(AmericanProsperity.com) – After a look into the labor market, it seems that the amount of Americans who are applying for jobless benefits has stayed the same even though the labor markets are continuing to defy what the Federal Reserve predicted. The Labor Department said that the unemployment claims for the week were unchanged from the previous week.
These weekly unemployment claims are a great way to keep an eye on the change in layoffs and where the job market as a whole is headed. Since the pandemic, these levels have been very low because of the purge of jobs.
The Federal Reserve has moved its benchmark substantially since they are searching for methods to drop the very high inflation rate. Their intention was ultimately to loosen the labor market and slow wage growth, which they claimed was what was contributing to high inflation.
Economists were sure that there was going to be a recession, but the job market and the economy have stayed strong due to people’s spending habits. Just last month, employers added over three hundred thousand jobs, a data point that could be proof of America’s improving job market.
However, many layoff announcements have been released from large companies such as Apple, eBay, TikTok, Amazon, and Alphabet. Others like UPS, Los Angeles Times, and Tesla have also said that they will be cutting labor. There are multiple reasons why companies might want to do this, one of which could be to save money, especially with times like this.
At the beginning of the month, the weekly count for how many people were collecting jobless benefits was at almost two million.
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