IBJNews

U.S. unemployment applications flat for the week

Associated Press
August 30, 2012
Keywords
Back to TopCommentsE-mailPrint

The number of Americans seeking unemployment benefits was unchanged last week at a seasonally adjusted 374,000, suggesting little improvement in the job market.

The Labor Department said Thursday that the four-week moving average, a less volatile measure, increased to 370,250.

Applications are a measure of the pace of layoffs. When they fall consistently below 375,000, it generally suggests that hiring is strong enough to lower the unemployment rate.

Unemployment applications have risen slightly over the past three weeks. Last week's number was revised upward to 374,000 from the 372,000 that was reported initially. That was its second straight increase.

Still, applications are lower than they were six weeks ago. That raises hopes for a solid gain when the government releases its August jobs report next Friday.

Employers added 163,000 jobs in July. The hiring gains were an improvement from the previous three months, when the economy created an average of only 73,000 a month. But they weren't enough to lower the unemployment rate, which rose to 8.3 percent from 8.2 percent in June.

When the government releases the August jobs report on Sept. 7, analysts expect it to say that the economy added 118,000 jobs in August and that the unemployment rate held at 8.3 percent, according to FactSet.

Economists say stronger growth is needed to create more jobs and lower unemployment.

The economy grew at a tepid 1.7 percent annual rate in the April-June quarter, the government said Wednesday. That's much slower growth than the 2 percent rate in the January-March quarter and 4.1 percent rate in the final three months of 2011.

Economists expect the economy will keep growing modestly in the second half of the year but at a subpar rate of roughly 2 percent. Growth at or below 2 percent is not enough to lower the unemployment rate. Most economists expect the unemployment rate to stay above 8 percent for the rest of this year.

A weak economy and high unemployment could hurt President Barack Obama re-election chances and bolster Mitt Romney's campaign. Republicans in Tampa, Fla., this week to nominate Romney have pointed to the dismal growth in making the case to elect their candidate.

The Labor Department's report Thursday said the number of people receiving benefits continues to decline. The total fell to 5.5 million in the week ended Aug. 11, the latest period for which figures are available. That's down about 62,000 from the previous week.

Some of the decline likely results from people finding jobs. Many also are exhausting their benefits because of the still-struggling economy and job market.
 

ADVERTISEMENT

  • Exhausted Benefis
    This makes the uneployment rate rise and there are still many of us who have not found jobss. 350 applications sent and that doesn't include the in person and telephone calls I have made and still no permenent income for this household. Is this progress, Benefits exausted. Savings dwindlng. The exhausted benefits push unemployment rate down and college and high school age going back to school keep it down. Thousands of us still not employed.

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. These higher rates Co. e about only because physicians are now hospital employees. otherwise physicians couldn't charge these rates and share the windfall with the hospital. Community/rural hospitals probably not buying physicians practices and thus weren't getting the windfall anyway.

  2. The incentive for poor people to get themselves off public assistance and "no longer be poor" is even with help...they're STILL POOR! Being poor, even with some assistance, isn't all that pleasant. (I speak from experience) It's a stubborn myth that poor people, who are on public assistance, are sitting in the lap of luxury. You should try living on just those "freebies" that you mentioned and see how meager they actually are. By the way, I didn't mean you had to buy/own a puppy...just pet one. :)

  3. As near as I can tell the minority has ZERO constitutional obligation to offer a quorum to the majority. A requirement for quorum was inserted into the constitution so that tyrannical majorities could not simply shove through odious and objectionable legislation (which is exactly what they did.) By allowing a tyrannical majority to charge fines against the minority for exercising their constitutional prerogative to deny quorum the court as made a mockery of constitutional governance in the state of Indiana.

  4. The voters elected the Reps to make a vote not walk out on the vote. They had to the right to exercise their opinion and vote "no" to the bill. Let me ask you this if you walked out of your job for 5 straight weeks would you get paid? Would you even have a job to go back to? If any elected official walks out on the people they should be arrested for stealing tax dollars from the public. They were elected to do a job and not leave when the job gets stuff.

  5. I have been to several of their locations in Pennsylvania and always go in for 1 item and leave with a basket full of things. I'm very happy they decided on Indiana, now if only they would put the other store in eastside.

ADVERTISEMENT