Consumers could be in a 'world of hurt' if Biden doesn't act soon, former Walmart CEO warns
"It's crazy right now. We're stuck in this loop of wage inflation, product inflation and cost inflation. And it's just that cycle keeps going. And I think, unfortunately, an inevitable byproduct of some of the Fed's moves and as the necessary medicine we have to take to kind of cool things down and get the inflation back under control on some of these layoffs that are coming," Simon told co-host Will Cain.
"Food costs have gone up 23% in the last two years. So now, wages have gone up 17% at Walmart, 25% at Delta for pilots, 25% for the rail industry. And wage increases like that sort of counteract the employment layoffs that we're starting to see. And so there's a lot going on."
"We need workers, but we need workers we can employ that are in the country legally. What's happening now is you're letting people in that can't participate in the workforce but do increase demand. So, you have increased demand driving prices up without the workforce to be able to service it. So, it's a complicated factor. Certain inputs are trying to solve inflation, but you have counteracting forces that kind of mess that up," he said.
https://www.foxbusiness.com/economy/consumers-could-be-world-hurt-biden-doesnt-act-soon-former-walmart-ceo-warns