Verizon-Guild Feud Causes Jobless Claims To Surge

Claims for unemployment insurance by first-time filers the week ended Aug. 20 jumped to 417,000, an increase of 5,000 from the previous week’s upwardly-revised figure of 412,000.

The dispute between Verizon Communications and Communications Workers of America is responsible for at least 12,500 claims the week of Aug. 13, and 8,500 claims the week ended Aug. 20, the Department of Labor said.

Now that Verizon has agreed to bargain with its workers, jobless claims may fall and bring good news next week.

The good news that we don’t have to wait a week for: even though initial claims rose the week of Aug. 13, total claims—everyone receiving an unemployment check of some form—fell by 46,000 to 7.3 million.