First-time filings for unemployment benefits fell 24,000 to a seasonally adjusted 467,000 in the week ending Jan. 3. Meanwhile, the 4-week average of new claims fell 27,000 to 525,750. However, despite the decline, initial jobless claims remain 42% higher than the period a year ago, while the 4-week average is up 53% from the prior year.

The Labor Department attributed the subtraction to a handful of layoffs occurring earlier than the government expected. As a result, initial claims could remain relatively subdued during the next couple of weeks, and then inch higher.

While new claims ticked lower during the latest week, continuing jobless claims rose by 101,000 to a 16-year high of 4.61 million in the week ending Dec. 27, the Labor Department said. In addition, the 4-week average of continuing claims added 45,000 to 4.47 million the highest level since December 1982.