Stimulus checks spurred nearly 50% declines in pandemic-era food shortages and financial worries, study shows

Woman supermarket groceries
  • A University of Michigan study found stimulus payments were effective at staving off economic pain.
  • Gauges of food insecurity and financial instability plummeted after checks were sent in December and March.
  • The payments’ delivery even coincided with broad improvements in the mental health of recipients.
  • See more stories on Insider’s business page.

New analysis suggests that relief payments included in Congress’s sweeping stimulus were highly effective at supporting Americans and easing various stresses through the pandemic.

The pandemic-era stimulus checks weren’t the first instance of the government issuing relief payments, but the amount of cash sent directly to Americans over the past year is unparalleled. Millions of Americans received $1,200 payments from the March 2020 CARES Act, another $600 check from President Donald Trump’s late-2020 package, and a $1,400 payment from Democrats’ March stimulus.

The payments were among the less-studied elements of the various relief plans, but a study by Patrick Cooney and H. Luke Shaefer at the University of Michigan found the checks were helpful in several ways. The researchers cited data from the Census Bureau’s Household Pulse survey.

For one, food shortages fell sharply after the December stimulus’s passage and again after the American Rescue Plan Act was approved in March. The share of Americans saying they sometimes or often lacked sufficient food fell to 8.7% by early May from a late-December high of 13.7%. For households with children, the share fell to 11.3% from 18.3%.

Food instability UMich analysis
Source: University of Michigan Poverty Solutions

The second and third relief payments also padded against financial concerns. Roughly 10% of Americans said it was “very difficult” to pay for usual household expenses in late May. That’s down from 17.8% in December 2020. The proportion fell to 13.5% from 23.1% for respondents with children.

Households earning less than $25,000 saw the largest drop in financial instability over the period, but those earning less than $49,000 also saw notable declines.

Recipients’ mental health also improved markedly in the weeks after checks were sent out. The share of Americans saying they felt anxious for several or more days in a week fell to 52.8% last month from 68.6% in late December.

Similarly, the proportion of respondents saying they felt symptoms of depression for several or more days of the week fell to 46% from late-2020 highs of 59.4%.

To be sure, sentiments broadly improved through the spring as the country emerged from the worst phase of the pandemic. Vaccination led daily COVID-19 case counts to plummet, and the easing of lockdown measures brought back a sense of normalcy after a dire winter.

Yet when considered alongside data on food shortages and financial insecurity, the checks seemingly made significant positive impacts on Americans’ lives. Similarly, in the period between March 2020 and December 2020, gauges of economic hardship worsened amid soaring COVID-19 case counts and the gradual exhaustion of CARES Act relief.

The stimulus checks’ broad-based, rapid, and cash-based nature made them far more effective forms of economic support during the pandemic, the researchers said. The checks supported needs ranging from food scarcity to housing payments, and widespread eligibility matched the widespread fallout felt throughout the country.

“The success of this approach is worth learning from, and building off of, in the months and years ahead,” the team added.

Read the original article on Business Insider

GOP-led states are cutting $300 weekly federal unemployment benefits. Here are the 24 states making the cut this summer.

GettyImages 1231114054
President Joe Biden.

  • Some Republican governors have decided Americans make too much from expanded unemployment benefits.
  • After a surprisingly dismal jobs report, they’re moving to end federal jobless aid early.
  • That also includes eliminating programs benefiting gig workers, freelancers, and the long-term unemployed.
  • See more stories on Insider’s business page.
Alabama

kay ivey
Gov. Kay Ivey.

Gov. Kay Ivey announced on Monday that the state was halting its participation in federal unemployment benefits starting June 19. 

Those include the Pandemic Unemployment Assistance Program for gig workers and Pandemic Emergency Unemployment Compensation for the long-term unemployed.

“We have announced the end date of our state of emergency, there are no industry shutdowns, and daycares are operating with no restrictions. Vaccinations are available for all adults. Alabama is giving the federal government our 30-day notice that it’s time to get back to work,” Ivey said in a press release.

Alabama is also resuming its work-search requirements for recipients, which had been paused throughout the pandemic.

The average weekly benefit in Alabama amounted to $283 in March. Its unemployment rate stands at 3.8%, higher than the 2.8% it had in February 2020.

Alabama is among the seven states that have not raised the hourly minimum wage for workers since the hike to $7.25 in 2009

Experts say other factors are keeping workers from jumping back into the labor force, such as a lack of childcare access and fear of COVID-19 infection.

Alaska

Alaska Gov. Mike Dunleavy
Gov. Mike Dunleavy.

Alaska will end its participation in the extra $300 in weekly benefits effective June 12. 

“As Alaska’s economy opens up, employers are posting a wide range of job opportunities and workers are needed,” labor and workforce development commissioner, Dr. Tamika L. Ledbetter, said in a statement.

Extensions for the state benefit will continue through September 6. 

Alaska’s unemployment rate was 6.6% in March 2021, a 0.8% increase from the rate of 5.8% in February 2020. The state’s average weekly benefit is $298.

Arizona

Doug Ducey Arizona governor
Gov. Doug Ducey.

Gov. Doug Ducey said the state will terminate all federal jobless benefit programs on July 10, per a news release from his office.

Arizona, however, is setting aside some federal funds to provide a one-time $2,000 bonus for people who return to work by Sept. 6. There are some strings attached.

People qualify for the measure if they are already receiving jobless aid — and they must earn less than $25 hourly at their next job. That amounts to a yearly salary of $52,000. Individuals must also work 10 weeks with a new employer to get the cash.

The state last recorded an unemployment rate of 6.7%, higher than the 4.9% it had immediately before the pandemic in February 2020.

Arizona’s average jobless payout is $238.

Arkansas

Asa Hutchinson
Gov. Asa Hutchinson.

Gov. Asa Hutchinson announced on May 7 that the state would no longer participate in federal unemployment after June 26. 

“The $300 federal supplement helped thousands of Arkansans make it through this tough time, so it served a good purpose. Now we need Arkansans back on the job so that we can get our economy back to full speed,” Hutchinson said in a press release, which cited South Carolina’s and Montana’s separate decisions to opt out of the federal assistance program.

Its unemployment rate is 4.4%, slightly higher than the 3.8% level of February 2020. The average weekly benefit in the state is $248.

In the fourth quarter of 2020, 74.7% of the UI Arkansas disbursed came from federal funds, according to a report from the left-leaning Economic Policy Institute. On January 1 of this year, Arkansas’s minimum wage increased to $11 — several dollars above the federal rate of $7.25.

Florida

ron desantis florida vaccine 60 minutes
Gov. Ron DeSantis.

Florida will end its participation in the $300 in additional weekly benefits effective June 26. However, other federal programs, including PUA, “will continue for the time being as DEO [Department of Economic Opportunity] continues to carefully monitor job posting and industry hiring trends.”

In a press release, DEO Secretary Dane Eagle said “transitioning away from this benefit will help meet the demands of small and large businesses who are ready to hire and expand their workforce.” Florida’s unemployment rate was 4.7% in March 2021, 1.9% higher than 2.8% in February 2020. The state’s average weekly benefit is $235.22.

Georgia

brian kemp
Gov. Brian Kemp.

Gov. Brian Kemp announced Thursday that the state will end its participation in federal unemployment benefit programs effective June 26.

“Even in the middle of a global pandemic, job growth and economic development in Georgia remained strong — including an unemployment rate below the national average,” Kemp said in a statement. “To build on our momentum, accelerate a full economic recovery, and get more Georgians back to work in good-paying jobs, our state will end its participation in the federal COVID-19 unemployment programs, effective June 26th.”

The Georgia unemployment rate was 4.5% in March 2021, 1% above the February 2020 rate of 3.5%. The state’s average weekly benefit is $278.95.

Idaho

Gov. Brad Little
Gov. Brad Little.

Gov. Brad Little said Idaho would no longer draw federal money to fund enhanced unemployment insurance, and the state will cancel its program on June 19.

It’s time to get back to work,” Little said in a Tuesday statement. “My decision is based on a fundamental conservative principle — we do not want people on unemployment. We want people working.”

The state was among those that recently reimposed a job-seeking requirement for people receiving jobless aid.

Idaho’s unemployment rate stands at 3.2%, a higher level compared to 2.6% in February 2020. The average weekly unemployment benefit in the state is $355, per the Labor Department.

Indiana

GettyImages eric holcomb
Gov. Eric Holcomb.

Gov. Eric Holcomb said the state is terminating all federal unemployment programs effective June 19.

“There are help wanted signs posted all over Indiana, and while our economy took a hit last year, it is roaring like an Indy 500 race car engine now,” Holcomb said in the news release. “I am hearing from multiple sector employers that they want and need to hire more Hoosiers to grow.”

The state is also among those now requiring people to actively seek work while on unemployment.

Indiana’s unemployment rate is 3.9%, higher than the 3.2% it had in February 2020. The average weekly benefit is $254.

Iowa

kim reynolds iowa
Gov. Kim Reynolds.

Gov. Kim Reynolds said the state would cancel federal jobless benefits on June 12.

“Federal pandemic-related unemployment benefit programs initially provided displaced Iowans with crucial assistance when the pandemic began,” Reynolds said in a statement. “But now that our businesses and schools have reopened, these payments are discouraging people from returning to work.”

The state’s unemployment rate stood at 3.7%, still slightly higher than the 2.9% it recorded in February 2020. Iowa’s average weekly jobless benefit is $430.

Mississippi

Mississippi Governor Tate Reeves
Gov. Tate Reeves.

Gov. Tate Reeves announced on Monday that he was pulling out the state from the federal pandemic-aid programs starting June 12.

“It has become clear to me that we cannot have a full economic recovery until we get the thousands of available jobs in our state filled,” Reeves wrote on Twitter.

The average weekly benefit in the state is $195, according to the Employment and Training Administration at the Department of Labor.

The state’s unemployment rate is 6.3%, a figure still elevated from its pre-pandemic rate of 5.8% in February 2020.

Mississippi is among the seven states that have not lifted hourly pay for workers since the last increase to the federal minimum wage to $7.25 an hour.

Missouri

missouri gov mike parson
Gov. Mike Parson.

Gov. Mike Parson announced on Tuesday that Missouri would be ending its participation in federal unemployment on June 12. 

“While these benefits provided supplementary financial assistance during the height of COVID-19, they were intended to be temporary, and their continuation has instead worsened the workforce issues we are facing,” Parson said in a statement. “It’s time that we end these programs that have ultimately incentivized people to stay out of the workforce.” 

The average weekly benefit in Missouri amounted to $258.57 in March. Its unemployment rate stood at 4.2% in March, a drop from 4.3% in February. That’s still 0.5% higher than the March 2020 unemployment rate.

Missouri raised its minimum wage to $10.30 on January 1, 2021.

Montana

greg gianforte
Gov. Greg Gianforte.

Gov. Greg Gianforte announced the state was ending federal benefits on June 27.

“Incentives matter, and the vast expansion of federal unemployment benefits is now doing more harm than good,” Gianforte said in a statement. “We need to incentivize Montanans to reenter the workforce.”

Taking its place will be a $1,200 return-to-work bonus, an amount equivalent to four weeks of receiving federal jobless aid. Workers will be eligible for the cash after a month on the job. The measure enjoys support among some congressional Republicans.

