Texas jobless claims fall to lowest level of pandemic
COLLEGE STATION – Initial unemployment insurance claims in Texas decreased to their lowest level since the pandemic hit the economy.
New claims fell to around 30,500 the week ending Nov. 7 after increasing the previous week. This brings the total number of initial claims to 3.8 million, according to data from the U.S. Department of Labor (DOL).
"While weekly claims—a proxy for layoffs—have fallen from a peak of around 300,000 at the start of April, they remain above the 17,000 levels observed prior to the pandemic," said Real Estate Center Research Economist Dr. Luis Torres.
Continuing unemployment claims decreased for the ninth consecutive week, falling to 546,700 the week ending Oct. 31, the lowest level since the pandemic hit the economy.
"This downward trend can be reversed if COVID-19 cases continue to rise, impeding the reopening of the economy, causing government mandated rollbacks or closures, similar to the two-week mandated closure by El Paso County," Torres said.
New national unemployment claims also decreased to a new pandemic low. U.S. claims fell for the fourth straight week to 708,800 the week of Nov. 7, bringing the 34-week total to almost 67.4 million.
More people in Dallas-Fort Worth, Houston, and San Antonio filed new unemployment claims during the week ending Oct. 31. In contrast, Austin claims decreased that week.
The oil industry’s struggles have translated into layoffs, negatively affecting Houston’s labor market.
New claims increased along the Texas border, rising in El Paso, McAllen, and Laredo, while decreasing in Brownsville.
El Paso’s coronavirus case surge has pushed up initial claims for three straight weeks to thresholds 5.6 times higher than pre-pandemic levels but still below the historic high numbers reached at the end of March and the start of April.
Using data from the DOL and the Employment and Training Administration, the Center has estimated unemployment claims for Texas’ major and border metros since March 21:
Houston-The Woodlands-Sugar Land, 873,100 claims;
Dallas-Fort Worth-Arlington, 829,100 claims;
San Antonio-New Braunfels, 262,100 claims;
Austin-Round Rock, 222,200 claims;
McAllen-Edinburg-Mission, 102,800 claims;
El Paso, 88,900 claims;
Brownsville-Harlingen, 45,800 claims; and
Laredo, 26,700 claims.
Layoffs continue in construction as well as in industries that can’t socially distance.
Administrative/support/waste management/remediation services, construction, health and social assistance, retail trade, and accommodation and food services had the most unemployment claims through Oct. 31.
"Going forward, the current rise in COVID-19 cases could affect consumer behavior, holding back business activity and maintaining layoffs at a high level," said Torres.
The Real Estate Center has a wealth of economic information online for free.
You might also like
TG Magazine
Check out the latest issue of our flagship publication.