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Wednesday, December 25, 2024

Georgia's unemployment claims plummet after terminating federal aid program

Employment

Now that the state is no longer offering extra unemployment benefits, Georgia's UI claims have hit their lowest point since March 2020. | Pixabay

Now that the state is no longer offering extra unemployment benefits, Georgia's UI claims have hit their lowest point since March 2020. | Pixabay

While the expanded federal unemployment benefits have helped individuals who were financially impacted by job loss as a result of the pandemic, they have also had some unintended negative consequences as some states' economies have been slower to recover than others. 

For many people, the extra benefits served as an incentive not to return to work, causing problems for states such as Georgia that found themselves in need of workers. Earlier this month, Georgia reduced the expanded unemployment benefits to urge people back into the workforce.

State leaders have also reinstated the work search requirement to collect unemployment insurance (UI), according to a report from 11Alive. As of July 4, anyone seeking UI benefits from the state of Georgia had to present evidence of an active search for employment opportunities.

The result of the measures has been drastic and almost immediate. Georgia has gained back 76% of the jobs lost in the pandemic, Georgia Commissioner of Labor Mark Butler said. Initial unemployment claims continued to fall last week, down to 5,286, the lowest weekly total since March 21, 2020.

“After 66 weeks of benefits during the pandemic and the release of $22.5 billion, we look forward to refocusing our organization on reemployment and helping claimants find a career path that will provide the stability and support necessary to provide for their families,” Butler said

A recent poll by Axios indicated that the second most likely reason for Americans to turn down a job offer is that they are currently making enough to live on from unemployment benefits.

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