The impact of the COVID ‐19 pandemic on labor market conditions in Nevada: A preliminary assessment

Abstract

This study provides a preliminary assessment of the impact of the pandemic on labor market conditions in Nevada. The analysis applies a locally weighted regression method (Lowess curve fitting) to time‐series data on weekly initial and continuing unemployment claims. Other measures of labor market outcomes are also included in the analysis. The findings suggest that while baseline conditions were relatively stable, the pandemic has generated an increase in unemployment in Nevada, and a steep rise in the number of unemployed workers covered by unemployment insurance. However, the largest growth in initial weekly unemployment claims may have already occurred. In addition, given the weight of leisure and hospitality in overall nonfarm employment, workers in that sector have been at elevated risk for unemployment. It is also possible that Latino and Asian workers will experience higher levels of unemployment. Finally, the study suggests that a history of inadequate financing has undermined the administrative capacity of the state's unemployment agency, with attendant consequences for its ability to process new claims. Likewise, the volume of continuing claims raises questions about the financial solvency of Nevada's unemployment insurance trust fund.

Impact of COVID-19 on Sexual and Gender Minority Communities: Focus Group Discussions

“…Additionally, focus group participants reported that they, or their loved ones, had experienced job loss or the threat of it, with entertainers particularly impacted by pandemic job-related disruptions. Nevada was one of the states hit hardest by the pandemic, as there is a higher percentage of Nevadans employed in the hospitality, leisure, and retail spaces [48]. Despite casinos reopening, many positions have not returned, leaving experts to warn that Nevada's economy may take years to fully recover [49].…”

CanCOVID‐19 mitigation measures promote telework practices?

“…Between March 12 and April 12, the employment rate in the U.S. falls by about 1.7% points for every extra 10 days because of implementing the stay‐at‐home mandate (Gupta et al, 2020). In the United States, job vacancies and job posting have been dramatically declined, while the unemployment rate had increased due to the pandemic associated by an increase in discouraged workers and the coverage by unemployment insurance (UI) had witnessed a steep rise (Coibion et al, 2020; Kahn et al, 2020; Tuman, 2020). The decline in job vacancies was uniform across occupation, industries, and states.…”

“…Travel and recreational industries, as well as hospitality, have witnessed international distortions (with impact on both travel supply and demand), crucial economic loss, and significant declines in terms of tourist numbers and reservations, and consequently a reduction in the number of workers (Gössling, Scott, & Hall, 2020; Nicola et al, 2020; Tuman, 2020). The pandemic has also affected the travel industry, particularly the aviation sector, which is grappling with the significant drop in demand and the unprecedented wave of cancellations due to border closures and the restrictions on nonessential travel (i.e., tourism travel, immigrant visas, and work visas) imposed by many governments.…”