The number of US workers filing new claims for jobless benefits surged to a 26-year high last week, Labour Department data showed today, as a deepening recession forced employers to cut back on recruitment.
Initial claims for state unemployment insurance benefits jumped by 58,000, the biggest increase since September 2005, to a seasonally adjusted 573,000 in the week ended December 6th from an upwardly revised 515,000 the previous week.
That was the highest since November 1982, when 612,000 workers submitted new claims for unemployment benefits.
A Labour Department official said there were no special factors influencing the report.
The four-week moving average of new jobless claims, a better gauge of underlying labour trends because it smoothes out week-to-week volatility, rose to 540,500 from 526,250 the prior week, the highest since December 18th, 1982 when a reading of 554,500 was recorded.
Continuing claims jumped to 4.43 million in the week ended November 29th, also a 26-year high, from 4.09 million the previous week. The 338,000 increase in continuing claims matched the gain recorded in the week ended November 30th, 1974.