Arkansas, Montana, & South Carolina Halting Federally-Enhanced Unemployment Benefits
Republican governors in several states are moving to end the $300 per week federal enhancement of unemployment benefits sooner than the scheduled sunset of the program on September 6, 2021, while others are reinstating work search requirements.
The moves come after the April employment report showed weaker than expected job growth and heightened concerns that would-be workers are declining job opportunities to stay on unemployment.
That data prompted the Biden administration to announce Monday that it intends to reinstate job search requirements for unemployment benefits. However, President Joe Biden on Friday said the federal enhancement of unemployment benefits didn’t have a “measurable” effect in deterring recipients from returning to work.
The April jobs report prompted the U.S. Chamber of Commerce to call for the end of the $300 per week federal enhancement of unemployment benefits, with Executive Vice President and Chief Policy Officer Neil Bradley saying, “The disappointing jobs report makes it clear that paying people not to work is dampening what should be a stronger jobs market… Based on the Chamber’s analysis, the $300 benefit results in approximately one in four recipients taking home more in unemployment than they earned working.”
Arkansas, Montana, and South Carolina will all end their participation in the federal pandemic unemployment assistance program at the end of June. Montana will offer people currently on employment a $1,200 bonus if they take a job and remain employed for one month.
Additionally, Arizona and Florida are moving to reinstate their state's job search requirements for unemployment recipients, while Vermont has already done so.
Should states end the federal enhancement of unemployment benefits sooner than September?
|