Childcare, virus fears, and UI benefits are fueling the labor shortage, Fed Gov.
The shortage will likely fade by the fall as vaccination continues and the UI benefit lapses, she added.
Employment "remains far from [the Fed's] goal" but should pick up in the coming months, Brainard said.
The phenomenon has since been referred to as a labor shortage, joining the various other supply bottlenecks hindering the economic recovery.
It's difficult to "disentangle" any one of the factors from another, but all three should fade in the coming months, Brainard said.
Lael Brainard, Brainard
Federal, Economic, of New, Fed, COVID, Republican
of New York