New unemployment claims decreased by 5.4% week-over-week on April 28 and were 1.3% lower compared to the same week last year. To help add some context to these statistics, WalletHub just released updated rankings for the States Where Unemployment Claims Are Decreasing the Most.
Key Stats:
- Every state had unemployment claims last week that were lower than in the previous week except for Michigan, New Hampshire, Maryland, Alaska, Minnesota, Oregon, Virginia, Ohio, Washington, Indiana, Florida, Illinois, Texas, California, Colorado, West Virginia, North Carolina, Kansas and the District of Columbia.
- Surprisingly, 24 states — including Michigan, New Hampshire, Maryland — and the District of Columbia had unemployment claims last week that were worse than the same week last year.
| Decreased Most Last Week | Decreased Least Last Week |
| 1. Delaware | 42. Minnesota |
| 2. Alabama | 43. Alaska |
| 3. Nebraska | 44. Washington |
| 4. Massachusetts | 45. Kentucky |
| 5. Vermont | 46. Oregon |
| 6. New York | 47. California |
| 7. Arkansas | 48. Maryland |
| 8. Oklahoma | 49. New Hampshire |
| 9. South Dakota | 50. District of Columbia |
| 10. Mississippi | 51. Michigan |
To view the full report and your state’s rank, visit wallethub.com/edu/states-unemployment-claims/72730.
Key takeaways and WalletHub commentary are included below in text and video format. Feel free to use the provided content as is or edit the raw files as you see fit.
Expert Commentary
Do you think the hiring dynamic is currently tilted in favor of employees or employers?
“In today’s current economy and climate, the hiring dynamic is heavily tilted towards the employee. Employers are in desperate need of good people. It is all about getting the right person in the right job with the right skills at the right time. The problem is that as a society we are not reproducing at a rate sufficient to have new people available to replace those leaving the workforce. This has caused a significant decline in the numbers of quality and qualified candidates from which employers can choose. It is very difficult to hire quality employees when there are not enough job candidates, let alone job candidates with the required skills. This has also caused a major demographic shift in the workforce to one that is older and more ethnically diverse. Employers will need to expand their search parameters when seeking to fill jobs. This will continue to shift the dynamic in favor of the employee/candidate.”
Dr. Matt Fuss – Associate Professor, Geneva College
“It would be misleading to make a blanket assessment of which side the hiring dynamic is tilted toward, as it is largely industry-dependent and varies greatly from one sector to another. For example, in agriculture, it will likely be tilted in favor of employees, as stricter immigration enforcement will lead to a shortage of workers. The same can be said about leisure, hospitality, and other service industries. However, in information technology, financial services, and especially professional and business services, I expect the balance to continue shifting in favor of employers as generative AI continues to disrupt these industries. The significant cuts happening in the federal government will exacerbate this situation in the short term.”
Yalcin Acikgoz, Ph.D. – Associate Professor, Appalachian State University
Given the current circumstances, what trends do you expect to see in terms of unemployment in the foreseeable future?
“I do not foresee any significant changes to domestic unemployment rates in the near future. The massive post-COVID shift in labor participation rates will continue to plague the American economy. The switch from a loyalty/stability-based employment-related psychological contract to one based on flexibility and convenience will mean that employees will continue to work for employers only as long as it suits them and will not hesitate to leave a job whenever they please. The additional issue of the aging out of the largest segment of the workforce, the baby boomers, means that retirements will continue to outpace hiring for the foreseeable future.”
Dr. Matt Fuss – Associate Professor, Geneva College
“Unemployment is highly responsive to the Fed’s decisions and announcements. Depending on the Fed’s actions, market behavior may vary. Currently, interest rate cuts are on hold, making the future of unemployment uncertain. That said, I expect a slight slowdown in inflation and stable unemployment, which has been the trend. However, if inflation does not cool down, the Fed may be forced to take action, increasing the risk of higher unemployment and a recession.”
Diego A. Guerrero – Lead Economist, School of Education and Social Policy, Northwestern University
What are your predictions for the job market as we move forward during 2025 (job gains, hiring confidence, quit rates, etc.)?
“I believe the job market in 2025 will be strong, with job gains happening consistently throughout the year as the new regime implements its policies. Hiring confidence should remain level, as there will likely be no major events that would move the needle dramatically.”
Dr. Matt Fuss – Associate Professor, Geneva College
“Overall, I expect a volatile job market in 2025 (and likely in 2026), with significant changes in the employment landscape continuing to unfold. I anticipate an increased demand for employees in manufacturing, leading to job gains as tariffs take effect and companies bring their operations back to the United States. Aside from manufacturing, I believe industry-specific trends will persist… However, predicting the overall health of the economy over the next two years remains challenging. For example, if a recession occurs, it could lead to a significant decline in hiring appetite across the board.”
Yalcin Acikgoz, Ph.D. – Associate Professor, Appalachian State University
