NFIB

Job Market Remains Sluggish, Though Unemployment Claims Fall
05/30/2002

Job cutting is slowing at companies, but most employers are reluctant to hire back employees before sure signs of economic stability surface, the AP reports.

The Labor Department Thursday reported that new job claims fell to a 10-week low last week, even though the number of Americans filing for more than one week remains high.

The economy's slow recovery has made employers weary of revamping too soon. Because of the skepticism, economists predict the unemployment rate, which stands at 6 percent, could rise as high as 6.5 percent before it begins a decline.