9 More States Are Ending Pandemic Unemployment Aid On Saturday, Cutting Off 440,000 Workers
Source: CBS News
Nine states will be ending their enhanced unemployment benefits on Saturday, cutting off aid to more than 440,000 out-of-work adults, according to an estimate from the left-leaning Century Foundation. The Republican governors of the states argue that the benefits aren't necessary as the economy recovers, but workers and advocates say the loss of benefits will harm them. The states that are ending extra jobless benefits on June 19 include Alabama, Alaska, Idaho, Indiana, Nebraska, New Hampshire, North Dakota, West Virginia and Wyoming. They follow three states that eliminated their enhanced benefits a week earlier: Iowa, Mississippi and Missouri.
Over the course of the next month, an additional 14 states will join these others in ending extra jobless benefits early. In total, 26 states will cut off pandemic aid before federal funding expires in September. Just one, Louisiana, is run by a Democratic governor. The enhanced benefits were initially created in early 2020 in response to the pandemic, which led to economic shutdowns across the nation and threw millions of people out of work. The pandemic aid also included unemployment benefits for gig workers and freelancers, marking the first time these nontraditional workers had been able to qualify for jobless aid.
But as the economy reopens, some employers are complaining they can't find enough workers — prompting some governors to decide that the enhanced jobless aid is to blame. The truth, experts say, is somewhere in the middle. "We are still in a public health emergency, and vaccines aren't available to everybody," said Luke Pardue, economist at payroll provider Gusto. But, he added, "Unemployment supplements likely play some role" in keeping some workers on the sidelines. Child care remains an issue for many families, with some struggling to find affordable care or spaces in childcare centers for their kids.
Grade-school children are also now out of school for the summer, adding to childcare issues for parents of children older than 5 - issues that may continue to hamper workers until September, when schools resume. About 14.8 million workers continue to rely on some form of unemployment benefits as their main source of income, according to unemployment expert Andy Stettner at the Century Foundation...
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