The latest figure from the Labor Department marked the 10th straight weekly decline in applications for jobless aid since they peaked in mid-March.
About 1.5 million laid-off workers applied for U.S. unemployment benefits last week, evidence that many Americans are still losing their jobs even as the economy appears to be slowly recovering with more businesses partially reopening.
The total number of people who are receiving unemployment aid fell slightly, a sign that some people who were laid off when restaurants, retail chains and small businesses suddenly shut down have been recalled to work. But that doesn’t capture the full scope of the damage to the job market. Including those the government said were erroneously categorized as employed in the May jobs report and those who lost jobs but didn’t search for new ones, 32.5 million people are out of work, economists estimate.
In February, the economy fell into a deep recession, according to the National Bureau of Economic Research, the association of economists that is the official arbiter of recessions. The Federal Reserve estimated Wednesday that the economy will shrink 6.5% this year. That would be, by far, the deepest annual contraction on records dating to World War II.Even as restaurants, bars and gyms reopen, they are doing so at lower capacity.
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