The number of laid off workers filing claims for unemployment benefits rose last week in another worrisome sign that the labor market is weakening. The Labor Department reported Thursday that new claims for unemployment benefits rose by 4,000 last week to 319,000. It marked the sixth increase in the past seven weeks and was a further sign that the economy is feeling the impact of a steep slump in housing and a spreading credit crisis. The government reported last week that employers cut 4,000 jobs from payrolls in August, the first monthly job decline in four years. The net decline in payroll jobs in August came as a surprise. Analysts had been expecting an increase of 110,000 jobs, in line with growth this year.
See "Jobless Claims Up for 6th Time in 7 Weeks", Martin Crutsinger, San Francisco Chronicle, September 13, 2007