Labor

New Unemployment Claims Reach 54-Year Low

APR 7 2022·Updated DEC 24 2022

Story

Image credit: US Labor Department [via MarketWatch]

The Facts

The US Labor Dept. has reported that 166K people filed for unemployment benefits last week, 5k fewer than the week before and the fewest for any week since 1968.
CBS News
Claims have trended down as high levels of govt. spending and vaccine availability have helped the economy recover from the pandemic.
FOX News
Part of the unemployment decline is also attributed to a revision of the seasonal factors the govt. uses to strip out fluctuations from the data.
Reuters
The low claim numbers are also a sign of a historically tight labor market, as companies are striving to retain employees. This dynamic could keep inflation high.
Reuters

Sources Split

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RIGHT

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The Spin

Left narrative

It's time to celebrate. Jobless claims aren't just back to pre-pandemic levels, they're better. Combined with the low unemployment rate, Biden has brought the economy back.

MS Now

Right narrative

There's not reason to celebrate. These numbers are a smokescreen when you consider that the worker shortage is leading to higher wages, higher demand for goods and services, and increased inflation. Moreover, the number of people continuing to receive unemployment benefits after their first application actually went up.

Daily Mail