The social distancing actions to help prevent the spread of Coronavirus Disease 2019 (COVID-19) has caused many to go unemployed and businesses to struggle.
The mandated lockdowns and closures of businesses have kicked 22 million Americans out of work, according to the National Broadcasting Company (NBC). Before the pandemic, America’s economy was strong; now, we are in an economic crisis.
Wyoming was one of the states hit the worst by unemployment. Unemployment rates in Wyoming spiked 350%, according to Wyoming Public Media. The Wyoming Workforce Services’ Report shows the Leisure and Hospitality industry is struggling with unemployment the most with 1,204 initial unemployment claims and 3,466 continued claims. However, the total number of continued claims reaches close to 13,000.
Julia Wolf told Wyoming Public Media that Wyoming is expected to lose 37,000 jobs in July.
The CARES Act extends unemployment benefits to 39 weeks, yet the minimum weekly benefit is only $36 and the maximum at $508. Most apartments in Laramie cost $300 to $1,000 a month, meaning at the lowest unemployment benefit, students cannot afford to pay for rent. That is if students qualify for these benefits.
The unemployment benefits are currently exposing and hurting businesses. Receiving a $500 or more paycheck each week for becoming unemployed could not only be more comfortable, but a more substantial paycheck than employees received during their previous work. National Public Radio covered a coffee shop that had ran out of business because the employees could receive a more substantial salary by becoming unemployed and receiving the benefits.
Areas with low COVID-19 numbers may be allowed to reopen after May 1, according to a report circling congress. Other cities with higher COVID-19 numbers may have to wait until June or longer to open businesses.
Governor Mark Gordon has not yet issued a stay at home order for the people of Wyoming and has only prohibited gatherings of 10 or more people. The prohibited gathering orders will end April 30, ending social distancing, which could lead to employment and betterment of the Wyoming economy.
This date, April 30, is subject to change as Governor Gordon told The Associated Press that this issue is driven on data and not by dates. As the U.S. News reported, Wyoming has had 400 confirmed or suspected cases, only two of which have been deaths and 200 who have reported having recovered.
Another phase of unemployment will follow the current situation as businesses will hire desperate employees for cheaper pay, according to The Atlantic. This action would be in response to the economic downturn businesses already faced to quickly boost their profits.
