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The number of people seeking work in Jersey has fallen to 1,760, the Minister for Economic Development has said.
In May there were 2,380 unemployed islanders, a number that has gradually fallen to the current figure, Senator Lyndon Farnham said.
The number of claims from people with less than five years residency has dropped from a peak of 310 in May to 120 last week.
Income support claims have also "steadily declined" according to the minister, who acknowledged there was "still some way to go".
The unemployment rate in Guernsey remains the highest it has been since records began, according to the latest States figures.
There were 1,135 people in Guernsey registered as "wholly unemployed" at the end of June, which equates to an unemployment rate of 3.6%.
This more than three times that of June 2019, but is down from a peak of 5.2% in May.
The drastic drop is explained by the movement of the island into phase five of its exit from coronavirus lockdown, as the figure included those registered on the States furlough scheme who have since returned to work.