On November 30, 2022, in a speech about “Inflation and the Labor Market,” Federal Reserve Chairman Jerome Powell attributed the majority of the estimated 3.5 million labor force deficit in the United States to early retirements, and a significant portion (between 280,000 and 680,000) to “long Covid.”
Powell also mentioned in a footnote that a more distressing factor was an approximate 400,000 unexpected deaths among working-age individuals.
While Covid-19 is certainly a major factor in these deaths, especially among young and middle-aged workers, it's important to acknowledge that it's not the only cause. To get a clearer picture of the situation, we require greater transparency in government data. In the meantime, we can turn to life insurance companies who are experts in tracking mortality for more information.