The US Sees a Surge in Unemployment Due to Musk's DOGE: Layoffs Continue Nationwide.

Job Vacancies at the Government Efficiency Department Increased by 60%

The well-known Government Efficiency Department (DOGE) led by Elon Musk has achieved a historic increase in job applications across the US. This was reported by 'Glavkom' citing NBCNews.

DOGE increased job applications by 60% from January to February. The most layoffs took place at the Bureau of Consumer Protection and the US Agency for International Development.

We've never seen anything like this since the presidential administration and inauguration - said Cory Stale, an economist at Indeed.

Although job applications among federal employees increased after the 2016 and 2020 elections, it occurred to a much lesser extent.

Laid-off workers have spread across the country. Nearly 500,000 federal employees who previously lived in Washington, D.C., Maryland, and Virginia are now looking for jobs in other regions. Most of them moved south.

It is noted that the number of candidates for positions with higher education has increased, leading to heightened competition in the job market.

One of the consequences of DOGE's activities has been the massive layoffs of government employees. Musk aimed to automate many processes, leading to the redundancy of thousands of workers. However, the process is not yet completed, and there are no clear plans for reintegrating the laid-off workers into the job market. This creates additional pressure on the economy and triggers a negative reaction from the public and unions.

Job seekers, who typically held mid-level and senior positions, also remain longer in their current jobs, with an average tenure of 11 years, according to federal agencies.

Finance Minister Scott Bessent stated that laid-off employees will have the opportunity to look for jobs in the private sector. However, this may create additional challenges, not limited to just job searching.

Unemployment is an early indicator of recession. To date, unemployment, along with other economic indicators such as profitability and consumer spending, has remained stable.

DOGE's rapid process unnecessarily increases the risks - said Claudia Sem, an economist and former representative of the White House Federal Reserve System. If the recession dynamics solidify, it will be difficult to avoid and 'fix' it.

DOGE is a minor factor for the economy, as federal employees make up less than 2% of the total US workforce. However, it could lead to a recession.

Earlier, Elon Musk reported threats of assassination that his team faces daily. He did not reveal details regarding these threats, but emphasized their seriousness.