Labor Shortages Inhibit Economic Growth

Utah’s unemployment rate dropped to 3.1 percent in March, one of the lowest rates in the nation. Since everyone already has a job, businesses in the state are finding it tougher to grow.

The New York Times explains the effects of full employment in Utah. Companies in different industries, from roofing supply to dairy farming, are struggling to find new workers, which has forced them to raise wages and decrease production.

To Todd Bingham, the president of the Utah Manufacturers Association, “3.1 percent unemployment is fabulous unless you’re looking to hire people. Our companies are saying, ‘We could grow faster, we could produce more product, if we had the workers.’ Is it holding the economy back? I think it definitely is.”

Read more