Report: Federal Unemployment Benefits Kept Millions from Returning to Work

Increased federal benefits last year perpetuated unemployment and kept millions of Americans from returning to the workforce, a new study released Wednesday reports.

The Texas Public Policy Foundation published the report, which evaluated the impact of federal handouts, particularly the controversial federal unemployment payments of $300 per week. More than two dozen states opted out of the federal program before it was set to  expire last year, citing the elevated joblessness, while blue states largely continued to take the federal money.

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Stunning Waste: Unemployment Fraud During COVID Cost More Than Triple Total Benefits Paid in 2019

Unemployment fraud exploded during the COVID-19 pandemic, according to the U.S. Labor Department Inspector General’s semiannual report to Congress.

Approximately $872 billion in federal funding was allocated to unemployment benefits in the last year, and at least 10% was estimated to be paid “improperly, with a significant portion attributable to fraud.”

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End of Federal Unemployment Benefits Raises Questions About Fraud, Joblessness

Jobless Claims Surge

Federal unemployment benefits ended over the holiday weekend, raising questions about how the payments’ expiration will affect the job market and whether Congress will renew the benefits.

Congress passed the $300 weekly unemployment payments as a remedy to joblessness during the COVID pandemic when government restrictions forced the layoffs of millions of Americans, but critics have since said the federal benefits are contributing to an economic quandary: elevated unemployment alongside widespread job availability.

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Small Business Owners Struggling to Find Workers

Small Business Struggle

Small business owners are continuing to have problems attracting new workers in the wake of the coronavirus pandemic and are trying to entice them with new incentives, a new report from the U.S. Chamber of Commerce shows.

“Small businesses are bearing the brunt of the current worker shortage,” said Tom Sullivan, vice president of small business policy at the Chamber. “Many have given up on actively recruiting new workers as it is too hard to find skilled and experienced workers for their open positions.”

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Jobless Claims Falling in Florida

Man In Suit

A new report from the U.S. Department of Labor shows jobless claims in Florida are down from the week ending on July 3. There were 6,739 jobless claims filed by July 3, down to 6,430 for the week ending on July 10.

Across the country, 360,000 new claims were filed, which is down 26,000 from the previous week. This is the lowest the country has seen its jobless claims since the start of the pandemic, indicating the recovery of the economy is slowly getting back to pre-pandemic levels.

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Federal Unemployment Benefits Spur Hiring Crisis, Poll Shows

Woman Stressed at Computer

Republicans have argued for months that federal unemployment benefits are keeping Americans from going back to work, and a new survey seems to support that claim.

The survey from Morning Consult released Wednesday found that 1.8 million Americans have turned down jobs even though they were unemployed saying, “I receive enough unemployment benefits without having to work.”

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Georgia Opts Out of Extra Federal Unemployment Benefits

Gov. Brian Kemp announced Thursday during an interview on Fox News that Georgia will reject the federal government’s $300 per week enhanced unemployment benefits. 

“What I’m seeing on the ground here is that every small business owner and the workers that are currently working, they need more people. It is hurting our productivity, not only in Georgia, but across the country,” Kemp told host Dana Perino. 

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