The average weekly benefit in the state is $468 without the federal supplement. The state’s unemployment rate has reached pre-pandemic levels, at 3.8% in April.

Nebraska

Nebraska Gov. Pete Ricketts delivers the annual State of the State Address to lawmakers in Lincoln, Neb., Thursday, Jan. 14, 2021.
Gov. Pete Ricketts.

Nebraska will end its participation in all federal unemployment programs effective June 19.

According to the Lincoln Journal Star, Gov. Pete Ricketts said the benefits are a “disincentive for some people” in returning to work. The curtailing of benefits come as part of the state’s initiative to reopen and “return to normalcy.”

Nebraska’s unemployment rate was 2.8% in April 2021, lower than 2.9% in February 2020. The state’s average weekly benefit is $343.25.

New Hampshire

chris sununu
Gov. Chris Sununu.

Gov. Chris Sununu said on Thursday that he was planning on ending the additional $300 weekly benefit before it’s due to expire, NECN reports. However, the date that benefits will be discontinued in the state remains unclear.

The state will also begin work search requirements for those on UI beginning May 23.

The New Hampshire unemployment rate was 3.0% in March 2021, above the February 2020 rate of 2.6%. The state’s average weekly benefit is $277.26.

North Dakota

doug burgum north dakota trans school sports bill
Gov. Doug Burgum.

Gov. Doug Burgum said the state would pull out of federal unemployment benefit programs on June 19.

“Safe, effective vaccines have been available to every adult in North Dakota for months now, and we have an abundance of job openings with employers who are eager to hire,” Burgum said in a news release, noting the state had its highest number of online job postings since July 2015.

The state’s unemployment rate is 4.4%, still almost double its level of 2.3% in February 2020. North Dakota’s average weekly unemployment payment is $480.

Ohio

Mike-DeWine-2019
Gov. Mike DeWine.

Gov. Mike Dewine said the state will scrap the federal unemployment benefit programs on June 26.

“This assistance was always intended to be temporary,” DeWine said in a statement.

The state’s unemployment rate stands at 4.7%, the same level it had in February 2020. The average weekly benefit in Ohio is $383.

Oklahoma

Oklahoma Gov. Kevin Stitt
Gov. Kevin Stitt.

Gov. Kevin Stitt is dropping all federal unemployment programs starting on June 26.

“That gives people six weeks to get off the sidelines and get back into the game,” he said in a news release.

Stitt also announced that the first 20,000 laid-off workers now receiving benefits that are rehired will get a $1,200 “incentive using funds from the American Rescue Plan.”

People are eligible if they receive some form of federal unemployment aid between May 2 through 15, and keep their new job for at least six weeks. Individuals must also have a 32-hour workweek.

The Oklahoma unemployment rate stands at 5.2%, higher than the 3.1% it had before the pandemic broke out in February last year. The average weekly benefit is $310.

South Carolina

henry mcmaster
Gov. Henry McMaster.

Even before the jobs report hit, Republican Gov. Henry McMaster said the state would stop its participation in federal unemployment effective June 30.

“This labor shortage is being created in large part by the supplemental unemployment payments that the federal government provides claimants on top of their state unemployment benefits,” McMaster wrote in a letter to the state’s Department of Employment and Workforce.

McMaster spoke with Fox News’ Tucker Carlson about the expanded unemployment program, saying he believed it’s a “counterproductive policy.”

The average weekly benefit in the state stands at $228. South Carolina’s unemployment rate is 5.1%, still nearly double its pre-pandemic rate of 2.8% in February 2020.

In the fourth quarter of 2020, 76.7% of the unemployment insurance that South Carolina disbursed came from federal funds, according to the report from the Economic Policy Institute. The minimum wage in South Carolina was last raised in 2009, when the federal minimum wage as a whole was increased to $7.25.

South Dakota

Kristi Noem
Gov. Kristi Noem.

Gov. Kristi Noem announced Wednesday that the state will end its participation in federal unemployment benefit programs effective the week of June 26. In a related statement, the state’s Labor and Regulation Secretary Marcia Hultman noted that “help wanted signs line our streets.”

“South Dakota is, and has been, ‘Open for Business.’ Ending these programs is a necessary step towards recovery, growth, and getting people back to work,” Hultman added.

The South Dakota unemployment rate was 2.9% in March 2021, unchanged from 2.9% in February 2020. The state’s average weekly benefit is $369.

Tennessee

Tennessee Governor Bill Lee.
Gov. Bill Lee.

Gov. Bill Lee announced Tuesday that federal unemployment benefits would end in the state effective July 3.

“We will no longer participate in federal pandemic unemployment programs because Tennesseans have access to more than 250,000 jobs in our state,” Lee said in a statement. “Families, businesses and our economy thrive when we focus on meaningful employment and move on from short-term, federal fixes.”

The state’s unemployment rate in March 2021 was 5%, a 0.1% increase from the month before and 1% higher than the March 2020 rate. Tennessee’s average weekly unemployment payment is $219.45. Tennessee is one of seven states where the minimum wage remains at the federal level of $7.25.

Texas

greg abbott texas
Gov. Greg Abbott.

Gov. Greg Abbott said he was scrapping all federal unemployment programs on June 26.

“The Texas economy is booming and employers are hiring in communities throughout the state,” Abbott said in a statement.

Nearly 1.3 million people in the state will experience a sharp cut in their unemployment aid, per an estimate from Andrew Stettner at the liberal-leaning Century Foundation. It’s the largest state yet to eliminate the programs, with the eliminated aid coming to an estimated $8.8 billion.

The average weekly benefit in Texas is $405. The state’s current 6.9% unemployment rate is still nearly double what it used to be in February 2020.

Utah

AP spencer cox
Gov. Spencer Cox.

Utah is withdrawing from federal unemployment aid programs effective June 26.

“This is the natural next step in getting the state and people’s lives back to normal,” Gov. Spencer Cox said in a statement. “The market should not be competing with the government for workers.”

The state has a 2.9% unemployment rate, slightly higher than the 2.5% pre-pandemic level in February 2020. The average weekly benefit in Utah is $428.

West Virginia

WV Gov Jim Justice
Gov. Jim Justice.

West Virginia will end its participation in federal unemployment benefit programs effective June 19 at midnight.

“We need everyone back to work,” Gov. Jim Justice said in a statement. “Our small businesses and West Virginia’s economy depend on it.”

West Virginia’s unemployment rate was 5.9% in March 2021, 1% above the February 2020 rate of 4.9%. The state’s average weekly benefit is $276.15.

Wyoming

mark gordon
Gov. Mark Gordon.

Gov. Mark Gordon said the state was scrapping the federal unemployment benefit, along with programs aiding gig workers and those who exhausted traditional state payouts.

“Wyoming needs workers, our businesses are raring to go,” Gordon said in a statement. “People want to work, and work is available. Incentivizing people not to work is just plain un-American.”

The Wyoming unemployment rate is 5.3%, slightly higher than the 4.8% it once had in February 2020. The state’s average weekly benefit is $430.

Are you unemployed and have a story you want to share? Contact these reporters at jkaplan@insider.com and jzeballos@insider.com.

Read the original article on Business Insider

GOP-led states are cutting $300 weekly federal unemployment benefits. Here are the 23 states making the cut this summer.

GettyImages 1231114054
President Joe Biden.

  • Some Republican governors have decided Americans make too much from expanded unemployment benefits.
  • After a surprisingly dismal jobs report, they’re moving to end federal jobless aid early.
  • That also includes eliminating programs benefiting gig workers, freelancers, and the long-term unemployed.
  • See more stories on Insider’s business page.
Alabama

kay ivey
Gov. Kay Ivey.

Gov. Kay Ivey announced on Monday that the state was halting its participation in federal unemployment benefits starting June 19. 

Those include the Pandemic Unemployment Assistance Program for gig workers and Pandemic Emergency Unemployment Compensation for the long-term unemployed.

“We have announced the end date of our state of emergency, there are no industry shutdowns, and daycares are operating with no restrictions. Vaccinations are available for all adults. Alabama is giving the federal government our 30-day notice that it’s time to get back to work,” Ivey said in a press release.

Alabama is also resuming its work-search requirements for recipients, which had been paused throughout the pandemic.

The average weekly benefit in Alabama amounted to $283 in March. Its unemployment rate stands at 3.8%, higher than the 2.8% it had in February 2020.

Alabama is among the seven states that have not raised the hourly minimum wage for workers since the hike to $7.25 in 2009

Experts say other factors are keeping workers from jumping back into the labor force, such as a lack of childcare access and fear of COVID-19 infection.

Alaska

Alaska Gov. Mike Dunleavy
Gov. Mike Dunleavy.

Alaska will end its participation in the extra $300 in weekly benefits effective June 12. 

“As Alaska’s economy opens up, employers are posting a wide range of job opportunities and workers are needed,” labor and workforce development commissioner, Dr. Tamika L. Ledbetter, said in a statement.

Extensions for the state benefit will continue through September 6. 

Alaska’s unemployment rate was 6.6% in March 2021, a 0.8% increase from the rate of 5.8% in February 2020. The state’s average weekly benefit is $298.

Arizona

Doug Ducey Arizona governor
Gov. Doug Ducey.

Gov. Doug Ducey said the state will terminate all federal jobless benefit programs on July 10, per a news release from his office.

Arizona, however, is setting aside some federal funds to provide a one-time $2,000 bonus for people who return to work by Sept. 6. There are some strings attached.

People qualify for the measure if they are already receiving jobless aid — and they must earn less than $25 hourly at their next job. That amounts to a yearly salary of $52,000. Individuals must also work 10 weeks with a new employer to get the cash.

The state last recorded an unemployment rate of 6.7%, higher than the 4.9% it had immediately before the pandemic in February 2020.

Arizona’s average jobless payout is $238.

Arkansas

Asa Hutchinson
Gov. Asa Hutchinson.

Gov. Asa Hutchinson announced on May 7 that the state would no longer participate in federal unemployment after June 26. 

“The $300 federal supplement helped thousands of Arkansans make it through this tough time, so it served a good purpose. Now we need Arkansans back on the job so that we can get our economy back to full speed,” Hutchinson said in a press release, which cited South Carolina’s and Montana’s separate decisions to opt out of the federal assistance program.

Its unemployment rate is 4.4%, slightly higher than the 3.8% level of February 2020. The average weekly benefit in the state is $248.

In the fourth quarter of 2020, 74.7% of the UI Arkansas disbursed came from federal funds, according to a report from the left-leaning Economic Policy Institute. On January 1 of this year, Arkansas’s minimum wage increased to $11 — several dollars above the federal rate of $7.25.

Florida

ron desantis florida vaccine 60 minutes
Gov. Ron DeSantis.

Florida will end its participation in the $300 in additional weekly benefits effective June 26. However, other federal programs, including PUA, “will continue for the time being as DEO [Department of Economic Opportunity] continues to carefully monitor job posting and industry hiring trends.”

In a press release, DEO Secretary Dane Eagle said “transitioning away from this benefit will help meet the demands of small and large businesses who are ready to hire and expand their workforce.” Florida’s unemployment rate was 4.7% in March 2021, 1.9% higher than 2.8% in February 2020. The state’s average weekly benefit is $235.22.

