Reports say that only a few jobless American people have applied for the aid during the Thanksgiving week. Easy words, only a few Americans are there to take the unemployment benefits during the Thanksgiving holiday week, reversing an uptick in him jobless claims in the last two weeks. But the claims are very much high, and this is a sign that many companies have continued to lay off workers because the economy is now starting to recover from the impact of the COVID pandemic.
As per the census, 712,000 people applied for unemployment benefits in the month of November. Whereas a drop of 75,000 was seen the week before, the Labour Department said on Thursday. Later on, another 288,000 applied for the pandemic unemployment assistance. This pandemic unemployment assistance is a special program for self-employed and all the gig workers. Along with them, this is the assistance for those also who have not qualified for regular state unemployment as well.
Pantheon Macroeconomics, the chief economist through a note told the investors that soaring COVID cases and the tightening of restrictions are the only things hammering the discretionary services sector. In addition, he says that this is a so very serious issue as millions of people are struggling to find work.
However, it is very much clear that the economy is still struggling even after the nine months of the COVID pandemic. And the last time claims are three times the level typically seen before the pandemic. But still, around 20 million people are now ready to receive some type of jobless aid and this is going to help the people a lot. But updates call that negotiations in congress have deadlocked for some months.