Unemployment insurance weekly claims are on the rise across the nation, according to a recent report by the U.S. Department of Labor. The seasonally adjusted initial claims in the week ending July 2 reached a figure of 235,000, marking a 4,000 increase compared to the previous week. The figure represents the highest number of jobless claims since January.
The four-week moving average, which is often a more accurate representation of the data, is at 232,500 first-time jobless claims. This is a 750 increase on the 231,750 unrevised average in the week before.
The continued claims are also on the rise, reaching 1.375 million. The figure represents a 51,000 increase and 35,000 more than 1.337 million estimated by FactSet.
These numbers are a good indication that once hot job market is beginning to go cold. The layoffs are already on the rise in the tech industry, where companies are trimming down the workforce or freezing new hires. This still hasn’t translated to other industries, but that could be just a matter of time, according to experts.
“Employers are beginning to respond to financial pressures and slowing demand by cutting costs,” said Andrew Challenger of the job placement firm Challenger, Gray & Christmas. “While the labor market is still tight, that tightness may begin to ease in the next few months.”