming into Manhattan only a few days a week, at most.

    “The pandemic (is) almost done, nobody uses a mask now, and you can go to the subway and the bus without masks, and people still don’t come,” he said. It’s “absolutely not like before.”

    Some had looked to the Labor Day as a possible catalyst, a transition back to the way things were, and indeed, some data has shown momentum since then, including office occupancy in the metro area getting closer to the halfway mark.

    Subway ridership is on an upswing, as well, with one day last week reaching almost 3.9 million riders. While that’s only about 64% of a comparable day pre-pandemic, the weekday totals have been inching up overall since the holiday.

    A survey of Manhattan companies put out by the Partnership for New York City last month found that on an average day, just under half of Manhattan office workers were in their offices as of the beginning of September.

    But when it comes to being back in the office full time, only 9% of workers were, with the largest group, 37%, in for three days a week. Sixteen percent of workers were still completely remote.

    Looking ahead through the rest of the year to the beginning of 2023, the survey didn’t show those numbers changing drastically, despite city government and corporate leaders urging workers to come back.

    “People have gotten used to the flexibility and the benefits of not having to commute to the office every day,” said Kathryn Wilde, president and CEO of the partnership. “They’re going to have to have good reasons to go back.”

    Remote work has brought an upswing in jobs and liveliness to some neighborhoods in the outer boroughs, as people staying close to home have brought their coffee and other daily needs to their local outlets.

    But that hasn’t made up for what’s been lost, said Jonathan Bowles, executive director of the Center for an Urban Future, a public policy think tank.

    “In some ways, it’s almost miraculous how much the city’s economy has recovered since the depths of March 2020,” Bowles said.

    New York City lost more than 970,000 jobs when the pandemic hit; as of August, just about 810,000 had come back, about 84%.

    “But there are still really large pockets, particularly around the central business districts where entrepreneurs and small businesses are struggling left and right … seeing a fraction of their previous customers,” Bowles said.

    Ahmed is among them. On his best days, midweek, he sees maybe 60% of what he would have before the pandemic. On the worst, even getting to 10-15% can be a challenge.

    For some dependent on office life, the partial return has been enough. Denis Johnston, executive vice president of 32BJ Service Employees International Union, said almost all of the commercial office space cleaners represented by the union are back at work.

    Whether companies have some or all of their employees back on a given day, the spaces need to be cleaned and maintained, so his members are needed, he said.

    Some, like taxi driver Sukhdarshan Singh, have learned to adjust. While there are fewer commuters, he’s finding fares at other times.

    “Office people are not back, but evenings and weekends, people are out,” said Singh, a cabbie for about 35 years.

    But other sectors are suffering. Among retail outlets, food and beverage stores have seen only about 66% of jobs come back, while clothing stores have seen about 62%, according to the New York City Independent Budget Office.

    If office workers are “not in the city, they’re not shopping in the city,” said Stuart Appelbaum, president of the Retail, Wholesale and Department Store Union.

    “Stores are operating with fewer people because there are fewer customers,” he said.

    The city’s unemployment rate was 6.6% in August, significantly higher than the national rate of 3.7%.

    Office workers being slow to go back is “absolutely going to impact the bottom line for tons of … vendors, people that operate food trucks and so many more businesses that are really dependent on office workers providing a big chunk of their sales,” Bowles said.

    “There are just going to be fewer of those chance encounters, where people pick up something to eat or drink or to bring home during their lunch hour, on their way to work and on the way home,” Bowles said. “And that’s a surprisingly huge part of the Manhattan economy.”

    Ahmed worries about his own future, especially as winter approaches. Even prior to the pandemic, the cold weather was slow for business, and now he worries it will be a financial deep freeze.

    He just holds out hope that the city streets will come back to the life they had before.

    “Nothing else can help me,” he said. “Without people? That’s it.”

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  • In drawn-out recovery, NYC inches out from COVID’s shadow

    In drawn-out recovery, NYC inches out from COVID’s shadow

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    NEW YORK — As kids returned to school last month, people watching New York City pull itself out of COVID-19’s shadow wondered whether workers who fled Manhattan’s office towers during the pandemic would finally return in a rush, too.

    More workers did return to their offices, at least part time, as the summer ended, limited data suggests. But the onset of autumn has also made it clearer than ever that the recovery will be drawn out, and that some aspects of the city’s economic ecosystem could be changed for good.

    “We’re certainly entered a changed relationship between office workers and their offices,” said James Parrott, director of Economic and Fiscal Policies at the Center for New York City Affairs at The New School.

    That’s meant hardship for New Yorkers who are part of the economy built around the commuting class.

    They are the workers whose livelihoods can’t happen over an internet connection, who have depended on that serendipity of a customer being in the right place at the right time — the sudden impulse to buy a snack, pop into a store, throw some dollars into a street performer’s tip bucket.

    They’re people like Emad Ahmed, 58, who for more than two decades has worked in lower Manhattan, running his food cart on a plaza near Wall Street and the World Trade Center.

    The pandemic forced a pause, but as soon as he was able, Ahmed came back — and really wishes he could say the same for all the workers he relied on as customers, many of them still working at home and coming into Manhattan only a few days a week, at most.

