US hospitality sector sees 1.5m workers return

10th July, 2020 by Owen Bellwood

Businesses in the US hospitality industry brought back 1.5 million employees in June as economic activity in the country picked up following the relaxation of lockdown measures in certain states.

Employment in food services and drinks establishments increased by 1.5 million in June

Lockdown measures implemented in the US to stem the spread of Covid-19 resulted in closures and rising unemployment across the country between March and April. However, as these measures have begun easing, the US Bureau of Labor Statistics found that total employment rose by 4.8m in June, boosted by gains in the leisure and hospitality sector.

Figures released by the bureau this week found that the number of people employed in the leisure and hospitality sector rose by 2.1m in June, accounting for two-fifths of the gain in total employment.

Of those employed in the sector, 1.5m people were employed in food service and drinks establishments. This increase followed similar gains in the industry in May.

Across the US, the unemployment rate declined to 11.1% in June and the number of unemployed persons who were on temporary layoff decreased by 4.8m to 10.6m. However, the number of permanent job losers continued to rise, increasing to 2.9m.

In June, the number of full-time employees increased by 2.4m to 118.9m and the number of part-time employees in the US also rose by 2.4m to 23.2m.

Despite easing lockdown measures across the US, bars in California were ordered to close their doors once again last week.

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