Tag: News

• The US economy added 206,000 jobs in June, more than the forecast of 191,000.
• The unemployment rate rose from 4.0% in May to 4.1% in June.
• Data released earlier this week showed job openings rose slightly from 7.9 million in April to 8.1 million in May.

The US labor market came in just a touch hotter than expected, adding 206,000 jobs in June. Meanwhile, the unemployment rate unexpectedly rose from 4.0% in May to 4.1% in June.

According to the forecast noted on Investing.com, the US economy was expected to add 191,000 nonfarm payrolls in June.

According to a news release from the Bureau of Labor Statistics on Friday, job growth for May was revised from 272,000 to 218,000, and April's job growth was revised from 165,000 to 108,000.

Investing.com noted that the forecast for June's US unemployment rate was 4.0%. For the last few years, the unemployment rate has been at a historically low level, and while inflation is still stubborn, Nobel Prize-winning economist Joseph Stiglitz recently told Business Insider how remarkable it was that the inflation rate had cooled so quickly — after the rate skyrocketed to 9.1% in June 2022 — while the unemployment rate didn't have to surge as it came down.

Other job market data out earlier this week showed that job openings and quits didn't change that much in May, with openings rising by 221,000 from 7.9 million in April to 8.1 million in May. The quits rate has been 2.2% for seven straight months, and there were 3.5 million quits in May.

"In May, the labor market continued to come into better balance — with openings holding steady and separations remaining low," Elizabeth Renter, senior economist at NerdWallet, said in a written commentary earlier this week, adding that the new data was "further encouragement that the current labor market supports continued inflation moderation and that a September rate cut could still be at play."

This is a developing story. Please check back for updates.

• Business Insider is putting together a power list of the young talent on Wall Street.
• We want to spotlight the standouts in investment banking, investing as well as sales and trading. 
• Please submit your ideas here by August 7th. 

We're seeking nominations for Business Insider's list of rising stars on Wall Street, and we want to hear from you. 

Submit your suggestions below or via this form.

We're looking for the leaders of tomorrow, those making notable contributions or accomplishments and setting themselves apart from their class in investment banking, investing, and sales and trading. 

In the past, we've had people with a variety of roles and experiences from companies including Blackstone, Citadel, JPMorgan, and Goldman Sachs.

Take a look at our 2023 list here.

Criteria and methodology

Our selection criteria: We ask that nominees be 35 or under as of September 30, 2024, based in the US, work front-office roles, and stand out from their peers. Editors make the final decisions.

Please make your submission below or through this form by August 7th to have your selection considered for the list. Please be as specific as possible in your submission.

Please email Michelle Abrego at mabrego@businessinsider. com with any questions or issues submitting your nominations.

• AI skills are in high demand as companies aim to leverage AI for competitive products.
• AI expertise can lead to lucrative roles in Big Tech or startups and substantial pay raises.
• Here are some of the key skills that employers are seeking for AI-related roles. 

AI skills are in high demand in the job market as more companies seek to use the technology to compete with rivals and become more efficient.

Having AI expertise could also land you a position at a Big Tech giant, startups — or even get you a pay bump.

Nancy Xu, founder and CEO of AI recruitment company Moonhub, told Business Insider that her firm is seeing an uptick in demand for "technical generalists who can build AI applications, along with domain experts in several emerging areas of AI research, large language model training and fine-tuning, and machine learning infrastructure deployment."

She says some companies are going the extra mile to win AI talent. "We're seeing CEOs flying to candidates to close offers, significantly above-average sign-on and performance bonuses, new equity structures, customized benefits for individuals, and more," Xu said.

Iffi Wahla, CEO of global talent network Edge, said data scientists have been among the best-paid tech workers in recent years, partly because every business needs people who can understand and extract value from data.

Companies want to spread AI skills across their operations, so those with a background or training in techniques such as prompt engineering on generative AI will benefit from increased job opportunities and pay, Wahla added.

Here are some of the most sought-after skills that may help you land a well-paying job in AI.

