The number of Americans filing new claims for jobless benefits fell more than expected last week, with filings in Massachusetts decreasing sharply, suggesting the labor market remains tight.
Initial claims for state unemployment benefits dropped 22,000 to a seasonally adjusted 242,000 for the week ended May 13, the Labor Department said on Thursday. Claims jumped to 264,000 in the prior week, driven by a surge in filings for unemployment insurance in Massachusetts.
The state’s Department of Unemployment Assistance said it was “experiencing an increase in fraudulent claim activities where people attempt to gain access to active UI accounts or file new UI claims using stolen personal information so they can fraudulently obtain unemployment benefits.”