Unemployment claims surge to nearly 1 million in "flashing red warning" By Aimee Picchi 965,000 Americans file for unemployment The number of Americans filing for jobless aid surged to almost 1 million in the first week of 2021, a sign the worsening coronavirus pandemic is causing businesses to lay off workers. Roughly 965,000 people applied for unemployment in the week ending January 9, the Labor Department said Thursday. That's 181,000 more than the previous week's claims, which were revised down to 784,000, and the highest claims figure since August. It's also the biggest weekly increase since the pandemic began, according to Jennifer Lee, senior economist at BMO. The surge in unemployment claims signals the rising headwinds facing businesses as COVID-19 infections climb and the death toll reaches new records, with 4,300 deaths on Tuesday. The latest jobless claims are among the "flashing red warning signs" that the recovery is being battered by the worsening pandemic, said Andrew Stettner, senior fellow at the Century Foundation and an expert on unemployment.