Study: Tennessee 8th largest increase in weekly unemployment claims across U.S.

NASHVLLE, TN (WSMV) - A new study shows Tennessee has one of the largest increases in the United States for weekly unemployment claims. 

Every week that goes by, hundreds of people are looking for help from the State Department of Labor, and it doesn’t appear to be slowing down.

“In Tennessee’s case, just from week to week, so last week, Tennessee saw the 8th biggest increase in people filing, making those initial claims for unemployment,” Wallet Hub Analyst Jill Gonzalez said.

Wallet Hub Analyst Jill Gonzalez says our high ranking has a lot to do with what we’re known for.

“Obviously, Nashville is a huge hub for things like tourism every year. And that’s domestically and internationally. Both, of which, are certainly taking a hit right now,” Gonzalez said.

The Department of Labor reports Tennesseans have filed more than a million initial claims for benefits since the pandemic began. January typically brings an increase in unemployment because of a decline in seasonal work.

“I think unfortunately we’re going to see this trend continue, probably through at least Q4 of 2021,” Gonzalez said.

The Department of Labor does dispute some of these numbers, saying nearly 25,000 of the claims pending are not valid or are duplicate claims. As much as 13% of the claims require staff members to investigate so that they can reduce or eliminate potential fraud in the system.

Wallet Hub’s study only analyzes claims that have been processed, but it all shows that people are in dire need of help.