Categories: GlobalLatest

US Unemployment Claims Hit 965,000 as Virus Cases Rise

The number of people seeking unemployment aid in the U.S. soared last week to 965,000, the most since late August and a sign that the resurgent virus has likely escalated layoffs.

The latest figures for jobless claims, issued Thursday by the Labor Department, remain at levels never seen until the virus struck.

Mark Hamrick, senior economic analyst at Bankrate.com, says that while the numbers are shocking, “they’re not necessarily surprising.”

Before the pandemic, weekly applications typically numbered around 225,000. They spiked to nearly 7 million last spring, after nationwide shutdowns took effect.

Applications declined over the summer but have been stuck above 700,000 since September.

The high pace of layoffs coincides with an economy that has faltered as consumers have avoided traveling, shopping and eating out in the face of soaring viral caseloads.

Economists say that once coronavirus vaccines are more widely distributed, a broader recovery should take hold in the second half of the year.

The incoming Biden administration, along with a now fully Democratic-led House and Senate, is also expected to push more rescue aid and spending measures that could accelerate growth.

“The president-elect is going to want to push through higher levels of economic stimulus or relief payments,” Hamrick said.

Many analysts also worry that with millions of Americans still unemployed and as many as one in six small companies going out of business, people who have been hurt most by the downturn won’t likely benefit from a recovery anytime soon.

Associated Press

Follow us on:

AriseNews

Recent Posts

Prince William Arrives In South Africa For Earthshot Prize And Wildlife Summit

Prince William visits South Africa for Earthshot Prize, aiming to spotlight climate innovation and support…

27 mins ago

Abuja Court Issues Arrest Warrant for Dana Air MD Hathiramani Ranesh over Absence at Fraud Trial

A Federal High Court in Abuja has ordered the arrest of Dana Air MD Hathiramani…

40 mins ago

Equatorial Guinea Anti-Graft Chief Embroiled in Major Sex Scandal, Over 400 Tapes Found Involving Top Officials’ Families

A High-ranking Equatorial Guinean official is facing a major sex scandal with 400 explicit sex…

45 mins ago

Tinubu Orders Immediate Release Of All Minors Arrested In Connection To #EndBadGovernance Protest

Tinubu Orders Immediate Release Of All Minors Arrested In Connection To #EndBadGovernance Protest President Tinubu…

51 mins ago

Court of Appeal Acquits Ex-CJN Onnoghen Of Non-Declaration Of Assets Charges, Orders Unfreezing of Bank Accounts

The Court of Appeal has discharged former CJN Walter Onnoghen, overturning his 2019 asset declaration…

5 hours ago