States that cut extra unemployment early saw jumps in hiring of over-25s but a slowdown in hiring of teenagers

"The 20 Republican-led states that reduced unemployment benefits in June did not see an immediate spike in overall hiring, but early evidence suggests something did change: The teen hiring boom slowed in those states, and workers 25 and older returned to work more quickly," Heather Long and Andrew Van Dam report for The Washington Post.

Payroll processor Gusto gave the Post an analysis which found that hospitality businesses in states that have ended extra unemployment benefits, such as Missouri, "saw a jump in hiring of workers over age 25," the Post reports. Howver, "The uptick in hiring of older workers was roughly offset by the slower hiring of teens in these states. In contrast, restaurants and hospitality businesses in states such as Kansas, where the full benefits remain, have been hiring a lot more teenagers who are less experienced and less likely to qualify for unemployment aid."

Health concerns and childcare difficulties have likely played a large role in adults' reluctance to return to work, Gusto found. The analysis concludes: "Ending enhanced unemployment insurance provisions is likely not the silver bullet to speeding up this economic recovery, and policymakers would be better-served by focusing on achieving higher vaccination rates and ensuring schools and child care centers can re-open in a safe and timely manner—particularly because these enhanced UI provisions are set to end for all states in several weeks."