Geoffrey Smith 

Investing.com — Monday’s closely watched regional survey by a business showed that the United States is experiencing increasing skill shortages, which could be affecting its economic recovery. 

The Dallas Federal Reserve’s monthly survey of manufacturing showed that factory activity expanded at a moderate pace in April, cooling a little from March to be in line with its historical average, the regional central bank said. Production index, which is an indicator of manufacturing state conditions, fell two points, to 10.8.

The survey’s more in-depth supplementary questions revealed that businesses are complaining about the difficulty of finding staff. The survey found that two-thirds said they were hiring, but only one-third of respondents said not. When asked why they were not hiring people, three quarters said that either there weren’t enough or no qualified applicants.

The Dallas Fed stated that despite the current positive conditions with strong output and prices and rising new orders, its outlook index has fallen to its lowest point in over two years.

Business activity is supported by the lifting of all pandemic-driven restraints. The survey results indicated at least some companies are trying to return back to pre-pandemic practices. 

One manufacturer replied, “We’re done with the pandemic.” We returned to our normal work hours and shifts, so no masks are required. 

One other complained that they needed to “wean” people from the office. It is difficult to be effective with home-based office staff.

It is now easier for working moms, particularly those who suffered from the pandemic, to return to work as there has been a decrease in school closings. Only 7.7% of respondents cited a shortage of childcare options as a barrier to their hiring efforts, which is the lowest level in more than a year.