    “The pandemic (is) almost done, nobody uses a mask now, and you can go to the subway and the bus without masks, and people still don’t come,” he said. It’s “absolutely not like before.”

    Some had looked to the Labor Day as a possible catalyst, a transition back to the way things were, and indeed, some data has shown momentum since then, including office occupancy in the metro area getting closer to the halfway mark.

    Subway ridership is on an upswing, as well, with one day last week reaching almost 3.9 million riders. While that’s only about 64% of a comparable day pre-pandemic, the weekday totals have been inching up overall since the holiday.

    A survey of Manhattan companies put out by the Partnership for New York City last month found that on an average day, just under half of Manhattan office workers were in their offices as of the beginning of September.

    But when it comes to being back in the office full time, only 9% of workers were, with the largest group, 37%, in for three days a week. Sixteen percent of workers were still completely remote.

    Looking ahead through the rest of the year to the beginning of 2023, the survey didn’t show those numbers changing drastically, despite city government and corporate leaders urging workers to come back.

    “People have gotten used to the flexibility and the benefits of not having to commute to the office every day,” said Kathryn Wilde, president and CEO of the partnership. “They’re going to have to have good reasons to go back.”

    Remote work has brought an upswing in jobs and liveliness to some neighborhoods in the outer boroughs, as people staying close to home have brought their coffee and other daily needs to their local outlets.

    But that hasn’t made up for what’s been lost, said Jonathan Bowles, executive director of the Center for an Urban Future, a public policy think tank.

    “In some ways, it’s almost miraculous how much the city’s economy has recovered since the depths of March 2020,” Bowles said.

    New York City lost more than 970,000 jobs when the pandemic hit; as of August, just about 810,000 had come back, about 84%.

    “But there are still really large pockets, particularly around the central business districts where entrepreneurs and small businesses are struggling left and right … seeing a fraction of their previous customers,” Bowles said.

    Ahmed is among them. On his best days, midweek, he sees maybe 60% of what he would have before the pandemic. On the worst, even getting to 10-15% can be a challenge.

    For some dependent on office life, the partial return has been enough. Denis Johnston, executive vice president of 32BJ Service Employees International Union, said almost all of the commercial office space cleaners represented by the union are back at work.

    Whether companies have some or all of their employees back on a given day, the spaces need to be cleaned and maintained, so his members are needed, he said.

    Some, like taxi driver Sukhdarshan Singh, have learned to adjust. While there are fewer commuters, he’s finding fares at other times.

    “Office people are not back, but evenings and weekends, people are out,” said Singh, a cabbie for about 35 years.

    But other sectors are suffering. Among retail outlets, food and beverage stores have seen only about 66% of jobs come back, while clothing stores have seen about 62%, according to the New York City Independent Budget Office.

    If office workers are “not in the city, they’re not shopping in the city,” said Stuart Appelbaum, president of the Retail, Wholesale and Department Store Union.

    “Stores are operating with fewer people because there are fewer customers,” he said.

    The city’s unemployment rate was 6.6% in August, significantly higher than the national rate of 3.7%.

    Office workers being slow to go back is “absolutely going to impact the bottom line for tons of … vendors, people that operate food trucks and so many more businesses that are really dependent on office workers providing a big chunk of their sales,” Bowles said.

    “There are just going to be fewer of those chance encounters, where people pick up something to eat or drink or to bring home during their lunch hour, on their way to work and on the way home,” Bowles said. “And that’s a surprisingly huge part of the Manhattan economy.”

    Ahmed worries about his own future, especially as winter approaches. Even prior to the pandemic, the cold weather was slow for business, and now he worries it will be a financial deep freeze.

    He just holds out hope that the city streets will come back to the life they had before.

    “Nothing else can help me,” he said. “Without people? That’s it.”

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  • Large rail union rejects deal, renewing strike possibility

    Large rail union rejects deal, renewing strike possibility

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    OMAHA, Neb. — The U.S.’s third largest railroad union rejected a deal with employers Monday, renewing the possibility of a strike that could cripple the economy. B oth sides will return to the bargaining table before that happens.

    Over half of track maintenance workers represented by the Brotherhood of Maintenance of Way Employes Division who voted opposed the five-year contract despite 24% raises and $5,000 in bonuses. Union President Tony Cardwell said the railroads didn’t do enough to address the lack of paid time off — particularly sick time — and working conditions after the major railroads eliminated nearly one-third of their jobs over the past six years.

    “Railroaders are discouraged and upset with working conditions and compensation and hold their employer in low regard. Railroaders do not feel valued,” Cardwell said in a statement. “They resent the fact that management holds no regard for their quality of life, illustrated by their stubborn reluctance to provide a higher quantity of paid time off, especially for sickness.”

    The group that represents the railroads in negotiations said they were disappointed the union rejected the agreement, but emphasized that no immediate threat of a strike exists because the union agreed to keep working for now.

    Four other railroad unions have approved their agreements with freight railroads including BNSF, Union Pacific, Kansas City Southern, CSX and Norfolk Southern, but all 12 unions representing 115,000 workers must ratify their contracts to prevent a strike. Another union, the International Association of Machinists and Aerospace Workers, initially rejected its deal but has since renegotiated a new contract. Voting will be completed in mid-November.

