Even as the U.S. economy is adding jobs, nearly five million people have been out of work for at least six months, and figures show their wait to return to the workforce is growing.
The Dow is still in record territory in early trading this morning. The surge comes on the heels of strong jobs data from the Labor Department, which show applications for unemployment benefits have fallen to a five-year low.
When state unemployment benefits run out, federal long-term unemployment payments kick in. But sequester budget cuts could reduce those payments, putting the squeeze on those who can least afford it.
Fewer Americans filed for jobless benefits last week. Claims fell for the third straight week. What role did superstorm Sandy play in the fall in unemployment claims?
During the recession, Congress lengthened unemployment aid to a maximum of 99 weeks. If not renewed, the current extension will expire at the end of the year.
A tentative deal has been reached to extend the payroll tax cut, as well as some unemployment benefits and Medicare payments. As the economy stays sluggish, we're in an era of seemingly endless government stimulus.
