There’s still a long way to go before unemployment reaches pre-pandemic levels. In 2019, average weekly initial claims hovered around 218,000. But Mike Loewengart, managing director of investment strategy at E-Trade, said the back-to-back reports of unexpectedly lower claims signal “significant momentum” in the labor market.
“With the lowest levels we’ve seen since the pandemic hit, there’s no doubt we’re moving in the right direction, as we start to see some loosening of business restrictions, calls to return to work, and vaccines continuing to roll out,” Loewengart said in comments emailed to The Washington Post.
Last week, 133,319 Americans filed claims for Pandemic Unemployment Assistance, for gig and self-employed workers.
New York, Florida, Alabama, Washington and Georgia saw the biggest increases in first-time unemployment claims for the week ended April 10. California, Texas, Ohio, Kentucky and Virginia saw the biggest decreases.
Poverty rose to 11.7 percent in March, the highest level of the pandemic, according to research from the University of Chicago and University of Notre Dame, as Americans awaited the next round of stimulus relief. Children, non-minorities and women were hit the hardest by the spike, researchers said.
Many economists describe the recovery as “K-shaped” because of its diverging prospects for the rich and poor. But the divide also is being felt across gender lines. Although the U.S. economy added 916,000 positions back in March, only about a third of these jobs were regained by women. Women would need nearly 15 straight months of job gains at last month’s level to recover the more than 4.6 million net jobs they have lost since February 2020, according to the National Women’s Law Center.
The pandemic’s disruption has created inescapable financial strain for many Americans. Nearly 2 in 5 adults have postponed major financial decisions, from buying cars or houses to getting married or having children, because of the coronavirus crisis, according to a survey last week from Bankrate.com. Among younger adults, ages 18 to 34, 59 percent said they had delayed a financial milestone.
Roughly a third of U.S. adults are fully vaccinated, President Biden announced this week. But vaccination rates are starting to slow: After weeks of accelerating daily inoculations, the average daily number of reported shots administered nationally has fallen 11 percent, according to data from the U.S. Centers for Disease Control and Prevention.
“While surges in COVID variant infections remains a near-term risk, outlook for US growth has been upgraded sharply,” Anu Gaggar, senior global investment analyst for Commonwealth Financial Network, said in comments emailed to The Post. “As more Americans get vaccinated and feel comfortable traveling, going to restaurants, sporting events and live entertainment, more and more people will be able to return to the workforce, if they choose to.”
On Wednesday, Biden pressed businesses and nonprofits to give employees paid time off for the shots, and touted government funding to underwrite some of those costs.
“I’m calling on every employer large and small in every state to give employees the time off they need, with pay, to get vaccinated,” Biden said. “No working American should lose a single dollar from their paycheck because they chose to fulfill their patriotic duty of getting vaccinated.”