Unemployment claims rise, as pandemic shutdowns increase nationwide
The number of new unemployment claims last week rose last week to 742,000, an increase of 31,000 compared with the previous week, as rising coronavirus cases have spurred a new wave of restrictions and closures begin to weigh on parts of the economy.
Since Oct. 10, the weekly jobless claims have been slowly trending downward or remaining flat, according to the Labor Department data.
Claims have remained above the pre-pandemic record of 695,000, from 1982, for 35 weeks, although questions about backlogs, fraud and duplicate claims have complicated the data.
An additional 320,000 claims were processed for Pandemic Unemployment Assistance, the program for gig and self-employed workers.
Some 20.3 million people are still claiming some form of unemployment insurance.
The number of new claims has fallen from peaks in the Spring but remains historically high. Economists say they are concerned about the continued high level of job loss this deep into the pandemic, as the virus surges anew.
And the benefits that many are relying on to stay afloat are set to expire for an estimated 12 million people next month without action by Congress, potentially adding to the country's economic woes at a critical time.
Claims have averaged 742,000 for the last four weeks, another potential sign that a recovery which has seen the unemployment rate drop further than economists' projections could be in danger of stalling or reversing.