Aswini Thota, director of data science at financial service firm USAA, told BI that when hiring data scientists and AI engineers, he assesses candidates based on three key areas: technical prowess, business acumen and communication, and innovation.

Technical knowledge

Thota says data scientists are expected to be well-versed in Python and R, the most popular programming languages for building AI models, while some companies use C++ and Java.

They're also expected to have a foundational knowledge of statistics, as well as machine learning algorithms and frameworks in Python or R.

"A vast majority of organizations rely on cloud technology to store, analyze, and build models, so a working knowledge of Amazon Web Services, Google Cloud Platform, Snowflake, Microsoft Azure, Databricks, and similar platforms has become increasingly important in recent years," Thota said.

Business acumen and communication

According to Thota, data scientists looking to land a job in AI should also have strong business acumen to grasp an organization's challenges and develop solutions. "Communication skills come into play when data scientists must explain the results and influence decision-makers to align with the technical approach they recommend."

Innovation

When recruiting for senior or lead roles, Thota says he looks for candidates who have the potential to lead with innovation. "Hiring candidates with an innovative mindset helps us anticipate and address potential challenges before they become issues and also develop groundbreaking solutions."

Flexibility and ongoing learning

Ram Srinivasan, a future of work leader at consulting firm JLL, says some of the most sought-after AI competencies include a combination of technical and soft skills.

They include having a "strong learning mindset and adaptability" because employers look for candidates who can quickly adopt new technologies and methods.

Problem-solving and teamwork

Srinivasan adds: "AI projects often involve complex challenges requiring innovative problem-solving skills. Collaborating effectively with diverse teams, including data scientists, project managers, and product developers, is also essential."

Ethical considerations

AI development poses ethical questions and risks that engineers and developers must navigate responsibly.

Identifying use cases

Srinivasan said tech workers should be able to spot potential AI applications across industries, assess their feasibility, and implement them effectively.

"This involves understanding various sectors, developing implementation strategies, managing organizational change, and measuring ROI. Skills in expanding successful AI pilots and facilitating user adoption are crucial."

• Dorine Olive, 60, was diagnosed with ovarian cancer in 2019, which reignited her desire to travel.
• Olive does home exchanges, hosting guests in her Florida home and staying in strangers' houses.
• She pays an annual fee to a site that connects house-swappers rather than a nightly rate.

This as-told-to essay is based on a conversation with Dorine Olive, a 60-year-old semi-retired software sales rep based in Orlando who travels the world doing home exchanges. It has been edited for length and clarity.

I came down with ovarian cancer right before COVID-19 and realized I wanted to start spending a lot more time experiencing life.

I was raised in a military family, so I've lived in a few different places around the world. I have always had a passion for traveling, and buying this round-the-world ticket was a dream of mine.

You can choose from different alliances. We chose Star Alliance. You're allowed a maximum of 16 segments. We did our maximum, but we're doing eight destinations: Croatia, Hungary, Turkey, Uganda, Malaysia, Singapore, Indonesia, and Australia.

A coach ticket would have cost just under $8,000. We decided to treat ourselves to a business class because we were going to have a lot of overnights. That was $12,700 total per ticket.

I have friends who bought a business-class ticket just to go to Croatia and home. They paid $5,000 for one place — we're getting eight places. We're like nomads now.

It takes a lot of work. It's really good for people like me who absolutely love figuring things out and planning because it takes a lot of time and effort.

We save money staying in strangers' homes

For all of our accommodations, we're not spending any money.

We've booked it through Home Exchange, an app. (Editor's note: Home Exchange charges $220 a year and up to be a member and verifies users with ID and proof of address, according to its website.)

With Airbnb, you're spending money. With Home Exchange, you're not — you just pay an annual membership fee.

They do allow people to ask for a cleaning fee. Some people ask for it, some don't.

There are different ways that you can do it. You can do a simultaneous swap, or you can use GuestPoints. When you put your profile on Home Exchange and you put all your details into their system, it has an algorithm that tells you the number of points that your house is worth.

Our house is around 296 points a night. That's a higher-end house in terms of points.

When someone comes and stays at your house, you earn points. In the two years since we started, we now have 41 exchanges under our belt.

