The Labor Department said Thursday that joblessness application filings fell by 6,000 in the last week. The numbers concur with other signs that the nation is experiencing modest job growth. Source of article: Unemployment Apps
Fewer joblessness apps
Because predicting summer slowdowns in the auto industry could be tough, analysts believe that the number of weekly apps were uneven for July. Car makers have been keeping really busy selling cars. The figures are starting to level out, according to Labor Department figures. There was a four-week average of 368,250 and a seasonally adjusted 361,000 apps for the week ending August 4. The 375,000 number is much higher than those ones. If the amount of apps is below 375,000, the unemployment rate will, in theory, decrease.
Looking at increases in hiring
July's federal job numbers showed that 163,000 jobs were added to the country's workforce. That is a large improvement from the discouraging figures early in the year. Capital Economics economist Paul Dales explained that the job market faced a slump at the start of the year, but it is getting much better. There is more strength in hiring now, particularly with lower expectations:
"The pick-up in jobs growth in July may therefore be sustained in August."
Even though gains looked really great, the unemployment rate increased. It went up from 8.2 percent to 8.3 percent. If the joblessness rate were to fall again, there would have to be more jobs added and it would have to be a steady increase.
There was a 4.1 percent boost in the economy in the last quarter of 2011, much of which had to do with a mild winter and seasonal spending. In the first quarter of 2012, the progress was 2 percent. In the second quarter, it was only 1.5 percent. It needs to be growing faster than that. There is an average of 3.4 applicants per position since there were nearly 13 million people who documented being unemployed in June regardless of the truth that the Labor Department reported more job openings for the month than in the last four years.
Normally it takes about three months for brand new job postings to be filled. Those increased job openings might be a sign of hiring progress in the months to come. Worker productivity increased by 1.6 percent for the second quarter, which means employers will need to add jobs if demand picks up.