States reported 222,000 employees filed for new unemployment advantages within the week ending September 3, marking 4 consecutive weeks of decline. The variety of employees who proceed to use for unemployment advantages – 1.4 million – has risen steadily this yr, however stays nicely beneath the pre-pandemic common of 1.7 million. The commonly low degree of unemployment insurance coverage claims total means sturdy demand for labor as firms attempt to appeal to and retain workers.
Unemployment claims had been on an upward development this yr, however earlier than that they had been round their lowest ranges for the reason that late Sixties. The vast majority of layoff bulletins have come from tech firms which have elevated their workforce in the course of the pandemic and have since realized that they’d over-hired.
The unemployment price in August rose to three.7% from a 50-year low in Julyhowever this improve included a rise within the variety of folks actively in search of work, an indication of a wholesome labor market.