NC's improved unemployment rate means fewer weeks of unemployment benefits
Change will eventually impact those on unemployment long term.
Posted — UpdatedThe shift will hit people on the tail end of maximum benefits – those who use up all state benefits, then a special federal extension put in place for the pandemic, then another federal extension that existed long before coronavirus hit, which varies based on a state's unemployment rate.
North Carolina's unemployment rate dropped to 6.5 percent in August, an improvement of 2 percentage points from the month before. That was enough to cut the normal federal extended benefits from 9.6 weeks to six weeks, as of the end of this week.
The upshot, for people who've been on unemployment long term, is fewer weeks of checks. The maximum number of weeks that the regular state system pays right now is 12. Congress tacked on another 13 weeks because of the pandemic. Add in another six weeks, and that's a maximum of 31 weeks.
That tracks back to the second week of March, right before mandatory business closures caused an explosion in unemployment claims.
People who exhaust all of these benefits can still apply for Pandemic Unemployment Assistance, another federal program intended for people who don't qualify for state benefits. That program has generally helped people who are self-employed or independent contractors, and it's set to expire Dec. 26.
The increase will be retroactive to Sept. 6, so some people should get a large check to make up the difference.
DES released a chart regarding eligibility for that program, which is called Increased Benefit Amount.
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