Applications for unemployment benefits increased last week, but the U.S. labor market continued to show limited layoffs and relatively strong job security, according to data released Thursday by the Labor Department.
Jobless claims reached 200,000, up from a revised 191,000 the previous week. The total exceeded economists’ forecast of 195,000. The four-week average, which reduces the effect of weekly fluctuations, remained unchanged at 195,250.
Claims remain below recent highs
Initial claims are used as an indicator of layoffs because they count workers applying for unemployment benefits. Claims have stayed below 230,000 in every week so far this year and have been at or below 200,000 for nine consecutive weeks.
- 200,000: applications filed last week
- 191,000: revised total from the previous week
- 195,250: four-week average
Employers, including companies, government agencies and nonprofits, have added an average of 86,000 jobs per month this year. The figure includes a gain of 165,000 jobs last month, which was stronger than expected.
Hiring remains slower than in earlier periods
The average monthly job gain is below historical levels, but it is higher than the pace recorded in 2025. Employers added an average of 9,700 jobs per month last year as high interest rates and President Donald Trump’s trade policies discouraged hiring, according to the Labor Department data cited by ABC News.
At the same time, consumer spending has remained resilient. Investment connected to artificial intelligence has also contributed to economic growth, according to the report.
The weekly claims data measure new applications for benefits rather than the total number of people receiving assistance. The Labor Department’s figures provide a snapshot of layoffs, while monthly employment reports track broader changes in hiring and employment.