FileUnemployment

Emergency Unemployment Compensation Sequestration – June 2013

Of all the budget decisions made over the past years in the history of the United States “Sequestration” comes as the hardest blow.

Sequestration is across the board budget cuts to many federal sponsored programs including the Emergency Unemployment Compensation (EUC) to reduce spendings of the government and channelize the funds towards other programs. These monetary reductions were made under the Budget Control Act of 2011.

Emergency Unemployment Compensation (EUC) are benefits available for eligible job-seekers who are still looking for work when their regular state unemployment insurance runs out after 26 weeks in most states. The maximum number of weeks to receive EUC benefits varies from 14 weeks to 47 weeks which is based on the state’s unemployment rate.

The cuts are to be made on the federal benefits only and the schemes sponsored by states will remain unaffected.

This sequestration is going to affect 2 million people who are currently receiving EUC. Due to this fiscal cliff the improving unemployment rate is likely to take a stroll and hit new highs.

The U.S. Department of Labor estimates that 3.8 million unemployed workers would be affected by the sequester mandated benefit cuts during the remainder of the 2013, with the average recipient losing $400.

These cuts will not only make life even harder for many long term unemployed workers already suffering from the loss of jobs and incomes, but will also take more than $2 billion in consumer spending out of an economy still struggling with weaker demand. That’s likely to hurt local businesses and jobs, particularly in states with high levels of unemployment.

Organizations and companies have begun laying off workers, while many more have decided not to staff vacant positions. Schools on military bases are contemplating four-day weekly schedules.

Sequester cuts will impact education, public health, law enforcement, defense, food safety, aviation safety and security, and the national parks programs. It cuts total $85.4 billion, including $42.7 billion being cut from the defense budget and $28.7 billion in domestic discretionary spending.

These cuts will mean an automatic 6.4 percent cut to the most programs like National Institute of Health (NIH) and the National Science Foundation (NSF), with no departmental or agency able to control how the sequester impacts individual programs.

Cuts of this level will be devastating to the public health infrastructure. It was reported that some hospitals have been turning away cancer and HIV patients as they can no longer afford to treat them with expensive procedures.

From an economic point of view this immediate and severe cuts have been broadly seen as a terrible policy measure. Sharp fiscal contraction in a weak economy is known to have negative multiplier effect on output resulting in slow growth. However the policy is expected to reap positive results in the years to come.

Similar policy of harsh government spending cuts imposed in countries like Spain, Greece, Ireland, Italy and Portugal has produced soaring and depressing rate of unemployment and deepening economic crisis.

Here is a table which contains more information on cuts being made state wise. Considering the unemployment rate and population of each state the government has divide the sequestration process into four quarters and depending on the quarter the rate and the date of implementation is different.

StateEUC SequestrationDate Of Implementation
California17.7%April 28
Illinois16.8 %May 27
Nebraska19.38%May 5
North Dakota18.03%April 28
South Dakota16.8%June 2
Pennsylvania10.7%April 6
Maryland22.2%July 6
Rhode Island12.2%April 21
Massachusetts12.8%April 28
Mississippi12.8%April 28
Alaska23.2%May 19
Arizona16.8%June 2
Wyoming23.08%May 26
Washington21 %May 19
New Jersey22.2%June 30
New Mexico25%June 2
Ohio16.36%May 5
Utah17%April 28
Virginia14.2%May 12
Colorado18.22%April 28
Connecticut19.2%June 16
Montana19.58%May 5
New Hampshire16.7%April 28
Alabama12.8%April 28
Delaware12.8%April 28
Hawaii12.8%April 28
Massachusetts12.8%April 28
Mississippi12.8%April 28
Rhode Island12.2%April 21
Texas10.7%March 31

NOTE: Please note that each state needs to implement these changes and it will help to check the state unemployment site to know more about the amount reduced. This sequestration will only affect recepients of Emergency Unemployment Compensation. State unemployment benefit recepients remain unaffected.

Related Tags : , ,

Did you find this article helpful?   YES | NO   image

  1. I am in a unique situation. I would like to know if even though I work for a church that does not pay into unemployment, I have only been here a year and my job previous did pay into unemployment. Would I be eligible for unemployment benefits if I were laid off? This is in the state of Nevada. If so, how long do I have before that is NOT the case? In other words, I know that benefits usually go back 18 months. Would it be the same in this case?

    1. Leslee,

      As much as I am aware, church employees do not qualify to receive UI benefits. Please call the Unemployment Office for clarification.

  2. The unemployment office in Nevada doesn’t answer the phone. They have a recording that says they only take new claims on Monday, and Tuesday, from 8am to 4pm. But if you call at 8am, they tell you that the “Que is already full for the day.” How can that be possible if they don’t start accepting calls until 8am? No wonder unemployment in the United States is DOWN! They don’t accept phone calls after they tell you online that you “have to call to confirm your information” and then they don’t take the calls.

  3. I have called as soon as they open and they just say please call on the next business day I DID and you still didn’t answer

  4. Could you please provide a reference for the following statement in your article – please see below. Thanks.
    “You may also be qualified for unemployment benefits if:
    …You entered Commission-Approved Training and the job is not considered suitable under Section 20 relating to your availability for work, active search for work or refusal to accept suitable work”.

  5. If I exhausted all my benefits last year 2019 and my new benefit year starts back up in Jan. 2020 can I reapply? I still should have money in other quarters from my previous job.

    1. Yvette,

      The E.U.C(Emergency Unemployment Compensation) remains expired. There is no extension available. Please inquire further with the labor authorities in your state by calling them.

  6. Can i receive unemployment if my car broke down and i couldnt work cause i work outta my car and i couldnt afford to get it fixed so i ended up not working there anymore cause the car situation

    1. Willie,

      I can understand your situation. However, I am not sure if you can claim for voluntary reasons. Please call the Unemployment Office for clarification.

      1. Hello,

        I have been unemployed since this past July. My regular unemployment benefits are running out. Can I apply for Emergency Unemployment Benefits after this claim expires? What can I do?

        Thank you,D. ANDERSON

  7. I filed my first bi-weekly claim today but it only took my first week. Are there only certain weeks I can file 2 weeks worth of unemployment?

    1. How strict are they on the school program being less than 2 years for CTB training extension? I have an interview next week for a Training Extension. I started school this week, I am set to finish just a few months over the 2 year mark. Finishing in May 2022.

  8. What if it’s an employer that is threatening over it being personal home life and nothing to do with work or the work place??

    1. Kelly,

      You can be eligible to claim if you resign due to hostile working conditions. Please make sure to check with the Unemployment Office before making a decision.

        1. Paula,

          A copy should be available on the department’s website. You will be able to download after logging in.

  9. I finally start new job on Monday. My work hours are 6;30-6:30pm.
    How can I file my last two weeks if I’m working

    Can I. Call Tuesday? What number?

      1. Hello, I live in the state of Pennsylvania, for reference. I was told on 1/9/2020 I am being let go because of financial issues my employer and office is having. With that, my employer said I can work for the next two weeks to give me time to find another job and if circumstances change they will call me back to work. My question is, Where do I go to figure out my quarter dollar amount earnings for my highest 4 out of 5 quarters. I’ve been with this employer for 7 months, started June 2019. Before that I was unemployed for 5 months and before that I was employed for years up until Feb 2019.

Leave a Reply

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

Please answer a simple Math question: *

https://fileunemployment.org