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

Democrats are giving average Americans a load of cash, setting up a clash with Republicans over the social safety net

Biden Schumer Pelosi Harris Democrats
Vice President Kamala Harris, President Joe Biden, Senate Majority Leader Sen. Chuck Schumer (D-NY) and Speaker of the House Rep. Nancy Pelosi (D-CA) host a press conference on the stimulus law at the White House.

  • Democrats are pouring stimulus cash onto Americans, selling it as part of an anti-poverty crusade.
  • But those provisions will expire later this year if Congress takes no further action.
  • Experts say the child poverty rate could double next year.
  • See more stories on Insider’s business page.

President Joe Biden secured his first major legislative victory on the 51st day of his new administration. He signed a $1.9 trillion economic aid bill into law Thursday, paving the way for a large infusion of federal cash onto middle-class and lower-income Americans.

The package includes various measures to help struggling households a year into the pandemic: A wave of $1,400 stimulus payments, beefed-up tax credits for children and adults, larger food-stamp assistance, and enhanced unemployment insurance. Democrats cast it as among the most historic pieces of legislation that Congress has taken up in many years.

Speaker Nancy Pelosi compared the relief bill to the Affordable Care Act (ACA) passed a decade ago under President Barack Obama, which provided health coverage to millions of Americans. “I think I can safely say, and I’ve said this to my colleagues in the House on the Democratic side, this is the most consequential legislation that many of us will ever be a party to,” Pelosi said on Thursday.

Unlike the ACA, though, the stimulus package does not permanently strengthen America’s social safety net. Passed via reconciliation on a party-line vote to bypass a Republican filibuster, all the government aid expires in 2021. It’s one reason Wall Street analysts are projecting a strong economic recovery in 2021 – but it may prompt clashes on Capitol Hill.

The law’s provisions are designed to provide a temporary boost now or expire later this year. The stimulus checks are one-time payments; $300 federal unemployment benefits are set to lapse on Labor Day; advance child tax credit payments for parents will last only a year.

“I think the fundamental choice policymakers will face then is whether or not they want to swing from maybe the largest one-year child poverty reduction in US history to the largest one-year increase in child poverty,” Indivar Dutta-Gupta, co-executive director of the Georgetown Center on Poverty and Inequality, told Insider.

Numerous studies indicate the legislation will make a major dent in the nation’s poverty rate, cutting the overall level by one-third and slashing it by half for children. Experts also project millions of Black and Latino kids will be lifted out of poverty due to the child tax credit expansion. The bottom 20% of Americans are estimated to receive a 20% boost in their incomes, per a Tax Policy Center analysis.

Republicans have uniformly opposed this bill as too large and stuffed with progressive priorities. No Republican lawmaker in either chamber of Congress voted for it, viewing it as a slippery slope towards bigger government.

In control of Congress and the White House for the first time since Obama took office, Democrats consider the moment as an opportunity to wage a fresh assault on poverty and leave their mark while in power. Without further action in Congress, child poverty will double next year.

“This package sets a new and powerful precedent, especially for helping children and their families when they have limited or no income,” Dutta-Gupta said, adding it was an “earnest attack” on the racial inequalities that the pandemic worsened.

FILE PHOTO: U.S. Sen. Marco Rubio (R-FL) speaks during a Senate Intelligence Committee nomination hearing for Rep. John Ratcliffe (R-TX), on Capitol Hill in Washington, U.S., May 5, 2020. Andrew Harnik/Pool via REUTERS
Sen. Marco Rubio (R-FL).

The Democratic push to make permanent changes

Democrats are starting to become vocal about pressing to make at least some of the provisional parts of the law enduring – the child tax credit in particular. It would annually provide up to $3,600 per child age 5 and under, and $3,000 for each kid between ages 6 and 17. It also expands it to millions of families who previously did not qualify because of low or zero tax obligations.

Many Republicans oppose it. “If pulling families out of poverty were as simple as handing moms and dads a check, we would have solved poverty a long time ago,” Sen. Marco Rubio of Florida wrote in a National Review op-ed. However, they may begrudingly support the measure given its wide scope once it’s up and running.

“Republicans will probably end up voting to extend the child credit because they understand it would be political suicide not to,” Brian Riedl, an economist at the right-leaning Manhattan Institute, said in an interview. “Once a middle-class benefit is created, it is nearly impossible to let expire. This is so broad, and it is going to be received by so many families.”

Democrats appear to be betting enough Republicans will come onboard with an expansion. It may be a risky one given GOP opposition to green-light more government spending after Congress approved $5 trillion in emergency aid over the last year. Sen. Mitt Romney of Utah rolled out a child benefit plan, one paid for by cutting some social programs.

Rep. Richard Neal, chair of the House Ways and Means Committee and an architect of the measure, told Insider this week that he believed the child benefit expansion would establish a pillar of support. “Once it becomes policy, I think there’s an acceptance level for it,” Neal said.

The shift in Democratic messaging, however, appears to lend credence to GOP arguments that the stimulus law veered from providing immediate pandemic relief to enacting lasting safety net changes.

“Republicans feel vindicated in their opposition,” Riedl said. “The ones I’ve talked to – they’ve been saying all along that this bill was never about the pandemic or stimulus, this was about permanently expanding the federal government.”

Some, like House Minority Leader Kevin McCarthy, are wagering voters will grow disillusioned once they learn more about the law’s sweeping reach. He labeled it “a payoff for Pelosi’s political allies,” though the GOP has struggled to arrange a consistent response.

In 2009, Congressional Republicans’ attempts to paint Obama’s $800 billion stimulus law as a huge waste contributed to Democrats losing the House in the midterms the following year. That dealt a crippling blow to Obama’s ability to push his legislative agenda in a divided Congress.

“I’m a lot less worried about the negative response as people learn what’s in the package,” Dutta Gupta said. “The depths of the crisis is far worse, the popularity of the bill going through is far greater. I think the benefits seem more salient this time around.”

So far, the Biden stimulus law has drawn broad support in multiple polls and surveys. It remains to be seen if other provisions, such as stronger unemployment benefits, could form part of a follow-up economic recovery package.

Read the original article on Business Insider