U.S. Unemployment Claims Drop

by Jan Frazier

Washington, D.C (Washington Insider Magazine) With more businesses opening and fewer job cuts, the number of U.S. citizens “seeking unemployment benefits fell last week to 473,000, a new pandemic low.”

As consumers ramp up their spending and as more businesses open their doors, the “number of Americans seeking unemployment benefits fell last week to 473,000. This is the lowest we have seen since the pandemic began.”

The Labor Department reported on Thursday that “applications declined 34,000 from a revised 507,000 a week earlier. The number of weekly jobless claims has fallen significantly from a peak of 900,000 in January.” Many businesses are struggling to get their employees back to work.

One reason the rate of hiring is up for businesses is because of vaccination increases. Plus, the economy is picking up,U.S and consumers seemingly are tending to spend more money. In addition, the stimulus checks have helped to boost the economy.

“Now, more Americans are venturing out to shop, travel, dine out, and congregate at entertainment venues.” The reopening has happened quickly in the past weeks, and some employers are finding it difficult to rehire enough staff.

In order to determine where the job market is headed, economists have been monitoring jobless claims on a weekly basis. “Since the pandemic, though, these numbers have become a less reliable barometer than they normally are. States have struggled to clear backlogs of unemployment applications.”

Since many businesses are attempting to find enough workers, businesses only added 266,000 jobs. This is far less than what was expected. It’s possible that some of the businesses will find it difficult to hire quickly in order to keep up with the economy which is improving. It may take longer than predicted to regain pre-pandemic employment levels.

SOURCE

Related Posts