In February, so many citizens in the United States applied for the unemployment benefits, the number is the highest so far since the month of May last year. This indicates a rise in unemployment in the United States.


On thursday, the US Labour department stated that the applications made for unemployment benefits increased to 320,000,  with an additional 7000 on top of previous data between Febuary 22 to Febuary 28. The jobless claims value was 267,000 at the end of January, but has suddenly increased so high at the end of February.


Factors that must have caused this sporadic increase could be the very bad condition of weather that could lead some construction firms to drop some staff. And for the same reason, jobless claim application could also have been delayed as a result of bad weather condition.


However, this could also indicate a decline in the growth level of the employment sector, diminishing from the previous rise at the last quarter of 2014. Because of the increase in the dollar rate, US production firms had difficulty in exports and as such did not maximize profit – this can also lead to employee lay offs.


Jim O’Sullivan (High Frequency Economics) believes that the increase in unemployment benefits application “reflects the weather rather than fundamental deterioration,” however everyone should be “on watch for the possibility that the rise in the last two weeks marks a change in the trend.”