US Long-Term Unemployment Benefits Ending Sooner Than Expected
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Hundreds of thousands of unemployed Americans will see their unemployment benefits end sooner than expected despite Congress signing into effect an unemployment benefits extension through the end of the year.
June onwards, several states across the United States will reduce the number of extended unemployment benefit checks, as mandated by federal law, as unemployment rates are no longer on the rise.
Hundreds of thousands of unemployed Americans will see their unemployment benefits end sooner than expected despite Congress signing into effect an unemployment benefits extension through the end of the year.
June onwards, several states across the United States will reduce the number of extended unemployment benefit checks, as mandated by federal law, as unemployment rates are no longer on the rise.
In particular, the cutbacks will affect chronically unemployed Americans who have been out of work for more than a year. More than five million people have been out of work for longer than half a year.
According to the National Employment Law Project, an additional 70,000 people will lose benefits earlier than presumed, bringing the number of people cut off prematurely this year to close to half a million.
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Normal state unemployment benefits are capped at 26 weeks of assistance. However, federal benefit extensions, which supplemented state funds for payments up to 99 weeks, were intended to tide unemployed workers over until the job market improved.
In February, when the program was set to expire, Congress renewed it, but also phased in a reduction of the number of weeks of extended aid and made it more difficult for states to qualify for the maximum aid.
As part of new federal requirements, those receiving long-term unemployment benefits will soon have to appear in person at local job centres to show they are actively looking for work, with documentation of contact with at least three employers per week.
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Unemployment is lower than it was when the emergency unemployment extensions were ramped up in November 2009. Now, it is 8.1 percent, down from 9.9 percent then. But it is still far higher than pre-recession norms, and there are more than three job seekers for every opening.
Despite an improving job market, those out of work the longest struggle most to find jobs.
NELP attorney George Wentworth said:
[quote] You’re going to be depriving a lot of people … of the basic income they need to feed their families. [/quote]
Agreeing, Hannah Shaw, a researcher at the Centre on Budget and Policy Priorities wrote:
[quote] Benefits have ended not because economic conditions have improved, but because they have not significantly deteriorated in the past three years. [/quote]
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