In the week ending May 27, states reported that 232,000 new unemployment benefit claims were made by workers, an increase of 2,000 over the previous week. First-time unemployment claims had been moving higher in the first quarter of the year, but they have stabilized in recent weeks. By the end of 2021, unemployment claims had decreased from their record high during the COVID-19 epidemic.
1.8 million people are still claiming unemployment compensation. According to economists, unemployment is still low by historical standards. As the impacts of interest rate hikes extended across the economy, it was anticipated that layoffs would increase this year. However, this did not occur to a considerable extent.
The second half of the year is still anticipated to see a slight recession by some.
In the meantime, employers in the United States created 253,000 new positions in April, and the unemployment rate fell to 3.4 percent, marking a record low. The U.S. Department of Labor will release a report on the number of jobs created in May, the unemployment rate, and salary increases for the month on Friday.
