Unemployment claims, a key indicator of layoffs, have shown a slight increase in recent weeks but have remained relatively stable overall. Initial claims for unemployment insurance rose by 6,000 to 225,000 for the week ending September 28, according to the latest report.
Economists at Pantheon Macroeconomics had predicted this rise, attributing it to ongoing furloughs at Boeing facilities in Washington and Oregon due to a strike involving 32,000 machinists. Both states experienced an uptick in first-time claims last week, as indicated in the report released on Thursday.
Despite the recent increase, the current weekly claims figures are still within pre-pandemic levels and below historical averages. Data from the Labor Department shows that in the decade before the pandemic, the average weekly claims for unemployment benefits stood at 311,000.
However, experts anticipate a further surge in unemployment claims in the upcoming weeks. Projections suggest that claims could rise significantly, potentially peaking at around 250,000 for the week ending October 12, according to the analysis by Pantheon.