I tend to get the feeling that home-exchange people are more into traveling the world and being open to meeting other people. They're just more worldly, trustworthy people.

We've found long-term friends through house swaps

I had a lovely 77-year-old man from France come stay at our house a year ago through Home Exchange. His 99-year-old father was in hospice in our town, so he was looking to say goodbye to him. We fell in love with him.

We ride motorcycles. His dream was to ride a motorcycle. He'd never been on one. So we took him for a ride on a motorcycle.

Last night, we stayed at a couple's home in a very charming little town in Turkey. Their place was a real gem. He's Turkish and she's from Ohio, and they've been married for a long time.

Some people you just really bond with, and that's how this couple was.

They own a place also in New York. There is no doubt in my mind that we will visit them in New York next year — because this year's travel has already been booked up.

Letting strangers into your home sounds scary, but it isn't

Most of our friends think we're crazy for doing this.

They're like, "What do you do with your private stuff, or your possessions? Or aren't you worried about somebody breaking something?"

We worried about that when we first started Home Exchange. Then, after you do it a couple of times, you realize, "Oh, my goodness. What was I worrying about?"

Nobody's looking at anybody's business. You're there to be just as respectful of their place as they are of yours.

My only regret is that I didn't discover this 10 or 15 years ago.

• Jonathan Jacob Meijer is a prolific sperm donor who is the focus of Netflix's "The Man with 1000 Kids."
• Meijer told a court in April 2023 that his many children should use a social media symbol to prevent incest.
• He recently said he wasn't 'serious' but fears around incest are 'outdated.' 

Jonathan Jacob Meijer, the prolific sperm donor who is the focus of the show "The Man with 1000 Kids," said that his children should use a symbol on social media to avoid unwittingly having incestuous relationships.

The Netflix docuseries, which was released on July 3, details how Meijer donated sperm to different fertility clinics in his native Netherlands and around the world. The Hague District Court banned him from donating sperm in April 2023 after it was found he had fathered between 500 and 600 children around the world, Reuters reported.

Meijer confirmed that he fathered 550 children during the 2023 court case, and it's unclear why Netflix chose the title "The Man with 1000 Kids." Representatives for the streamer did not immediately respond to Business Insider's request for comment.

The show has sparked debate about Meijer and the ethics of sperm donation. It's the latest example of Netflix getting audiences talking. In April, subscribers became so obsessed by the true crime stalking drama "Baby Reindeer" that they tracked down the real person that the stalker character was based on.

The third episode of "The Man with 1000 Kids" details the 2023 court case that resulted in his ban and states that he'll be fined €100,000 if he donates anywhere in the world again. This is because Meijer has so many children that are his they are at risk of inbreeding.

During the court proceedings, the judge asked Meijer about the incest concerns. He suggested that his children should use a symbol on social media as a way of avoiding incest.

A narrator reading the court transcript in the docuseries said: "The defence argues that if they are worried about incest, his donor children can use a social media symbol to identify themselves as one of his children."

A woman from Australia identified as Kate in the documentary, who used Meijer's sperm, told the show that his court statement shocked the mothers involved with the case.

"It was a horrible suggestion. A lot of children may not want to display a symbol. A lot of those children may want to maintain their privacy," she said.

In an interview broadcast on Wednesday on BBC Radio 4's "Woman's Hour," the host asked Meijer if he really thought social media was a good way for his children to identify themselves.

Meijer responded: "Just to make clear, it was not serious like 'Oh they have to do this.' Look, we're in a new situation now, we're in a new phase where children from donors with an open identity, they deal with a new situation. So for me I have 17 years as a donor, I know what I'm talking about, I think about it every day."

He went on: "So the things that you bring here like all these outdated views like 'Oh the fears of inbreeding, oh the identity crisis' we're now in 2024, we've seen lesbian couples everywhere, single mothers everywhere. We know that donors are helping families, so these outdated views, we should stop projecting them on these children."

• I visited the Blue Zone of Costa Rica's Nicoya Peninsula to learn about longevity.
• Residents of Blue Zones live long, healthy lives — and you can see why when observing local habits. 
• I saw that while the keys to healthier living are simple, living by them takes intentional effort.

