By The Hill. U.S. unemployment claims could reach a record 1.5 million by next week as service industry workers are forced to stay home amid the coronavirus outbreak, economists warned Thursday.
The U.S. Labor Department reported that 281,000 Americans filed for unemployment benefits the week of March 14 — a 70,000 jump from the week before, and 60,000 claims more than economists had expected.
“State filings offices for Ohio, Pennsylvania, and Connecticut report claims filings this week are running six to 14 times higher than the same week last year,” Conrad DeQuadros, senior economic advisor at Brean Capital in New York, told Reuters. (Read more from “Economists Warn Jobless Claims Could Top 1.5 Million by Next Week” HERE)
Washington Scrambles to Prevent Massive Unemployment Spike
By The Hill. The coronavirus is quickly taking a sledgehammer to the historically low unemployment rates that have defined much of President Trump’s time in office.
The pandemic’s toll on the economy is now a key focus of Washington’s response to the growing public health crisis, with Congress and the White House scrambling to provide relief for struggling workers and businesses.
“It’s going to be a big problem,” said Jay Shambaugh, director of the Hamilton Project and a senior economics fellow at the Brookings Institution. “Unemployment is going to be where we see the economic damage, and is rising, frankly, faster than we expected just a week or two ago.”
Restaurants and bars have already initiated severe staff cutbacks, with similar actions underway in the travel and entertainment industries, leading to widespread layoffs at companies large and small. (Read more from “Washington Scrambles to Prevent Massive Unemployment Spike” HERE)