In Monday 21 December, Congress approved a massive $ 900 billion coronavirus relief package designed to bring much needed relief to millions of Americans struggling in the coming months. Like the CARES Act approved in March, the new package will include supplements for those who receive unemployment insurance or lose their jobs due to the pandemic. According to the original CARES Act, those who were officially registered as unemployed received an extra $ 600 per week in enhanced compensation in addition to your normal state insurance benefits. Those who were not eligible for unemployment insurance could apply for other benefits through the Pandemic unemployment assistance program (PUA). Both programs have expired, but must be extended in Covid’s new help package, when and if Donald Trump eventually signs – although aid payments are lower and available for a shorter period this time.
US unemployment figures drop
According to the most recent data, the national unemployment rate in the USA was at 6.7% in November 2020 – 0.2% drop compared to October figures, but still almost double the rate before the pandemic started in February. Currently, about 10.7 million Americans are unemployed.
Since the new bipartisan Covid Relief bill approved, unemployed workers will be eligible to receive an additional $ 300 in enhanced payments through Federal Pandemic Unemployment Program (FPUC) – the same amount they received under the Supplementary Assistance Program for Lost Salaries (LWA), which expired today, December 26. It will be available for four months, until April 19. According to the Department of Labor, the supplement would allow the unemployed worker to receive, on average, about $ 620 in benefit payments.
However, all states must wait until the bill becomes law before the Department of Labor starts organizing payments. State unemployment offices are asking the public not to call to ask about raising unemployment insurance until it is officially signed by the president.
Some people who may not be eligible for unemployment insurance may qualify for Pandemic unemployment assistance (PUA) but this is also over. Under Covid’s new relief law, PUA would be extended for 11 weeks, until March 2021. When the bill becomes law, individuals who are currently applying for PUA benefits will have 90 days to submit documents proving their eligibility for the program. That includes:
- Part-time workers and others who lost their jobs due to COVID-19
- Parents who missed daycare due to COVID-19
- People at high risk of contracting COVID-19
- People sick or caring for someone with COVID-19
- People who are unemployed due to COVID-19 and are not eligible for regular unemployment benefits
Yet, without Trump’s signature, about 14 million people can miss these extra benefits, according to data from the Department of Labor. A partial government shutdown will begin on Tuesday, unless Congress reaches an agreement on a provisional government financing project before that.