Georgia

brian kemp
Gov. Brian Kemp.

Gov. Brian Kemp announced Thursday that the state will end its participation in federal unemployment benefit programs effective June 26.

“Even in the middle of a global pandemic, job growth and economic development in Georgia remained strong — including an unemployment rate below the national average,” Kemp said in a statement. “To build on our momentum, accelerate a full economic recovery, and get more Georgians back to work in good-paying jobs, our state will end its participation in the federal COVID-19 unemployment programs, effective June 26th.”

The Georgia unemployment rate was 4.5% in March 2021, 1% above the February 2020 rate of 3.5%. The state’s average weekly benefit is $278.95.

Idaho

Gov. Brad Little
Gov. Brad Little.

Gov. Brad Little said Idaho would no longer draw federal money to fund enhanced unemployment insurance, and the state will cancel its program on June 19.

It’s time to get back to work,” Little said in a Tuesday statement. “My decision is based on a fundamental conservative principle — we do not want people on unemployment. We want people working.”

The state was among those that recently reimposed a job-seeking requirement for people receiving jobless aid.

Idaho’s unemployment rate stands at 3.2%, a higher level compared to 2.6% in February 2020. The average weekly unemployment benefit in the state is $355, per the Labor Department.

Indiana

GettyImages eric holcomb
Gov. Eric Holcomb.

Gov. Eric Holcomb said the state is terminating all federal unemployment programs effective June 19.

“There are help wanted signs posted all over Indiana, and while our economy took a hit last year, it is roaring like an Indy 500 race car engine now,” Holcomb said in the news release. “I am hearing from multiple sector employers that they want and need to hire more Hoosiers to grow.”

The state is also among those now requiring people to actively seek work while on unemployment.

Indiana’s unemployment rate is 3.9%, higher than the 3.2% it had in February 2020. The average weekly benefit is $254.

Iowa

kim reynolds iowa
Gov. Kim Reynolds.

Gov. Kim Reynolds said the state would cancel federal jobless benefits on June 12.

“Federal pandemic-related unemployment benefit programs initially provided displaced Iowans with crucial assistance when the pandemic began,” Reynolds said in a statement. “But now that our businesses and schools have reopened, these payments are discouraging people from returning to work.”

The state’s unemployment rate stood at 3.7%, still slightly higher than the 2.9% it recorded in February 2020. Iowa’s average weekly jobless benefit is $430.

Mississippi

Mississippi Governor Tate Reeves
Gov. Tate Reeves.

Gov. Tate Reeves announced on Monday that he was pulling out the state from the federal pandemic-aid programs starting June 12.

“It has become clear to me that we cannot have a full economic recovery until we get the thousands of available jobs in our state filled,” Reeves wrote on Twitter.

The average weekly benefit in the state is $195, according to the Employment and Training Administration at the Department of Labor.

The state’s unemployment rate is 6.3%, a figure still elevated from its pre-pandemic rate of 5.8% in February 2020.

Mississippi is among the seven states that have not lifted hourly pay for workers since the last increase to the federal minimum wage to $7.25 an hour.

Missouri

missouri gov mike parson
Gov. Mike Parson.

Gov. Mike Parson announced on Tuesday that Missouri would be ending its participation in federal unemployment on June 12. 

“While these benefits provided supplementary financial assistance during the height of COVID-19, they were intended to be temporary, and their continuation has instead worsened the workforce issues we are facing,” Parson said in a statement. “It’s time that we end these programs that have ultimately incentivized people to stay out of the workforce.” 

The average weekly benefit in Missouri amounted to $258.57 in March. Its unemployment rate stood at 4.2% in March, a drop from 4.3% in February. That’s still 0.5% higher than the March 2020 unemployment rate.

Missouri raised its minimum wage to $10.30 on January 1, 2021.

Montana

greg gianforte
Gov. Greg Gianforte.

Gov. Greg Gianforte announced the state was ending federal benefits on June 27.

“Incentives matter, and the vast expansion of federal unemployment benefits is now doing more harm than good,” Gianforte said in a statement. “We need to incentivize Montanans to reenter the workforce.”

Taking its place will be a $1,200 return-to-work bonus, an amount equivalent to four weeks of receiving federal jobless aid. Workers will be eligible for the cash after a month on the job. The measure enjoys support among some congressional Republicans.

The average weekly benefit in the state is $468 without the federal supplement. The state’s unemployment rate has reached pre-pandemic levels, at 3.8% in April.

New Hampshire

chris sununu
Gov. Chris Sununu.

Gov. Chris Sununu said on Thursday that he was planning on ending the additional $300 weekly benefit before it’s due to expire, NECN reports. However, the date that benefits will be discontinued in the state remains unclear.

The state will also begin work search requirements for those on UI beginning May 23.

The New Hampshire unemployment rate was 3.0% in March 2021, above the February 2020 rate of 2.6%. The state’s average weekly benefit is $277.26.

North Dakota

doug burgum north dakota trans school sports bill
Gov. Doug Burgum.

Gov. Doug Burgum said the state would pull out of federal unemployment benefit programs on June 19.

“Safe, effective vaccines have been available to every adult in North Dakota for months now, and we have an abundance of job openings with employers who are eager to hire,” Burgum said in a news release, noting the state had its highest number of online job postings since July 2015.

The state’s unemployment rate is 4.4%, still almost double its level of 2.3% in February 2020. North Dakota’s average weekly unemployment payment is $480.

Ohio

Mike-DeWine-2019
Gov. Mike DeWine.

Gov. Mike Dewine said the state will scrap the federal unemployment benefit programs on June 26.

“This assistance was always intended to be temporary,” DeWine said in a statement.

The state’s unemployment rate stands at 4.7%, the same level it had in February 2020. The average weekly benefit in Ohio is $383.

Oklahoma

Oklahoma Gov. Kevin Stitt
Gov. Kevin Stitt.

Gov. Kevin Stitt is dropping all federal unemployment programs starting on June 26.

“That gives people six weeks to get off the sidelines and get back into the game,” he said in a news release.

Stitt also announced that the first 20,000 laid-off workers now receiving benefits that are rehired will get a $1,200 “incentive using funds from the American Rescue Plan.”

People are eligible if they receive some form of federal unemployment aid between May 2 through 15, and keep their new job for at least six weeks. Individuals must also have a 32-hour workweek.

The Oklahoma unemployment rate stands at 5.2%, higher than the 3.1% it had before the pandemic broke out in February last year. The average weekly benefit is $310.

South Carolina

henry mcmaster
Gov. Henry McMaster.

Even before the jobs report hit, Republican Gov. Henry McMaster said the state would stop its participation in federal unemployment effective June 30.

“This labor shortage is being created in large part by the supplemental unemployment payments that the federal government provides claimants on top of their state unemployment benefits,” McMaster wrote in a letter to the state’s Department of Employment and Workforce.

McMaster spoke with Fox News’ Tucker Carlson about the expanded unemployment program, saying he believed it’s a “counterproductive policy.”

The average weekly benefit in the state stands at $228. South Carolina’s unemployment rate is 5.1%, still nearly double its pre-pandemic rate of 2.8% in February 2020.

In the fourth quarter of 2020, 76.7% of the unemployment insurance that South Carolina disbursed came from federal funds, according to the report from the Economic Policy Institute. The minimum wage in South Carolina was last raised in 2009, when the federal minimum wage as a whole was increased to $7.25.

South Dakota

Kristi Noem
Gov. Kristi Noem.

Gov. Kristi Noem announced Wednesday that the state will end its participation in federal unemployment benefit programs effective the week of June 26. In a related statement, the state’s Labor and Regulation Secretary Marcia Hultman noted that “help wanted signs line our streets.”

“South Dakota is, and has been, ‘Open for Business.’ Ending these programs is a necessary step towards recovery, growth, and getting people back to work,” Hultman added.

The South Dakota unemployment rate was 2.9% in March 2021, unchanged from 2.9% in February 2020. The state’s average weekly benefit is $369.

Tennessee

Tennessee Governor Bill Lee.
Gov. Bill Lee.

Gov. Bill Lee announced Tuesday that federal unemployment benefits would end in the state effective July 3.

“We will no longer participate in federal pandemic unemployment programs because Tennesseans have access to more than 250,000 jobs in our state,” Lee said in a statement. “Families, businesses and our economy thrive when we focus on meaningful employment and move on from short-term, federal fixes.”

The state’s unemployment rate in March 2021 was 5%, a 0.1% increase from the month before and 1% higher than the March 2020 rate. Tennessee’s average weekly unemployment payment is $219.45. Tennessee is one of seven states where the minimum wage remains at the federal level of $7.25.

Texas

greg abbott texas
Gov. Greg Abbott.

Gov. Greg Abbott said he was scrapping all federal unemployment programs on June 26.

“The Texas economy is booming and employers are hiring in communities throughout the state,” Abbott said in a statement.

Nearly 1.3 million people in the state will experience a sharp cut in their unemployment aid, per an estimate from Andrew Stettner at the liberal-leaning Century Foundation. It’s the largest state yet to eliminate the programs, with the eliminated aid coming to an estimated $8.8 billion.

The average weekly benefit in Texas is $405. The state’s current 6.9% unemployment rate is still nearly double what it used to be in February 2020.

Utah

AP spencer cox
Gov. Spencer Cox.

Utah is withdrawing from federal unemployment aid programs effective June 26.

“This is the natural next step in getting the state and people’s lives back to normal,” Gov. Spencer Cox said in a statement. “The market should not be competing with the government for workers.”

The state has a 2.9% unemployment rate, slightly higher than the 2.5% pre-pandemic level in February 2020. The average weekly benefit in Utah is $428.

West Virginia

WV Gov Jim Justice
Gov. Jim Justice.

West Virginia will end its participation in federal unemployment benefit programs effective June 19 at midnight.

“We need everyone back to work,” Gov. Jim Justice said in a statement. “Our small businesses and West Virginia’s economy depend on it.”

West Virginia’s unemployment rate was 5.9% in March 2021, 1% above the February 2020 rate of 4.9%. The state’s average weekly benefit is $276.15.

Wyoming

mark gordon
Gov. Mark Gordon.

Gov. Mark Gordon said the state was scrapping the federal unemployment benefit, along with programs aiding gig workers and those who exhausted traditional state payouts.

“Wyoming needs workers, our businesses are raring to go,” Gordon said in a statement. “People want to work, and work is available. Incentivizing people not to work is just plain un-American.”

The Wyoming unemployment rate is 5.3%, slightly higher than the 4.8% it once had in February 2020. The state’s average weekly benefit is $430.

Are you unemployed and have a story you want to share? Contact these reporters at jkaplan@insider.com and jzeballos@insider.com.

Read the original article on Business Insider

GOP-led states are cutting $300 weekly federal unemployment benefits. Here are the 19 states making the cut this summer.

GettyImages 1231114054
President Joe Biden.

  • Some Republican governors have decided Americans make too much from expanded unemployment benefits.
  • After a surprisingly dismal jobs report, they’re moving to end federal jobless aid early.
  • That also includes eliminating programs benefiting gig workers, freelancers, and the long-term unemployed.
  • See more stories on Insider’s business page.
Alabama

kay ivey
Gov. Kay Ivey.

