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Federal Jobless Aid, a Lifeline to Millions, Reaches an End

Federal Jobless Aid, a Lifeline to Millions, Reaches an End

The New York Times
Thursday, September 02, 2021 01:35:25 PM UTC

The abrupt loss of pandemic unemployment benefits on a broad scale could have long-term effects not only for the recipients but also for the economy.

PHILADELPHIA — Tara Harrison has a master’s degree, yet is applying for the low-paying receptionist jobs she last held as a teenager. Evan Ocheret is considering giving up his career in music. Amanda McCarty is worried about losing her place in the middle class. Amanda Rinehart is considering borrowing money from her grandmother or selling blood plasma to feed herself and her son. Unemployment benefits have helped stave off financial ruin for millions of laid-off workers over the last year and a half. After this week, that lifeline will snap: An estimated 7.5 million people will lose their benefits when federally funded emergency unemployment programs end. Millions more will see their checks cut by $300 a week. The cutoff is the latest and arguably the largest of the benefit “cliffs” that jobless workers have faced during the pandemic. Last summer, the government ended a $600 weekly supplement that workers received early in the crisis, but other programs remained in place. In December, benefits briefly lapsed for millions of workers, but Congress quickly restored them.
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