    President Joe Biden pressured the railroads and unions to reach a deal last month ahead of a mid-September deadline to allow a strike or walkout. Many businesses also urged Congress to be ready to intervene in the dispute and block a strike if an agreement wasn’t reached because so many companies rely on railroads to deliver their raw materials and finished products.

    In general, the deals the unions agreed to closely follow the recommendations a special panel of arbitrators that Biden appointed made this summer. That Presidential Emergency Board recommended what would be the biggest raises rail workers have seen in more than four decades, but it didn’t resolve the unions’ concerns about working conditions. Instead it said the unions should pursue additional negotiations or arbitration that can take years with each railroad individually.

    The Brotherhood of Maintenance of Way union said it agreed to delay any strike until five days after Congress reconvenes in mid November to allow time for additional negotiations.

    Quality of life issues took center stage at the end of these negotiations, with unions representing conductors and engineers holding out until the end for three unpaid leave days a year for medical appointments and a promise that railroads will negotiate further about giving those employees regularly scheduled days off when they aren’t on call. Engineers and conductors have complained that strict attendance policies make it hard to take any time off.

    Track maintenance workers in the BMWED generally have more regular schedules than engineers and conductors, but all the rail unions have objected to the lack of paid sick time in the industry — particularly after working to keep trains moving throughout the pandemic.

    Rutgers University professor Todd Vachon, who teaches labor relations classes, said he’s not entirely surprised the contract was rejected given how emboldened union members feel to fight for better working conditions amidst the current worker shortage.

    “The biggest sticking issue is quality of life — especially access to paid time off and paid sick time. If the railroads can make some movement in that area, it will likely go a long way with rail workers who currently feel they are not being respected by their employers,” Vachon said. “Wages and resource allocation are one important part of contract negotiations, but feeling respected by one’s employer remains one of the top reasons that workers form and join unions.”

    Although a strike is now possible, Vachon said he’s not too worried yet because both sides have more than a month to reach a new agreement.

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  • Asian shares extend losses as specter of recession looms

    Asian shares extend losses as specter of recession looms

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    BANGKOK — Asian shares slipped on Monday, with Chinese markets logging moderate losses after they reopened from a weeklong holiday.

    The declines followed yet another dismal end to the week on Wall Street as a strong U.S. jobs report added to worries the Federal Reserve might consider the higher-than-expected hiring data as proof the economy hasn’t slowed enough to get inflation under control. That might mean still more hefty rate hikes that could make a recession more likely.

    A U.S. consumer prices report on Thursday will be one of the biggest factors for markets this week. Investors also are awaiting the latest updates on how companies are dealing with higher prices and interest rate hikes.

    Markets were closed Monday in Tokyo, Taiwan and South Korea. The Hang Seng in Hong Kong fell 2.5% to 17,298.32 while the Shanghai Composite index shed 0.4% to 3,012.58. Bangkok’s SET lost 0.6% and India’s Sensex gave up 1.2%.

    The dollar rose to 145.44 Japanese yen from 145.34 late Friday, adding to pressure on Japan’s central bank to counter the yen’s prolonged slide by adjusting its policy of keeping its benchmark interest rate below zero to fend off deflation.

    Prices have been rising in Japan, pushed higher mainly by global inflation and surging costs for oil and gas, but the Bank of Japan has stuck to its ultra-loose monetary policy while the Fed has pressed ahead with sharp rate hikes. The higher expected returns have pushed the dollar higher against the yen.

    On Friday, the S&P 500 fell 2.8% to 3,639.66. It ended with a 1.5% gain for the week, its first weekly gain in four weeks. The Dow Jones Industrial Average skidded 2.1% to 29,296.79. The Nasdaq tumbled 3.8% to 10,652.40. The Russell 2000 index fell 2.9%, to 1,702.15.

    The government report showing employers hired more workers last month than economists expected might clear the way for the Fed to continue hiking interest rates aggressively, something that risks causing a recession if done too severely.

    Employers added 263,000 jobs last month. That’s a slowdown from the hiring pace of 315,000 in July, but it’s still more than the 250,000 that economists expected.

    Stocks have tumbled over 20% this year from record highs this year on worries about inflation, interest rates and the possibility of a recession.

    The major indexes managed to notch a gain for the week, thanks to a powerful but short-lived rally Monday and Tuesday after some investors squinted hard enough at some weaker-than-expected economic data to suggest the Fed may take it easier on rate hikes. But Friday’s jobs report may have dashed such hopes for a “pivot” by the Fed. It’s a pattern that has been repeated several times this year.

    By hiking interest rates, the Fed is hoping to starve inflation of the purchases needed to keep prices rising even further. The Fed has already seen some effects, with higher mortgage rates hurting the housing industry in particular. But if the rate hikes go too far, that could squeeze the economy into a recession. In the

    Crude oil, meanwhile, had its biggest weekly gain since March. Benchmark U.S. crude jumped 4.7% to settle at $92.64 per barrel Friday. Brent crude, the international standard, rose 3.7% to settle at $97.92.

    Oil prices have surged because big oil-producing countries have pledged to cut production in order to keep prices up. That should keep the pressure up on inflation, which is still near a four-decade high but hopefully moderating.

    On Monday, the U.S. benchmark fell 97 cents to $91.67 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude gave up $1.02 to $96.90 a barrel.

