WASHINGTON — Extra People sought unemployment advantages final week however the variety of purposes remained low, the most recent signal that layoffs are scarce.
THE NUMBERS: The Labor Division mentioned Thursday that weekly purposes for jobless help rose three,000 to a seasonally adjusted 254,000. The 4-week common, a much less risky measure, ticked right down to 256,000, matching a forty three-yr low first reached in April.
The variety of individuals receiving support dropped forty six,000 to 2.1 million, the smallest quantity since July, 2000. Even in a wholesome economic system some individuals lose jobs as firms restructure.
THE TAKEAWAY: The financial system is increasing, although at a sluggish tempo, rising simply 1.four p.c within the April-June quarter, in accordance with a separate authorities report Thursday.
However companies are hiring steadily and holding tightly to their staffs. With the unemployment price low at four.9 %, many employers say they can not discover certified staff for open positions. That makes them reluctant to chop jobs.
Purposes are a proxy for layoffs. Any determine beneath 300,000 is an indication of a wholesome job market.
Functions have been under that stage for eighty two weeks, the longest such streak since 1970.
KEY DRIVERS: Employers added 151,000 jobs in August, after two massive positive aspects in June and July. Nonetheless, the tempo of positive factors has slowed this yr from 2014 and 2015.
Economists largely anticipated the deceleration, which generally happens because the unemployment fee falls and fewer individuals are out there to take accessible jobs.
Nonetheless, shoppers are extra assured and spending extra, offering a basis for modestly sooner progress later this 12 months. Shopper confidence final month reached its highest level because the recession, in response to the Convention Board.
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