ST. LOUIS — The latest unemployment report showed claims are down, but that doesn't mean we've flattened the unemployment curve just yet.
The report ending April 25 showed 54,710 people applied for unemployment in Missouri that week and 81,596 in Illinois. Most of these are reported as COVID-19-related. Both states are down from the week before that.
"We're probably likely going to see the effect of the CARES Act coming through with employers who have obtained the PPP loans recalling employees and then of course employees just being able to return to work once stay-at-home orders are lifted," said Lilian Davis, an attorney with Polsinelli.
She said we should expect the rate of applications to go up and down as this crisis continues.
"Maybe some employers are now getting their paycheck protection program loans back, so they're recalling employees. It could be because people initially out of the gate have already filed their claims, so we're seeing less people."
The numbers could jump up again, at least locally, with big cuts to major area employers. This week, Enterprise announced more than 2,000 job cuts, with a similar story in the SSM Health system where 2,000 employees will be furloughed.
Analysts say the trickle-out impact of shutdowns are starting to impact larger companies, so we could begin to see more mass layoffs.
"It's really likely that we're going to see a lot of big employers have to tighten their belts a little bit. The impact of this does not reach only the small employers," said Davis.
Missouri's unemployment office said it's doing a lot of work to process claims as they come in.
Missouri also is one of 10 states beginning to pay out claims for the self employed and others who'd otherwise be ineligible for regular unemployment. That could factor into an increase in totals in weeks to come as well.
More unemployment resources:
- Your top coronavirus stimulus check questions answered
- What can you do if your stimulus check was for the wrong amount?
- Timeline: When you'll get your paper stimulus check
- What workers and employers should know as Missouri businesses reopen
- Why haven't I received unemployment benefits yet?
- What you need to know about that 6 month student loan suspension
- Missouri begins processing unemployment claims for self-employed workers
