CCTV Transcripts

CCTV Script 05/01/22

— This is the script of CNBC's news report for China's CCTV on January 5, 2022, Wednesday.

Data compiled by the U.S. labor department shows that the health risk brought by the pandemic may be a major factor in people leaving their jobs. In November, several industries saw an increase in the number of quits, with the largest increases in accommodation and food services; health care and social assistance; and transportation, warehousing, and utilities. Over 1 million people have resigned from the industry of leisure and hospitality, which include entertainment, accommodation and food services. That means 6.4% of the industry's workforce, or 1 in 16, left their positions.

Lily Roberts

Center for American Progress managing director

They're leaving jobs that are low paid, or that have really high exposure levels to COVID. And they're finding a better job. Other folks are having to leave the labor market because their childcare or the education of their children is turning virtual or in childcare in the case of childcare. And those facilities are closing. And I think over the next couple of weeks, we're going to see those ripple effects again, of how the care economy underpins the rest of the labor market in this country,

Industries have taken various measures to counter the labor shortage, which include adopting high-tech equipment like robots and, more directly,  increasing the payment to fight for talents. 

In 2022, 26 American states are on track to raise minimum wages. "We are definitely in a war for talent," said a senior executive at ASML, a Dutch maker of semiconductors, in a recent interview. The fresh tracking data show that the average waiting time for chip delivery extended again last month to 25.8 weeks, another record.

It is quite common to see payment increases in "talent war" among different industries. However, unlike cost increases of raw materials and transportation, salary is hard to be lowered once elevated. Its impact on inflation can last for a while. In an interview conducted on Tuesday, former McDonald's CEO Ed Rensi warned against labor shortage, saying it will lead to "catastrophe". Rensi argued that Americans are feeling the labor shortage "big time", calling the situation a "nightmare." And a report from ING issued in December found the continuous labor shortage is worsening inflation and weighing down potential American economic growth.  The newly printed December ISM manufacturing PMI came lower than expected and reached a one-year low. That means while the U.S. economy is still growing, it is growing at a slower pace.