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Saturday, May 18, 2024

The Mackinac Center for Public Policy reports higher unemployment rates due to lockdowns

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The restaurant and bar industry, in particular, has had to lay off thousands of workers over the past few months. | Pixabay

The restaurant and bar industry, in particular, has had to lay off thousands of workers over the past few months. | Pixabay

The Mackinac Center for Public Policy reported that COVID-19 lockdowns throughout the state of Michigan are resulting in higher unemployment rates.

According to the Mackinac Center, the governor has stated that she will be loosening restrictions for some businesses, but the rules are difficult to comprehend. 

According to the Bureau of Labor Statistics, one-third of the state’s workforce was out of work during the closures instituted by Gov. Gretchen Whitmer's rules, which is significantly higher than the 21% of workers who were out of a job nationally. This is no coincidence, as states whose governors instituted forced closures tend to also have higher rates of unemployment. In fact, the stricter the lockdowns, the greater correlation to higher unemployment.

Throughout the COVID-19 pandemic, Whitmer issued stringent closures for all industries across the state of Michigan: All schools K-12 were closed on March 16, restaurants have been closed off and on for months, and houses of worship with congregations of more than 250 people were prohibited from gathering, the Detroit News reported.

Even now, Michigan’s Department of Health and Human Services has shuttered all restaurants for indoor dining from Nov. 18 until Feb. 1, according to U.S. News and World Report. Carry-out and delivery are permitted, but restaurateurs are frustrated by the fact that state data fails to show a strong connection between indoor dining in bars and restaurants and outbreaks of the coronavirus. 

Whitmer continues to defend the closures, stating that it is important to open in a responsible manner and prevent infecting more people.

Michiganders are now awaiting the second round of stimulus checks, which are rolling in over the coming weeks. Lansing State Journal reported that nearly 700,000 Michigan workers are receiving benefits from the federal program known as the CARES Act, the Coronavirus Aid, Relief and Economic Security Act.

Unemployed Michiganders, as well as the majority of lower-to- middle-income earners, will be receiving money from the $900 billion stimulus bill, which was passed in December 2020.

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