Gov. Kay Ivey announced on Monday that the state was halting its participation in federal unemployment benefits starting June 19. 

Those include the Pandemic Unemployment Assistance Program for gig workers and Pandemic Emergency Unemployment Compensation for the long-term unemployed.

“We have announced the end date of our state of emergency, there are no industry shutdowns, and daycares are operating with no restrictions. Vaccinations are available for all adults. Alabama is giving the federal government our 30-day notice that it’s time to get back to work,” Ivey said in a press release.

Alabama is also resuming its work-search requirements for recipients, which had been paused throughout the pandemic.

The average weekly benefit in Alabama amounted to $283 in March. Its unemployment rate stands at 3.8%, higher than the 2.8% it had in February 2020.

Alabama is among the seven states that have not raised the hourly minimum wage for workers since the hike to $7.25 in 2009

Experts say other factors are keeping workers from jumping back into the labor force, such as a lack of childcare access and fear of COVID-19 infection.

Alaska

Alaska Gov. Mike Dunleavy
Gov. Mike Dunleavy.

Alaska will end its participation in the extra $300 in weekly benefits effective June 12. 

“As Alaska’s economy opens up, employers are posting a wide range of job opportunities and workers are needed,” labor and workforce development commissioner, Dr. Tamika L. Ledbetter, said in a statement.

Extensions for the state benefit will continue through September 6. 

Alaska’s unemployment rate was 6.6% in March 2021, a 0.8% increase from the rate of 5.8% in February 2020. The state’s average weekly benefit is $298.

Arizona

Doug Ducey Arizona governor
Gov. Doug Ducey.

Gov. Doug Ducey said the state will terminate all federal jobless benefit programs on July 10, per a news release from his office.

Arizona, however, is setting aside some federal funds to provide a one-time $2,000 bonus for people who return to work by Sept. 6. There are some strings attached.

People qualify for the measure if they are already receiving jobless aid — and they must earn less than $25 hourly at their next job. That amounts to a yearly salary of $52,000. Individuals must also work 10 weeks with a new employer to get the cash.

The state last recorded an unemployment rate of 6.7%, higher than the 4.9% it had immediately before the pandemic in February 2020.

Arizona’s average jobless payout is $238.

Arkansas

Asa Hutchinson
Gov. Asa Hutchinson.

Gov. Asa Hutchinson announced on May 7 that the state would no longer participate in federal unemployment after June 26. 

“The $300 federal supplement helped thousands of Arkansans make it through this tough time, so it served a good purpose. Now we need Arkansans back on the job so that we can get our economy back to full speed,” Hutchinson said in a press release, which cited South Carolina’s and Montana’s separate decisions to opt out of the federal assistance program.

Its unemployment rate is 4.4%, slightly higher than the 3.8% level of February 2020. The average weekly benefit in the state is $248.

In the fourth quarter of 2020, 74.7% of the UI Arkansas disbursed came from federal funds, according to a report from the left-leaning Economic Policy Institute. On January 1 of this year, Arkansas’s minimum wage increased to $11 — several dollars above the federal rate of $7.25.

Georgia

brian kemp
Gov. Brian Kemp.

Gov. Brian Kemp announced Thursday that the state will end its participation in federal unemployment benefit programs effective June 26.

“Even in the middle of a global pandemic, job growth and economic development in Georgia remained strong — including an unemployment rate below the national average,” Kemp said in a statement. “To build on our momentum, accelerate a full economic recovery, and get more Georgians back to work in good-paying jobs, our state will end its participation in the federal COVID-19 unemployment programs, effective June 26th.”

The Georgia unemployment rate was 4.5% in March 2021, 1% above the February 2020 rate of 3.5%. The state’s average weekly benefit is $278.95.

Idaho

Gov. Brad Little
Gov. Brad Little.

Gov. Brad Little said Idaho would no longer draw federal money to fund enhanced unemployment insurance, and the state will cancel its program on June 19.

It’s time to get back to work,” Little said in a Tuesday statement. “My decision is based on a fundamental conservative principle — we do not want people on unemployment. We want people working.”

The state was among those that recently reimposed a job-seeking requirement for people receiving jobless aid.

Idaho’s unemployment rate stands at 3.2%, a higher level compared to 2.6% in February 2020. The average weekly unemployment benefit in the state is $355, per the Labor Department.

Iowa

kim reynolds iowa
Gov. Kim Reynolds.

Gov. Kim Reynolds said the state would cancel federal jobless benefits on June 12.

“Federal pandemic-related unemployment benefit programs initially provided displaced Iowans with crucial assistance when the pandemic began,” Reynolds said in a statement. “But now that our businesses and schools have reopened, these payments are discouraging people from returning to work.”

The state’s unemployment rate stood at 3.7%, still slightly higher than the 2.9% it recorded in February 2020. Iowa’s average weekly jobless benefit is $430.

Mississippi

Mississippi Governor Tate Reeves
Gov. Tate Reeves.

Gov. Tate Reeves announced on Monday that he was pulling out the state from the federal pandemic-aid programs starting June 12.

“It has become clear to me that we cannot have a full economic recovery until we get the thousands of available jobs in our state filled,” Reeves wrote on Twitter.

The average weekly benefit in the state is $195, according to the Employment and Training Administration at the Department of Labor.

The state’s unemployment rate is 6.3%, a figure still elevated from its pre-pandemic rate of 5.8% in February 2020.

Mississippi is among the seven states that have not lifted hourly pay for workers since the last increase to the federal minimum wage to $7.25 an hour.

Missouri

missouri gov mike parson
Gov. Mike Parson.

Gov. Mike Parson announced on Tuesday that Missouri would be ending its participation in federal unemployment on June 12. 

“While these benefits provided supplementary financial assistance during the height of COVID-19, they were intended to be temporary, and their continuation has instead worsened the workforce issues we are facing,” Parson said in a statement. “It’s time that we end these programs that have ultimately incentivized people to stay out of the workforce.” 

The average weekly benefit in Missouri amounted to $258.57 in March. Its unemployment rate stood at 4.2% in March, a drop from 4.3% in February. That’s still 0.5% higher than the March 2020 unemployment rate.

Missouri raised its minimum wage to $10.30 on January 1, 2021.

Montana

greg gianforte
Gov. Greg Gianforte.

Gov. Greg Gianforte announced the state was ending federal benefits on June 27.

“Incentives matter, and the vast expansion of federal unemployment benefits is now doing more harm than good,” Gianforte said in a statement. “We need to incentivize Montanans to reenter the workforce.”

Taking its place will be a $1,200 return-to-work bonus, an amount equivalent to four weeks of receiving federal jobless aid. Workers will be eligible for the cash after a month on the job. The measure enjoys support among some congressional Republicans.

The average weekly benefit in the state is $468 without the federal supplement. The state’s unemployment rate has reached pre-pandemic levels, at 3.8% in April.

New Hampshire

chris sununu
Gov. Chris Sununu.

Gov. Chris Sununu said on Thursday that he was planning on ending the additional $300 weekly benefit before it’s due to expire, NECN reports. However, the date that benefits will be discontinued in the state remains unclear.

The state will also begin work search requirements for those on UI beginning May 23.

The New Hampshire unemployment rate was 3.0% in March 2021, above the February 2020 rate of 2.6%. The state’s average weekly benefit is $277.26.

North Dakota

doug burgum north dakota trans school sports bill
Gov. Doug Burgum.

Gov. Doug Burgum said the state would pull out of federal unemployment benefit programs on June 19.

“Safe, effective vaccines have been available to every adult in North Dakota for months now, and we have an abundance of job openings with employers who are eager to hire,” Burgum said in a news release, noting the state had its highest number of online job postings since July 2015.

The state’s unemployment rate is 4.4%, still almost double its level of 2.3% in February 2020. North Dakota’s average weekly unemployment payment is $480.

Ohio

Mike-DeWine-2019
Gov. Mike DeWine.

Gov. Mike Dewine said the state will scrap the federal unemployment benefit programs on June 26.

“This assistance was always intended to be temporary,” DeWine said in a statement.

The state’s unemployment rate stands at 4.7%, the same level it had in February 2020. The average weekly benefit in Ohio is $383.

South Carolina

henry mcmaster
Gov. Henry McMaster.

Even before the jobs report hit, Republican Gov. Henry McMaster said the state would stop its participation in federal unemployment effective June 30.

“This labor shortage is being created in large part by the supplemental unemployment payments that the federal government provides claimants on top of their state unemployment benefits,” McMaster wrote in a letter to the state’s Department of Employment and Workforce.

McMaster spoke with Fox News’ Tucker Carlson about the expanded unemployment program, saying he believed it’s a “counterproductive policy.”

The average weekly benefit in the state stands at $228. South Carolina’s unemployment rate is 5.1%, still nearly double its pre-pandemic rate of 2.8% in February 2020.

In the fourth quarter of 2020, 76.7% of the unemployment insurance that South Carolina disbursed came from federal funds, according to the report from the Economic Policy Institute. The minimum wage in South Carolina was last raised in 2009, when the federal minimum wage as a whole was increased to $7.25.

South Dakota

Kristi Noem
Gov. Kristi Noem.

Gov. Kristi Noem announced Wednesday that the state will end its participation in federal unemployment benefit programs effective the week of June 26. In a related statement, the state’s Labor and Regulation Secretary Marcia Hultman noted that “help wanted signs line our streets.”

“South Dakota is, and has been, ‘Open for Business.’ Ending these programs is a necessary step towards recovery, growth, and getting people back to work,” Hultman added.

The South Dakota unemployment rate was 2.9% in March 2021, unchanged from 2.9% in February 2020. The state’s average weekly benefit is $369.

Tennessee

Tennessee Governor Bill Lee.
Gov. Bill Lee.

Gov. Bill Lee announced Tuesday that federal unemployment benefits would end in the state effective July 3.

“We will no longer participate in federal pandemic unemployment programs because Tennesseans have access to more than 250,000 jobs in our state,” Lee said in a statement. “Families, businesses and our economy thrive when we focus on meaningful employment and move on from short-term, federal fixes.”

The state’s unemployment rate in March 2021 was 5%, a 0.1% increase from the month before and 1% higher than the March 2020 rate. Tennessee’s average weekly unemployment payment is $219.45. Tennessee is one of seven states where the minimum wage remains at the federal level of $7.25.

Utah

AP spencer cox
Gov. Spencer Cox.

Utah is withdrawing from federal unemployment aid programs effective June 26.

“This is the natural next step in getting the state and people’s lives back to normal,” Gov. Spencer Cox said in a statement. “The market should not be competing with the government for workers.”

The state has a 2.9% unemployment rate, slightly higher than the 2.5% pre-pandemic level in February 2020. The average weekly benefit in Utah is $428.

West Virginia

WV Gov Jim Justice
Gov. Jim Justice.

West Virginia will end its participation in federal unemployment benefit programs effective June 19 at midnight.

“We need everyone back to work,” Gov. Jim Justice said in a statement. “Our small businesses and West Virginia’s economy depend on it.”

West Virginia’s unemployment rate was 5.9% in March 2021, 1% above the February 2020 rate of 4.9%. The state’s average weekly benefit is $276.15.

Wyoming

mark gordon
Gov. Mark Gordon.

