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U.S. NEWS Friday 27 March 2020
3.3 million seek U.S. jobless aid, nearly 5 times earlier high

Continued from Front ce their ability to process vernments are supporting ment benefit of $275 a gest shape it had been in
claims. But that money will companies financially to week would be less than decades. Kim Boldrini-Sen,
“The US economy will expe- take time to be disbursed. keep employees on parti- half of what she earned 41, has also struggled to
rience the largest econo- file her claim. She has tried
mic contraction on record in two states: In Connecti-
with the most severe surge cut, where she works as an
in unemployment ever.” acupuncturist in a private
The economic deterio- practice, and in New York,
ration has been swift. As where she lives and has her
recently as February, the own acupuncture business.
unemployment rate was at In Connecticut, she thou-
a 50-year low of 3.5%. And ght her application had
the economy was growing been submitted. But when
steadily if modestly. Yet she returned last week to
by the April-June quarter re-file as applicants are re-
of the year, some econo- quired to do each week,
mists think the economy will she found there was no re-
shrink at its steepest annual cord of her initial filing. After
pace ever — a contraction taking an hour to re-file, she
that could reach 30%. received a pop-up notice
In its report Thursday, the La- that she was ineligible to
bor Department said 3.283 do so online.
million people applied for In New York, the sta-
unemployment benefits te’s website repeatedly
last week, up from 282,000 crashed when she was half-
during the previous week. way through filling out her
Many people who have request. When she finally
lost jobs in recent weeks, In this March 18, 2020 file photo, visitors to the Department of Labor are turned away at the door managed to press submit,
by personnel due to closures over coronavirus concerns in New York.
though, have been unable Associated Press she received a pop-up say-
to file for unemployment ing she had to file over the
aid because state websites phone. That hasn’t worked
and phone systems have Worldwide, the United Na- ally paid leave. at her job and insufficient well, either.
been overwhelmed by a tions estimates that up to In the United States, the to provide for her children, “I’ve called at all hours of
crush of applicants and 25 million jobs could be lost jump in applications for be- ages 10 and 7. the day,” she said. “That’s
have frozen up. in the economic upheaval nefits is playing out in states “I’m still in a state of shock,” been my life for a week,
That logjam suggests that from the viral outbreak. across the country. In Ca- Morancy said. and I still can’t get through
Thursday’s report actually That would exceed the 22 lifornia, claims for unem- She said she has heard that to anyone.”
understates the magnitude million that were lost during ployment benefits more airline employees might On Wednesday, the New
of job cuts last week. So the 2008 global financial than tripled last week to continue to receive sala- York State Department
does the fact that workers crisis. 187,000. In New York, they ries if Congress provides of Labor tweeted, “If you
who are not on company In Europe, companies are rose by a factor of five to financial assistance to the have been unable to get
payrolls — gig workers, free- laying off workers at the 80,334. Nationwide, about airlines. Yet even so, it’s not through our phone and/
lancers, the self-employed fastest pace since 2009, 2.25% of the entire workfor- clear that employees like or online system this week,
— aren’t currently eligible according to surveys of ce applied for jobless aid her who work for contrac- please keep trying.”
for unemployment benefits business managers. Of- last week. In Nevada, the tors — Eulen America, in her “We are working as hard as
even though in many cases ficial statistics for Europe figure was 6.8%, in Rhode case — would be eligible. we can to ensure that all
they’re no longer able to that would reflect the out- Island 7.5%. “If these companies are benefits are paid and ap-
earn money. break’s impact are not yet Gov. Gavin Newsom said 1 going to get a bailout, why preciate your patience,”
With layoffs surging, a signi- out. But companies have million claims for unemploy- not include us?” Morancy the agency said on Twitter.
ficant expansion of unem- been announcing tens of ment benefits had been said. Ellen Zentner, an economist
ployment benefits was thousands of job cuts, both filed in California since Even for those able to file a at Morgan Stanley, said
included in an economic permanent and temporary. March 13. Many of those claim, the benefits will take in a note to clients that 17
relief bill nearing final ap- Major car companies like applications were likely time to kick in. It typically million jobs could be lost
proval in Congress. One Fiat Chrysler and airlines like filed this week, suggesting takes two to three weeks through May -- twice the
provision in the bill would Lufthansa are suspending that next week’s report before applicants receive entire 8.7 million jobs that
provide an extra $600 a most of their operations, could show an even bigger any money. State agen- were lost in the Great Re-
week on top of the unem- putting tens of thousands number of claims. cies must first contact their cession. She expects the
ployment aid that states of workers on temporary In Florida, Jessy Morancy former employers to ve- unemployment rate to
provide. Another provision leave, many with only a of Hollywood was laid off rify their work and earnings average 12.8% in the April-
would supply 13 additional partial salary. last week from her job as a history. Only then can the June quarter, which would
weeks of benefits beyond The unemployment rate in wheelchair attendant and employee’s weekly unem- be the highest level since
the six months of jobless aid the 19 countries that use customer service agent ployment benefits be cal- the 1930s.
that most states offer. The the euro was 7.3% at last at Fort Lauderdale Airport. culated. Still, Zentner also expects
new legislation would also count in January. It’s ex- Morancy, 29, called the Worsening the problem, the economy to start reco-
extend unemployment be- pected to rise toward 10%, state unemployment of- most state agencies that vering by the second half
nefits, for the first time, to depending on the duration fice on Monday to try to file handle unemployment of the year. But it will take
gig workers and others who of the outbreak, econo- for unemployment benefits claims are operating at his- time for things to return to
are not on company pay- mists say. The rise in jobles- but encountered just a re- torically low funding levels something close to normal,
rolls. sness may not be as sharp corded message telling her and staffing that are inten- she projects: The unem-
Separate legislation passed as in the U.S. because it’s to call back later. ded to handle a trickle of ployment rate could still
last week provides up to $1 harder to fire workers in She was also concerned claims. Just weeks ago, the top 5% at the end of next
billion to states to enhan- Europe, where many go- that even a full unemploy- job market was in the stron- year.q