Workers in some states, including New York, Minnesota and Rhode Island, may begin to see the latest weekly increase in unemployment of $ 300 from next week.
The Department of Labor confirmed this week that workers are entitled to the full 11 weeks of increased unemployment benefits as set out in the $ 900 billion Covid rescue package for periods of unemployment from December 27 to March 14, 2021. Payments for the first week covered in the law, which ends Jan. 2 or 3, depending on the state, will go out early next week.
Previously, lawmakers and labor experts were concerned that delaying President Donald Trump’s signing of the bill would reduce aid for millions of unemployed Americans to 10 weeks, although that is no longer the case.
While some states expect to give new boost after this weekend, it could take several weeks to reintroduce new payments to record numbers of claimants. With that said, most states are expected to start issuing the $ 300 boost to workers within the next two to three weeks, writes Andrew Stettner, a senior fellow at The Century Foundation.
Freelancers and gig workers on Pandemic Unemployment Assistance, and those who have exhausted their state aid and switched to Pandemic Emergency Unemployment Compensation, may also have to wait a few weeks before resuming their aid, as states reconfigure their computer systems to administer new payments; benefits will, however, work back after the signing of the bill. About 13.2 million Americans are currently benefiting from one of these two programs, which was also extended to March 2021.
New $ 100 Mixed Earnings Boost May Take Longer to Arrive
The latest stimulus package introduces a new launch Weekly improvement of $ 100 for mixed earners who have both wage income, such as from a W-2 job, and self-earning or independent contractor earnings, such as from a 1099 roll, but whose benefit calculation may be artificially low by income from own exclude service.
Mixed earners who earned at least $ 5,000 in self-employment income last year may qualify and benefit from ordinary government assistance, PEUC or extended benefits.
So far, the state, including Florida, Illinois, Minnesota and New York, have announced plans to offer a new mixed-benefit unemployment benefit boost, effective until March 14, 2021. States may also choose not to join.
With the signing of the stimulus bill, state unemployment offices are now waiting for federal guidance to determine how to apply new benefits to residents. Michele Evermore, a senior policy analyst at the National Employment Law Project, says it is ‘highly unlikely’ that states will be able to proactively identify people who are newly eligible for this benefit. She recommends that workers affected by the new policy should contact their state agencies to find out what the process is and what documentation they will need to provide in order to be eligible.
How will the latest weekly increase of $ 300 affect your household? Are you worried about federal unemployment benefits ending in March? CNBC Make It would love to hear from you. Email Reporter Jennifer Liu at [email protected].
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