There's more to see on the white sand beaches of Costa Rica's Nicoya Peninsula than the beautiful jungle coastline.

As one of the world's original Blue Zones, residents there live longer, healthier lives than the global average. And while the keys to living that lifestyle are deeply ingrained in local culture, the habits that keep it alive aren't always immediately clear.

If you look closely, as I did while visiting the Blue Zone last month — partly because of a wonderful work assignment but also because of a newfound obsession with wellness as I enter my 30s — you can glean lessons on longevity to take back home with you.

Here are three things I learned that I'll be reminding myself of as I prioritize healthy living going forward:

It takes intention

In Costa Rica, a surge in tourism means a surge in various luxuries cropping up to provide outsiders with easy and familiar places to eat, shop, and relax. McDonald's, Pizza Hut, and Pollolandia — a local fried chicken chain — have made it to the most remote corners of the Central American country.

Locals I spoke to said the Blue Zone lifestyle is real, but it's fading. Instead of balanced meals of fruit and freshly caught fish, it's quicker to pick up a burger at the fast food chain that moved in once the tourists did. Why get up at 4 a.m. to tend to your livestock and split wood to keep a fire going if you no longer need a farm and you've had electricity for years?

Maintaining a Blue Zone lifestyle in a modern-day world doesn't happen automatically — it takes daily effort and intention.

Simpler is better

Watching how locals lived in the beach towns of Paquera, Tambor, and Montezuma showed me that wellness-centric habits don't have to be complicated. No one I spoke to had elaborate gym routines or chlorophyll drops to add to their oat milk smoothies.

Instead, most everything was pared down to its most essential elements. The Blue Zone diet included fresh, whole foods, rarely prepared in any way more complicated than roasting; exercise was daily but rarely vigorous — like walking to the grocery store for ingredients rather than interval training.

A man and woman I spoke to had lived on the beach their whole lives, making their living selling coconuts. They were 64 and 68, kept remarkably young by their active work and limited-stress lifestyle. In speaking with them, it became clear that Blue Zone living makes wellness a routine built into daily life, and simple habits are best for that.

It's holistic

In addition to being habitual, wellness in the Nicoya Peninsula was very clearly holistic. Locals approached longevity not just as a physical goal but as a mental and social one, as well.

Yes, they ate balanced meals and moved often, but another key element of wellness in Costa Rica was locals' focus on their connection to their community. Multi-generational households are common, playgrounds for schoolchildren stay open past dark, and the many animals who share the environment are treated like neighbors, not adversaries.

Costa Rica's unofficial national catchphrase, pura vida, meaning "pure life," sums it up well: It's about integrating and making the best of your whole life, not just parts of it.

• Neither my husband or myself wear wedding rings and people are often surprised to find out.
• We've been together for 13 years, have two kids and a puppy together.
• I do have an engagement ring but don't wear often because I'm not a fan of wearing jewelry.

When I meet people, they're usually surprised to find out I'm married. That's because I don't wear a wedding ring. Don't fault me, though — neither does my husband.

Contrary to popular belief, we do this not because we are looking for free drinks or scandalous trysts. We just don't feel like wearing them. For us, it has worked — for 13 years, with two kids and a new puppy.

People don't always understand

Some may find this difficult to understand, as rings that symbolize marital commitment are deeply rooted in many cultures.

When I mention my husband, most people just look at my left index finger. I catch a familiar look for a split second.

"Why don't you wear a ring if you're married?" I've been asked so many times.

I live in the suburbs of Boston, where people generally follow and stick to tradition. But I'm originally from Colorado, and people there are more relaxed about such things. I know several couples from home who choose not to wear wedding rings. This may be because they do extreme sports regularly, or it's just not the same thing as it feels here on the East Coast, where everyone loves to sport their multi-carat rocks.

Back in Colorado, people have never noticed, like they do here in Boston.

I've been at work and colleagues have asked with genuine curiosity and perplexion why I don't wear a ring. Does my husband wear one? Am I not enraged that he doesn't? They seem especially confused when I answer that I don't care he doesn't want to wear one.