Gov. Mark Gordon said the state was scrapping the federal unemployment benefit, along with programs aiding gig workers and those who exhausted traditional state payouts.

“Wyoming needs workers, our businesses are raring to go,” Gordon said in a statement. “People want to work, and work is available. Incentivizing people not to work is just plain un-American.”

The Wyoming unemployment rate is 5.3%, slightly higher than the 4.8% it once had in February 2020. The state’s average weekly benefit is $430.

Are you unemployed and have a story you want to share? Contact these reporters at jkaplan@insider.com and jzeballos@insider.com.

Read the original article on Business Insider

GOP-led states are cutting $300 weekly federal unemployment benefits. Here are the 17 states making the cut this summer.

GettyImages 1231114054
President Joe Biden.

  • Some Republican governors have decided Americans make too much from expanded unemployment benefits.
  • After a surprisingly dismal jobs report, they’re moving to end federal jobless aid early.
  • That also includes eliminating programs benefiting gig workers, freelancers, and the long-term unemployed.
  • See more stories on Insider’s business page.
Alabama

kay ivey
Gov. Kay Ivey.

Gov. Kay Ivey announced on Monday that the state was halting its participation in federal unemployment benefits starting June 19. 

Those include the Pandemic Unemployment Assistance Program for gig workers and Pandemic Emergency Unemployment Compensation for the long-term unemployed.

“We have announced the end date of our state of emergency, there are no industry shutdowns, and daycares are operating with no restrictions. Vaccinations are available for all adults. Alabama is giving the federal government our 30-day notice that it’s time to get back to work,” Ivey said in a press release.

Alabama is also resuming its work-search requirements for recipients, which had been paused throughout the pandemic.

The average weekly benefit in Alabama amounted to $283 in March. Its unemployment rate stands at 3.8%, higher than the 2.8% it had in February 2020.

Alabama is among the seven states that have not raised the hourly minimum wage for workers since the hike to $7.25 in 2009

Experts say other factors are keeping workers from jumping back into the labor force, such as a lack of childcare access and fear of COVID-19 infection.

Arizona

Doug Ducey Arizona governor
Gov. Doug Ducey.

Gov. Doug Ducey said the state will terminate all federal jobless benefit programs on July 10, per a news release from his office.

Arizona, however, is setting aside some federal funds to provide a one-time $2,000 bonus for people who return to work by Sept. 6. There are some strings attached.

People qualify for the measure if they are already receiving jobless aid — and they must earn less than $25 hourly at their next job. That amounts to a yearly salary of $52,000. Individuals must also work 10 weeks with a new employer to get the cash.

The state last recorded an unemployment rate of 6.7%, higher than the 4.9% it had immediately before the pandemic in February 2020.

Arizona’s average jobless payout is $238.

Arkansas

Asa Hutchinson
Gov. Asa Hutchinson.

Gov. Asa Hutchinson announced on May 7 that the state would no longer participate in federal unemployment after June 26. 

“The $300 federal supplement helped thousands of Arkansans make it through this tough time, so it served a good purpose. Now we need Arkansans back on the job so that we can get our economy back to full speed,” Hutchinson said in a press release, which cited South Carolina’s and Montana’s separate decisions to opt out of the federal assistance program.

Its unemployment rate is 4.4%, slightly higher than the 3.8% level of February 2020. The average weekly benefit in the state is $248.

In the fourth quarter of 2020, 74.7% of the UI Arkansas disbursed came from federal funds, according to a report from the left-leaning Economic Policy Institute. On January 1 of this year, Arkansas’s minimum wage increased to $11 — several dollars above the federal rate of $7.25.

Georgia

brian kemp
Gov. Brian Kemp.

Gov. Brian Kemp announced Thursday that the state will end its participation in federal unemployment benefit programs effective June 26.

“Even in the middle of a global pandemic, job growth and economic development in Georgia remained strong — including an unemployment rate below the national average,” Kemp said in a statement. “To build on our momentum, accelerate a full economic recovery, and get more Georgians back to work in good-paying jobs, our state will end its participation in the federal COVID-19 unemployment programs, effective June 26th.”

The Georgia unemployment rate was 4.5% in March 2021, 1% above the February 2020 rate of 3.5%. The state’s average weekly benefit is $278.95.

Idaho

Gov. Brad Little
Gov. Brad Little.

Gov. Brad Little said Idaho would no longer draw federal money to fund enhanced unemployment insurance, and the state will cancel its program on June 19.

It’s time to get back to work,” Little said in a Tuesday statement. “My decision is based on a fundamental conservative principle — we do not want people on unemployment. We want people working.”

The state was among those that recently reimposed a job-seeking requirement for people receiving jobless aid.

Idaho’s unemployment rate stands at 3.2%, a higher level compared to 2.6% in February 2020. The average weekly unemployment benefit in the state is $355, per the Labor Department.

Iowa

kim reynolds iowa
Gov. Kim Reynolds.

Gov. Kim Reynolds said the state would cancel federal jobless benefits on June 12.

“Federal pandemic-related unemployment benefit programs initially provided displaced Iowans with crucial assistance when the pandemic began,” Reynolds said in a statement. “But now that our businesses and schools have reopened, these payments are discouraging people from returning to work.”

The state’s unemployment rate stood at 3.7%, still slightly higher than the 2.9% it recorded in February 2020. Iowa’s average weekly jobless benefit is $430.

Mississippi

Mississippi Governor Tate Reeves
Gov. Tate Reeves.

Gov. Tate Reeves announced on Monday that he was pulling out the state from the federal pandemic-aid programs starting June 12.

“It has become clear to me that we cannot have a full economic recovery until we get the thousands of available jobs in our state filled,” Reeves wrote on Twitter.

The average weekly benefit in the state is $195, according to the Employment and Training Administration at the Department of Labor.

The state’s unemployment rate is 6.3%, a figure still elevated from its pre-pandemic rate of 5.8% in February 2020.

Mississippi is among the seven states that have not lifted hourly pay for workers since the last increase to the federal minimum wage to $7.25 an hour.

Missouri

missouri gov mike parson
Gov. Mike Parson.

Gov. Mike Parson announced on Tuesday that Missouri would be ending its participation in federal unemployment on June 12. 

“While these benefits provided supplementary financial assistance during the height of COVID-19, they were intended to be temporary, and their continuation has instead worsened the workforce issues we are facing,” Parson said in a statement. “It’s time that we end these programs that have ultimately incentivized people to stay out of the workforce.” 

The average weekly benefit in Missouri amounted to $258.57 in March. Its unemployment rate stood at 4.2% in March, a drop from 4.3% in February. That’s still 0.5% higher than the March 2020 unemployment rate.

Missouri raised its minimum wage to $10.30 on January 1, 2021.

Montana

greg gianforte
Gov. Greg Gianforte.

Gov. Greg Gianforte announced the state was ending federal benefits on June 27.

“Incentives matter, and the vast expansion of federal unemployment benefits is now doing more harm than good,” Gianforte said in a statement. “We need to incentivize Montanans to reenter the workforce.”

Taking its place will be a $1,200 return-to-work bonus, an amount equivalent to four weeks of receiving federal jobless aid. Workers will be eligible for the cash after a month on the job. The measure enjoys support among some congressional Republicans.

The average weekly benefit in the state is $468 without the federal supplement. The state’s unemployment rate has reached pre-pandemic levels, at 3.8% in April.

New Hampshire

chris sununu
Gov. Chris Sununu.

Gov. Chris Sununu said on Thursday that he was planning on ending the additional $300 weekly benefit before it’s due to expire, NECN reports. However, the date that benefits will be discontinued in the state remains unclear.

The state will also begin work search requirements for those on UI beginning May 23.

The New Hampshire unemployment rate was 3.0% in March 2021, above the February 2020 rate of 2.6%. The state’s average weekly benefit is $277.26.

North Dakota

doug burgum north dakota trans school sports bill
Gov. Doug Burgum.

Gov. Doug Burgum said the state would pull out of federal unemployment benefit programs on June 19.

“Safe, effective vaccines have been available to every adult in North Dakota for months now, and we have an abundance of job openings with employers who are eager to hire,” Burgum said in a news release, noting the state had its highest number of online job postings since July 2015.

The state’s unemployment rate is 4.4%, still almost double its level of 2.3% in February 2020. North Dakota’s average weekly unemployment payment is $480.

Ohio

Mike-DeWine-2019
Gov. Mike DeWine.

Gov. Mike Dewine said the state will scrap the federal unemployment benefit programs on June 26.

“This assistance was always intended to be temporary,” DeWine said in a statement.

The state’s unemployment rate stands at 4.7%, the same level it had in February 2020. The average weekly benefit in Ohio is $383.

South Carolina

henry mcmaster
Gov. Henry McMaster.

Even before the jobs report hit, Republican Gov. Henry McMaster said the state would stop its participation in federal unemployment effective June 30.

“This labor shortage is being created in large part by the supplemental unemployment payments that the federal government provides claimants on top of their state unemployment benefits,” McMaster wrote in a letter to the state’s Department of Employment and Workforce.

McMaster spoke with Fox News’ Tucker Carlson about the expanded unemployment program, saying he believed it’s a “counterproductive policy.”

The average weekly benefit in the state stands at $228. South Carolina’s unemployment rate is 5.1%, still nearly double its pre-pandemic rate of 2.8% in February 2020.

In the fourth quarter of 2020, 76.7% of the unemployment insurance that South Carolina disbursed came from federal funds, according to the report from the Economic Policy Institute. The minimum wage in South Carolina was last raised in 2009, when the federal minimum wage as a whole was increased to $7.25.

South Dakota

Kristi Noem
Gov. Kristi Noem.

Gov. Kristi Noem announced Wednesday that the state will end its participation in federal unemployment benefit programs effective the week of June 26. In a related statement, the state’s Labor and Regulation Secretary Marcia Hultman noted that “help wanted signs line our streets.”

“South Dakota is, and has been, ‘Open for Business.’ Ending these programs is a necessary step towards recovery, growth, and getting people back to work,” Hultman added.

The South Dakota unemployment rate was 2.9% in March 2021, unchanged from 2.9% in February 2020. The state’s average weekly benefit is $369.

Tennessee

Tennessee Governor Bill Lee.
Gov. Bill Lee.

Gov. Bill Lee announced Tuesday that federal unemployment benefits would end in the state effective July 3.

“We will no longer participate in federal pandemic unemployment programs because Tennesseans have access to more than 250,000 jobs in our state,” Lee said in a statement. “Families, businesses and our economy thrive when we focus on meaningful employment and move on from short-term, federal fixes.”

The state’s unemployment rate in March 2021 was 5%, a 0.1% increase from the month before and 1% higher than the March 2020 rate. Tennessee’s average weekly unemployment payment is $219.45. Tennessee is one of seven states where the minimum wage remains at the federal level of $7.25.

Utah

AP spencer cox
Gov. Spencer Cox.

Utah is withdrawing from federal unemployment aid programs effective June 26.

“This is the natural next step in getting the state and people’s lives back to normal,” Gov. Spencer Cox said in a statement. “The market should not be competing with the government for workers.”

The state has a 2.9% unemployment rate, slightly higher than the 2.5% pre-pandemic level in February 2020. The average weekly benefit in Utah is $428.

