Auto workers' tenuous return a ray of hope in jobs crisis

DETROIT (AP) — Defying a wave of layoffs that has sent the U.S. job market into its worst catastrophe on record, at least one major industry is making a comeback: Tens of thousands of auto workers are returning to factories that have been shuttered since mid-March due to fears of spreading the coronavirus.

Until now, it was mostly hair salons, restaurants, tattoo parlors and other small businesses reopening in some parts of the country. But the auto industry is among the first major sectors of the economy to restart its engine.

With it comes about 133,000 U.S. workers pouring back into assembly plants that will open in the coming week, or just over half of the industry's workforce before the pandemic, according to estimates by The Associated Press. In addition, parts-making companies began cranking this week to get components flowing, adding thousands more workers.

Looming in the background is an economy decimated by the pandemic. Nearly 3 million laid-off workers applied for unemployment benefits last week, raising the total seeking aid to about 36 million. Although some states have begun to let selected businesses reopen, workers are still reporting difficulty getting unemployment benefits. Freelance, gig and self-employed workers are struggling.

Even the auto sector won't see a full return to normal yet, and if people don’t start buying vehicles again, the workers could be sent home. Yet automakers say there’s enough pent-up demand, especially for pickup trucks, to get factories humming again.

That could help states slow the drain on their unemployment benefit funds. In Michigan, where over one-third of the labor force sought benefits, the fund fell from $4.6 billion before the pandemic to $4.1 billion on April 30, said Jeff Donofrio, director of the state Department of Labor and Economic Opportunity. Some...