Sen. Moran issues statement on unemployment
Following the U.S. Department of Labor’s surprise report on Friday, June 5 of a decline in the national unemployment rate, U.S. Sen. Jerry Moran (R-Kan.) called the report “a positive step forward in our economic recovery,” it was reported.
Sen. Moran also expressed gratitude over the passage of the Paycheck Protection Program Flexibility Act, which is now headed to President Donald Trump for signature.
“This week, I’m pleased the Senate voted to update the Paycheck Protection Program to allow businesses more flexibility on how and when they can use their loans,” Moran said. “I will work with my colleagues and the administration to continue to make certain the Paycheck Protection Program is benefiting small businesses and helping keep more employees on the payroll as we safely reopen our economy.”
According to Friday’s Labor Department report, the U.S. unemployment rate unexpectedly dropped to 13.3 percent in May, down from a record high in April, indicating the nation's economy is recovering faster than expected from the coronavirus lockdown.
The report stated that employers added 2.5 million jobs in May — the biggest increase on record, it was reported. The economy lost a combined total of 22.1 million jobs in March and April, indicating an estimated 21 million Americans currently out of work.
The jobless rate dropped from 14.7 percent in April, which was the highest level ever since record-keeping began in 1948. The surprise decline, combined with the surge in jobs, suggested that the worst is over for the nation's economy as states ease stay-at-home guidelines and businesses bring back staff, economists said.
“The COVID-19 pandemic caused businesses to make difficult decisions to protect those who are most vulnerable to this virus, and unfortunately, thousands of Kansas businesses closed their doors with little certainty on when they could reopen,” Moran said. “Through the Paycheck Protection Program, 50,000 businesses in Kansas were able to receive loans to endure this pandemic and save thousands of jobs.”
The Paycheck Protection Program Flexibility Act, among other things, will extend the current eight-week period during which businesses must use funds to have loans forgiven to 24 weeks or Dec. 31, whichever comes sooner. The U.S. House of Representatives and Senate both passed H.R. 7010, and the bill will proceed to the president’s desk to be signed into law.
Stocks also rallied following the report, with the Dow Jones Industrial Average pointing to a Friday morning open nearly 600 higher, it was reported.