Weekly Jobless Claims Stay Elevated, Suggesting Job Growth Remains Weak
By Reuters | 12 Feb, 2026

New claims for jobless benefits totaled 227,000 last week, dashing hopes that job growth was accelerating based on January figures.

The number of Americans filing new applications for unemployment benefits decreased less than expected last week, but the decline was consistent with economists' view that the labor market was stabilizing after hitting a soft patch last year.  

Initial claims for state unemployment benefits dropped 5,000 to a seasonally adjusted 227,000 for the week ended February 7, the Labor Department said on Thursday. Economists polled by Reuters had forecast 222,000 claims for the latest week.

"Claims are well within the recent range over the last two years," said Carl Weinberg, chief economist at High Frequency Economics. "Layoffs, as reflected in initial claims, are not signaling a weakening labor market or economic decay."

The fall reversed only a fraction of the prior week's jump, blamed on snowstorms and frigid temperatures across much of the country as well as normalization following seasonal volatility at the end of last year and beginning of 2026. Claims have moved in a 192,000-237,000 range since the end of November.

"The latest reading puts initial claims right back in the vicinity that has prevailed for three years running," said Stephen Stanley, chief U.S. economist at Santander U.S. Capital Markets. "Initial claims traditionally start to settle down after Presidents Day, so the weekly readings should start to get cleaner in the next few weeks."

The government reported on Wednesday that job growth accelerated in January and the unemployment rate fell to 4.3% from 4.4% in December. But revisions showed the labor market almost stalled last year, with job growth averaging about 15,000 per month. Economists say trade and immigration policies were constraining the labor market, but are optimistic employment growth will pick up this year partly because of tax cuts.

Some economists, however, saw the smaller-than-expected decline in claims as a sign the labor market remained weak.

"Jobless claims suggest that the labor market remains just as subdued as last year, casting further doubt over the sustainability of January's reported jump in payrolls," said Samuel Tombs, chief U.S. economist at Pantheon Macroeconomics.

The number of people receiving unemployment benefits after an initial week of aid, a proxy for hiring, increased 21,000 to a seasonally adjusted 1.862 million during the week ended January 31, the claims report showed. The so-called continuing claims have also been impacted by seasonal volatility.

Though fewer people experienced longer bouts of unemployment in January, the median duration of joblessness remained near levels last seen four years ago. Recent college graduates are having a tough time finding jobs.

(Reporting by Lucia Mutikani; Editing by Chizu Nomiyama and Andrea Ricci )