Wyoming

mark gordon
Gov. Mark Gordon.

Gov. Mark Gordon said the state was scrapping the federal unemployment benefit, along with programs aiding gig workers and those who exhausted traditional state payouts.

“Wyoming needs workers, our businesses are raring to go,” Gordon said in a statement. “People want to work, and work is available. Incentivizing people not to work is just plain un-American.”

The Wyoming unemployment rate is 5.3%, slightly higher than the 4.8% it once had in February 2020. The state’s average weekly benefit is $430.

Are you unemployed and have a story you want to share? Contact these reporters at jkaplan@insider.com and jzeballos@insider.com.

Read the original article on Business Insider

GOP-led states are cutting $300 weekly federal unemployment benefits. Here are the 16 states making the cut this summer.

GettyImages 1231114054
President Joe Biden.

  • Some Republican governors have decided Americans make too much from expanded unemployment benefits.
  • After a surprisingly dismal jobs report, they’re moving to end federal jobless aid early.
  • That also includes eliminating programs benefiting gig workers, freelancers, and the long-term unemployed.
  • See more stories on Insider’s business page.
Alabama

kay ivey
Gov. Kay Ivey.

Gov. Kay Ivey announced on Monday that the state was halting its participation in federal unemployment benefits starting June 19. 

Those include the Pandemic Unemployment Assistance Program for gig workers and Pandemic Emergency Unemployment Compensation for the long-term unemployed.

“We have announced the end date of our state of emergency, there are no industry shutdowns, and daycares are operating with no restrictions. Vaccinations are available for all adults. Alabama is giving the federal government our 30-day notice that it’s time to get back to work,” Ivey said in a press release.

Alabama is also resuming its work-search requirements for recipients, which had been paused throughout the pandemic.

The average weekly benefit in Alabama amounted to $283 in March. Its unemployment rate stands at 3.8%, higher than the 2.8% it had in February 2020.

Alabama is among the seven states that have not raised the hourly minimum wage for workers since the hike to $7.25 in 2009

Experts say other factors are keeping workers from jumping back into the labor force, such as a lack of childcare access and fear of COVID-19 infection.

Arizona

Doug Ducey Arizona governor
Gov. Doug Ducey.

Gov. Doug Ducey said the state will terminate all federal jobless benefit programs on July 10, per a news release from his office.

Arizona, however, is setting aside some federal funds to provide a one-time $2,000 bonus for people who return to work by Sept. 6. There are some strings attached.

People qualify for the measure if they are already receiving jobless aid — and they must earn less than $25 hourly at their next job. That amounts to a yearly salary of $52,000. Individuals must also work 10 weeks with a new employer to get the cash.

The state last recorded an unemployment rate of 6.7%, higher than the 4.9% it had immediately before the pandemic in February 2020.

Arizona’s average jobless payout is $238.

Arkansas

Asa Hutchinson
Gov. Asa Hutchinson.

Gov. Asa Hutchinson announced on May 7 that the state would no longer participate in federal unemployment after June 26. 

“The $300 federal supplement helped thousands of Arkansans make it through this tough time, so it served a good purpose. Now we need Arkansans back on the job so that we can get our economy back to full speed,” Hutchinson said in a press release, which cited South Carolina’s and Montana’s separate decisions to opt out of the federal assistance program.

Its unemployment rate is 4.4%, slightly higher than the 3.8% level of February 2020. The average weekly benefit in the state is $248.

In the fourth quarter of 2020, 74.7% of the UI Arkansas disbursed came from federal funds, according to a report from the left-leaning Economic Policy Institute. On January 1 of this year, Arkansas’s minimum wage increased to $11 — several dollars above the federal rate of $7.25.

Georgia

brian kemp
Gov. Brian Kemp.

Gov. Brian Kemp announced Thursday that the state will end its participation in federal unemployment benefit programs effective June 26.

“Even in the middle of a global pandemic, job growth and economic development in Georgia remained strong — including an unemployment rate below the national average,” Kemp said in a statement. “To build on our momentum, accelerate a full economic recovery, and get more Georgians back to work in good-paying jobs, our state will end its participation in the federal COVID-19 unemployment programs, effective June 26th.”

The Georgia unemployment rate was 4.5% in March 2021, 1% above the February 2020 rate of 3.5%. The state’s average weekly benefit is $278.95.

Idaho

Gov. Brad Little
Gov. Brad Little.

Gov. Brad Little said Idaho would no longer draw federal money to fund enhanced unemployment insurance, and the state will cancel its program on June 19.

It’s time to get back to work,” Little said in a Tuesday statement. “My decision is based on a fundamental conservative principle — we do not want people on unemployment. We want people working.”

The state was among those that recently reimposed a job-seeking requirement for people receiving jobless aid.

Idaho’s unemployment rate stands at 3.2%, a higher level compared to 2.6% in February 2020. The average weekly unemployment benefit in the state is $355, per the Labor Department.

Iowa

kim reynolds iowa
Gov. Kim Reynolds.

Gov. Kim Reynolds said the state would cancel federal jobless benefits on June 12.

“Federal pandemic-related unemployment benefit programs initially provided displaced Iowans with crucial assistance when the pandemic began,” Reynolds said in a statement. “But now that our businesses and schools have reopened, these payments are discouraging people from returning to work.”

The state’s unemployment rate stood at 3.7%, still slightly higher than the 2.9% it recorded in February 2020. Iowa’s average weekly jobless benefit is $430.

Mississippi

Mississippi Governor Tate Reeves
Gov. Tate Reeves.

Gov. Tate Reeves announced on Monday that he was pulling out the state from the federal pandemic-aid programs starting June 12.

“It has become clear to me that we cannot have a full economic recovery until we get the thousands of available jobs in our state filled,” Reeves wrote on Twitter.

The average weekly benefit in the state is $195, according to the Employment and Training Administration at the Department of Labor.

The state’s unemployment rate is 6.3%, a figure still elevated from its pre-pandemic rate of 5.8% in February 2020.

Mississippi is among the seven states that have not lifted hourly pay for workers since the last increase to the federal minimum wage to $7.25 an hour.

Missouri

missouri gov mike parson
Gov. Mike Parson.

Gov. Mike Parson announced on Tuesday that Missouri would be ending its participation in federal unemployment on June 12. 

“While these benefits provided supplementary financial assistance during the height of COVID-19, they were intended to be temporary, and their continuation has instead worsened the workforce issues we are facing,” Parson said in a statement. “It’s time that we end these programs that have ultimately incentivized people to stay out of the workforce.” 

The average weekly benefit in Missouri amounted to $258.57 in March. Its unemployment rate stood at 4.2% in March, a drop from 4.3% in February. That’s still 0.5% higher than the March 2020 unemployment rate.

Missouri raised its minimum wage to $10.30 on January 1, 2021.

Montana

greg gianforte
Gov. Greg Gianforte.

Gov. Greg Gianforte announced the state was ending federal benefits on June 27.

“Incentives matter, and the vast expansion of federal unemployment benefits is now doing more harm than good,” Gianforte said in a statement. “We need to incentivize Montanans to reenter the workforce.”

Taking its place will be a $1,200 return-to-work bonus, an amount equivalent to four weeks of receiving federal jobless aid. Workers will be eligible for the cash after a month on the job. The measure enjoys support among some congressional Republicans.

The average weekly benefit in the state is $468 without the federal supplement. The state’s unemployment rate has reached pre-pandemic levels, at 3.8% in April.

North Dakota

doug burgum north dakota trans school sports bill
Gov. Doug Burgum.

Gov. Doug Burgum said the state would pull out of federal unemployment benefit programs on June 19.

“Safe, effective vaccines have been available to every adult in North Dakota for months now, and we have an abundance of job openings with employers who are eager to hire,” Burgum said in a news release, noting the state had its highest number of online job postings since July 2015.

The state’s unemployment rate is 4.4%, still almost double its level of 2.3% in February 2020. North Dakota’s average weekly unemployment payment is $480.

Ohio

Mike-DeWine-2019
Gov. Mike DeWine.

Gov. Mike Dewine said the state will scrap the federal unemployment benefit programs on June 26.

“This assistance was always intended to be temporary,” DeWine said in a statement.

The state’s unemployment rate stands at 4.7%, the same level it had in February 2020. The average weekly benefit in Ohio is $383.

South Carolina

henry mcmaster
Gov. Henry McMaster.

Even before the jobs report hit, Republican Gov. Henry McMaster said the state would stop its participation in federal unemployment effective June 30.

“This labor shortage is being created in large part by the supplemental unemployment payments that the federal government provides claimants on top of their state unemployment benefits,” McMaster wrote in a letter to the state’s Department of Employment and Workforce.

McMaster spoke with Fox News’ Tucker Carlson about the expanded unemployment program, saying he believed it’s a “counterproductive policy.”

The average weekly benefit in the state stands at $228. South Carolina’s unemployment rate is 5.1%, still nearly double its pre-pandemic rate of 2.8% in February 2020.

In the fourth quarter of 2020, 76.7% of the unemployment insurance that South Carolina disbursed came from federal funds, according to the report from the Economic Policy Institute. The minimum wage in South Carolina was last raised in 2009, when the federal minimum wage as a whole was increased to $7.25.

South Dakota

Kristi Noem
Gov. Kristi Noem.

Gov. Kristi Noem announced Wednesday that the state will end its participation in federal unemployment benefit programs effective the week of June 26. In a related statement, the state’s Labor and Regulation Secretary Marcia Hultman noted that “help wanted signs line our streets.”

“South Dakota is, and has been, ‘Open for Business.’ Ending these programs is a necessary step towards recovery, growth, and getting people back to work,” Hultman added.

The South Dakota unemployment rate was 2.9% in March 2021, unchanged from 2.9% in February 2020. The state’s average weekly benefit is $369.

Tennessee

Tennessee Governor Bill Lee.
Gov. Bill Lee.

Gov. Bill Lee announced Tuesday that federal unemployment benefits would end in the state effective July 3.

“We will no longer participate in federal pandemic unemployment programs because Tennesseans have access to more than 250,000 jobs in our state,” Lee said in a statement. “Families, businesses and our economy thrive when we focus on meaningful employment and move on from short-term, federal fixes.”

The state’s unemployment rate in March 2021 was 5%, a 0.1% increase from the month before and 1% higher than the March 2020 rate. Tennessee’s average weekly unemployment payment is $219.45. Tennessee is one of seven states where the minimum wage remains at the federal level of $7.25.

Utah

AP spencer cox
Gov. Spencer Cox.

Utah is withdrawing from federal unemployment aid programs effective June 26.

“This is the natural next step in getting the state and people’s lives back to normal,” Gov. Spencer Cox said in a statement. “The market should not be competing with the government for workers.”

The state has a 2.9% unemployment rate, slightly higher than the 2.5% pre-pandemic level in February 2020. The average weekly benefit in Utah is $428.

Wyoming

mark gordon
Gov. Mark Gordon.

Gov. Mark Gordon said the state was scrapping the federal unemployment benefit, along with programs aiding gig workers and those who exhausted traditional state payouts.

“Wyoming needs workers, our businesses are raring to go,” Gordon said in a statement. “People want to work, and work is available. Incentivizing people not to work is just plain un-American.”

