People in America are not able to survive with just one job, the number of people doing multiple jobs is at a record high
US President Donald Trump is taking rapid decisions in his second term. He has imposed reciprocal tariffs on many countries of the world. Except China, all other countries have been given a grace period of 90 days. Due to this tariff, there is a fear of the world getting trapped in recession and inflation increasing. The people of America are already feeling its heat. The situation has become such that they are not able to survive with one job and they have to do more than one job to run their household. In March, the number of people doing multiple jobs in the country increased by 76000 to a record 8.94 million.
This number is 500,000 more than the 2019 level. If seen as a share of employment, 5.5 percent of the people in America are engaged in multiple jobs. This number is the highest since 2009. Similarly, 28.47 million people are doing part-time jobs in the country. This is the third largest number in the history of America. Wages have not increased in America for many years, while inflation has increased significantly during this period. This is the reason why it is becoming difficult for people to run the house and they are doing multiple jobs.
Credit card default
Credit card default in America has reached $ 46 billion in the first three quarters of 2024, which is the highest since 2010. This year it is expected to go above the all-time high of 2010. It has jumped more than 50% compared to 2023. It is clear from this that the people of America are troubled by inflation and are not able to pay its bill by shopping with credit card. Many years of inflation have troubled the people and the Federal Reserve has kept interest rates high continuously. This is the reason why credit card outstanding crossed $ 1 trillion for the first time in mid-2023.
Due to the Corona epidemic, there were supply problems while people spent a lot. This increased inflation. To stop inflation, the Fed had increased interest rates from 2022. People who spent on credit cards and could not pay the entire bill had to pay a lot of interest. In the last 12 months till September, people paid $ 170 billion as interest. Due to interest and paying more bills, money was reduced from people’s bank accounts. Especially low-income people are having trouble paying credit card bills. Whatever extra money was there in their account, it also went out.
The problem will increase further
It was expected that the Fed would cut interest rates sharply. But now it does not seem so. Officials say that this year interest rates will be reduced by only 0.5 percent. Earlier they had talked about reducing it by 1 percent. In the last one year, about $ 60 billion of credit card debt was waived. Still, $ 37 billion of debt remains on people’s credit cards. This means that there may be more trouble in the future. The way Trump has announced to impose tariffs, inflation and interest rates may increase in the coming days. This will cause more problems to the people.
