Applications for US jobless benefits rose again last week

Associated Press

WASHINGTON

The number of people seeking unemployment benefits rose last week to the highest level since late February. But the increase likely reflected temporary auto-plant shutdowns rather than any underlying labor market weakness.

The number of people filing applications for unemployment benefits rose by 15,000 to 297,000, the Labor Department reported Thursday. That is the highest weekly total since 327,000 applications were filed in the week of Feb. 28.

Even with the recent increases, benefit applications, which are a proxy for layoffs, remain at low levels that reflect a labor market that has been posting solid employment gains. The four-week average for claims, which smooths out some of the volatility, rose to 279,500, up slightly from 275,000 the previous week. It was the highest level for the four-week average since early May.

One of the states posting a large jump was Michigan, home to many U.S. auto plants, which typically see plant shutdowns in the summer to retool for a new model year.