America’s employers added a strong 272,000 jobs in May, accelerating from April and a sign that companies are still confident enough in the economy to keep hiring despite persistently high interest rates.

Last month’s sizable job gain suggests that the economy is still growing steadily, propelled by consumer spending on travel, entertainment and other services.

U.S. airports, for example, reported near-record traffic over the Memorial Day weekend. A healthy job market typically drives consumer spending, the economy’s principal fuel. Though some recent signs had raised concerns about economic weakness, May’s jobs report should help assuage those fears.

Even so, Friday’s report from the government included some signs of a potential slowdown. The unemployment rate, for example, edged up for a second straight month, to a still-low 4%, from 3.9%, ending a 27-month streak of unemployment below 4%. That streak had matched the longest such run since the late 1960s.

President Joe Biden pointed to Friday’s jobs report as a sign of the economy’s robust health under his administration. He also charged that congressional Republicans would worsen inflation by cutting health care subsidies and widening the deficit through tax cuts.

The presumptive Republican nominee, Donald Trump, has focused his criticism of Biden’s economic policies on the surge in inflation, which polls show still weighs heavily in voters’ assessment of the economy. At a rally in Phoenix on Thursday, he blamed illegal immigration for contributing to higher prices.

Economists say the mixed signals from Friday’s report — a surge in jobs alongside a slight rise in unemployment — are likely a sign that the job market is normalizing after years of distortions related to the pandemic. After the brutal pandemic recession, when unemployment rocketed to nearly 15%, hiring soared in 2022 and 2023 as the economy quickly recovered. Wages, before adjusting for inflation, also jumped as businesses desperately sought to fill jobs.

“Employment growth is continuing at a solid pace, but there are ample signs that the heat in the labor market over the past few years largely has been removed,” said Sarah House, an economist at Wells Fargo.

The number of open jobs, while still elevated, has fallen to a three-year low, the government said this week. Fewer workers are quitting their jobs, after quits had soared after the pandemic. Many employers say it’s become easier to find workers to fill their open jobs.

Wages rise

But after months of cooling, growth in hourly paychecks accelerated last month, a welcome gain for workers, but one that could contribute to stickier inflation.

Hourly wages rose 4.1% from a year ago, faster than the rate of inflation and more quickly than in April. Some companies may raise their prices to offset their higher wage costs.

The Federal Reserve’s inflation fighters would like to see the economy cool a bit as they consider when to begin cutting their benchmark rate. The Fed sharply raised interest rates in 2022 and 2023 after the vigorous recovery from the pandemic recession ignited the worst inflation in 40 years.

Friday’s report will likely underscore Fed officials’ intention to delay any cuts to their benchmark interest rate while they monitor inflation and economic data.

Most economists expect no Fed rate reductions before September at the earliest. Once the cuts do begin, lower rates on many consumer and business loans, including for mortgages and autos, should follow.

Though Chair Jerome Powell has said he expects inflation to continue to ease, he has stressed that the Fed’s policymakers need “greater confidence” that inflation will fall back to their 2% target before they would reduce borrowing costs. Annual inflation has declined to 2.7% by the Fed’s preferred measure, from a peak above 7% in 2022.

“This report is going to complicate the Fed’s job,” said Julia Pollak, chief economist for ZipRecruiter. “No one’s getting those very clear signals that they were hoping for that a rate cut is appropriate in July or September.”

Last month’s hiring occurred broadly across most of the economy. But job gains were particularly robust in health care, which added 84,000, and restaurants, hotels, and entertainment providers, which gained 42,000.

Governments, particularly local governments, added 43,000 positions. Professional and business services, which includes managers, architects and information technology, grew by 33,000.

One potential sign of weakness in the May employment report was a drop in the proportion of Americans who either have a job or are looking for one; it fell from 62.7% to 62.5%. Most of that drop occurred among people 55 and over, many of whom are baby boomers who are retiring.

A surge in immigration in the past three years has boosted the size of the U.S. workforce and has been a key driver of the healthy pace of job growth. Economists have said it isn’t clear whether the government’s jobs report is picking up all those gains, particularly among unauthorized immigrants.

The economy expanded at just a 1.3% annual rate in the first three months of this year, the government said last week, a sharp pullback from the 3.4% pace in last year’s final quarter. Much of the slowdown, though, reflected reduced stockpiling by businesses and other volatile factors, while consumer and business spending made clear that demand remained solid.

In April, though, consumer spending, adjusted for inflation, declined. That raised concern among economists that elevated inflation and interest rates are increasingly pressuring some consumers, particularly younger and lower-income households.

A key reason why the economy is still producing solid net job growth is that layoffs remain at historic lows. Just 1.5 million people lost jobs in April. That’s the lowest monthly figure on record — outside of the peak pandemic period — in data going back 24 years. After struggling to fill jobs for several years, most employers are reluctant to lay off workers.

