About 2.4 million Californians will have to wait weeks to receive new extended unemployment benefits, according to the State Department of Employment Development, which has struggled throughout the pandemic to deal with a deluge of unemployment claims. The new delays apply to self-employed people and those who have a federal expansion plan.
The $ 1.9 billion US bailout plan, signed by President Biden last week, adds $ 300 a week to unemployment benefits until Labor Day, and expands some special pandemic programs. However, the benefits expired on March 14, and the state agency said they needed more time to implement the new provisions, giving April 10 and April 30 as target dates for different categories.
“We should not ask people who are out of work and who are not earning money to wait,” said State Senator Josh Becker, D-Menlo Park. ‘That’s why we have unemployment insurance. It just shouldn’t take that long. ”
EDD said earlier that the benefits for most people will continue uninterrupted. It has now specified that the continuity applies only to people who are regularly unemployed for less than 12 months, as well as those who are on FED-ED, the Federal-State program for long-term, which is extended for additional weeks during periods of high unemployment. people who have regular benefits run out.
California in some other categories – numbering 2.4 million – will have to wait until the agency implements the new federal boost. Once that happens, the people will receive all the retroactive benefits to which they were entitled, the EDD said.
“California is working to launch these new programs as soon as possible,” EDD said in a news release. This attributed some delay to waiting on the U.S. Department of Labor to provide additional guidance. The Department of Labor said Monday that many states may need to update their computer systems by mid-April or later to deal with the changes.
Those affected:
• PUA, or Pandemic Unemployment Assistance, is a new program created by Congress last year for self-employed people, gig workers or freelancers, who usually do not qualify for benefits. According to Labor Department figures, there are 1.4 million Californians on PUA.
EDD said existing PUA recipients will not be able to certify for benefits until April 10. Certification is required every two weeks to bring benefits.
New PUA claimants can now apply for benefits and will receive the minimum of $ 167 per week plus the extra $ 300, EDD said. After April 10, they can provide their income verification, which can increase the minimum from $ 167 to as much as $ 450.
• PEUC, or unemployment benefit in pandemic emergencies, add extra weeks for people who have exhausted ordinary unemployment. The Department of Labor shows that 1 million Californians are on PEUC.
EDD has said that Californians who receive these benefits will not be able to certify for additional weeks until April 30th.
The stimulus added 29 extra weeks to PEUC, allowing a total of 53 additional weeks of benefits after people exhausted the usual unemployment.
• People who are regularly unemployed for 12 months. When the pandemic and shelter took place in March 2020, millions of people were thrown out of work. If they have not found a new job, the people are now achieving the twelve-month mark for collecting benefits – and many more will reach it in the coming weeks. If they are regularly unemployed, all the people have to reapply for a new claim. EDD will notify them via their UI Online account or by mail.
“Depending on their situation and suitability status, the EDD will sue them for a new ordinary UI claim or link them to any newly expanded federal benefits they may be eligible for,” EDD said.
The agency did not answer several questions about how long this process will take. External observers said they expected it to create a loggam.
• Tax assistance. The U.S. bailout plan releases $ 10,200 from federal tax benefits received in 2020. Tax Day has been extended to May 17 this year.
For people who have not yet filed their returns, the IRS provides a worksheet and works with companies that prepare tax preparation software to update their products.
For unemployment beneficiaries who have already filed their tax return for 2020, the IRS has said they should not file an amended return, and should rather wait until it should provide additional guidance.
Criminals stole billions of dollars in unemployment benefits during the pandemic. Government officials said EDD paid at least $ 11 billion to fraudsters.
Some fraudsters have used identities of innocent people who receive tax forms from EDD who pay the amounts. People who have been victimized in this way should report it to EDD online or by phone at 866-401-2849 (Monday to Friday, 08:00 to 17:00).
EDD in California: Information and Resources
Tips: You get unemployment benefits from EDD
Latest news: EDD says it will automatically add new federal benefits
Carolyn Said is a staff writer for the San Francisco Chronicle. Email: [email protected] Twitter: @csaid