Denver, Colorado 2021-02-18 09:58:07 –
Washington — The number of Americans applying for unemployment assistance increased to 861,000 last week. This is evidence that layoffs remain painfully high, despite a steady decline in the number of confirmed viral infections.
According to the Ministry of Labor, applications from dismissed workers increased by 13,000 from the previous week, a significant increase. Prior to the outbreak of the virus in the United States in March last year, weekly unemployment allowance applications did not exceed 700,000, even during the 2008-2009 Great Depression.
The job market is stagnant, with employers reducing workers in December and then adding just 49,000 jobs in January. The pandemic remains losing nearly 10 million jobs. The unemployment rate fell from 6.7% last month to 6.3%, partly because some people stopped looking for jobs. Those who are not actively seeking work are not counted as unemployed.
Fraudulent billing may be raising the total. Last week, Ohio reported a significant increase in applications and said it had set aside about half of the increase for additional reviews due to fraud concerns.
As of January 30, a total of 18.3 million people were receiving unemployment assistance, according to a report Thursday. It decreased from 19.7 million last week. Approximately three-quarters of these recipients receive checks from federal programs, including two extended benefit programs that provide unemployment assistance for more than 26 weeks offered by most states. This trend suggests that a significant proportion of the unemployed have been unemployed for more than 6 months, reflecting the tough job market for many.
Two federal unemployment assistance programs, one providing up to 24 weeks of support and one for self-employed and gig workers, were launched in March with a $ 900 billion bailout package enacted at the end of last year. It was extended to 14th.
President Joe Biden is proposing to extend both programs until August as part of a pre-parliamentary $ 1.9 trillion package. The law will also provide an additional $ 400 a week in federal unemployment assistance, in addition to state benefits. That money will replace the $ 300 weekly benefit that was included in the relief package approved last year.
Some industry data suggest that employment remains weak. UKG, a time management software provider, estimates that the number of shifts working nationwide, most of them among SME clients, has increased by just 0.2% in the past month. That modest increase indicates that recruitment has been sluggish so far this month.
Still, the economy is showing signs of recovery as states and cities have relaxed some business restrictions and the latest $ 600 stimulus has passed the economy. According to the government, retail and restaurant sales surged in January, up 5.3% from December.
Furniture, appliances and appliances stores recorded some of the strongest increases, believed to be the result of strong home sales growth last year.
The Federal Reserve Board of Governors said Wednesday that it was the fourth consecutive year of growth, driven by increased production of steel and other metals.
U.S. jobless claims jump to 861,000 as layoffs remain high Source link U.S. jobless claims jump to 861,000 as layoffs remain high