Calif. sees jobless claims jump in January

Orange County Register
February 23rd, 2010
By Mary Ann Milbourn

California saw 834,329 unemployment claims filed in January, a 34% increase over the 621,468 in January of 2009 when the financial meltdown escalated and employers started slashing payrolls, reports the state Employment Development Department.

The jump in claims does not bode well for the January state unemployment report, which is due out March 5th.

January is always a volatile month for unemployment because retailers cut temporary workers hired for the holidays, magnifying the usual monthly job losses.

If California's unemployment numbers jumped in January, it would be a major divergence from the national picture, where layoffs somewhat slowed in January.

The U.S. Bureau of Labor Statistics reported only 20,000 U.S. job losses nationwide in January, an improvement over the revised 150,000 cuts in December.

The cost of unemployment in California also has dramatically soared as more people collect benefits for a longer period.

EDD reported the state paid out $2.44 billion in benefits this January up from $1.34 billion in January 2009, an 82% increase. That equates to about $81 million a day in pay out

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