    Beyond higher interest rates, analysts say the next hammer to hit stocks could be a potential drop in corporate profits. Companies are contending with high inflation and interest rates eating into their earnings, while the economy slows.

    The euro was unchanged at 97.36 U.S. cents.

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  • Remote jobs have tripled during the pandemic—these are the top 10 companies hiring for them

    Remote jobs have tripled during the pandemic—these are the top 10 companies hiring for them

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    Though people are returning to in-office work, the option for remote work remains high and is likely to keep growing.

    The share of jobs that explicitly say workers can be remote has nearly tripled from pre-pandemic, from roughly 4% of in 2019 to nearly 12% of jobs in 2022, according to ZipRecruiter data.

    Some previous growth is now reversing as people resume in-person activities, particularly in education, tourism, agriculture and sports and recreation jobs, according to the job-search platform. Remote roles in business, arts and entertainment, and finance and insurance have leveled off throughout the last two years.

    But elsewhere, remote opportunities are rapidly expanding: technology, legal, engineering and science jobs are well-suited for remote work, and organizations — especially in health care, financial services and tech — are continuing to offer them.

    Here are the top 10 companies hiring for the largest share of remote-capable jobs on ZipRecruiter in 2022:

    1. Anthem: 60,445 remote jobs listed this year
    2. CBRE: 51,304 remote jobs listed this year
    3. USAA: 42,311 remote jobs listed this year
    4. Capital One: 36,336 remote jobs listed this year
    5. Cerebral: 34,526 remote jobs listed this year
    6. Change Healthcare: 30,602 remote jobs listed this year
    7. Meta: 29,052 remote jobs listed this year
    8. SAP: 282,62 remote jobs listed this year
    9. Kronos: 25,965 remote jobs listed this year
    10. SelectQuote: 25,799 remote jobs listed this year

    Upwards of 60% of job seekers hope to find remote opportunities, according to ZipRecruiter data. And a similar share, 56%, of full-time U.S. workers — more than 70 million people — say their job can be done working remotely from home, according to Gallup.

    Women are more likely than men to prefer remote work, and Black, Asian American and Latino workers are more likely than white peers to want the setup, per ZipRecruiter. Workplace experts have said throughout the pandemic that a greater adoption of flexible work arrangements could help boost company diversity, equity and inclusion efforts.

    Since the beginning of 2022, workers say Covid concerns are becoming less of a reason for wanting to work remotely, but a desire to save on commuting costs has gone up considerably. The typical job-seeker would even take a 14% pay cut in order to work remotely, with younger workers and higher earners willing to give up even more for the flexibility.

    Looking ahead, Gallup estimates 55% of jobs in the future will be done in a hybrid setup, and 22% will be done fully remote — nearly three times the share of exclusively remote jobs available before the pandemic. It projects just 23% of jobs will be done exclusively from a worksite, down from 60% of solely in-person work done in 2019.

    Check out:

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    Why does work feel so dysfunctional right now? A psychologist, labor expert and CEO weigh in

    Sign up now: Get smarter about your money and career with our weekly newsletter

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  • Global stocks mixed ahead of US employment update

    Global stocks mixed ahead of US employment update

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    BEIJING — Global stock markets were mixed Friday ahead of U.S. employment data investors hope will show the economy is weakening and persuade the Federal Reserve to ease off plans for more interest rate hikes.

    London and Frankfurt opened higher. Tokyo and Hong Kong declined. Oil prices rose.

    The future for Wall Street’s S&P 500 index was unchanged after the market benchmark fell Thursday following a private sector report that said U.S. employers hired slightly more workers than forecast in September. That gives ammunition to Fed officials who say more rate hikes are needed to cool the economy and rein in inflation that is at a four-decade high.

    U.S. government data due out Friday are expected to show fewer people were hired compared with previous months. Investors hope that will help persuade the Fed five rate hikes this year are working and it can scale down plans for more.

    “What the market seems to be crying out for is a Fed pivot,” said Robert Carnell of ING in a report. “For its part, the Fed is sticking to its ‘higher for longer’ mantra.”

    In early trading, the FTSE 100 in London gained 0.1% to 7,007.32 and the DAX in Frankfurt added 0.1% to 12,487.27. The CAC 40 in Paris advanced 0.1% to 5,943.54.

    On Wall Street, the future for the Dow Jones Industrial Average was up 0.1%.

    On Thursday, the S&P 500 lost 0.2%. The index is up 4.4% for the week following its best two-day rally in 2 1/2 years. The Dow slid 1.1%. The Nasdaq composite gave up 0.7%.

    In Asia, the Nikkei 225 in Tokyo sank 0.7% to 27,116.11 and Hong Kong’s Hang Seng tumbled 1.5% to 17,740.05.

    The Kospi in Seoul shed 0.2% to 2,232.84 while Sydney’s S&P ASX 200 lost 0.8% to 6,762.80.

    India’s Sensex lost less than 0.1% to 58,213.21. New Zealand and Southeast Asian markets declined.

    The Fed and central banks around the world are focused on extinguishing inflation that is running at multi-decade highs, but investors worry the unusually large and rapid pace of their rate hikes might tip the global economy into recession.

    Strong U.S. hiring is positive for job hunters but a sign of enduring economic strength, which might make the Fed think more rate hikes are needed.

