Unemployed to receive $300 in additional weekly benefits
FEMA approves state’s funding request
The Federal Emergency Management Administration (FEMA) has approved Michigan’s funding request to provide over 900,000 Michiganders with at least $300 in additional weekly unemployment benefits.
The Michigan Unemployment Insurance Agency (UIA) applied for the supplemental unemployment benefits after the $600 in weekly federal pandemic payments expired in late July. The state provides a maximum of $362 in weekly unemployment payments.
The additional federal unemployment benefits were made available, despite Congress’ inability to come to an agreement on a second pandemic relief package, after President Donald Trump signed, earlier this month, an order extending the added weekly benefit. Under the program, states can choose a $300- or $400-aweek option, though they would have to chip in $100 toward the higher amount.
“This is good news for the thousands of Michiganders who are still without work as a result of the COVID-19 pandemic, but it’s still a short term Band-Aid that falls short of what’s needed,” said Gov. Gretchen Whitmer.
The UIA estimates that about 910,000 residents will get the extra $300 per week in unemployment on top of the state-provided benefits. Claimants will be paid retroactively to Aug. 1. It’s unclear when the payments will begin or how long the payments will last.
At this time, claimants do not have to take any action to receive the additional benefits. The benefits will be paid out automatically to all claimants who are eligible to receive at least $100 in weekly unemployment benefit payments. This includes claimants receiving any type of regular unemployment insurance benefits as well as those receiving Pandemic Unemployment Assistance (PUA) benefits.
“We need the president, (Senate Majority Leader)
Mitch McConnell, and Congress to put partisanship aside and pass a bipartisan recovery package that will help us save lives and get people back on their feet,” said Whitmer. “Michigan families, frontline workers, and small business owners are counting on the federal government to do the right thing and work together on their behalf.”
Steve Gray, Director of the Unemployment Insurance Agency, said the UIA’s goal is to work as quickly as possible to implement this new program to get Michiganders the benefits they need.
According to The Associated Press, FEMA has said the additional funding may last roughly five or six weeks depending on how many states participate.
Michigan’s unemployment rate dropped to 8.7% in July, from 14.8% in June, and was below the national rate of 10.2%. About 103,000 payroll jobs were added. The state’s unemployment insurance trust fund, which is funded by employer taxes and had $4.6 billion before the virus outbreak, is now at $1.7 billion following months of record-high claims.