Another 2.1 Million People Filed For Unemployment Last Week
PHILADELPHIA (CNN) -- More than 40 million Americans have filed for first-time unemployment benefits since the coronavirus pandemic forced the U.S. economy to shut down in March. One in four American workers has filed for unemployment insurance.
Another 2.1 million people filed initial jobless claims last week, the Department of Labor reported Thursday morning.
Unemployment Insurance Weekly Claims
— U.S. Department of Labor (@USDOL) May 28, 2020
Initial claims were 2,123,000 for the week ending 5/23 (-323,000).
Insured unemployment was 21,052,000 for the week ending 5/16 (-3,860,000).https://t.co/ys7Eg5LKAW
It was the tenth-straight week in which claims were in the millions. America had never recorded a single week of 1 million jobless claims prior to the coronavirus crisis.
The number of people claiming unemployment benefits for consecutive weeks rose to 21.1 million.
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Weekly claims hit their peak at the end of March and have declined every week since then. Although the peak of the jobless wave has passed, at least for now, the state of the US labor market remains dire. State labor departments across the country continue to struggle to process the millions of claims. Before the pandemic, weekly claims were around 200,000.
Economists, politicians and workers have high hopes that people will be able to return to work as the US economy reopens. But this reopening will be staggered and unsynchronized. Some states will move ahead faster than others, just like some industries will be revived quicker.
Jobs have been lost across the board.
The hospitality industry, which accounted for the bulk of jobs lost in April, is expected to be scarred for the long-term by the pandemic. It could take consumers some time before they are willing to go out to bars and restaurants again.
Unemployment claims don't equal jobs lost -- the two data sets are based on different surveys -- but economists expect the unemployment rate to jump again in May. Next week's jobs report is expected to show an unemployment rate of nearly 20%, up from 14.7% in April.
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