As of last week, the number seasonally adjusted unemployment insurance claims reached 263,000, a level not seen since October 2021, according to a Thursday report from the Department of Labor. It was also up by 27,000 compared to the previous week’s count.
In October 2021, the PfizerBioNTech COVID-19 vaccine had just been approved by the U.S. Food and Drug Administration and it had not yet been approved for children. During the week of Oct. 23, 2021, unemployment insurance claims were at 268,000. At this time last year, claims were around 230,000.
Based on data from the week of Aug. 30, the largest increases in unemployment rates were in Tennessee, Connecticut, New York, Illinois and California. Meanwhile, the largest decreases were in Kentucky, Pennsylvania, Florida, Texas and Arizona. By the week of Sept. 6, the four-week moving average was approximately 204,500 nationwide.
Audacy reported on two other reports released last week that showed unemployment creeping up to pandemic-era levels. Mark Hamrick, senior economic analyst at Bankrate, pointed to a decrease in the healthcare sector and stagnation in the manufacturing sector. He also explained that economic uncertainty, partially fueled by President Donald Trump’s tariff plans, could be impacting the job market.
This week, economist Willy Shih of Harvard Business School joined Tommy Tucker at Audacy station WWL in New Orleans to discuss the jobs report, and specifically manufacturing in the U.S. Tucker noted that 42,000 manufacturing jobs have been lost since the “Liberation Day” kick off of tariff policies.
Some are hoping that the jobs data will push the Federal Reserve Bank to lower interest rates. Those went up in the pandemic and post=pandemic eras as part of an effort to lower inflation. However, they have also been an added stress on consumers, since high rates make it harder for people to borrow money and can increase things like mortgage and credit card payments.
In this environment of economic uncertainty and increasing unemployment, Audacy reported this week on the trend of “job hugging” and how that might also be impacting the job market. Additionally, increased investment in artificial intelligence is shaking up labor, especially entry-level positions.