End unemployment benefits for millions starting on Labor Day


  • Millions of workers could stop receiving the weekly $ 300 check starting on Labor Day if Congress doesn’t act to extend them
  • Unemployment benefits at the federal level will expire on September 6 for around 7.5 million people
  • However, Biden Administration officials say $ 350 billion from the American Rescue Plan could allow aid to be extended.

Millions of workers in the United States will stop receiving the weekly check for $ 300 for additional unemployment benefits beginning on Labor Day if the federal government does not intervene to extend the assistance.

About 7.5 million unemployed people in the US who lost their jobs as a result of the COVID-19 pandemic will no longer receive the additional unemployment benefit check as of September 6, The Sun reported.

End of unemployment benefits for Labor Day

end unemployment benefits
Photo: Getty

The government of President Joe Biden does not seem to seek to extend the reinforcement of $ 300 a week in unemployment support that expires soon, given the improvement in the economic recovery after the crisis caused by the COVID-19 pandemic, Efe points out.

“As President Biden has stated,” they added, “the boost was always planned as temporary and it is appropriate that that benefit ends,” Treasury Secretary Janet Yellen and Labor Secretary Marty Walsh said in a letter sent to the Senate.

Unemployment benefits could be extended

end unemployment benefits
Photo: Twitter

In a letter sent Aug. 19 by Janet Yellen and Martin Walsh to the chairman of the Senate Finance Committee and the House Ways and Means Committee, the Administration of President Joe Biden hinted that it may not be the end of benefits for unemployment, Newsweek reported.

In the letter, officials say that $ 350 billion from the American Rescue Plan could allow unemployment assistance to be extended. “The Department of the Treasury reaffirms that states can use their appropriations of the plan’s $ 350 billion in State and Local Tax Relief Funds to provide assistance to unemployed workers, including by continuing to provide additional weeks of income support for employees. workers whose benefits expire on September 6 and workers outside the regular state unemployment insurance programs.

Biden does not rule out extension of benefits

end unemployment benefits
Photo: Twitter

Earlier this month, Jen Psaki, the White House press secretary, said “no decision has yet been made” on whether the fringe benefits will expire on Labor Day as scheduled or whether they will be extended.

Up to 5.4% in July under the figure, after it soared above 10% in 2020 with the arrival of the pandemic and the mobility restrictions imposed to contain its expansion, points out Efe. Yellen and Walsh pointed out that “some states” could give good news about unemployment assistance.

Announce that at the moment Biden will not extend unemployment assistance

Announce that Biden will not extend unemployment assistance and indicate when it will end
PHOTO MH File

“The support of $ 300 will expire on September 6, as scheduled,” they noted in the aforementioned joint letter, sent to the Senate finance committee. The unemployment rate has gradually decreased in recent months in the US.

The labor secretary said that some states could use part of the federal funds approved during the last rescue package for state and local entities worth 350,000 million dollars to maintain this unemployment assistance.

Won’t Biden Expand Federal Aid?

They confirm that Biden will not extend unemployment assistance
PHOTO Shutterstock

In addition, they stressed, giving residents of those states “a little more time to find a job in areas where unemployment is still high.” Several states, the majority governed by Republicans, decided to cut this aid.

The above, at the beginning of summer, given the difficulties of some businesses to find employees, something for which they blamed this support for discouraging the search for employment. The Federal Reserve (Fed) expects the US economy to grow this year at a rate of about 7%.

They report what happens with the unemployment figures

They report what happens to the unemployment figures now that Biden announced that he will not extend unemployment assistance
President Joe Biden speaks about Afghanistan from the East Room of the White House, Monday, Aug. 16, 2021, in Washington. (AP Photo / Evan Vucci)

The expected growth means the highest rate since the 1980s, and unemployment is expected to close the year at 4.5%, according to the data obtained by Efe. The number of people applying for government assistance in the United States for unemployment fell last week.

This represented the drop to its lowest level during the pandemic, The Associated Press notes in the latest sign that the job market is recovering from the recession and that employers are hiring workers amid rising demand.

Downward applications; For vaccinations?

Downward applications;  For vaccinations?
Photo: Shutterstock

The Labor Department reported Thursday that orders fell by 29,000 to 348,000. The four-week average, less volatile than the weekly figure, fell by 19,000 to just under 378,000, also the lowest level of the pandemic.

The weekly rate of jobless claims is steadily falling from the peak of 900,000, recorded in early January. The number of initial applications coincides with the widespread application of vaccines, according to Efe. Filed Under: End of Unemployment Benefits.

Figures remain historic and new threat worries thousands

Figures remain historic and new threat worries thousands
PHOTO Shutterstock

The vaccination has allowed the reopening of businesses or the extension of their opening hours, as well as the return of consumers to stores, restaurants, airports and theaters, according to The Associated Press.

Still, the level of claims for benefits remains historically high. Before the pandemic devastated the economy in March 2020, the weekly figure reached 220,000. Additionally, there are now fears that the highly contagious delta variant will affect the recovery of the economy from last year’s brief but intense recession. Filed Under: End of Unemployment Benefits.

Biden launches threat against those who do not want to be vaccinated

Biden launches a threat against those who do not want to be vaccinated
PHOTO Getty Images

Some economists have begun to lower their growth forecasts for this quarter as some indices of economic activity, such as passenger air transport, have weakened. Biden issues a warning for those who do not want to be vaccinated, are they going to force them?

As part of its vaccination program, the government has adopted measures that invite citizens to apply the immunization doses against COVID-19. One of them was the decision announced on Wednesday and that is that President Joe Biden ordered that funds be denied to two public programs that nursing homes depend on if their staff is not vaccinated. Filed Under: End of Unemployment Benefits.

Biden issues warning, is he going to force them?

Biden issues warning, is he going to force them?
PHOTO Getty Images

This would be the biden’s first threat with withholding funds to pressure people to get vaccinated. It is also a security measure in the first place, due to the advance of the delta variant in the country and secondly, because they work with the elderly who continue to be a population vulnerable to the virus.

“If you visit, live or work in a nursing home, you should not have to take a high risk of contracting COVID-19 because there are unvaccinated employees there,” Biden said in a speech at the White House. Filed Under: End of Unemployment Benefits.





Source link