WASHINGTON (MarketWatch) — Initial claims for jobless benefits dropped to the lowest weekly tally in more than 14 years, showing that employers are laying off very few workers, a good sign for the labor market, according to government data released Thursday.

The number of people who applied for U.S. jobless benefits tumbled by 23,000 to 264,000 in the week that ended Oct. 11, the lowest level since April 2000, the U.S. Labor Department reported. Economists polled by MarketWatch had expected initial claims for regular state unemployment-insurance benefits to tick up to 289,000 from 287,000 in the prior week.

The four-week average of new claims, a smoother barometer of labor-market trends, fell by 4,250 to 283,500, also reaching the lowest level since 2000, the government said.

The data did little to calm nerves in the market, as stock futures were pointing to steep declines. Read Market Snapshot.

Thursday’s report adds to evidence that employment trends are improving. A monthly reading on job openings showed that they recently hit a 13-year high, representing more opportunities for workers.

“Have we achieved full employment? Not yet. Are we getting closer? Absolutely. Now, we just have to wait for the wage ‘shoe’ to drop,” said Stephen Stanley, chief economist of Amherst Pierpont Securities.

While there aren’t many layoffs, the labor market is far from complete health. Millions of Americans are under- or unemployed, and many who lose their jobs have a tough time landing a new spot. Hiring recently pulled back a bit from the fastest pace in more than six years, with related data hinting that it’s taking employers longer to fill jobs.

Also Thursday, the government said continuing claims rose by 7,000 to 2.39 million in the week that ended Oct. 4. Continuing claims reflect the number of people already receiving benefits and are reported with a one-week lag. The four-week average of continuing claims fell 10,750 to 2.4 million, the lowest level since June 2006.

“There is no evidence of any softening in labor market conditions in early October and the jobless claims data suggest the labor market continues to improve...at a more rapid pace than the Fed’s expectations,” according to a research note from RDQ Economics.