The number of new jobless claims and the total number of people receiving unemployment benefits both made a surprising drop last week, though they remain at elevated levels unlikely to fall substantially in the coming months, according to government figures released Thursday. According to the Labor Department, initial requests for unemployment benefits fell to 639,000 from the previous week's figure of 670,000. Analysts expected a smaller drop to 650,000. Few economists expect a turnaround in the embattled labor market anytime soon with companies laying off thousands of workers weekly. The 670,000 total was a high point in the midst of the worst recession the United States has seen since October 1982. The number of people claiming benefits for more than a week fell slightly to 5.1 million from 5.12 million, after rising to record-highs for five straight weeks. Analysts expected 5.15 million continuing claims. But an additional 1.4 million people were receiving benefits under an extended unemployment compensation program approved by Congress last year. That tally was as of February 14, the latest data available, and brings the total jobless benefit rolls to about 6.5 million. That number is up dramatically from a year ago, when 2.8 million people were receiving benefits. The four-week average of new claims, increased 2,000 to 641,750, the highest since October 1982. More job losses were announced this week. Los Angeles-based aerospace company Northrop Grumman Corporation said Wednesday it will lay off 750 workers, mostly in southern California. Tyco Electronics Ltd., which makes electronic components, undersea telecommunications systems and wireless equipment, said it is laying off more employees, though it would not say how many.
