The number of Tennesseans seeking jobless benefits fell last week to the lowest level since early March before the coronavirus pandemic began slowing the state's economy and ultimately led 906,360 Tennesseans to file for unemployment assistance in the past seven months.
The Tennessee Department of Labor and Workforce Development said Thursday that 6,992 new claims were filed by newly laid off workers last week, including 304 in Hamilton County.
Tennessee used federal stimulus funds from the CARES Act to pay all of its jobless benefits last week, which averaged $292.96 per claimant. That was only about a third of what jobless persons were paid until the end of July when a federal $600-a-week supplemental benefit ran out.
Nationwide, initial jobless claims also declined slightly last week to 751,000, a still-historically high level that shows that many employers keep cutting jobs in the face of the accelerating pandemic.
Before the virus struck in March, the weekly figure had remained below 300,000 for more than five straight years.
Thursday's report from the Labor Department said the number of people who are continuing to receive traditional unemployment benefits declined to 7.3 million. That figure shows that some of the unemployed are being recalled to their old jobs or are finding new ones. But it also indicates that many jobless Americans have used up their state unemployment aid - which typically expires after six months - and have transitioned to a federal extended benefits program that lasts an additional 13 weeks.
The job market has been under pressure since the virus paralyzed the economy and has regained barely half the 22 million jobs that were lost to the pandemic in early spring. The pace of rehiring has steadily weakened - from 4.8 million added jobs in June to 661,000 in September. On Friday, when the government issues the October jobs report, economists foresee a further slowdown - to 580,000 added jobs - according to a survey by the data firm FactSet.
Last week, nearly 363,000 people applied for jobless aid under a new program that extended eligibility for the first time to self-employed and gig workers, up slightly from 359,000 the previous week. That figure isn't adjusted for seasonal trends, so it's reported separately.
All told, the Labor Department said 21.5 million people are receiving some form of unemployment benefits, though the figure may be inflated by double-counting by states.
- Compiled by Dave Flessner