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    Unemployment Claims in California Are 25.88% Higher Than the Previous Week

    Diane Polk WalletHub

    For the week of February 27, new unemployment claims in California were 25.88% higher than in the previous week, amid high inflation and the threat of a recession, according to WalletHub’s updated rankings for the States Where Unemployment Claims Are Increasing the Most.

    Key Stats:

    • Weekly unemployment claims in California increased by 25.88% compared to the previous week. This was the 12th biggest increase in the U.S.
    • Weekly unemployment claims in California were 17.00% higher than in the same week last year. This was the 18th biggest increase in the U.S.
    • Weekly unemployment claims in California were 24.20% higher than in the same week pre-pandemic (2019). This was the 14th biggest increase in the U.S.
    • Unemployment Insurance Initial Claims per 100,000 People in Labor Force in California: 264

    To view the full report and your state’s rank, please visit:

    WalletHub Q&A

    Despite recent layoffs, unemployment is still low. Why is that?

    “Despite recent layoffs, the number of unemployment claims has actually been dropping. That’s because there are still many more jobs than unemployed people, at about two openings per jobless person, according to the BLS. It’s important to remember that most recent layoffs have been in the tech sector,” said Jill Gonzalez, WalletHub Analyst. “Tech companies are more sensitive to rising interest rates because of how they’re funded, so it’s no surprise they’re also the quickest to impose layoffs. Just because one sector is doing it, doesn’t necessarily mean the rest will follow.”

    Given that the Fed seems to have slowed down on its rate increases, how will unemployment be affected?

    “The Fed raised rates by a quarter of a point, which is the smallest increase since March 2022 when it started the increases to tame rising prices. But inflation has not calmed down enough just yet,” said Jill Gonzalez, WalletHub Analyst. “Unemployment will still need to rise, at least slightly, to get inflation numbers down to where the Fed wants them. We can expect unemployment to increase through the end of the year.”

    How would a potential recession affect unemployment?

    “A potential recession would negatively affect unemployment significantly. Losing a job is never good, but when you combine it with such high inflation it can really become disastrous,” said Jill Gonzalez, WalletHub Analyst. “Even Americans with jobs right now are struggling to afford essentials like food and gas. If those numbers would climb while more people become unemployed, we might see an economy in deep recession.”

    What do you make of the fact that there are more job openings than there are unemployed Americans?

    “Unemployment is really no longer an issue since the country has recovered from much of the fallout of the pandemic,” said Jill Gonzalez, WalletHub Analyst. “The next step might be looking to open up immigration to fill the surplus of jobs nationwide. Doing so would not only help businesses meet their needs, but would also drive additional economic growth.”

    How do red states and blue states compare when it comes to new unemployment claims?

    “With an average rank of 22 among the states with the biggest increase in unemployment claims, blue states fared worst last week than red states, which rank 31 on average,” said Jill Gonzalez, WalletHub Analyst. “The lower the number of the ranking, the bigger the increase in the state’s new unemployment claims was.”

    How has unemployment in the Mountain states – the division with the highest inflation growth in the past 12 months – been impacted?

    “Among Mountain states, Nevada’s unemployment claims have experienced the 11th biggest increase in the U.S. For the week of February 27, Nevada had 2,431 new unemployment claims, a 14% increase from the previous week. On the other hand, unemployment claims in Montana have experienced a 15% decrease for the same period.”

    The views and opinions expressed in this commentary are those of the author and do not reflect the official position of Citizens Journal


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    Johnny Savvy
    Johnny Savvy
    13 days ago

    The labor force participation rate is a scam how about we count everybody that’s 16 and over and then count everybody it has a job and subtract one from the other the BLS is BS!!!

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