U.S. adds jobs but some economists fear ‘recession’ maybe looming

BAKERSFIELD, Calif. — (KBAK/FOX58) The job market saw a 142,000 job increase in August but the worst maybe to come.

Dr. Gokce Soydemir, an economist at Stanislaus State University, says Central Valley workers should have some worries about the job market.

“The job numbers came less than expected. That is concerning,” Soydemir said. “Particularly for the Valley because the Valley is very vulnerable.”

Soydemir points to the Federal Reserve’s next move on interest rates.

“If the Federal Reserve is successful in bringing the economy to a soft landing nationwide that could really mean for a recession,” Soydemir said.

Fellow economist Dr. Aaron Hegde at CSUB sees the biggest problem as wage growth and work hour reductions. Hegde believing local, small business will be first to feel the crunch.

“If you are a small business owner than you may not be able to afford to keep on too many people or do too many hours,” Hegde said. “So rather than letting go of people they are giving them less hours.”

Both economists believe the workers with an edge in the next recession are those that are’skilled’. Hegde thinks it would help workers to gain an education or learn an additional trade.

“The people who are in the best position are probably those that have skills,” Hegde said. “It is always a good time to pick up skills whether it is with the university or the community college and trade school. So, education never hurts.”

America’s last recession was from 2007 to 2009.