The number of Americans filing new claims for unemployment benefits fell to 197,000 last week, according to Labor Department data released Thursday.

The figure marked the fourth consecutive week that unemployment claims remained below 200,000, suggesting that layoffs remain historically low despite signs of slower hiring.

Initial jobless claims declined by 2,000 for the week ending Oct. 3, falling below economists’ expectations of 200,000.

The four-week moving average, which reduces fluctuations in weekly unemployment data, dropped to 198,000 from 200,500.

That average reached the same level twice in 2022. Before then, it had not been this low since 1969.

Weekly unemployment claims are closely watched as an indicator of layoffs and the overall health of the labor market.

The latest figures suggest that employers remain reluctant to cut jobs, even as businesses face higher energy prices, persistent inflation, and economic uncertainty.

According to The Epoch Times, planned layoffs also declined in September.

US employers announced 43,281 job cuts during the month, down 20 percent from a year earlier. That was the lowest September total since 2022.

“Companies are in a wait-and-see period right now,” said Andy Challenger, chief revenue officer at Challenger, Gray & Christmas.

Challenger said businesses are dealing with higher interest rates, rising energy costs, the war in Iran, and the possibility of increasing healthcare expenses.

“We’ve seen layoff activity subside over this year, and September continues to illustrate this point,” he said.

Despite the low number of new unemployment claims, other labor market indicators suggest that finding a job may be becoming more difficult.

Continuing unemployment claims, which measure the number of Americans receiving benefits after their first week, increased by 17,000 to a seasonally adjusted 1.716 million for the week ending Sept. 26.

The previous week’s figure had been revised below 1.7 million, its lowest level since April 2023.

Meanwhile, the US economy added just 29,000 jobs in September, significantly below economists’ expectations of 90,000.

That represented a sharp slowdown from August, when employers added 133,000 jobs.

The national unemployment rate also increased to 4.2 percent in September as more Americans entered the labor force and began looking for work.

The combination of low layoffs and weaker hiring has created a mixed picture of the US labor market.

Federal Reserve officials have also been monitoring employment conditions as they consider future interest rate decisions.

Minutes from the Fed’s September meeting showed that policymakers viewed the labor market as close to maximum employment.

However, weaker hiring figures and continued inflation have complicated the central bank’s outlook.

Fed Governor Christopher Waller said Oct. 8 that additional interest rate increases would likely be necessary if economic conditions developed as expected.

The latest unemployment claims figures indicate that businesses are continuing to retain existing workers, even as the pace of new hiring slows.