Will Unemployment Benefits be Extended in 2020 and 2021?

The expansive pandemic unemployment provisions passed under the CARES act have been widely acknowledged as the largest boost to individuals who lost their jobs as a result of the Coronavirus induced slowdown. In particular the extra $600 (FPUC) weekly payment on top of the regular state unemployment compensation has been by far the most effective part of the government’s economic policy response to the fallout from the Coronavirus induced recession and unemployment spike.

There is little doubt that the $600 payment and other enhanced unemployment benefits – like the PUA covering those workers not normally eligible for state unemployment benefits or extending existing benefit coverage periods by 13 weeks for those whose jobs or livelihood were impacted by COVID – will be a big boost to many households. However the roll-out of these new provisions and payment to recipients has been less than stellar to say the least, mainly because of decades of under-investment in the administrative capacity of state UI agencies and systems (many still using mainframes or home grown software) has left them incapable of flexibly in adjusting to the new provisions and determining the eligibility of newly covered worker groups.

House Democrats, led by Speaker Nancy Pelosi, have confirmed the importance of the $600 weekly payment for the millions of unemployed by passing putting a new Stimulus bill in the House, called the HEROES act, which includes an extension of the $600 per week extra unemployment payment (FPUC) through to January 2021 as the current FPUC/PUA provisions approved in March are set to expire at the end of July.

It also appears highly likely that the White House and President will be supportive of the enhanced unemployment provisions extensions because it allows immediate and substantial economic relief for those who have lost their jobs and incomes. With the current provisions expiring in a few weeks, I expect that that Congress will eventually craft a bill to extend these UI benefits (unlike many others being proposed, including another 2020 stimulus check) to the end of 2020 and possibly into early 2021. Hopefully by then the payment of current unemployment benefits is much smoother than it is now.

Subscribe For The Latest Updates

Invalid email address
We promise not to spam you. You can unsubscribe at any time.

Last Updated on

10 thoughts on “Will Unemployment Benefits be Extended in 2020 and 2021?

  1. In regards to extending UI and FPUC, I feel is neccesary for most of us. Maybe not the $600 we are receiving now, but a fair amount would definetely help. Even with the the additional $600.00 I am receiving now, I am still short of what I was making before the pandemic hit. Im in the hospitality industry and my Resort rated one of the top 100 resorts in the world will take 3 to 4 years to get back to what it was before the3 Pandemic hit… Please extend the benefits until the end of the year or longer.

  2. Giving people more money a week than they would make if they went to work is a terrible idea. The better idea is to open the economy and stop the over blown scare tactics. Government handouts have historically never worked, just creates a form of Welfare dependency. This is a fact in New York as we start to open back up and have workers refusing to come back to work because they make more on Unemployment. Unemployment is designed to survive NOT thrive.

  3. I feel that it is very well needed to extend the unemployment insurance be if it’s due to not haven a babysitter I can’t return back to work and it’s hurting me bad worried about my bills pulling up on me and not being able to get the food my babies need or keeping lights and ac and heat on in my house. I stay stressed out always worrying about it . So please extend the benefits

  4. Unemployment is needed. Some families don’t have daycare and can’t return to work. Also what the big deal when the money goes right back to the government!

  5. It doesn’t matter, they are not paying people unemployment benefits now, let alone more.

    Families have been abandoned and left to starve

  6. It doesn’t matter, they don’t pay the unemployment anyway, families deserted for months

  7. I was a car salesman and even if I get to go back to work nobody is buying cars at the same rate so even though I have a job, I still won’t have an income. Extend UI and FPUC for people like me will be able to survive. Maybe while we get paid more to stay home, we can get our real estate license or learn AI coding. So I think extending UI and FPUC is good

  8. Providing lower paid workers more money for not working than they make for working is a really bad idea. Extending the timeframe for five or six months will have a negative effect on getting the economy moving again.

Leave a Reply

Your email address will not be published. Required fields are marked *