Continuing Unemployment Claims Remain Above 1.9 Million

Weekly initial jobless claims increased by 8,000 to reach 247,000, marking their highest level since October. At the same time, continuing unemployment claims declined by 3,000 to 1.904 million, but have remained above 1.9 million for the second straight week and for the third time in the past six weeks. Furthermore, recent data from Challenger, Gray & Christmas revealed that job cut announcements in May surged nearly 50% compared to the same month last year. In fact, job cut announcements during the first five months of this year are 80% higher than in the same period in 2024. The primary reasons cited for these workforce reductions were the impact of DOGE and broadermarket and economic conditions.

What’s the bottom line?
The recent increase in initial unemployment claims, the persistently high level of continuing claims, and the rise in job cut announcements all highlight ongoing difficulties in the job market.