Reflecting on a disappointing jobs report this week that was a setback for Donald Trump's administration, the Wall Street Journal is reporting that prospects don't look much better in the coming months.
In a week of wins for the president in the courtroom and in the GOP-controlled Congress, the stunning job report was a black cloud that, according to some business execs, will continue to linger.
As the Journal's Konrad Putzier and Lauren Weber wrote, "Many private employers aren’t hiring anymore," before adding, "Weighed down by high interest rates, a federal crackdown on immigration and uncertainty over tariffs, more companies are deciding they are better off with a smaller head count."
Pointing out that the 74,000 jobs added in the private sector is regarded as "anemic," the report added that growing companies like Warby Parker and not only slowing hiring but looking for ways to reduce expenses in an economy that has more questions than answers.
"American Vinegar Works, a six-year-old specialty-food company based in Worcester, Mass., is holding off plans to bring on an additional employee to fill orders, as well as sales staff, because of concerns about the economy," the Journal is reporting with owner Rodrigo Vargas admitting, "I just don’t know what’s happening. It makes me cautious.”
David Seif, chief economist for developed markets at Nomura, told the Journal, "It’s certainly a red flag."
The report goes on to note that those who are actively looking for jobs are finding a dearth of opportunities in the current climate.
Tom Lott, the head of talent acquisition at Berry Appleman & Leiden, told the Journal, "There’s just a fear and desperation in the candidate population that I haven’t seen in a very, very long time."
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