Weekly Jobless Claims Tumble to 7-Year Low

Unemployment Benefits
Mark Lennihan/AP
By Lucia Mutikani

WASHINGTON -- The number of Americans filing new claims for unemployment benefits fell last week to its lowest level in seven years, fresh evidence that the labor market was strengthening.

Initial claims for state unemployment benefits declined 24,000 to a seasonally adjusted 297,000 for the week ended May 10, the Labor Department said Thursday.

It is the lowest reading since May 2007 and brought claims back to their pre-recession level. Claims for the week ended May 3 were revised to show 2,000 more applications received than previously reported.

Economists polled by Reuters had forecast first-time applications for jobless aid ticking up to 320,000 last week.

Claims had been volatile in recent weeks because of difficulties adjusting the data during the Easter and Passover holidays and school spring breaks, which fall on different calendar days every year.

A Labor Department analyst said there were no special factors influencing the state level data.

The four-week moving average for new claims, considered a better measure of underlying labor market conditions as it irons out week-to-week volatility, fell 2,000 to 323,250.

The labor market is strengthening after wobbling in December and January because of an icy-cold winter. Nonfarm payrolls increased 288,000 in April and economists expect job gains to average 200,000 for the rest of the year.

That should stimulate demand and boost economic growth.

The claims report showed the number of people still receiving benefits after an initial week of fell 9,000 to 2.67 million in the week ended May 3, the lowest level since December 2007

Add a Comment

*0 / 3000 Character Maximum


Filter by:
Leroy Gd

Only a numb nut lefty liberal will believe the spewed excrement the huff puff/aol is attempting to spread about the jobless lies. Really do they think we all are as stupid as the liberals are to believe this nonsense?

May 19 2014 at 8:35 PM Report abuse +1 rate up rate down Reply

More people haven't gone back to work...they've just run out of Unemployment Benefits and so aren't being counted. I know a whole segment of workers from my previous employer who have not found new jobs. They are "making do" with savings and occasional freelance work, myself included. Most are too highly trained to be considered for any openings in their field, as most had been working for 30 years or more.

I was laid off two years ago. A low overhead and savings kept me afloat until I turned 62 and could start collecting Social Security. That's earlier than I wanted to, but what can you do when there are few jobs in your field, and no one will consider a person over 60 anyway?

My word of caution to those still young and working: Never rely solely on a paycheck. Develop multiple streams of revenue.

May 16 2014 at 2:26 PM Report abuse +1 rate up rate down Reply

Cue the denials.

May 15 2014 at 8:57 AM Report abuse rate up rate down Reply

Search Articles

Picks From the Web