Jobless claims are rising faster

WASHINGTON (AP) -- Newly laid-off workers signed up for unemployment benefits at a faster pace last week, yet companies still seem wary of pruning too much as economic activity slows.
New applications filed for the work week ending Nov. 18 rose by a seasonally adjusted 12,000, to 321,000, the Labor Department reported Wednesday.
Even though the increase left claims at a three-week high, the figures were considered consistent with a jobs climate that remains decent despite the strain of losses related to the cooling of the once-sizzling housing market.
The current number of new filings for unemployment benefits is in line with last year at this time, when claims stood at 322,000.
Economists had forecast a smaller rise last week, to around 310,000.
"Despite the larger than expected increase in jobless claims, businesses are reluctant to dismiss workers ahead of the upcoming holiday season," said Richard Yamarone, economist at Argus Research Corp. "Demand for goods and services appears to be quite strong, which should keep employers in a hiring mode."
Still, there have been pockets of pain. The struggling auto industry has slashed jobs. Companies involved in home building, furniture making and real estate all have let workers go. Retailers have continued to pink-slip employees.