The number of laid-off workers seeking U.S. unemployment benefits rose to 1.1 million last week after two weeks of declines, evidence that many employers are still slashing jobs as the coronavirus continues impacting the US economy.
The latest figures, released Thursday by the Labor Department, suggest that more than five months after the viral outbreak erupted the economy is still weak, despite recent gains as some businesses reopen and some sectors like housing and manufacturing have rebounded. Jobless claims had fallen last week below 1 million for the first time since March, to 971,000. A rising number of people who have lost jobs say they consider their loss to be permanent.
The total number of people receiving unemployment aid declined last week from 15.5 million to 14.8 million, the government said Thursday. Those recipients are now receiving far less aid because a $600-a-week federal benefit has expired, which means the unemployed must now get by solely on much smaller aid from their states. The loss of the federal benefit has deepened the struggles for many, including a higher risk of eviction from their homes.
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The number of applications that were reported last week fell below 1 million after 20 straight weeks above that level. Yet at roughly 960,000, it was still painfully high. Before the viral outbreak, the weekly figure had never topped 700,000, even during the Great Recession.
The latest string of layoffs follows the expiration of a $600 weekly federal check that provided vital support for millions of laid-off Americans. Negotiations in Congress to extend that benefit, though at a lower level of payment, have collapsed. The Trump administration is offering a new $300-a-week federal benefit, which states need to apply for and must revamp their computer systems to accommodate.
NOTE: An earlier version of this story reported that jobless numbers had declined for another week. That information was based on figures initially released by the US Department of Labor that were later revised. We apologize for any confusion.
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