U.S. unemployment claims fall to the lowest level since the pandemic

Washington (AP) — The number of Americans applying for unemployment benefits has fallen to the lowest level since the pandemic began. Despite the slowdown in employment in the last two months, the employment market is still a sign of improvement.

According to the Ministry of Labor, unemployment allowance fell from 36,000 to 293,000 last week, the second consecutive year of decline. This is the lowest number of people applying for benefits since the week of March 14, 2020, when the pandemic intensified, with less than 300,000 first claims. Unemployment aid applications, which generally track the pace of furloughs, have been steadily declining since last spring, as many companies struggling to fill their jobs retain their workers. ..

Layoff declines occur in the otherwise unusual employment market.employment Slowed down in the last two monthsAs companies and other employers have I posted almost a record number of open jobs.. Companies are struggling to find workers as about 3 million people who have lost their jobs and stopped looking for jobs because the pandemic has not yet resumed searching for jobs.economist More people wanted to find a job in September As schools reopened, childcare restrictions were eased and unemployment assistance was strengthened nationwide.

But the pickup didn’t happen. Employer adding only 194,000 jobs last month. On the bright side, the unemployment rate fell from 5.2% to 4.8%, partly because many unemployed people stopped looking for jobs and were no longer counted as unemployed. .. In September, the proportion of women working or looking for a job decreased, either because it was difficult to find childcare or because the school was disrupted by the outbreak of COVID-19.

At the same time, Americans I quit my job with a record number, About 3% of workers do so in August. Workers were particularly likely to quit their jobs in restaurants, bars and hotels, perhaps driven by fear of the still rapidly expanding delta variant of COVID-19 in August.

Other workers may stop taking advantage of the higher wages offered by recruiting companies. The average hourly wage in September rose steadily to 4.6% year-on-year, with restaurant workers wage growth exceeding 10% over the past year.

The number of people who continue to receive unemployment assistance has also dropped sharply, mainly due to the termination of two emergency unemployment assistance programs. In the week leading up to September 25, the latest available data, 3.6 million people received some unemployment assistance, a significant decrease from 4.2 million last week. A year ago, nearly 25 million people were receiving benefits.

The emergency program provided unemployment benefits for the first time to self-employed and gig workers, as well as workers who have been unemployed for more than 6 months. When these two programs expired on September 6, more than 7 million Americans lost their weekly financial support. An additional $ 300 of federal unemployment aid also expired that week.

Many executives and Republican politicians said the additional $ 300 was discouraging people who were absent from work from getting a job. However, about half of the states dropped additional checks in mid-June, and these states did not see faster employment growth than the profitable states.

U.S. unemployment claims fall to the lowest level since the pandemic

Source link U.S. unemployment claims fall to the lowest level since the pandemic

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