Is Slow Population Growth Causing The Labor Shortage?
Here's Five Fast Facts You Need To Know
The labor shortage is continuing to be a certified Debbie Downer, and new data shows that it might not just be caused by people not wanting to work… but rather, people not being born. 📉👶
While everyone's laser-focused on supply chain issues, analysts say we should be paying more attention to the baby supply issue (and we’re not talking about infant formula this time). They say that the current molasses-like growth rates in the nation's population is the main cause of ongoing labor shortages. 🏭
Here’s Five Fast Facts on population growth and the labor shortage:
🧑🎤 80's Babies - Today, the population growth rate of prime working age people (ages 25 to 54) in the nation is 0.2%. That's a tenth of what it was in the mid 1980s, when it was over 2% growth per year. Perhaps the Flock of Seagulls haircuts had something to do with it.
🌴Hotel California - You can check out any time you like, but you can (and probably should) leave. Cali's lack of housing naturally caps population and labor growth, and without affordable housing, families and businesses are peacing out, especially in SoCal.
👋 Boomergate - Even though the pandemic brought a huge wave of retirements that affected the labor shortage, analysts say it's not the root cause. Apparently, it's a long term demographic problem. Maybe we should start buying stock in Viagra? or Spanish Fly?
👴🏻Oldie But Goodie - Analysts provided a ton of recommendations on how to cope. One recommendation from analysts is to encourage and support older employees who want to stick around. And it seems like they really are sticking around!
🍔 Movin' On Up - Another suggestion is for government leaders to subsidize employer-based worker training programs. They should also allocate funding to help lower-skilled workers to enter higher skilled career paths, because there are plenty of burger-flippers with Bezos-sized dreams.
🔥Bottom line: It seems like the word "shortage" is everyone's middle name these days. It looks like we're stuck with this labor shortage problem for the foreseeable future. If the long-term solution is to boost population growth, we know a great little hideaway in the mountains with a heart-shaped jacuzzi 😉🌹.
What do you think is the main cause of the labor shortage? Let us know by connecting with us on Social Media and be sure to share this newsletter with any friends & coworkers!