Good question. The other question is why after news of layoff after layoff did the unemployment rate go down?
Very simple to answer unless you were being sarcastic. Those leaving the labor pool altogether has been shrinking much faster than the number of those who got any kind of job. It’s called the Labor Participation Rate and was devised to skew the real numbers because those leaving the pool causes the total number of those actively looking going down as a ratio of the jobs available.
Essentially, the labor pool is shrinking faster than there are new jobs to replenish it.
I should have said those available in the pool is shrinking.