Federal unemployment assistance for coronavirus came to an end on September 6. With this, the Government of the American Union expected an increase in job applications, however, the figures indicate otherwise.
According to various reports, during the last week, applications for unemployment assistance increased from 16,000 to 351,000. Despite this, the average of requests for four weeks (one month) decreased, which counteracts the increase of the last week.
This increase occurs after the end of the federal aid of the 300 dollars on the regular benefits. After that, many Americans who have been unemployed for months they are now eligible for very little financial aid.
“What we are seeing is a job market that continues to improve, but we are still dealing with high levels of unemployment.”said Gus Faucher, chief economist at PNC Financial Services Group in Pennsylvania.
The level of unemployment is the lowest since the pandemic began
Currently, USA has the fewest applications for unemployment assistance since the coronavirus pandemic began. However, the figures indicate that there are 100,000 more unemployed people compared to 2019, when the average was 218,000 requests.
Despite this, the current figure reflects a great improvement, because, in August 2020, there were more than 5 million unemployed in the American Union. For now, it only remains to wait for the Department of Labor to give the report corresponding to the month of September.
In August, the unemployment rate fell to 5.2%, while in June it was 5.9% and in May it was 5.8%. The index reached its peak highest in April 2020 at 14.8%, the highest since the Bureau of Labor Statistics began recording data in 1948.