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Jobless claims rise again due to Delta virus and Hurricane Ida

Jobless claims rise again due to Delta virus and Hurricane Ida

The number of Americans who applied for jobless benefits has risen for a second time to 351,000. This is a sign that the US job market is still struggling with the covid 19 surge. The Department of Labour reported on Thursday showed that the jobless claims rose by 16,000 since the last week. Reports show that the job market has strengthened but the jobless aid claims still remain elevated. Before the pandemic hit the country, jobless claims 220,000 people applied for aid every week. Now the numbers remain about 60% higher than before that pandemic. 

Employers in the US have increased hiring and the economy has recovered about 17 million jobs since March-April 2020. The rollout of the vaccines has also encouraged businesses to reopen and consumers to go out, dine and shop. Some economists also add that there are other factors to the rising number of claims. In addition to the surge of the Delta virus, they add that the impact of Hurricane Ida and seasonal factors also have a play in it. Earlier this month about 8 million people lost their access to unemployment aid with the expiration of two federal programs. Another 2.7 million people also lost access to regular state unemployment benefits of $300 a week. 

Source: CBS News 
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