Jobless-aid claims up 13,000 in week

Applications for U. S. unemployment benefits rose for the first time in six weeks but remained historically low, underscoring the resilience of the job market despite mounting economic uncertainty.

Initial unemployment claims rose by 13,000 to 196,000 in the week that ended Saturday, Labor Department data showed Thursday.

The median forecast in a Bloomberg survey of economists called for 190,000 applications.

Continuing claims, which include those receiving unemployment benefits for a week or more, increased to 1.69 million in the week that ended Jan. 28.

The U.S. labor market has remained firm in the backdrop of the Federal Reserve’s most aggressive tightening campaign in a generation. Despite a rising number of layoffs spreading beyond tech companies, many businesses — particularly smaller ones — are still struggling to hire, while others are holding onto staff they worked so desperately to on-board.

The Walt Disney Co. said Wednesday that it’s cutting 7,000 jobs as part of a broader restructuring that will save the entertainment company $5.5 billion.

The Boeing Co. expects to cut about 2,000 jobs this year primarily in finance and human resources, the Seattle Times reported this week.

The data comes a week after a separate U.S. government report showed payrolls unexpectedly surged last month while the unemployment rate fell to a 53-year low.

Even though seasonal adjustments and other revisions may have played a role, Fed officials have said the data reinforces the need for more interest-rate increases to combat inflation.

The four- week moving average in initial claims, which smooths out some of the week-to-week volatility, edged down to 189,250, the lowest since late April.

On an unadjusted basis, initial claims rose to 234,654, led by California and Ohio.

A survey of chief executives by the Conference Board, in collaboration with the Business Council, found that 57% reported some problems attracting qualified workers, while 81% expected to boost wages by at least 3% over the coming year.

“While CEOs are still girding for a recession in 2023, they continue to experience a tight labor market,” Roger Ferguson, vice chairman of Business Council and trustee of the Conference Board, said in a statement Thursday.