GM Strike Boosts Jobless Claims

The number of U.S. workers filing for state unemployment benefits rose last week to its highest level since July 1997, the government said, reflecting the effect of a three-week strike against General Motors Corp. First-time jobless claims rose by a larger-than-expected 34,000 to a seasonally adjusted 364,000 for the week ended June 20, the Labor Department said. An unadjusted increase of nearly 31,000 claims was registered in the states of Michigan, Wisconsin, Indiana, New York and Ohio--all of which have GM assembly or supplier plants, the department said. Jobless claims in the week ended June 13 rose by 16,000 from the previous week to 330,000, up from the originally reported increase of 13,000.