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By DAVE COLLINS (Associated Press)

Conspiracy theorist Alex Jones is seeking court permission to convert his personal bankruptcy reorganization to a liquidation, which would lead to a sell-off of a large portion of his assets to help pay some of the $1.5 billion he owes relatives of victims of the Sandy Hook Elementary School shooting.

Jones and his media company, Free Speech Systems, both filed for bankruptcy reorganization after the Sandy Hook families won lawsuits against him for his repeatedly calling the 2012 shooting that killed 20 first graders and six educators in Newtown, Connecticut, a hoax on his Infowars programs.

But Jones and the Sandy Hook families have been unable to agree on how the resolve the cases, leading to Jones filing a motion Wednesday in U.S. Bankruptcy Court in Houston asking a judge to convert his personal case from a Chapter 11 reorganization to a Chapter 7 liquidation.

“The Debtor does not anticipate that a resolution may be reached with the other parties in interest sufficient to confirm a chapter 11 plan of reorganization,” Jones’ filing said. “Given that there is no reasonable prospect of a successful reorganization, remaining in chapter 11 would incur additional administrative expenses without concomitant benefit to the Debtor’s estate.”

Jones’ bankruptcy lawyers did not immediately reply to Friday messages seeking comment.

Christopher Mattei, a lawyer for the families, said in a statement that “Alex Jones has hurt so many people. The Connecticut families have fought for years to hold him responsible no matter the cost and at great personal peril. Their steadfast focus on meaningful accountability, and not just money, is what has now brought him to the brink of justice in the way that matters most.”

The Sandy Hook families, meanwhile, are asking the same judge to convert Free Speech Systems’ case from a reorganization to a liquidation.

Judge Christopher Lopez has scheduled a June 14 hearing in Houston to decide on how to resolve the cases.

Jones’ lawyers have said that the company’s case also appeared to be headed toward a liquidation, or it could be withdrawn.

Liquidation could mean that Jones would have to sell most of what he owns, including his company and its assets, but could keep his home and other personal belongings that are exempt from bankruptcy liquidation. Proceeds would go to his creditors, including the Sandy Hook families.

If Free Speech Systems’ case is withdrawn, the company would return to the same position it was in after the $1.5 billion was awarded in the lawsuits and it would send efforts to collect the damages back to the state courts in Texas and Connecticut where the verdicts were reached.

Jones already has moved to sell some of his personal assets to pay creditors, including his Texas ranch worth around $2.8 million.

But a liquidation of Jones’ and his company’s assets would raise only a fraction of what he owes the Sandy Hook families.

According to the most recent financial statements filed in the bankruptcy court, Jones personally has about $9 million in assets, including his $2.6 million Austin-area home in Texas and other real estate. He listed his living expenses at about $69,000 for April alone, including about $16,500 for expenses on his home, including maintenance, housekeeping and insurance.

Infowars’ parent company, Free Speech Systems, which employs 44 people, had nearly $4 million in cash on-hand at the end of April. The business made nearly $3.2 million in April, including from selling the dietary supplements, clothing and other items that Jones promotes on his show, while listing $1.9 million in expenses.

Last weekend, Jones warned on his show that his company faced an imminent shutdown because of what he called a conspiracy by the government and Democrats related to his bankruptcy cases. He urged his supporters to form a human chain around his Austin studio to prevent a takeover, and said he was sleeping in the studio to guard against a shutdown — which didn’t happen.

Lopez, the judge, ruled Monday that Jones could keep operating until June 14, when decisions on potential liquidations are expected.

Jones has said on his show that even if Free Speech Systems and Infowars are sold off, he could resume his broadcasts in some other fashion.

Jones had offered a bankruptcy reorganization plan that would have let him keep operating Free Speech Systems and Infowars while paying the Sandy Hook families a minimum total of $55 million over 10 years. Before that proposal, the families had offered to settle their debt for a minimum of $85 million.

The families of many, but not all, of the Sandy Hook victims sued Jones and won the two trials in Connecticut and Texas.

The relatives said they were traumatized by Jones’ comments and the actions of his followers. They testified at the trials about being harassed and threatened by Jones’ believers, some of whom confronted the grieving families in person saying the shooting never happened and their children never existed.

“We must accumulate data to understand how the city has supported work permit applications, entrepreneurship, workforce development initiatives, and access to health care in order to identify the gaps in our efforts,” said the bill’s sponsor, Councilwoman Carlina Rivera.

The City Council passed two bills Thursday launching an economic and health care survey of migrants and asylum seekers under the city’s care, which its sponsor says will help officials better understand and meet the needs of new arrivals.

In February, Councilwoman Carlina Rivera introduced the legislation to anonymously survey immigrants: Intro 84-A will gather information on “skills, economic opportunities, and workforce development obstacles” that migrants face, while Intro 85-A will focus on their long-term health needs, including chronic conditions and health care access.

Since the Spring of 2022, around 201,200 migrants and asylum seekers have arrived in New York City and about 65,000 are currently in the shelter system, where most are subject to 30- or 60-day limits. The Adams administration, citing lack of space and resources, is now enforcing stricter rules for adults migrants without children seeking more time in the system, which advocates worry will lead to more people sleeping on the streets.

