More Americans finding jobs, but unemployment remains at historic highs

860,000 fewer Americans files for jobless benefits as economy continues to recover from pandemic shutdown.

Posted: Sep 17, 2020 8:28 AM

WASHINGTON (AP) — The number of Americans applying for unemployment benefits fell last week to 860,000, a historically high figure that reflects economic damage from the coronavirus outbreak.

Before the pandemic hit the economy, the number signing up for jobless aid had never exceeded 700,000 in a week, even during the depths of the 2007-2009 Great Recession. Now they've topped 700,000 for 26 straight weeks.

The Labor Department said Thursday that U.S. jobless claims fell by 33,000 form the previous week and that 12.6 million are collecting traditional unemployment benefits, compared with just 1.7 million a year ago.

The pandemic has delivered an colossal shock to the economy. Until the pandemic upended the operations of American companies, from factories to family diners, weekly jobless aid applications had never exceeded 700,000 in the U.S.

The overall economy, as measured by the gross domestic product, collapsed at an annual rate of 31.7% from April through June, by far the worst three months on record, as millions of jobs disappeared.

The economy and job market have recovered somewhat from the initial shock. Employers added 10.6 million jobs from May through August, but that’s still less than half the jobs lost in March and April.

The recovery remains fragile, imperiled by continuing COVID-19 infections as schools begin to reopen, and the failure to deliver another economic rescue package in Washington.

An extra $600 in weekly unemployment benefits ran out July 31, squeezing households that had depended on the beefed-up payments. President Donald Trump issued an executive order Aug. 8 providing a scaled-back version of the expanded jobless aid. Most states signed up for federal grants that let them increase weekly benefits by $300 or $400.

That program is expiring.

Charissa Ward, 37, was furloughed in April from her job as a server at a restaurant in Disney’s Hollywood Studios resort near Orlando, Florida. Since then, she’s been helping at her partner’s online retail business, applying for jobs and waiting to see what Disney will do. “We have no idea when we’re going to get called back,’’ she said.

The extra $600 in weekly jobless benefits didn’t replace all her lost income but helped. The reduced $300 she received briefly from Trump’s program made life “a little less stressful.’’ But Ward said Congress needs to agree to another financial rescue and do “what’s best for working people.’’

Last week, nearly 659,000 people applied for jobless aid under a new program that extends eligibility for the first time to self-employed and gig workers, down from 868,000 the previous week. The figure for those seeking Pandemic Employment Assistance isn’t adjusted for seasonal trends, so it’s reported separately.

Altogether, the Labor Department said that 29.8 million people are receiving some form of unemployment benefits, though the figure may be inflated by double-counting by states. Analysts also worry about evidence that the number of people collecting special pandemic aid has been swollen by cases of fraud in California.

A summertime resurgence of COVID-19 cases in the South and West forced many businesses to close again in July -- though the data firm Womply finds that closings have mostly stabilized over the last few weeks. Womply did find a sharp increase in spending at bars in southern and western states, including South Carolina, Tennessee and Alabama, as college students returned to campus.

Unemployment claims “remain high even as economic activity is resuming more fully,” Rubeela Farooqi, chief U.S. economist at High Frequency Economics, wrote Thursday. “The risk going forward continues to come from virus outbreaks and intermittent interruptions to activity. Overall, the labor market is less weak compared to April but remains at risk of permanent damage from repeated closures.''

Minnesota Coronavirus Cases

Data is updated nightly.

Confirmed Cases: 142311

Reported Deaths: 2472
CountyConfirmedDeaths
Hennepin35484995
Ramsey14726372
Dakota10271139
Anoka9344155
Washington636273
Stearns625550
Scott360436
Olmsted340230
St. Louis325874
Wright273116
Clay252944
Nobles234318
Blue Earth21147
Carver18887
Sherburne183122
Kandiyohi18215
Rice170210
Mower154518
Winona133619
Chisago11562
Crow Wing114322
Benton103311
Lyon10306
Beltrami9618
Otter Tail9508
Waseca94510
Todd8967
Polk8364
Morrison8259
Steele8013
Itasca78817
Douglas7744
Nicollet77118
Freeborn7185
Le Sueur6646
Goodhue65111
Martin62618
Becker6214
McLeod6214
Isanti5995
Watonwan5824
Pine5770
Carlton5092
Chippewa4733
Mille Lacs44918
Hubbard4344
Cass4225
Wabasha4141
Dodge4130
Pipestone36617
Meeker3593
Rock3595
Brown3483
Roseau3300
Redwood29912
Yellow Medicine2986
Murray2973
Cottonwood2950
Fillmore2770
Renville27213
Sibley2663
Wadena2643
Faribault2520
Houston2381
Unassigned23853
Kanabec23710
Swift2252
Jackson2211
Pennington2181
Aitkin1982
Stevens1941
Lincoln1930
Koochiching1755
Pope1680
Big Stone1591
Marshall1511
Lac qui Parle1453
Wilkin1454
Clearwater1381
Norman1340
Lake1330
Mahnomen1292
Grant1054
Red Lake822
Traverse590
Kittson530
Lake of the Woods441
Cook190

Iowa Coronavirus Cases

Data is updated nightly.

Confirmed Cases: 122218

Reported Deaths: 1691
CountyConfirmedDeaths
Polk19732289
Woodbury743799
Linn6038133
Johnson602431
Black Hawk5974102
Dubuque550658
Scott487343
Story411118
Dallas357347
Pottawattamie337845
Sioux254417
Buena Vista230212
Marshall212236
Webster196015
Plymouth172831
Wapello158962
Clinton156228
Muscatine153958
Des Moines151611
Cerro Gordo150227
Crawford138714
Warren13137
Carroll120413
Jasper119734
Henry11245
Marion106811
Lee101312
Tama100538
Delaware82713
Dickinson7939
Wright7591
Boone7509
Mahaska73824
Bremer7199
Harrison69716
Washington69311
Jackson6853
Benton6482
Lyon5688
Clay5574
Louisa54415
Winnebago52119
Cedar5087
Winneshiek5079
Hardin5017
Jones5004
Kossuth4970
Clayton4923
Buchanan4875
Hamilton4825
Poweshiek47611
Floyd46211
Emmet45321
Iowa4429
Cass4233
Mills4233
Guthrie42015
Page4200
Cherokee4122
Sac4114
Butler4083
Fayette4064
Shelby4022
Allamakee3999
Franklin39518
Madison3743
Chickasaw3731
Hancock3676
Humboldt3593
Clarke3573
Grundy3406
Palo Alto3292
Calhoun3264
Osceola3020
Mitchell2961
Howard2879
Monroe27212
Union2645
Taylor2602
Jefferson2591
Appanoose2503
Monona2492
Pocahontas2442
Fremont2152
Lucas2136
Ida2122
Adair1971
Greene1930
Montgomery1907
Davis1884
Van Buren1882
Keokuk1731
Decatur1620
Audubon1601
Worth1470
Wayne1373
Ringgold992
Adams841
Unassigned60
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