    U.S. government data showed the number of applications for unemployment benefits hit a four-month high last week. That suggests the job market might be cooling.

    Forecasters expect the government to report the economy added 250,000 jobs last month, well below the past year’s monthly average of 487,000 but still a strong number despite inflation and two straight quarters of U.S. economic contraction.

    In energy markets, benchmark U.S. crude gained 56 cents to $89.01 per barrel in electronic trading on the New York Mercantile Exchange. The contract advanced 69 cents on Thursday to $88.45. Brent crude, the price basis for trading international oils, advanced 45 cents to $94.87 per barrel in London. It rose $1.05 the previous session to $94.42.

    The dollar declined to 144.84 yen from Thursday’s 145.07 yen. The euro gained to 98.06 cents from 97.94 cents.

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  • Hong Kong shares soar 6%, leading Asian market gains

    Hong Kong shares soar 6%, leading Asian market gains

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    TOKYO — Hong Kong’s share benchmark soared more than 6% on Wednesday as Asian shares tracked gains on Wall Street.

    New Zealand’s share benchmark rose 0.8% after its central bank hiked its benchmark interest rate to 3.5%, saying inflation remained too high and labor scarce. The half-point rate hike was the fifth in a row made by the Reserve Bank of New Zealand since February.

    Statistics New Zealand said inflation was running at 7.3% and unemployment at 3.3%. The rate hike came on the same day the government announced its finances were in better shape than forecast.

    The Hang Seng in Hong Kong rose 6.0% to 18,108.69, catching up with gains elsewhere as markets reopened following a holiday Tuesday. Markets in mainland China remained closed for a holiday.

    Japan’s benchmark Nikkei 225 added 0.5% to 27,138.99. Australia’s S&P/ASX 200 climbed 1.7% to 6,815.70. Shares in Australia got a boost after the Reserve Bank of Australia ordered a smaller-than-expected 25 basis points interest rate hike on Tuesday.

    South Korea’s Kospi gained 0.4% to 2,217.88.

    Analysts said the latest data on South Korea’s inflation may push the Bank of Korea to raise interest rates at its meeting set for next week, but such hikes were expected to slow in pace as inflation is brought under control.

    “We expect headline inflation to rise again in October. Gasoline prices will likely decline further, but city gas and power rates were raised at the beginning of October and fresh food prices will also probably rise ahead of winter,” said a report by Robert Carnell, regional head of research Asia-Pacific at ING.

    On Wall Street, the Dow Jones Industrial Average climbed more 2.8% to 30,316.32. The S&P 500 had its best day since May 2020 on Tuesday as the market clawed back more of the ground it lost over the past miserable several weeks. It surged 3.1% to 3,790.93.

    Twitter surged 22.2% after Elon Musk said he would go ahead with his $44 billion acquisition of the social media company, abandoning efforts to get out of the deal.

    The Nasdaq composite climbed 3.3% to 11,176.41. Small company stocks also made solid gains, lifting the Russell 2000 advanced 3.9% to 1,775.77.

    The two-day rally has hit markets as investors look for signs that central banks might ease up on aggressive rate hikes aimed at taming the hottest inflation in four decades. The rate hike by Australia’s central bank was smaller than previous ones.

    In the U.S., a government report on job openings showed the number of available jobs in the U.S. plummeted in August compared with July. It’s a sign that businesses may pull back further on hiring and potentially cool chronically high inflation, which could allow the Federal Reserve to slow the pace of rate increases.

    Investors are watching closely as central banks raise interest rates to make borrowing more difficult and slow economic growth to try to tame inflation. Investors are hoping that they will eventually ease off their aggressive rate hikes and the move by Australia’s central bank is a hopeful sign for some.

    Investors worry that the rate hikes, especially the increases from the Fed, could go too far in slowing growth and send economies into a recession. The Fed has already pushed its key overnight interest rate to a range of 3% to 3.25%, up from virtually zero as recently as March.

    Economic growth is already slowing globally and the U.S. economy contracted during the first two quarters of the year, which is considered an informal signal of a recession.

    Wall Street will get a more detailed look at the employment situation in the U.S. this week, with a report on hiring by private companies due out Wednesday, the latest tally of weekly applications for unemployment benefits on Thursday and the government’s monthly jobs report for September on Friday.

    In energy trading, benchmark U.S. crude fell 16 cents to $86.39 a barrel in electronic trading on the New York Mercantile Exchange. It surged $2.89 to 86.52 on Tuesday. Brent crude, the international standard for pricing, lost 8 cents to $91.72 a barrel.

    In currency trading, the U.S. dollar rose to 144.19 from 144.12 Japanese yen. The euro cost 99.69 cents, down from 99.87 cents.

    ———

    Damian J. Troise, Alex Veiga and Nick Perry contributed to this report.

    Yuri Kageyama is on Twitter https://twitter.com/yurikageyama

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  • Report: Amazon freezes hiring on corporate retail division

    Report: Amazon freezes hiring on corporate retail division

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    NEW YORK — Amazon is implementing a hiring freeze on the corporate side of its retail business for the rest of the year, according to a New York Times report, becoming the latest company to pause hiring plans amid growing concerns about an economic downturn.

