WASHINGTON - The number of Americans seeking unemployment benefits eased modestly last week, underscoring that layoffs across the country continue to sit at historically low levels.

Applications for jobless aid in the week ending July 4 fell by 2,000 to 215,000, according to the Labor Department report released Thursday. Forecasters polled by FactSet had projected 220,000 new filings.

Weekly unemployment claims serve as a timely gauge of layoffs and offer a near real-time snapshot of labor market conditions.

The government’s broader June employment report, issued last week, showed employers slowed hiring sharply, adding just 57,000 positions. That total is less than half the May figure and signals ongoing corporate caution. The jobless rate eased to 4.2 percent from 4.3 percent in May, though the improvement largely reflects people exiting the labor force after stopping their job searches.

June’s subdued hiring pace followed stronger gains in the prior three months and helped ease worries that conflict in Iran might further weaken an already softening jobs market.

Since the pandemic recession ended, weekly claims have settled mostly in a band between 200,000 and 250,000. Hiring nevertheless began to cool about two years ago and slowed further in 2025 amid President Donald Trump’s tariffs, reductions in the federal workforce and the continued impact of elevated interest rates aimed at curbing inflation.

Recent workforce reductions have affected employees at Verizon, UPS, Amazon, Disney, Starbucks and Walmart.

Microsoft announced earlier this week that it would eliminate 4,800 positions, roughly 2.1 percent of its global staff, with many cuts centered on its Xbox gaming division.

Thursday’s data showed the four-week moving average of claims, which smooths weekly volatility, declined by 3,750 to 218,750.

The total number of people receiving benefits in the week ending June 27 increased by 8,000 to 1.81 million, remaining at a historically healthy level.