There were 209,000 Initial Jobless Claims filed in the latest week, marking a decline of 1,000 applications for new unemployment benefits from the previous week. Continuing Claims rose by 17,000, with 1.811 million people still receiving benefits after filing their initial claim.
What’s the bottom line? The latest Continuing Claims figure is much lower than the 1.9 million readings we’ve been seeing, but the decline is not due to improving conditions in hiring. The Bureau of Labor Statistics changed their seasonal adjustments, which has caused big revisions throughout the prior weeks’ reporting. Yet even with these adjustments, Continuing Claims are still trending higher compared to a year ago, showing that it’s become harder for some people to find new employment once they are let go.
On a related note, the latest small business optimism survey from the National Federation of Independent Business showed that small businesses are struggling on the labor front, with plans to hire and plans to increase compensation both hitting three-year lows.