Quick Hit:

The latest Bureau of Labor Statistics report revealed a rise in unemployment to 4.0%, highlighting continued economic struggles under the Biden administration. Significant job losses for native-born workers and gains for foreign-born workers, including illegal immigrants, paint a concerning picture for the American workforce.

Key Details:

• The unemployment rate increased to 4.0% in May, up from 3.9% in April, highlighting ongoing economic instability under President Biden's leadership.

• Native-born Americans saw a significant decline in employment, losing 663,000 jobs, while foreign-born workers, including illegal immigrants, gained 414,000 jobs.

• The Federal Reserve Bank of Atlanta recently revised its GDP growth estimate down from 4.2% to 1.8%, reflecting slowing economic activity and reduced consumer spending as inflation remains steady and prices continue to rise.

Diving Deeper:

The Bureau of Labor Statistics (BLS) released its May jobs report Friday, revealing a sharp rise in the unemployment rate to 4.0%, up from 3.9% in April. 

One of the most alarming aspects of the report is the stark disparity between native-born and foreign-born workers. While native-born Americans saw a significant decline, losing 663,000 jobs, foreign-born workers, including illegal immigrants, experienced an increase of 414,000 jobs. This shift has raised serious concerns about the impact of immigration policies on the job market. CNBC highlighted this issue, noting, "There's an immigration piece of this... whether or not they're here legally or not is a different story."

Adding to the bleak outlook, a staggering 625,000 full-time jobs vanished in May, while at the same time, the number of Americans employed part-time surged by 286,000 last month. This troubling shift in employment highlights an economy that is increasingly precarious for the most vulnerable, forcing many to settle for less stable and lower-paying jobs. 

Economic indicators further compound the bleak outlook. The Federal Reserve Bank of Atlanta recently revised its second-quarter GDP growth estimate down from 4.2% to 1.8%, signaling further slowdowns in economic activity. Additionally, the first-quarter GDP growth was revised down from 1.6% to 1.3%, reflecting decreased consumer spending and lower business investment as inflation remains steady and prices continue to rise.