The Wyoming unemployment rate is 5.3%, slightly higher than the 4.8% it once had in February 2020. The state’s average weekly benefit is $430.

Are you unemployed and have a story you want to share? Contact these reporters at jkaplan@insider.com and jzeballos@insider.com.

Read the original article on Business Insider

GOP-led states are cutting $300 weekly federal unemployment benefits. Here are the 13 states making the cut this summer.

GettyImages 1231114054
President Joe Biden.

  • Some Republican governors have decided Americans make too much from expanded unemployment benefits.
  • After a surprisingly dismal jobs report, they’re moving to end federal jobless aid early.
  • That also includes eliminating programs benefiting gig workers, freelancers, and the long-term unemployed.
  • See more stories on Insider’s business page.
Alabama

kay ivey
Gov. Kay Ivey.

Gov. Kay Ivey announced on Monday that the state was halting its participation in federal unemployment benefits starting June 19. 

Those include the Pandemic Unemployment Assistance Program for gig workers and Pandemic Emergency Unemployment Compensation for the long-term unemployed.

“We have announced the end date of our state of emergency, there are no industry shutdowns, and daycares are operating with no restrictions. Vaccinations are available for all adults. Alabama is giving the federal government our 30-day notice that it’s time to get back to work,” Ivey said in a press release.

Alabama is also resuming its work-search requirements for recipients, which had been paused throughout the pandemic.

The average weekly benefit in Alabama amounted to $283 in March. Its unemployment rate stands at 3.8%, higher than the 2.8% it had in February 2020.

Alabama is among the seven states that have not raised the hourly minimum wage for workers since the hike to $7.25 in 2009

Experts say other factors are keeping workers from jumping back into the labor force, such as a lack of childcare access and fear of COVID-19 infection.

Arkansas

Asa Hutchinson
Gov. Asa Hutchinson.

Gov. Asa Hutchinson announced on May 7 that the state would no longer participate in federal unemployment after June 26. 

“The $300 federal supplement helped thousands of Arkansans make it through this tough time, so it served a good purpose. Now we need Arkansans back on the job so that we can get our economy back to full speed,” Hutchinson said in a press release, which cited South Carolina’s and Montana’s separate decisions to opt out of the federal assistance program.

Its unemployment rate is 4.4%, slightly higher than the 3.8% level of February 2020. The average weekly benefit in the state is $248.

In the fourth quarter of 2020, 74.7% of the UI Arkansas disbursed came from federal funds, according to a report from the left-leaning Economic Policy Institute. On January 1 of this year, Arkansas’s minimum wage increased to $11 — several dollars above the federal rate of $7.25.

Idaho

Gov. Brad Little
Gov. Brad Little.

Gov. Brad Little said Idaho would no longer draw federal money to fund enhanced unemployment insurance, and the state will cancel its program on June 19.

It’s time to get back to work,” Little said in a Tuesday statement. “My decision is based on a fundamental conservative principle — we do not want people on unemployment. We want people working.”

The state was among those that recently reimposed a job-seeking requirement for people receiving jobless aid.

Idaho’s unemployment rate stands at 3.2%, a higher level compared to 2.6% in February 2020. The average weekly unemployment benefit in the state is $355, per the Labor Department.

Iowa

kim reynolds iowa
Gov. Kim Reynolds.

Gov. Kim Reynolds said the state would cancel federal jobless benefits on June 12.

“Federal pandemic-related unemployment benefit programs initially provided displaced Iowans with crucial assistance when the pandemic began,” Reynolds said in a statement. “But now that our businesses and schools have reopened, these payments are discouraging people from returning to work.”

The state’s unemployment rate stood at 3.7%, still slightly higher than the 2.9% it recorded in February 2020. Iowa’s average weekly jobless benefit is $430.

Mississippi

Mississippi Governor Tate Reeves
Gov. Tate Reeves.

Gov. Tate Reeves announced on Monday that he was pulling out the state from the federal pandemic-aid programs starting June 12.

“It has become clear to me that we cannot have a full economic recovery until we get the thousands of available jobs in our state filled,” Reeves wrote on Twitter.

The average weekly benefit in the state is $195, according to the Employment and Training Administration at the Department of Labor.

The state’s unemployment rate is 6.3%, a figure still elevated from its pre-pandemic rate of 5.8% in February 2020.

Mississippi is among the seven states that have not lifted hourly pay for workers since the last increase to the federal minimum wage to $7.25 an hour.

Missouri

missouri gov mike parson
Gov. Mike Parson.

Gov. Mike Parson announced on Tuesday that Missouri would be ending its participation in federal unemployment on June 12. 

“While these benefits provided supplementary financial assistance during the height of COVID-19, they were intended to be temporary, and their continuation has instead worsened the workforce issues we are facing,” Parson said in a statement. “It’s time that we end these programs that have ultimately incentivized people to stay out of the workforce.” 

The average weekly benefit in Missouri amounted to $258.57 in March. Its unemployment rate stood at 4.2% in March, a drop from 4.3% in February. That’s still 0.5% higher than the March 2020 unemployment rate.

Missouri raised its minimum wage to $10.30 on January 1, 2021.

Montana

greg gianforte
Gov. Greg Gianforte.

Gov. Greg Gianforte announced the state was ending federal benefits on June 27.

“Incentives matter, and the vast expansion of federal unemployment benefits is now doing more harm than good,” Gianforte said in a statement. “We need to incentivize Montanans to reenter the workforce.”

Taking its place will be a $1,200 return-to-work bonus, an amount equivalent to four weeks of receiving federal jobless aid. Workers will be eligible for the cash after a month on the job. The measure enjoys support among some congressional Republicans.

The average weekly benefit in the state is $468 without the federal supplement. The state’s unemployment rate has reached pre-pandemic levels, at 3.8% in April.

North Dakota

doug burgum north dakota trans school sports bill
Gov. Doug Burgum.

Gov. Doug Burgum said the state would pull out of federal unemployment benefit programs on June 19.

“Safe, effective vaccines have been available to every adult in North Dakota for months now, and we have an abundance of job openings with employers who are eager to hire,” Burgum said in a news release, noting the state had its highest number of online job postings since July 2015.

The state’s unemployment rate is 4.4%, still almost double its level of 2.3% in February 2020. North Dakota’s average weekly unemployment payment is $480.

South Carolina

henry mcmaster
Gov. Henry McMaster.

Even before the jobs report hit, Republican Gov. Henry McMaster said the state would stop its participation in federal unemployment effective June 30.

“This labor shortage is being created in large part by the supplemental unemployment payments that the federal government provides claimants on top of their state unemployment benefits,” McMaster wrote in a letter to the state’s Department of Employment and Workforce.

McMaster spoke with Fox News’ Tucker Carlson about the expanded unemployment program, saying he believed it’s a “counterproductive policy.”

The average weekly benefit in the state stands at $228. South Carolina’s unemployment rate is 5.1%, still nearly double its pre-pandemic rate of 2.8% in February 2020.

In the fourth quarter of 2020, 76.7% of the unemployment insurance that South Carolina disbursed came from federal funds, according to the report from the Economic Policy Institute. The minimum wage in South Carolina was last raised in 2009, when the federal minimum wage as a whole was increased to $7.25.

South Dakota

Kristi Noem
Gov. Kristi Noem.

Gov. Kristi Noem announced Wednesday that the state will end its participation in federal unemployment benefit programs effective the week of June 26. In a related statement, the state’s Labor and Regulation Secretary Marcia Hultman noted that “help wanted signs line our streets.”

“South Dakota is, and has been, ‘Open for Business.’ Ending these programs is a necessary step towards recovery, growth, and getting people back to work,” Hultman added.

The South Dakota unemployment rate was 2.9% in March 2021, unchanged from 2.9% in February 2020. The state’s average weekly benefit is $369.

Tennessee

Tennessee Governor Bill Lee.
Gov. Bill Lee.

Gov. Bill Lee announced Tuesday that federal unemployment benefits would end in the state effective July 3.

“We will no longer participate in federal pandemic unemployment programs because Tennesseans have access to more than 250,000 jobs in our state,” Lee said in a statement. “Families, businesses and our economy thrive when we focus on meaningful employment and move on from short-term, federal fixes.”

The state’s unemployment rate in March 2021 was 5%, a 0.1% increase from the month before and 1% higher than the March 2020 rate. Tennessee’s average weekly unemployment payment is $219.45. Tennessee is one of seven states where the minimum wage remains at the federal level of $7.25.

Utah

AP spencer cox
Gov. Spencer Cox.

Utah is withdrawing from federal unemployment aid programs effective June 26.

“This is the natural next step in getting the state and people’s lives back to normal,” Gov. Spencer Cox said in a statement. “The market should not be competing with the government for workers.”

The state has a 2.9% unemployment rate, slightly higher than the 2.5% pre-pandemic level in February 2020. The average weekly benefit in Utah is $428.

Wyoming

mark gordon
Gov. Mark Gordon.

Gov. Mark Gordon said the state was scrapping the federal unemployment benefit, along with programs aiding gig workers and those who exhausted traditional state payouts.

“Wyoming needs workers, our businesses are raring to go,” Gordon said in a statement. “People want to work, and work is available. Incentivizing people not to work is just plain un-American.”

The Wyoming unemployment rate is 5.3%, slightly higher than the 4.8% it once had in February 2020. The state’s average weekly benefit is $430.

Are you unemployed and have a story you want to share? Contact these reporters at jkaplan@insider.com and jzeballos@insider.com.

Read the original article on Business Insider

Joe Manchin says he won’t support extending the $300 federal weekly unemployment benefit from Biden’s stimulus

Joe Manchin
Sen. Joe Manchin (D-WV).

  • Manchin says he won’t vote to extend the $300 federal jobless benefit when it expires in September.
  • “We need people back to work,” West Virginia’s Democrat senator told Politico.
  • There’s some division among Democrats on whether the Biden stimulus measure should be renewed.
  • See more stories on Insider’s business page.

Sen. Joe Manchin said he won’t back extending the $300 federal unemployment benefit from President Joe Biden’s stimulus, which could possibly torpedo the jobless measure once it expires on Sept. 6.

“I’ll never vote for another extension as long as I know that with the vaccines, there’s not an excuse for no one to be vaccinated,” the West Virginia Democrat told Politico. “I understand there’s millions of jobs in America that we can’t fill right now. So we need people back to work. There’s more and more people understanding they’re in trouble.”

Manchin’s opposition highlights a rift among the Democrats over the extension of federal unemployment benefits later this summer. But some centrist Democrats are waiting to see how the economic recovery plays out before deciding on the issue.

Sen. Jeanne Shaheen of New Hampshire cited the low unemployment rate in her state, and told Politico “if that continues it probably should not be extended.”

During Senate debate to approve Biden’s $1.8 trillion stimulus law, Manchin withheld his support from a provision to put in place a $400 weekly federal jobless benefit that would expire at the end of September. After a spate of last-minute negotiations, he pushed to cut it to $300 per week with an early September expiration date.

Manchin’s office did not immediately respond to a request for comment asking whether he supported terminating programs providing jobless benefits to gig workers, freelancers, and the long-term unemployed in September.

The recent April jobs report showed employers adding 266,000 jobs, a lackluster amount that prompted Republicans and business groups to increasingly argue the jobless aid is luring people away from the workforce.