    Citing an internal announcement, The New York Times reported Tuesday that the company informed recruiters all open job postings for such roles will close, and new openings will be available next year. The internal email also recommended phone interviews and other recruiting efforts be canceled, according to the report, which said some roles — such as field positions — will be exempt.

    In an email, Amazon spokesperson Brad Glasser said the company has a “significant number” of open roles. Glasser declined to say if Amazon was implementing the hiring freeze.

    “We have many different businesses at various stages of evolution, and we expect to keep adjusting our hiring strategies in each of these businesses at various junctures,” Glasser said in a statement.

    The Seattle-based tech and retail giant is one of several companies attempting to curb costs by implementing a personnel freeze. Meta, which owns Facebook and Instagram, is reportedly planning to reduce its own headcount amid fears over what the economy might look like in the coming months.

    Overall, hiring has generally remained strong. But hikes on interest rates by the Federal Reserve and other central banks, designed to reduce high inflation, raise the likelihood of a downturn.

    For Amazon, its retail business has been sluggish in the past few months as Americans shifted away from the pandemic-induced spike in online shopping. During the last two quarters, the company reported some of its slowest rates of revenue growth in nearly two decades. Aiming to cut costs, it’s been subletting its warehouses, canceling some projects or delaying construction on others.

    In July, the company said it was able to reduce its headcount on the warehouse side, which had been overstaffed, through attrition. It also said the broader economy was expected to shape its hiring plans moving forward.

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  • US job openings sink amid higher rates and slower growth

    US job openings sink amid higher rates and slower growth

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    WASHINGTON — The number of available jobs in the U.S. plummeted in August compared with July, a sign that businesses may pull back further on hiring and potentially cool chronically high inflation.

    There were 10.1 million advertised jobs on the last day of August, the government said Tuesday, down a huge 10% from 11.2 million openings in July. In March, job openings had hit a record of nearly 11.9 million.

    Layoffs ticked up in August but remained at a historically low level. And slightly more people quit their jobs.

    The sharp drop in job openings will be welcomed by the Federal Reserve. Fed officials have cited the high level of openings as a sign of strong labor demand that has compelled employers to steadily raise pay to attract and keep workers.

    Smaller pay raises, if sustained, should ease inflationary pressures. In their effort to combat the worst inflation in 40 years, the central bank has raised its key short-term interest rate to a range of 3% to 3.25%, up sharply from nearly zero as recently as March.

    Chair Jerome Powell and other Fed officials hope that their interest rate hikes — the fastest in roughly four decades — will cause employers to pull back on their efforts to hire more people. Fewer job openings, in turn, could reduce the pressure on companies to raise pay to attract and keep workers.

    Tuesday’s figures arrive the same week that a key report on jobs and the unemployment rate is set to be released Friday. Economists forecast that it will show that employers added 250,000 jobs in September and that the unemployment rate remained 3.7% for a second straight month.

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  • Asian shares rise after ‘relief rally’ on Wall Street

    Asian shares rise after ‘relief rally’ on Wall Street

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    TOKYO — Asian shares rose Tuesday, encouraged by a rally in U.S. shares after some weak economic data raised hopes that the Federal Reserve might ease away from aggressive interest rate hikes.

    Japan’s benchmark Nikkei 225 added 2.8% in afternoon trading to 26,959.25. South Korea’s Kospi gained 2.5% to 2,209.98.

    Australia’s S&P/ASX 200 jumped 3.8% to 6,699.30 after its central bank boosted its benchmark interest rate for a sixth consecutive month to a nine-year high of 2.6%. The Reserve Bank of Australia’s increase of a quarter percentage point to the cash rate was smaller than those at recent monthly meetings.

    When the bank lifted the rate by a quarter percentage point at its board meeting in May, it was the first rate hike in more than 11 years. It’s now at its highest point since August 2013, when the bank cut the rate from 2.75% to 2.5%.

    Markets in Hong Kong and Shanghai were closed for holidays.

    “Asian equities were positive on Tuesday after a corrective session as traders eye potentially oversold market conditions,” Anderson Alves at ActivTrades said in a report.

    On Monday, Wall Street soared to its best day in months in a widespread relief rally after some unexpectedly weak data on the economy raised the possibility that the Federal Reserve won’t have to be so aggressive about hiking interest rates.

    The S&P 500’s leap of 2.6% to 3,678.43 was its biggest since July, the latest swing for a scattershot market that’s been mostly falling this year on worries about a possible global recession.

    The Dow Jones Industrial Average jumped 2.7%, to 29,490.89, and the Nasdaq composite gained 2.3% to 10,815.43.

    Stocks took their cue from the bond market, where yields fell to ease some of the pressure that’s been battering markets this year. The yield on the 10-year Treasury, which helps set rates for mortgages and many other kinds of loans, fell to 3.62% from 3.83% late Friday. It got as high as 4% last week after starting the year at just 1.51%.

    A report on U.S. manufacturing came in weaker than expected, along with data showing a drop off in construction spending from July to August. That may seem discouraging, but could mean the Federal Reserve can ease off on raising interest rates to beat down the high inflation damaging households’ finances.

    By raising rates, the Fed is making it more expensive to buy a house, a car or most anything else purchased on credit. The hope is to slow the economy just enough to starve inflation of the purchases needed to keep prices rising so quickly.

