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US Federal Labor Viewpoints – Week Of May 24, 2021 - Employment and HR

Ending Federal Unemployment Benefits Early Will Cost States More Than $12 Billion, New Report Finds

coronavirus 17 mins ago Ending the FPUC program early alone will take over $755 million from those receiving UI, according to the JEC report. The report also estimates that every $1 in UI generates $1.61 in local spending. Without the $755 million in FPUC benefits, states stand to lose $12 billion from June 19 through September 5. By ending these programs early, states are refusing billions of already appropriated federal dollars that could be spent in local groceries, restaurants and retail shops, the report reads. Because the report does not take into account the early cancellation of the PUA and PEUC programs, that $755 million figure is likely an underestimate of the effects of early cancellation. The report was also prepared before Maryland announced Tuesday that it too would end the programs.

States facing labor shortages consider tax credits for businesses to try and get people back to work

Lawmakers and GOP governors are proposing business tax credits and bonuses for workers as a way to get unemployed workers back in the workforce.

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