Corona Effect: US Looking At Worst Unemployment Ever

The latest figures on Unemployment in the United States paint a scary picture as more than 6.65 million people filed for unemployment benefits in the US last week. This highlights the devastating economic impact of the COVID-19 pandemic on the American economy.

Some 3.3 million had filed for unemployment the previous week, bringing total claims to 9.95 million for the two weeks. This number in two weeks is more than the claims filed in the last 10 months. According to some reports, the Department of Labour would be looking at 50-70 million unemployed Americans by the end of April.

This is the sharpest rise in the unemployment of the United States. Before last week the sharpest rise in unemployment claims was in 1982 when filings rose by 695,000. Millions of people have lost their jobs in retail, restaurants, travel, hotels and leisure industries.

As things indicate now, Oil and gas companies will also start laying off workers very soon as oil prices collapse. The American Government is in talks with a few oil-producing companies to reduce production so that the prices increase. The increase of Unemployment and fall of the US economy will also have a telling effect on several countries including India.