    The Fed has already pulled its key overnight interest rate to a range of 3% to 3.25%, up from virtually zero as recently as March. Most traders expect it to be more than a full percentage point higher by early next year.

    But stresses are building in financial markets and corporate profits have weakened as central banks around the world hike rates in concert.

    The yield on the two-year Treasury, which more closely tracks expectations for Fed action, fell to 4.11% from 4.27% following the weaker-than-expected reports on the economy.

    Besides stocks, lower rates also boost prices for everything from cryptocurrencies to gold, which can suddenly look a bit more attractive when bonds are paying less in income.

    Stocks of high-growth companies and particularly risky or expensive investments have been the most affected by changes in rates. Bitcoin rallied Monday with the reprieve in yields, while technology stocks did the heaviest lifting to carry the S&P 500. Apple and Microsoft both rose more than 3%.

    Monday’s rally came despite an 8.6% drop for Tesla, one of the most influential stocks on Wall Street because of its massive market value. The maker of electric vehicles delivered fewer vehicles from July through September than investors expected.

    The latest update on the U.S. jobs market comes on Friday. Along with reports on inflation, the jobs report is one of the most highly anticipated pieces of data on Wall Street each month.

    It will be the last jobs report before the Fed makes its next decision on interest rates, scheduled for Nov. 2. Continued strength would give the central bank more leeway to keep hiking. Traders say the likeliest move is a fourth straight increase of a whopping three-quarters of a percentage point, triple the usual move.

    In energy trading, benchmark U.S. crude added 23 cents to $83.86 a barrel. It jumped Monday amid speculation big oil-producing countries could soon announce cuts to production. Shares of energy-producing companies made big gains. Exxon Mobil leaped 5.3%, and Chevron climbed 5.6%. Brent crude, the international standard, added 42 cents to $89.28 a barrel.

    In currency trading, the U.S. dollar inched up to 144.84 Japanese yen from 144.81 yen. The euro cost 98.28 cents, inching down from 98.40 cents.

    ———

    Yuri Kageyama is on Twitter https://twitter.com/yurikageyama

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  • US shift away from coal hits tribal community in New Mexico

    US shift away from coal hits tribal community in New Mexico

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    KIRTLAND, N.M. — The clamor of second graders breaking away from lessons to form lunch lines has gotten quieter in a rural New Mexico community, where families losing coal jobs have been forced to pack up and leave in search of work.

    At Judy Nelson Elementary, 1 in 4 students have left in an exodus spurred by decisions made five years ago to shutter a coal-fired power plant and mine that sit just up the road from the school in a largely Navajo community. The plant and mine had provided electricity to millions of people across the southwestern U.S. for nearly a half-century.

    The San Juan Generating Station burned its last bit of coal Thursday. The remaining workers will spend the coming weeks draining water from the plant, removing chemicals and preparing to tear down what has long been fixture on the high-desert horizon.

    It’s part of the latest wave of coal-burning units to be retired as New Mexico and other states try to fight climate change by requiring more carbon-free sources of electricity. President Joe Biden also has pledged to cut greenhouse gas emissions in half by 2030.

    Just weeks ago, Hawaii’s last coal-fired power plant closed after 30 years, and more retirements are scheduled around the U.S. over the next decade.

    Realities of shuttering the San Juan plant are setting in for surrounding communities, including the Navajo Nation, where poverty and joblessness already are exponentially higher than national averages. Hundreds of jobs are evaporating along with tens of millions of dollars in annual tax revenue used to fund schools and a community college.

    “A lot of the Native American families have multi-generations living in the home so it doesn’t just affect the husband and wife. It affects their children and their grandchildren,” said Arleen Franklin, who teaches second grade at Judy Nelson. Her husband purchases equipment for a coal mine that feeds another power plant scheduled to close in 2031.

    Denise Pierro, a reading teacher at Judy Nelson, said it’s stressful for parents to see a steady income erased. Pierro’s husband, who served as the general manager of the mine for the San Juan plant, is among those forced into early retirement.

    “They’ve taken the rug out from underneath our feet,” she said.

    Area power plants, mines and associated businesses represent 80% of property tax revenues that fund the Central Consolidated School District, which spans an area the size of Delaware and Rhode Island combined. Almost 93% of the students are Navajo.

    It’s rural and remote. Some students ride a school bus for three hours round trip, arriving home well after sunset. Internet service is spotty or nonexistent, and many homes don’t have electricity or indoor plumbing. The poverty rate within the district is four times the national level. The median annual household income is about $20,000, and the unemployment rate hovers around 70%.

    New Mexico’s Democratic leaders have celebrated the plant’s closure while touting a landmark 2019 law that pushes for a renewable energy economy. Gov. Michelle Lujan Grisham, who is running for reelection, has said the law represented a promise to future generations for a cleaner environment and new job opportunities.

    Environmentalists have said the closure will reduce air and water pollution in a region that some have described as an industrial sacrifice zone. They argue that power plant emissions and methane from the oilfields have caused health problems for residents.

    Joe Ramone, a 69-year-old pipe welder who worked at San Juan, lives in a Navajo community not far from the Four Corners plant. When the wind blows just right, he said his community is hit with ash and coal dust.

