Study warns 12 million unemployed Americans without support after Christmas
About 12 million unemployed Americans will no longer receive any help after Christmas, when pandemic support measures are over, warns a study released by the Century Foundation, a Democratic think tank.
In response to the massive redundancies and the loss of revenue caused by the confinement, two support measures that expire in December had been put in place in March.
Access to measures was extended to workers who normally were not entitled to unemployment benefits, such as those in the “gig economy” (green receipts), as is the case with Uber.
Aid will be paid to 7.3 million people by the end of December, according to calculations by the Century Foundation.
The duration of the payment of the subsidies had been extended for 13 weeks, a little less than three months, which should benefit 4.6 million Americans until Christmas.
Unemployment benefits are paid in the United States by each of the 50 states, which fix the amount and duration of benefit, six months for the highest paid.
A total of 40 million people, or one in four workers, have received one of these two benefits since March, according to that study.
The Century Foundation adds that another 4.4 million people will be left without resources before the date their unemployment rights expire.
2.9 million more will be supported for another 13 weeks. According to the study, the program will still be in place at the end of December in 18 of the 50 states in the country where unemployment is particularly high.
States have to contribute 50% of the payment, which is complicated when many have seen a drastic drop in their revenues, since the taxes received have decreased, the study’s authors note.
An additional $ 600 per week allocated to all unemployed people has already expired at the end of July, replaced in some states by only a smaller amount.
If Republican and Democratic representatives in Congress do not find a compromise by then on a new economic support plan, it would be the first time in all recent recessions that aid would be cut so soon after the crisis began, the study notes.
The unemployment rate fell to 6.9% in October, but 11.1 million Americans, according to official statistics, remain unemployed, a third of whom have been unemployed for more than six months.
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