Latest News: Federal Emergency Unemployment Benefits Supplement

May 25, 2021 - SHRM

The American Rescue Plan extended a $300/week federal supplement to unemployment benefits until Sep. 6, 2021, but some states are beginning to end this early. The average person receiving UI benefits received approximately $350/week in regular state benefits in March 2021.

• The Biden Administration also intends to reinstate “work search rules” to incentivize individuals to return to the workplace. Making the extended benefits inaccessible to people that turn down “suitable” job offers.
  
• At least 21 states are cutting off access to federal benefits this summer, before the program’s September expiration.

Some economists have pointed to enhanced unemployment benefits and expanded eligibility for benefits as factors contributing to these shortages, especially in the services sector.

About 16 million people overall are receiving some type of unemployment aid. That includes about 11.7 million people enrolled in emergency programs such as the Pandemic Unemployment Assistance program for gig workers and the self-employed and the Pandemic Emergency Unemployment Compensation program, which offers an additional 24 weeks of benefits.