    Still, he said his priority is making sure Navajos have work.

    “I don’t want to see anybody unemployed and I am in no way in favor of these companies being shut down. But there’s room for improvement,” he said, suggesting more investments could have been made.

    The loss of the San Juan plant and the mine ripple through every facet of life, from fewer lunch orders at Kirtland’s café to a dwindling ash supply for concrete manufacturers. Meanwhile, prices have skyrocketed for everything from the Navajo staple of mutton to the woven baskets and other materials needed for healing ceremonies.

    Public Service Co. of New Mexico, which runs the plant, is providing $11 million in severance packages to help about 200 displaced workers. About 240 mine workers are getting severance payments worth $9 million. Another $3 million went to job training.

    A state fund established by the energy law also includes $12 million for affected workers.

    Solar and battery storage projects are meant to eventually replace the capacity lost with San Juan’s shutdown and provide jobs during construction. But some of those projects have been delayed due to supply chain problems, and others are on hold indefinitely amid historic inflation and other economic constraints.

    Fresh off a night shift as an electrician at the mine for the neighboring Four Corners Power Plant, Christine Aspaas, a Central Consolidated School Board member, said even if those “green” jobs existed now, they would be temporary. And to make up for lost property tax revenue, she said, some families will have to pay up to seven times more.

    It’s been heartbreaking for so many Navajos to consider leaving home, Aspaas said.

    “That’s what others don’t understand,” she said. “There’s culture, there’s traditions, and so it’s not easy.”

    Sharon Clahchischilliage, once a teacher and a former New Mexico lawmaker, said people in her Navajo community near Shiprock are angry.

    “One of them told me, ‘I don’t know who to be angry at for us having to do this. We don’t have a family anymore,’” she said, referring to bonds broken as Navajos search for jobs elsewhere.

    In the final days, the plant’s spinning turbine sent vibrations through layers of concrete and passing work boots. Heat emanated from the boilers below.

    In the dim control room, workers monitored screens displaying temperatures, pressure, turbine speeds and pollution control systems. Allen Palmer, 70, spent over half his life working his way up the ranks.

    “I hate to see it close,” he said.

    Workers knew for years that the plant would be shuttered. It became more real as coal piles shrank each day — until there was nothing left. As the finish line approached, the company served workers green chile cheeseburgers as a morale booster alongside a big projection screen that read: “Thank you to all employees at San Juan for your years of dedicated service!”

    The last few dozen employees will be laid off over the coming weeks. Some were ready to retire; in June, there were voluntary layoffs when the first of the last two generating units closed.

    “There’s lots of us who have worked 20-plus years and we all know each other and it’s our family,” said plant director Rodney Warner, who will oversee the decommissioning. “It’s who we are.”

    December would have marked 10 years at the plant for Steven Sorrow, 32. He and his coworkers know there’s a good chance they will have to uproot and possibly enter other fields. Some will head to Wyoming, Colorado or Utah, where there are other plants and mines.

    “It’s going to be an adjustment for sure,” he said. “I feel like I’ve tried to prepare over the five years when they told us what we had left. Hopefully I’ve prepared well enough.”

    Aspaas said officials need to find ways to keep the workforce in New Mexico. She said the foundation of economic development is education but without economic development, education suffers.

    “This whole transition, everything that’s happening, the closures, that’s what is threatening our ability to keep funding education,” she said. “When you go down to what it impacts, it is the education of our people, of the Navajo people, our students.”

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  • Fewer people seek US unemployment aid amid solid hiring

    Fewer people seek US unemployment aid amid solid hiring

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    WASHINGTON — The number of Americans filing for jobless benefits dropped last week, a sign that few companies are cutting jobs despite high inflation and a weak economy.

    Applications for unemployment benefits for the week ending Sept. 24 fell by 16,000 to 193,000, the Labor Department reported Thursday. That is the lowest level of unemployment claims since April. Last week’s number was revised down by 4,000 to 209,000.

    Jobless aid applications generally reflect layoffs. The current figures are very low historically and suggest Americans are benefiting from an unusually high level of job security. A year ago this week, 376,000 people applied for benefits.

    The economy shrank in the first half of the year, the government said in a separate report Thursday on gross domestic product, the broadest measure of the economy’s output.

    Yet employers, who have struggled to rehire after laying off 22 million workers at the height of the pandemic, are still looking to fill millions of open jobs. There are currently roughly two open positions for every unemployed worker, near a record high.

    With companies desperate for workers, they are much more likely to hold onto their current staff.

    Employers are also offering higher pay and benefits to attract and keep employees. Those higher salaries are contributing to inflation pressures.

    The Federal Reserve is aiming to bring down inflation by rapidly raising its key interest rate, which is currently in a range of 3% to 3.25%. A little more than six months ago, that rate was near zero. The sharp rate hikes have pushed up mortgage rates and other borrowing costs. The Fed hopes that higher interest rates will slow borrowing and spending and drive inflation down towards its 2% target.

    Fed officials are increasingly warning that the unemployment rate will likely have to rise as part of their fight against rising prices. If the number of unemployment claims drops, as it did last week, it suggests the Fed may have to raise rates even higher than it plans to slow the economy.

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    This has been corrected to show that the level of unemployment benefits applications is the lowest since April, rather than May.

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