The Chamber of Commerce has called for an immediate end to the stimulus measure, and at least 10 GOP-led states are ending their participation in the federal program in June. Still, many experts say the federal unemployment benefit did not dissuade people from seeking jobs last year, and other factors like school closures, fear of the virus, and lack of access to childcare are playing larger roles keeping workers on the sidelines.

Senate Majority Leader Chuck Schumer said at a press conference on Tuesday there was “overwhelming support” among Democrats to renew it. “Many more people are helped by this $300 extra,” he said.

Other Democrats are warning about the end of enhanced unemployment insurance in many states. Sen. Ron Wyden of Oregon, chair of the Senate Finance Committee, called for the Biden administration to step in and prevent workers from losing jobless aid in GOP-led states.

“Mothers without childcare are not going to be back on the job in just a few weeks’ time, and they shouldn’t face financial ruin for living in states run by Republicans,” Wyden said in a Tuesday statement.

Read the original article on Business Insider

GOP-led states are cutting $300 weekly federal unemployment benefits. Here’s the 9 states doing so this summer.

GettyImages 1231114054
President Joe Biden.

  • Some Republican governors have decided Americans make too much from expanded unemployment benefits.
  • After April’s surprisingly dismal jobs report, they’re moving to end expanded unemployment benefits early.
  • All told, at least 276,000 workers will be impacted by the move to pare back federal benefits.
  • See more stories on Insider’s business page.
Alabama

kay ivey
Gov. Kay Ivey.

Gov. Kay Ivey announced on Monday that the state was halting its participation in federal unemployment benefits starting June 19.

“We have announced the end date of our state of emergency, there are no industry shutdowns, and daycares are operating with no restrictions. Vaccinations are available for all adults. Alabama is giving the federal government our 30-day notice that it’s time to get back to work,” Ivey said in a press release. 

Alabama is also resuming its work-search requirements for recipients, which had previously been paused throughout the pandemic.

The average weekly benefit in Alabama amounted to $283 in March. Its unemployment rate stands at 3.8%, higher than the 2.8% it had in February 2020.

Alabama is among the seven states that have not raised the hourly minimum wage for workers since the hike to $7.25 in 2009

Arkansas

Asa Hutchinson
Gov. Asa Hutchinson.

Gov. Asa Hutchinson announced on May 7 that the state would no longer participate in federal unemployment after June 26. 

“The $300 federal supplement helped thousands of Arkansans make it through this tough time, so it served a good purpose. Now we need Arkansans back on the job so that we can get our economy back to full speed,” Hutchinson said in a press release, which cited South Carolina and Montana’s separate decisions to opt out of the federal assistance program.

Its unemployment rate is 4.4%, slightly higher than the 3.8% level of February 2020. The average weekly benefit in the state is $248.

In the fourth quarter of 2020, 74.7% of the UI Arkansas disbursed came from federal funds, according to a report from the left-leaning Economic Policy Institute (EPI). On January 1, 2021, Arkansas’s minimum wage increased to $11 — several dollars above the federal rate of $7.25.

Iowa

kim reynolds iowa
Iowa Gov. Kim Reynolds.

Gov. Kim Reynolds said the state would cancel federal jobless benefits on June 12.

“Federal pandemic-related unemployment benefit programs initially provided displaced Iowans with crucial assistance when the pandemic began,” Reynolds said in a statement. “But now that our businesses and schools have reopened, these payments are discouraging people from returning to work.”

The state’s unemployment rate stood at 3.7%, still a tick higher than the 2.9% it recorded in February 2020. Iowa’s average weekly jobless benefit is $430.

Mississippi

Mississippi Governor Tate Reeves
Gov. Tate Reeves.

Gov. Tate Reeves announced on Monday that he was pulling out the state from the federal pandemic aid programs starting on June 12.

Those include the Pandemic Unemployment Assistance Program for gig workers, and Pandemic Emergency Unemployment Compensation for the long-term unemployed.

“It has become clear to me that we cannot have a full economic recovery until we get the thousands of available jobs in our state filled,” Reeves wrote on Twitter.

The average weekly benefit in the state is $195, according to the Employment and Training Administration at the Department of Labor.

The state’s unemployment rate is 6.3%, a figure still elevated from its pre-pandemic rate of 5.8% in February 2020.

Mississippi is among the seven states that have not lifted hourly pay for workers since the last increase to the federal minimum wage to $7.25 an hour.

Missouri

missouri gov mike parson
Gov. Mike Parson.

Gov. Mike Parson announced on Tuesday that Missouri would be ending its participation in federal unemployment on June 12. 

“While these benefits provided supplementary financial assistance during the height of COVID-19, they were intended to be temporary, and their continuation has instead worsened the workforce issues we are facing,” Parson said in a statement. “It’s time that we end these programs that have ultimately incentivized people to stay out of the workforce.” 

The average weekly benefit in Missouri amounted to $258.57 in March. Its unemployment rate stood at 4.2% in March, a drop from 4.3% in February. That’s still 0.5% higher than the March 2020 unemployment rate.

Missouri raised its minimum wage to $10.30 on January 1, 2021.

 

Montana

greg gianforte
Gov. Greg Gianforte.

Gov. Greg Gianforte announced the state was ending federal benefits on June 27.

“Incentives matter, and the vast expansion of federal unemployment benefits is now doing more harm than good,” Gianforte said in a statement. “We need to incentivize Montanans to reenter the workforce.”

Taking its place will be a $1,200 return-to-work bonus, an amount equivalent to four weeks of receiving federal jobless aid. Workers will be eligible for the cash after a month on the job. The measure enjoys support among some Congressional Republicans.

The average weekly benefit in the state is $468 without the federal supplement. The state’s unemployment rate has reached pre-pandemic levels, at 3.8% in April.

North Dakota

doug burgum north dakota trans school sports bill
Gov. Doug Burgum.

Gov. Doug Burgum said the state would pull out of federal unemployment benefit programs on June 19.

“Safe, effective vaccines have been available to every adult in North Dakota for months now, and we have an abundance of job openings with employers who are eager to hire,” Burgum said in a news release, noting the state had its highest number of online job postings since July 2015.

The state’s unemployment rate is 4.4%, still almost double its level of 2.3% in February 2020. North Dakota’s average weekly unemployment payment is $480.

South Carolina

henry mcmaster
Gov. Henry McMaster.

Even before the jobs report hit, South Carolina’s Republican Gov. Henry McMaster said the state will stop its participation in federal unemployment effective June 30.

“This labor shortage is being created in large part by the supplemental unemployment payments that the federal government provides claimants on top of their state unemployment benefits,” McMaster wrote in a letter to the state’s Department of Employment and Workforce (DEW).

McMaster spoke with Fox News’ Tucker Carlson about the expanded unemployment program, saying that he believes it’s a “counterproductive policy.”

The average weekly benefit in the state stands at $228. South Carolina’s unemployment rate is 5.1%, still nearly double its pre-pandemic rate of 2.8% in February 2020.

In the fourth quarter of 2020, 76.7% of the unemployment insurance that South Carolina disbursed came from federal funds, according to the report from the Economic Policy Institute. The minimum wage in South Carolina was last raised in 2009, when the federal minimum wage as a whole was increased to $7.25.

Tennessee

Tennessee Governor Bill Lee.
Gov. Bill Lee.

Gov. Bill Lee announced Tuesday that federal unemployment benefits will end in the state effective July 3.

“We will no longer participate in federal pandemic unemployment programs because Tennesseans have access to more than 250,000 jobs in our state,” Lee said in a statement. “Families, businesses and our economy thrive when we focus on meaningful employment and move on from short-term, federal fixes.”

The state’s unemployment rate in March 2021 was 5%, a 0.1% increase from the month before and 1% higher than the March 2020 rate. Tennessee’s average weekly unemployment payment is $219.45. Tennessee is one of seven states where the minimum wage remains at the federal level of $7.25.

Read the original article on Business Insider

Sen. Josh Hawley wants to send $1,000 monthly checks to families with kids under 13, but provide less to single parents

Josh Hawley
Sen. Josh Hawley (R-MO).

  • Hawley rolled out a plan for a new “Parent Tax Credit” on Monday.
  • It would distribute $1,000 cash payments to married couples, and slash that in half for singles.
  • Experts said the plan contained design flaws that could hurt low-income workers during recessions.
  • See more stories on Insider’s business page.

Sen. Josh Hawley introduced a plan for a “Parent Tax Credit” on Monday aimed at offsetting the high cost of raising a child. It reflects a push among some conservatives to increase federal spending on families.

The proposal would establish a new, fully refundable tax credit of $6,000 for singles and $12,000 for couples, meaning families with minuscule or no tax obligations would qualify for a payment.

“Millions of working people want to start a family and would like to care for their children at home, but current policies do not respect these preferences,” Hawley said in a press release. “American families should be supported, no matter how they choose to care for their kids.”

To get the money, households must report earnings of $7,540 for the prior year, an amount equal to 20 hours of work each week at the $7.25 federal minimum wage. The earnings floor is the same regardless of whether a person is married or not, and families do not receive more cash if they have more than one child. Families would sign up for the plan through the IRS.

A spokesperson for Sen. Hawley told Insider the program would be in addition to the existing child tax credit. The proposal did not include a cost estimate.

The current CTC provides up to $2,000 per child, though it leaves out families with small tax bills. Democrats beefed it up for a year in President Joe Biden’s stimulus law to $3,600 per child aged 5 and under, and $3,000 for each kid between 6 and 17. Democrats want keep it permanently.

Other Republicans have put forward child allowance measures as well. Sen. Mitt Romney of Utah introduced a plan in February to distribute even larger cash payments to parents, paid for with the elimination of some safety net programs.

Patrick Brown, a policy fellow at the conservative-leaning Institute of Family Studies, told Insider that Hawley’s plan appeared to be an attempt at a middle ground between competing GOP childcare plans.

“They’re trying to find a way to say, ‘We want to require work but not screw too many low-income single parents, ” Brown said, though adding “the structure of the CTC still makes more sense to me.”

Seth Hanlon, a tax expert at the liberal-tilting Center for American Progress, told Insider he believed the plan had major design flaws, starting with its earnings threshold.

“That would seem strange if you get nothing if you’re $1 short of that,” Hanlon said. If the Hawley plan was in effect during the pandemic, he said, millions of parents who lost jobs and thus saw their annual incomes fall below $7,540 would have gotten their government aid yanked.

“The number of families benefitting in 2020/2021 would be much lower than other years, which highlights the backwardness,” Hanlon said. He also pointed out parents under the plan need Social Security numbers to qualify, a move that would exclude undocumented families from receiving aid.

Other Republicans, including Sens. Marco Rubio of Florida and Mike Lee of Utah, slammed the Romney plan as “welfare” after it was unveiled, torching its universal assistance to families as a step that discouraged work.

Brown said he thought the Hawley plan wouldn’t go far among Republicans. “But it does indicate there’s openness to actually not just talking the talk about being a pro-worker party, but actually being willing to invest in that,” he said.

Biden is set to introduce the second part of his infrastructure plan this week with an extension of the monthly child tax credit payments to 2025, The Washington Post reported. The IRS recently said it was on course to start monthly payments of the child tax credit in July.

Read the original article on Business Insider