Federal unemployment benefits ending early in some states – CBS Boston

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(CBS Baltimore) – Unemployed people in half the country are seeing their weekly unemployment benefits drop sharply, if they haven’t already. The federal government has completed weekly unemployment checks since the adoption of the US bailout in mid-March. The additional $ 300 more than doubles the state benefit in some parts of the country. But in recent weeks, 25 states have announced plans to end these additional benefits earlier. And for many, the time has come.

The $ 1.9 trillion stimulus package has set Labor Day as the official end date. But Alaska, Iowa, Mississippi and Missouri ended their federal unemployment benefits on June 12. Alabama, Idaho, Indiana and Nebraska are among the states that cut the extra $ 300 on June 19. Arkansas, Florida, and Texas are some of the states that discontinued benefits on June 26. Maryland and Tennessee end theirs on July 3. White House press secretary Jen Psaki recently said governors had “every right” to stop benefits earlier. President Biden, for his part, recently indicated that he had no plans to extend them beyond early September.

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The Federal Unemployment Premium has helped Americans who are still awaiting recovery pay their bills and put food on the table. But some argue that these generous benefits prevent people from re-entering the workforce. (For reference, that $ 300 per week is $ 7.50 more per hour for someone who might otherwise be working 40 hours.) More than 4 million people (25% of those currently unemployed) are affected.

There are many considerations that go into being able to work. The amount received for not working is certainly one of them. Child care is another. Many schools remained isolated throughout the school year, depriving many parents of integrated daycare. This lack of child care could continue now that schools are on summer vacation. A growing gap between the skills of the workforce and the demands of available jobs makes hiring more difficult. A difference between what employers offer in terms of compensation and what workers will accept is also a consideration. Then there’s the general friction that inevitably arises when an entire economy slams its foot on the gas pedal.

COVID remains a very real threat, especially for those who work around people. The full immunization rate for the entire country is just over 47 percent. But these rates vary widely from state to state. Mississippi has fully vaccinated 29.8% of its population, while Vermont has vaccinated 65.7% of its population. Many states that have removed the federal unemployment insurance premium exceed the national average. Wyoming, Arkansas, Alabama and Mississippi, the four worst states in the country, are all below 35%. With the pandemic far from contained in some states, residents of those places may be reluctant to resume normal activities.

Whatever the reason, many states will continue to try to push people back into the workforce. Louisiana is the latest state to announce the end of the federal unemployment compensation premium, whose benefits will end on July 31. In total, 25 of the 27 states led by Republican governors have removed or will remove federal benefits before Labor Day.

Most of these states are also withdrawing from Pandemic Unemployment Assistance (PUA) and Emergency Pandemic Unemployment Compensation (PEUC). PUA supports self-employed and self-employed workers, who generally do not receive state aid. PEUC helps the long-term unemployed, who have exhausted their public benefits.

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The end of federal unemployment benefits will affect local economies. States with unemployment checks that are $ 300 lower will not benefit from spending that federal money on their businesses; those who depend on unemployment insurance tend to spend money quickly on necessities like food and rent. Local businesses also won’t have that money spent stocking shelves and hiring new employees. The US Congressional Joint Economic Committee estimates that local economies will lose about $ 13 billion.

“The enhanced unemployment insurance provided by the CARES Act has enabled tens of millions of Americans to always put food on the table, have prescriptions in the medicine cabinet, and keep the lights on during one. the worst economic recessions in our country’s history. Many of these Americans still remain deeply uncertain about their economic future, as we are still over 8 million jobs short of where we were before the pandemic, ”said committee chair Don Beyer. “If states continue with their plans to end these vital programs, they will tear the rug out from millions of Americans and further hamper our economic recovery.” “

Employment remains well below pre-pandemic levels. While the unemployment rate fell to 5.8% in May, around 7.6 million fewer people were employed at that time compared to the start of 2020. And most of them were in jobs in the city. low wages lost during the pandemic who did not return. About 364,000 people initially applied for unemployment insurance last week, the lowest number since the start of the pandemic. (A typical pre-pandemic week saw about 250,000 new jobless claims.) Another 115,000 applied for PUA. During the week ending June 12, 14.7 million workers were receiving some form of unemployment assistance.

Here is a list of states and when their $ 300 federal unemployment benefit will end:

Alabama – June 19
Alaska – June 12
Arizona – July 10
Arkansas – June 26
California – September 6
Colorado – September 6
Connecticut – September 6
Delaware – September 6
Florida – June 26
Georgia – June 26
Hawaii – September 6
Idaho – June 19
Illinois – September 6
Indiana – June 19
Iowa – June 12
Kansas – September 6
Kentucky – September 6
Louisiana – July 31
Maine – September 6
Maryland – July 3
Massachusetts – September 6
Michigan – September 6
Minnesota – September 6
Mississippi – June 12
Missouri – June 12
Montana – June 27
Nebraska – June 19
Nevada – September 6
New Hampshire – June 19
New Jersey – September 6
New Mexico – September 6
New York – September 6
North Carolina – September 6
North Dakota – June 19
Ohio – June 26
Oklahoma – June 27
Oregon – September 6
Pennsylvania – September 6
Rhode Island – September 6
South Carolina – June 26
South Dakota – June 26
Tennessee – July 3
Texas – June 26
Utah – June 26
Vermont – September 6
Virginie – September 6
Washington – September 6
West Virginia – June 19
Wisconsin – September 6
Wyoming – June 19

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Originally published Monday, June 7, 2021 at 6:20 p.m. ET.



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