Benefits wait nearly over for self-employed
Contracted and self-employed workers can begin applying for unemployment benefits on Friday
Carolyn Phillips and her mobile bartending business had more than 200 events lined up through the fall before the coronavirus outbreak hit. There were weddings, birthday parties and corporate events scheduled.
But when social gatherings fell by the wayside, Phillips, who owns Rocky Hillbased Mixology Mixers, was forced to make a decision: look into unemployment benefits or find a new job.
In the initial days following widespread business closures, unemployment benefits were not available to contracted workers and those, like Phillips, who are selfemployed. A federal order has changed that, allowing them to receive benefits, including a $600 added weekly benefit.
The problem she and many others faced was the wait time for the Connecticut
Department of Labor to update its 40-yearold processing system to handle new benefits like those offered to self-employed workers and the $600 benefit. A monthand-a-half later, self-employed people still have not yet been able to apply for benefits, let alone receive them.
“I could not wait a month [for unemployment], I could not wait two months,” Phillips said. “I refused to go into debt.”
So Phillips applied for a job at Stew
Leonard’s and was hired as a grocery checker. She also picks up some additional money working for Instacart and has started her own shopping delivery service for people who are immunocompromised or can’t leave the house. She won’t be able to file for unemployment benefits when contracted and self-employed workers can begin applying on Friday.
“Had I known [there was unemployment insurance coming for self-employed workers], maybe I would have sat around. But I just couldn’t do that,” she said.
“I’m stressed,” added Phillips, who is now working seven days a week. “I’ve called up every bill person that I owe money to to see what I can do. … I’m working just to pay my bills. My life is completely different.”
Other self-employed workers, like Martin Mantis, were able to wait longer to apply for unemployment benefits. After a five-to-six-week backlog for people to receive benefits, it is now closer to a week and Mantis is among those hoping he does not have to wait much longer after applying later this week.
“I was hopeful that unemployment insurance would kick in when everyone else’s kicked in,” said Mantis, a selfemployed sales representative. “It would have been a lot easier.”
Mantis has been a sales representative in the apparel industry since 1984, and, since 1996, a self-employed, multi-line sales rep for his own company. Mantis Sales operates in each New England state, but mostly Connecticut and Massachusetts.
Like many in Connecticut, the COVID-19 pandemic halted his business. He works with screeners, embroiderers and anyone else who does decorations. The industries those businesses service — scholastic, companies running promotions, etc. — have shut their doors due to the coronavirus, and Mantis’ commissions and income have gone with them.
“I’m pulling money out of savings right now to pay some bills” he said. “You’ve got to do what you’ve got to do.”
Mantis initially filed for unemployment in March, but was rejected due to being a self-employed businessman. He understood that unemployment insurance would be offered to self-employed individuals at some point but had a difficult time finding the exact date, both on the Department of Labor’s website, or through several phone calls.
“My concern was, they weren’t focusing on self-employed individuals,” Mantis said.
Leslie Wisner is a self-employed massage therapist who has been running her business out of her home in Old Lyme for the past 10 years. She closed on March 13 after seeing that many of her clients for the following week were beginning to cancel.
At the time, she didn’t consider the financial ramifications of shutting down. Wisner, a single mom of two teenagers, heard from her accountant that there would be a provision in the Cares Act that would allow self-employed workers to file for unemployment.
She, like Mantis and Phillips, still had to play the waiting game until the department finally announced the April 30 start date.
“I’ve just been using savings … I did not have much of a cushion,” Wisner said. “I’m definitely more stressed out than I originally thought I was … the self-employed people are definitely the last people who are being considered.”