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Home Local news Decline in Unemployment Benefit Claims Reflects Low Layoff Rates in the U.S.
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Decline in Unemployment Benefit Claims Reflects Low Layoff Rates in the U.S.

    Fewer Americans sought unemployment benefits last week as layoffs remain low
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    WASHINGTON – The Labor Department reported Thursday that fewer Americans applied for unemployment benefits last week, indicating that companies are maintaining their workforce stability.

    Unemployment claims decreased by 10,000, reaching a historically low count of 236,000. The four-week moving average, which helps to even out fluctuations, fell by 750 to 245,000.

    Unemployment aid applications serve as an indicator of job cuts, and the reduction suggests that businesses are largely retaining their employees. However, other data points out that the pace of hiring remains subdued, leading economists to describe the current situation as a “no hire, no fire” job market.

    The unemployment rate remains low, though there are signs that the economy is slowing. So far this year, employers have added a solid but unspectacular 124,000 jobs a month, down from an average 168,000 last year. Most of the hiring has been concentrated in a few industries, specifically health care, restaurants and hotels, and government. Layoffs have mostly remained low, but hiring has also been weak.

    With many businesses reluctant to create new jobs, recent college graduates are facing the toughest job market in more than a decade. The unemployment rate for grads aged 22 to 27 is now higher than the overall jobless rate, and the gap between the two is the widest it has been in more than 30 years.

    Copyright 2025 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed without permission.

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