US Job Market Shows Resilience Amid Federal Downsizing

The US job market remains robust despite a slight rise in jobless claims to 223,000. Federal workforce downsizing under the Department of Government Efficiency is contributing, yet the market absorbs changes with steady employment growth. The impact of layoffs is expected in March, amid stable job opportunities.

The latest figures from the Labour Department indicate a slight increase in unemployment benefits claims in the US, reaching 223,000 last week, just under analysts' expectations of 224,000.

The job market remains resilient despite ongoing efforts by the Trump administration, spearheaded by Elon Musk, to downsize the federal workforce through the Department of Government Efficiency. Thousands of federal jobs have been cut, though some layoffs might not impact reports until March.

Nevertheless, the labour market continues to show signs of strength. Employers added 151,000 jobs last month, maintaining a relatively healthy unemployment rate of 4.1 percent. More than 1.89 million Americans received unemployment benefits for the week ending March 8.

(With inputs from agencies.)