Economy

Nationwide, 4,427,000 filed for unemployment insurance last week

The U.S. Department of Labor issued its weekly report on initial claims for unemployment insurance this morning. Nationwide, the number of seasonally adjusted claims was 4,427,000 last week. This is 810,000 less than the (downwardly revised) number of claims for the previous week, 5,237,000. The 4-week moving average of seasonally adjusted claims was 5,786,500, up […]

Downturn could mean a fiscal shock of $3.5 billion to $4.4 billion for Washington (plus, why the state should run its own stress tests as part of the budget process)

Moody’s Analytics has run a fiscal stress test “to gauge the potential fiscal shock that could be in store for states in the COVID-19 economy.” The test considers revenue shortfalls and increased Medicaid spending and finds that in the baseline scenario (in which business and travel restrictions are lifted in the second quarter of 2020), […]

Recapping last week

Initial claims for unemployment in Washington continue to be historically high, though last week’s report showed a reduction in initial claims from the previous week. Continued claims—the total number of people claiming unemployment benefits—were a record 435,891. This vastly outnumbers continued claims during the Great Recession, suggesting that this downturn could be worse. The overall […]

How will state and local budget shortfalls be addressed?

The National Association of Counties estimates, “The COVID-19 pandemic has the potential to impact county budgets by over $144 billion through fiscal year 2021.” Additionally, Large counties with over 500,000 residents would see the largest increase in expenditures and the largest decrease in revenue, amounting to an approximately $83 billion impact. However, small counties with […]

Initial claims by sector

Here are charts presenting initial claims for unemployment insurance in Washington state by sector for the period from March 1 to April 11. The first chart shows the number of claims by sector. The five sectors with the greatest number of claims are, in descending order, accommodation and food services; construction; health services and social […]

In Washington 143,241 filed for unemployment insurance last week

This morning the state Employment Security Department reported that it received 143,241 new claims for unemployment insurance during the April 5-April 11 week. This is a decrease of 26,822 from the 170,063 claims filed during the preceding week. The four-week moving average of initial claims is 156,060, up from 123,789 for the preceding week. We […]

Nationwide, 5,245,000 filed for unemployment insurance last week

The U.S. Department of Labor issued its weekly report on initial claims for unemployment insurance this morning. Nationwide, the number of seasonally adjusted claims was 5,245,000 last week. This is 1,370,000 less than the (upwardly revised) number of claims for the previous week, 6,615,000. The 4-week moving average of seasonally adjusted claims was 5,508,500, up […]

State monthly employment report

The state Employment Security Department issued its Monthly Labor Report for March today. The period covered by this report (the pay period including March 12) was somewhat impacted by COVID-19. However, most of the pandemic’s impact on jobs came after this period, and hence the numbers reported today do not accurately reflect current labor market […]

Treasury releases more information on aid for state and local governments

This week Treasury released more information on the $150 billion relief fund for state and local governments. Treasury confirmed that the total allocation for Washington (state and qualifying local governments) is $2.953 billion. Eligible local governments are King County, Seattle, Pierce County, Snohomish County, and Spokane County. They must apply for the funds by April […]

More estimates of local government shortfalls, and an AG memo on local government options to help individuals and businesses during this time

Snohomish County expects a $24 million (about 10 percent) hit to its general fund budget. In response, the county is considering freezing hiring, eliminating discretionary raises, and cancelling travel and training. According to the Everett Herald, the County Council will consider two hiring freeze ordinances tomorrow: One would last through the end of the year and […]