My husband did propose with a ring

I do have an engagement ring, and I am glad he got me one. I love it even though it isn't what I pictured it would be when I was young. If I had an endless supply of money, I still wouldn't change it. It's a symbol of what we've gone through.

My husband proposed on a sunny afternoon in May. We had spent the day at Cheesman Park in Denver and walked to a wine bar nearby. I was not expecting it, but he pulled out a diamond ring and asked if I would marry him.

When we got married, we signed the paperwork and said we'd have a reception later. But he got a job in another city so our energy suddenly went to relocating. So, I suppose that not wearing a wedding ring is partly that the ritual of getting married got interrupted. After the move, our lives started anew, and we never quite got back to planning and organizing what would have been the initial traditions of our life together.

I don't love rings in general

Ultimately, I don't find wearing rings or other jewelry comfortable for long periods. As a writer, I'm on the computer for hours a day and rings and other jewelry get in the way of typing.

Also, I've become more casual as I've gotten older. Like jewelry, I probably wear makeup three or four times a year. I never want to invest the time on it.

Perhaps it's a combination of having two kids and going through the pandemic. There aren't as many events or outings I go to post-pandemic that require getting dressed up, which is when I'd typically wear jewelry. And if I am going to spend time on my appearance, nine times out of 10, it's going to be at the gym because that's where I get the benefits of health and fitness.

• Demand and production of Western weaponry has gone way up.
• This includes gear that has been around for decades, and even some where production had stopped.
• Nations want to aid Ukraine and grow their own arsenals, but experts say too little is being made.

Russia's invasion of Ukraine has resulted in a surge in demand, orders, and manufacturing of Western weaponry, including decades-old equipment and even gear that had gone out of production.

The invasion has sparked concern across the West that its militaries do not have enough ammunition and equipment if a major power like Russia decides to attack them.

And also that some particularly key types of weaponry are in worryingly short supply.

Manufacturing has increased, but experts warn it's not enough for Western countries' needs — both for themselves and for what they want to give to Ukraine.

Jan Kallberg, a senior fellow at the Center for European Policy Analysis and a fellow at the Army Cyber Institute at West Point, describes weapons orders as having been relatively low.

"And suddenly they see a surge in sales, a need, a demand that I would say hasn't been seen since the forties or at least the fifties when the Cold War really took off," he told BI.

More orders and manufacturing

Western defense budgets are surging, while countries in the Middle East are also increasing their spending amid conflicts in the region.

The result is more orders and manufacturing, even of Western equipment where production had stopped.

In January, the US Army signed a $50 million contract to restart production of M777 howitzer parts — the first new order in five years — to be sent to Ukraine.

Norway plans to invest to improve the delivery times of its National Advanced Surface-to-Air Missile System (NASAMS), with demand up in Europe.

The US Army also placed a new $1.9 billion order for High Mobility Artillery Rocket Systems (HIMARS), which have been used successfully in Ukraine.

Its maker, Lockheed Martin, is increasing production as well as its production of the antitank missile system.

German arms maker Diehl is planning to increase production of the IRIS-T air defense system, while France has ordered companies involved in making Aster air defense missiles to prioritize those contracts.

Demand for the Patriot surface-to-air missile system, first used in the 1990s but upgraded since, has also dramatically increased. This includes a coalition of European countries jointly ordering up to 1,000 missiles earlier this year.

Lockheed Martin said production of Patriot missiles has increased from 350 a year in 2018 to 500 last year and 550 this year.

Timothy Wright, a missile technology expert at the International Institute for Strategic Studies, said the size of the production increase compared to actual demand shows industries and governments have not responded enough.

"I don't think we are learning the whole entire lesson just yet," he said.

The US seems aware of the backlog, with the Financial Times reporting last month that the US is halting open orders for Patriot interceptor missiles until Ukraine is better supplied.

Mark Cancian, a defense strategy expert at the Center for Strategic and International Studies, said many new orders are for air defense systems.

