FOX Business’ Blake Burman on unemployment fraud increasing during the coronavirus pandemic.
According to a new report released this week, more than 11 million Americans are at risk of losing their unemployment benefits in mid-March if Congress doesn’t approve another aid package sooner.
About 11.4 million workers will be out of income between March 14 and April 11, when two major federal unemployment relief programs set up under the CARES Act a year ago – and expanded in the $ 900 billion relief package that Congress introduced in December – expired, according to a study published Wednesday by the Century Foundation, a nonprofit think tank.
WHAT’S INCLUDED IN THE BIDEN $ 1.9T STIMULUS PLAN?
Pandemic Unemployment Assistance (PUA), a program designed to provide unemployment benefits to gig workers and others typically ineligible for benefits, and Pandemic Emergency Unemployment Compensation (PEUC), which extends the state’s unemployment benefits by 13 weeks , both will expire in about a month.
Another program that adds $ 300 a week to unemployment relief will also end on March 14.
“This latest expansion is about to end as soon as it began,” the Century Foundation report said.
Up to 5 million Americans are expected to take advantage of the expanded benefits (PEUC), while 6.4 million of the PUA benefits will run out over the course of several weeks. An estimated 4 million workers are faced with a so-called ‘hard cliff’, meaning that the aid they receive will end abruptly on March 14. Just over 7 million workers face a ‘soft cliff’ and will see their benefits end at some point. point between March 14 and April 11. Even if they qualify for additional weeks of unemployment assistance, they will not be able to receive benefits through PEUC or PUA.
HOME PANEL FORWARDS THE PARTIAL COVID-19 RELIEF BILL INCLUDING $ 1,400 STIMULUS CHECKS
Job losses remain high as COVID-19 cases continue to trigger lockdown measures across the country.
The longer employees are unemployed, the more likely they are to withdraw savings to make ends meet and borrow more money. A 2010 study indicates that 24% of workers facing long-term unemployment had missed a mortgage or rent payment, while about 10% were personally declared bankrupt.
Congressional Democrats plow through passing a nearly $ 2 trillion coronavirus aid package with the goal of passing the legislation by the end of the month and sending it to President Biden’s office by March 14.
A bill released by House Democrats this week includes a $ 1,400 incentive check for Americans earning less than $ 75,000, comprehensive tax credits for low-income children and families, and increased unemployment benefits to $ 400 a week through the end of August.
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