Unemployment up 61% from a year ago, jobless claims at record highest level since records have been kept starting in 1967

NEW YORK (CNNMoney.com) — The number of jobless American workers receiving unemployment checks rose to the highest level since the government began keeping records in 1967. A Labor Department spokesman said the number of Americans drawing jobless benefits for a week or longer rose to 4,776,000 in the week ended Jan. 17, the latest data available. The number eclipses the prior mark set in November 1982, when 4,713,000 million Americans drew benefits. Americans who moved to collect their first unemployment checks rose for the third consecutive week, to 588,000, according to a government report released Thursday. The number of Americans filing for unemployment claims has surged by 61% from this time a year ago. The Labor Department said initial filings for state jobless benefits rose by 3,000 for the week ended Jan. 24 from a downwardly revised 585,000 claims filed the prior week. Economists polled by Briefing.com expected the reading to fall to 575,000 claims. Ian Shepherdson, an economist at High Frequency Economics, said that initial claims data are a proxy for the trends in gross firings. Mass firings hit a seven-year high in 2008. “The net result of this is soaring unemployment, and we see no chance of this picture changing in the foreseeable future. We expect net job losses of about three million through the first half of this year,” Shepherdson said. The four-week average of new unemployment claims, used to smooth fluctuations in data, grew by 24,250 to 542,500 from the prior week. A year ago, it was at 333,750. Over the previous four weeks, the number of people on unemployment for one week or more increased by 66,500 to an average of 4.63 million a week, the government said. A year ago, it was at 2.70 million.

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Jobless rate jumps to 7.2%, average work week sinks to lowest ever on record.

From Washingtonpost.com today:

“The fine print of yesterday’s report from the Labor Department showed that a broader measure of joblessness — which includes people who are working part-time but would prefer a full-time job and people who want work but have given up looking — rose by nearly a full percentage point, to 13.5 percent.

The overall unemployment rate jumped from 6.8 percent in November, the Labor Department said. Employers cut 524,000 jobs last month, 2.6 million over the course of 2008. Companies not only slashed workers, but also cut back on hours for their remaining employees, to the shortest average workweek on record….”

U.S. economic depression of 2008 update: manufacturing orders dropped to lowest levels since 1948.

U.S. depression update, Jan. 2, 2008, found here, at Bloomberg.com:

Jan. 2 (Bloomberg) — The decline in U.S. manufacturing deepened in December as demand for such products as cars, appliances and furniture reached the lowest level since at least 1948, signaling further cutbacks in factory jobs and production this year.

The Institute for Supply Management’s factory index fell to 32.4, below economists’ forecasts and the lowest level since 1980, from 36.2 the prior month. Readings less than 50 signal contraction. The group’s new-orders measure reached the lowest level on record and prices slid the most since 1949.

“Every component suggests that the weakness is going to carry over into 2009,” Mark Vitner, a senior economist at Wachovia Corp. in Charlotte, North Carolina, said in a Bloomberg Television interview. “There’s just not a whole lot of new business coming in,” and companies will have a “painful adjustment” as consumers shun spending.

Today’s figures underscore that, with private demand collapsing, manufacturers’ best hope for new business this year may be President-elect Barack Obama’s plans for an unprecedented stimulus package. Obama has pledged an investment program in roads, schools and the U.S. energy network akin to the 1950s- era interstate highway construction boom….”

“G 20” World Leaders meet in Washington D.C. to discuss global response to worst worldwide financial crisis in over 70 years.

The following is an excerpt from an article found here at Reuters today:

By David Lawder and Emmanuel Jarry

“WASHINGTON (Reuters) – World leaders pledged rapid action on Saturday to rescue a weakening global economy from the worst financial crisis in over 70 years and agreed to give emerging nations more say in running financial affairs.

The Group of 20 leaders from major industrialized and developing countries set out plans to toughen oversight for major global banks, study limits on banker pay and try for a breakthrough by year end in global trade talks — all part of a roadmap to rebuild a financial system crippled by the credit crisis.

“We must lay the foundation for reform to help ensure that a global crisis such as this one does not happen again,” they said in a statement after their first-ever summit.

They vowed to make progress before a second summit by the end of April.”

The New York Times reported on the global financial emergency “G20” summit, here.

DHL shipping company to cut 9,500 U.S. jobs, focus ‘entirely on international offerings.’

DHL to Cut 9,500 U.S. Jobs

DHL said it would significantly reduce its air and ground operations in the United States and cut 9,500 jobs within the country. It said it would discontinue U.S. domestic-only air and ground products on Jan. 30 to focus entirely on its international offerings. The decision could greatly scale back a possible venture between Deutsche Post‘s DHL and UPS….” (click here to read article).

scarcity

scarcity