Washington DC: Another 1.3 million US workers filed for unemployment benefits last week, as the slowdown in the pace of layoffs amid the Coronavirus crisis continued, the government reported Thursday.
The figure for the week ended July 4 was 99,000 lower than the prior week, showing a steady decline as the world's largest economy gradually reopens and workers are recalled to their jobs.
But the level remains far higher than any pre-pandemic week. In the same week of 2019, only 211,000 people filed initial claims for jobless benefits.
The decline in the latest week slowed the four-week moving average to 1.44 million, the Labor Department reported, while 18 million remained on the jobless rolls through the week ended June 27.
President Donald Trump, who is counting on a strong economy to help in his tough reelection bid in November, has cheered the recent signs of recovery in the US labor market.
But economists and the Congressional Budget Office warn that it will take years for employment to return to pre-pandemic levels.
And the US could suffer a second wave of layoffs as more states see spiking case counts, and once expanded jobless benefits expire. "Filings remain high and are declining at a stubbornly slow pace," said Rubeela Farooqi of High Frequency Economics.