These Are the 11 States That Are Cutting Weekly Unemployment Benefits by $300
If you lost your job during the pandemic or perhaps because of the pandemic, you’re not alone. Many people have found themselves home more than ever before this past year. For some, it’s because their office closed and everyone is now working from home. For others, their workplace closed permanently or scaled back the staff eliminating jobs in the process.
Thankfully, when there’s a gap between jobs, employment benefits can help pay the bills. In 2020, due to pandemic related job loses, unemployment benefits were increased by $300 per week by the American Relief Plan. This plan is set to end on September 6, 2021, but don’t count on receiving the extra $300 until September. Eleven states have already notified the U.S. Department of Labor that they plan to cut the extra benefits early.
If you live in Alabama, Arkansas, Idaho, Iowa, Mississippi, Missouri, Montana, North Dakota, South Carolina, Tennessee or Wyoming, your employment benefits will end much earlier than September 6. In fact, all of these states are ending the extra federal unemployment benefits in June.
Iowa, Mississippi, and Missouri are ending the extra benefits on June 12th. Alabama, Idaho, North Dakota, and Wyoming are all ending the extra benefits on June 19th. In Montana and Arkansas, the extra $300 ends on June 26th. In South Carolina and Tennessee, the extra benefits ends on June 30th.
When states withdraw early from the federal benefits, they’re withdrawing from more than just a $300 in extra benefits. They’re also withdrawing from Pandemic Unemployment Assistance (PUA) and Pandemic Emergency Unemployment Compensation (PEUC). PUA was created as a way for freelancers and gig workers to get unemployment benefits when they wouldn’t otherwise qualify. PEUC was created to extend unemployment benefits to people whose benefits would’ve otherwise run out.
Even if your state isn’t on the list above, there’s still a chance your state might withdraw from the extra federal unemployment benefits early. More states are likely to decide to end the extra $300 in benefits early to encourage people to find employment. Currently, there are many jobs to be filled.
If you are receiving unemployment benefits, it is a good idea to keep track of what jobs you apply for in case you’re asked to prove that you’re looking for work. If you live in a state where your extra unemployment benefits end early, it might be a good idea to widen your job search and take whatever job you can find so you can afford to pay the bills while you continue searching for your dream job. Entry level jobs and gig jobs like Uber and Lyft might pay more than you realize.
Are you surprised that some states are choosing to withdraw from the American Relief Plan early? Did you loose your job due to the pandemic? Do you think ending the federal benefits early will encourage people who are currently unemployed to accept a job offer?