The West had stopped investing in them after the Cold War when it ceased to see Russia as the primary threat, he said, but now, seeing Russia's missile and drone salvos, demand is back.

Ready for Russia

Western militaries have not spent the last decades building their arsenals with a major adversary like Russia in mind, experts warn.

Russia has one of the world's biggest militaries and its war in Ukraine shows it is willing to commit to a grinding, brutal fight where it incurs a lot of losses.

Russia has also ramped up its wartime production, which could aid it in the future and not just against Ukraine.

Some European countries have warned that Russia could soon attack another European nation if it is victorious in Ukraine.

That would likely drag the US into a wider war, due to NATO's collective defense clause.

Slow progress

Ukraine has used lots of different weaponry in its fightback against Russia, and has seen notable successes despite not getting the West's most advanced or modern gear.

Mattias Eken, a missile defense expert at the RAND Corporation, said the West will be "reassured" by how its equipment is "working and sometimes pulling off quite amazing things."

But, he warned, "the problem is mass."

Ukraine's allies want enough equipment both to give more to Ukraine and to boost their own arsenals.

That dual need has been a problem for Ukraine. Some European countries have cited the need to keep their own arsenals full when saying they could not give more to Ukraine.

Talking about air defenses, Cancian said: "Everyone agrees that there aren't enough. They sped up production to a degree, but there's a limit to what you can do."

Giorgio Di Mizio, an air warfare expert at the International Institute for Strategic Studies, said the problem is demand compared to capacity, not countries' unwillingness to spend.

Making new equipment takes time, and there are long backlogs.

Industry production will need to ramp up more significantly to address the issues.

But Kallberg said the industry needs guarantees. "If you were an executive in the defense industry, you would ask yourself: 'If I ramp up all my production now, what type of commitment can I get from governments that they will keep buying?'"

One solution would have been countries ramping up their orders and production earlier in the war, Di Mizio said.

"Maybe governments thought of this war as a short-term issue," he said. But he said it was easy to criticize now, with hindsight.

He also said the defense industry had a way of working that was more suited to peacetime than war, "and we haven't made changes."

• Jill Biden whispered a donor's name in Joe Biden's ear and reminded him to thank them, per a report.
• New York Magazine's Intelligencer reported that Biden repeated the words his wife fed him.
• Biden has lost support among top Democratic donors, with some urging him to step aside.

Jill Biden quietly fed lines into President Joe Biden's ears, reminding him of a megadonor's name and telling him to thank them, New York Magazine's Intelligencer reported, citing an unnamed witness to the exchange.

According to the report, Biden stared blankly and nodded his head while greeting one Democratic megadonor and a family friend at the White House recently, when the First Lady stepped in.

The outlet didn't specify the donor's name or when the supposed exchange took place.

According to the witness, he then uttered the exact same words his wife had told him, according to the outlet.

"It hasn't been good for a long time, but it's gotten so, so much worse," the person told Intelligencer.

Since his disastrous debate performance last week, Biden has tried to reassure Democratic governors, House Democrats, staffers, voters, and donors that he is fit for reelection.

He and his campaign have blamed a cold, bad prep, and jet lag for his poor debate performance against former President Donald Trump on June 27.

That performance featured a hoarse voice, meandering thoughts, verbal flubs, and vacant expressions.

During a huddle with key Democratic governors on Wednesday, the 81-year-old president said he just needs to get more sleep and stop holding events after 8 p.m., according to CNN and The New York Times.

But Biden is losing support among some Democratic donors, some of whom have publicly called on him to step aside.

Millionaire heiress Abigail Disney told CNBC on Thursday that she will stop donating to the Democratic Party "until they replace Biden at the top of the ticket."

"If Biden does not step down, the Democrats will lose. Of that, I am absolutely certain," she said, adding that the consequences of a loss will be "genuinely dire."

Netflix cofounder Reed Hastings, one of the largest Democratic donors, has also urged Biden to pull out of the race to give another candidate a shot at beating Trump, per The New York Times.

"Biden needs to step aside to allow a vigorous Democratic leader to beat Trump and keep us safe and prosperous," Hastings said in an email to the Times.

