The job eliminations arrive after CEO Mark Zuckerberg sought to reassure workers that he didn’t “anticipate more layoffs” after the company slashed 11,000 jobs—roughly 13 percent of its workforce—in November.
Jerome Powell’s remarks followed the government’s blockbuster report last week that employers added 517,000 jobs in January, nearly double December’s gain. The unemployment rate fell to its lowest level in 53 years, 3.4%.
The job market has withstood aggressive rate hikes by the Federal Reserve as the Fed attempts to cool the economy and bring down inflation.
Employers are holding on to their workers despite the Federal Reserve’s efforts to slow the economy and tamp down inflation.
About 1.67 million people were receiving jobless aid the week that ended Nov. 26, up 62,000 from the week before. That’s the most in 10 months, but still historically low.
The U.S. labor market showed little sign of slowing last month, maintaining a surprisingly robust pace despite a slowdown in the tech industry.
Applications for unemployment benefits are a proxy for layoffs, and viewed with other employment data, shows that American workers are enjoying extraordinary job security at the moment, despite an economy with some glaring weaknesses.
The number of Americans applying for unemployment benefits rose last week to the highest level since August but still remains low by historic standards.
Despite the rate’s increase, the state gained 6,900 private-sector jobs last month, the Indiana Department of Workforce Development reported.
The report suggests demand for workers remains robust despite rapid interest-rate hikes and a darkening economic outlook. Layoffs, while rising, are still historically low, and competition to fill millions of vacant positions has driven rapid wage gains.
All eyes will now turn to the Labor Department’s October jobs report Friday, the last peek at the state of the economy ahead of the midterm elections.
September was the 12th consecutive month in which Indiana had an unemployment rate below 3%.
The pickup in claims—if sustained—would suggest lackluster spending in various sectors and uncertainty about the economy’s prospects are prompting some businesses to lay off workers.
U.S. job openings plummeted in August, likely a welcome sign for Federal Reserve officials as they seek to cool demand for workers without triggering a spike in unemployment.
Applications for U.S. unemployment insurance dropped unexpectedly to a five-month low, suggesting robust demand for workers amid economic uncertainty.
The Federal Reserve will have to keep boosting its benchmark interest rate to a point that raises unemployment and gets inflation down from unusually high levels, two officials said in separate remarks Monday.
An estimated 95,096 Hoosiers are currently unemployed and seeking jobs, the state reported Friday. That’s up from 87,889 in July.
Jobless claims have been dropping as employers are still trying to fill millions of open positions and retain the workers they already have.
Hiring in the U.S. in 2022 has been remarkably strong even as the country faces rising interest rates and weak economic growth.
The increase that the government reported Tuesday will be a disappointment for Federal Reserve officials, who are seeking to cool hiring by raising short-term interest rates to try to slow borrowing and spending, which tend to fuel inflation.