“As elected leadership we must be more proactive in providing opportunities for people to transition out of the shelter system and into more permanent living situations,” Rivera said at a press conference ahead of Thursday’s vote on the bills. The surveys, she added, will lay “the groundwork for a more effective humanitarian response going forward.”

The bills come at a time of changing rules at the southern border, following an executive order from the Biden administration to quickly process requests for asylum and deport those who do not meet the requirements. Locally, Mayor Eric Adams and Gov. Kathy Hochul—who was in the White House with President Joe Biden during the announcement—have supported the border restrictions.

The long-anticipated measure taken by the president aims to reduce the number of migrants crossing between ports of entry into the country, and thus local officials expect lower numbers of those admitted under city and state services.

“This will stem the flow, because otherwise, there is no end in sight. This gives us the breathing room to manage the people we have, help them get the work permits,” Hochul said during an interview with NY1.

One of the surveys required by the bill would explore the barriers to workforce development faced by immigrants. Advocates for migrants from non-Spanish speaking countries, especially those from the African continent, have pointed out the lack of workforce programs in languages such as Arabic, French, Pulaar, and Wolof.

The bill requires the surveys to be administered in the “designated citywide languages“—the six most common languages spoken by New Yorkers with limited English proficiency, and the four most common languages spoken by the populations served by city agencies—and “temporary languages,” which are the languages spoken by people newly arriving in the city and identified by the Office of Language Services.

There is no cost associated with these bills, Rivera assured. Both fiscal impact reports confirm that there would be no effect on city expenditures, as the responsible agency will use existing resources to comply with its requirements.

“We’ll need to have individuals trained, whether it’s administering the survey or ensuring that people understand how to take the survey, or ensuring that we are doing the proper engagement, so there are some resources in terms of engagement administration,” Rivera explained. “Other than that, we think that this is something that should become part of a normal routine in terms of how people go through city systems.” 

Under the bill, the mayor is required to designate a mayoral office or agency that would need to have the surveys ready by Oct. 31. 

By the end of the following month, the responsible entity will distribute the survey to case managers and onsite staff at sites responding to migrant arrivals. According to Rivera, these include the city’s main Arrival Center at the Roosevelt Hotel, its Humanitarian Emergency Response and Relief Centers (HERRCs), respite centers, emergency shelters, asylum seeker resource navigation centers, as well as any other facilities used for shelter by the city outside the five boroughs.

The current bill language does not describe a minimum or maximum number of people to be surveyed or how long the the surveys will be conducted for.

“We don’t have a target, but the more the better,” Rivera said, adding that the bill has broad language to include families with children as well as single adults and couples.

The results of the surveys must be delivered to the head of the commissioned city entity by May 31, 2025, and to the mayor and the speaker of the Council by Sept. 30, 2025, followed by its publication online. The same deadlines would remain in place until 2029, or when the state of emergency related to asylum seekers declared by the state expires, whichever comes first.

When asked to comment on possible approval of both bills before Thursday’s vote, City Hall Spokesperson Kayla Mamelak said the mayor’s office will review the legislation. The New York City Department of Health and Hospitals (H+H) referred questions to City Hall, and the New York City Department of Health and Mental Hygiene said it doesn’t comment on pending legislation.

During an executive budget hearing in May, H+H’s CEO Dr. Mitchell Katz said that the top medical need for newly arrived asylum seekers and migrants was pregnancy care.

“NYC Health + Hospitals has established a pathway to connect women to care at NYC Health + Hospitals/Bellevue, which, in addition to our other facilities, has helped over 700 asylum seekers receive prenatal care and give birth to healthy babies,” reads a recently published statement.

Rivera said that this type of information and data is long overdue.

“In speaking with the community organizers,” Rivera said, “I’ve learned that we must accumulate data to understand how the city has supported work permit applications, entrepreneurship, workforce development initiatives, and access to health care in order to identify the gaps in our efforts. And we’re hoping that this will certainly help.”

To reach the reporter behind this story, contact Daniel@citylimits.org. To reach the editor, contact Jeanmarie@citylimits.org

Want to republish this story? Find City Limits’ reprint policy here.

The Gophers football program unveiled new jerseys with a classic look on Friday.

Minnesota’s new Nike threads primarily add stripes to both the shoulders and the sides of the pants. The U has a white uniform to wear for some road games and will keep its current black combo as an alternate this fall.

The Gophers’ jersey relaunch is the first for the U since 2018.

The new ensemble will have maroon, gold and white combinations of jerseys, pants and helmets to work with, but will no longer have the flashy chrome gold helmets. Bringing that previous fashion statement forward would have clashed with the gold in the new scheme.

The Gophers wore the previous set of jersey designs for six season from 2018 to 2023. The new Nike Vapor Field Utility Special Edition variety are stronger, lighter and more breathable than the old duds, the U said.

The Gophers open the 2024 season against North Carolina at Huntington Bank Stadium on Aug. 29.

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