In an X post over the weekend, investor Whitney Tilson, a longtime donor to Biden, said he is reconsidering his support after Biden's stumbling performance last week.

Despite mounting pressure to exit the race, Biden told staffers he was "not leaving" during a Wednesday call with his campaign and Democratic National Convention staff, Politico reported, citing anonymous staffers on the call.

ABC News also announced it would now air Biden's first television interview since last week's debate "in its entirety as a primetime special" on Friday at 8 p.m. ET/PT.

• California put up its minimum wage for workers at quick-service restaurant chains to $20 in April.
• The California Business and Industrial Alliance warned that it was costing jobs.
• But employment in the industry is seasonal and usually rises and falls throughout the year.

Since Gov. Gavin Newsom first announced plans to raise wages for fast-food workers in California, both restaurant chain executives and franchisees have warned about the impacts it could have on their businesses.

As well as having to raise menu prices, some critics of the legislation warned that the higher wages could lead to restaurants laying off some of their workers, or even closing down.

Despite intensive lobbying from the fast-food industry, the new wage of $20 an hour for quick-service chains with at least 60 locations nationwide went into force on April 1.

The California Business and Industrial Alliance certainly isn't happy with the legislation. It took out a full-page ad in USA Today in early June featuring mock obituaries for brands it says were "victims" of the new minimum wage.

The CABIA claimed in the ad that nearly 10,000 jobs had been cut between September, when Newsom signed the law, and January.

"Governor Newsom's bad policy remains indefensible, and workers and businesses are suffering for it," Tom Manzo, founder of the CABIA, told Business Insider over email. "It is obvious what is happening to the Fast Food industry no matter how Team Newsom spins the numbers."

The CABIA ad cited data from the Hoover Institution, a public policy think tank and unit of Stanford University that aims to "limit government intrusion into the lives of individuals."

It's unclear where the Hoover Institution got its 9,500 figure from, though it did link a report by The Wall Street Journal, which said it used state figures.

Business Insider could not independently verify these figures, as data from both the California Employment Development Department and the US Bureau of Labor Statistics shows a drop of about 11,600 jobs when not seasonally adjusted.

The CABIA's argument was based on a drop in employment between September and January. But BLS data shows that employment in California's limited-service restaurant industry dips in the winter. In every year for at least the last decade, employment has been lower in January than in the preceding September.

It's typically at its lowest in January and its highest in August.

The BLS data includes employment at all limited-service restaurants, including those exempt from the new minimum wage.

Restaurants typically hire more workers during the summer months as tourism fuels spending and people spend more time outside their homes.

Seasonally-adjusted BLS figures, which take yearly fluctuations into account, show that employment in California's limited-service restaurant industry actually rose by about 6,000 people between September and January.

Newsom has clapped back at criticism of the new minimum wage

"California's fast food industry has added jobs every month this year, including roughly 10,600 new jobs in the two months since Governor Gavin Newsom signed the fast food minimum wage bill into law," his office said in a recent press release.

The following graph, made using BLS data, shows that employment in limited-service restaurants in California has been higher than 2023 levels for every month so far this year when not seasonally adjusted.

However, Newsom's remarks have to be taken with a pinch of salt, too. The year-over-year growth in limited-service restaurant employment is a continuation of a trend seen before the pandemic, too, with total employment in the industry growing every year.

And the month-on-month growth in employment so far this year is nothing new. Employment typically grows in the buildup to the summer.

It is clear some fast-food chains have laid off workers in California, including in some cases by closing restaurants, partly in response to the new legislation. Seasonally-adjusted BLS data suggests that there has been a small dip in workers in California's limited-service restaurant industry — about 2,500 — since January.

However, the BLS statistics suggest that the situation is not as dire as the CABIA paints it to be.

The $20 minimum wage was introduced to support workers in a state with a notoriously high cost of living. The fast-food industry is generally known for low pay, with some workers having to pick up a second job to make ends meet.

Analysts previously told BI that the legislation is also expected to boost wages in other industries, as employers will face more competition for workers.

Have you been affected by California's new $20 minimum wage? Email this reporter at gdean@insider.com.