The number of U.S. people initially applying for unemployment aid last week hit a seven-week low but still remained elevated, the U.S. Labor Department reported Thursday.

The Labor Department said the advance figure for seasonally adjusted initial claims for jobless benefits was 418,000 in the week ending July 2, a decrease of 14,000 from the prior week's revised figure.

The fresh figure was also better than the median forecast. However, applications remained above 400,000 for 13th consecutive week, signaling the labor market will take time to heal.

Fewer than 425,000 people applying for aid is consistent with modest job growth, but the number of jobless claims will have to fall to 375,000 or below to signal a sustained drop in the unemployment rate.

About 2,500 of last week's applications were from Minnesota state employees temporarily laid off due to a state government shutdown, the department said.

The four-week moving average, the more closely watched claims figure, also inched down to 424,750 from the previous week.

The advance figure for seasonally adjusted insured unemployment during the week ending June 25 was 3.681 million, a sharp decrease of 43,000 from one week earlier.

The U.S. economy growth has slowed in recent months, dragging down the labor market's recovery. Economists project the unemployment rate in June will remain stuck at 9.1 percent.

The weekly figures of jobless benefits applications reflect the level of layoffs and indicate the real-time condition of the American job market.

VietNamNet/Xinhuanet