Unemployment extension
Encyclopedia
Unemployment extension is when regular unemployment benefits are exhausted and extended for additional weeks.

Unemployment extensions are created by passing new legislation
Legislation
Legislation is law which has been promulgated by a legislature or other governing body, or the process of making it...

 at the federal level often referred to as an "unemployment extension bill". This new legislation is introduced and passed during times of high or above average unemployment
Unemployment
Unemployment , as defined by the International Labour Organization, occurs when people are without jobs and they have actively sought work within the past four weeks...

 rates. Unemployment extensions are set during a date range to be able to estimate their federal cost. After this date range they expire, the unemployment data is re-evaluated, and new legislation may be proposed and passed to further extend them.

Unemployment Extensions in The United States

In the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...

, there is a standard of 26 weeks of unemployment benefits, known as "regular unemployment insurance (UI) benefits". There are two programs for extending unemployment insurance (UI) benefits.

• Emergency Unemployment Compensation (EUC)

• Extended Benefits (EB)

Emergency Unemployment Compensation (EUC)

EUC has four levels: Tiers 1, 2, 3 and 4.

What is EUC08?
EUC08, or Emergency Unemployment Compensation 2008, is an extenion of unemployment benefits authorized under Federal law.

Who is eligible for this extension?
Claimants who filed an initial claim effective on or after May 7, 2006 are potentially eligible for EUC08. Individuals who are monetarily ineligible when a new benefit year is filed may qualify for EUC08 on the basis of a previous claim.

• EUC Tier 1 provides up to 20 weeks of benefits to claimants who exhaust regular UI benefits.

Up to 20 weeks of benefits in every state.

• EUC Tier 2 provides up to 14 weeks of benefits to claimants who exhaust EUC Tier 1 benefits.

Up to 14 additional weeks of benefits in every state.

• EUC Tier 3 provides up to 13 weeks of benefits to claimants who exhaust EUC Tier 2 benefits.

Up to 13 additional weeks of benefits in states with a: 13-week insured unemployment rate of at least 4.0%; or 3-month seasonally adjusted total unemployment rate of at least 6.0%.

• EUC Tier 4 provides up to 6 weeks of benefits to claimants who exhaust EUC Tier 3 benefits.

13-week insured unemployment rate of at least 6.0%; or 3-month seasonally adjusted total unemployment rate of at least 8.5%.

Extended Benefits (EB)

Extended Benefits are available to workers who have exhausted regular unemployment insurance benefits during periods of high unemployment
Unemployment
Unemployment , as defined by the International Labour Organization, occurs when people are without jobs and they have actively sought work within the past four weeks...

. The basic Extended Benefits program provides up to 13 additional weeks of benefits when a State is experiencing high unemployment. Some States have also enacted a voluntary program to pay up to 7 additional weeks (20 weeks maximum) of Extended Benefits during periods of extremely high unemployment.

Reachback

In addition to individuals who exhausted all rights to benefits after the original date of enactment, the EUC law includes what is commonly referred to as a reachback provision. A reachback provision makes eligible those individuals who exhausted all rights to benefits prior to the original date of enactment (back to a specified date). The EUC law makes eligible all individuals whose benefit year ending date is on or after May 1, 2007. Practically speaking, this means some individuals receiving EUC may have become unemployed as early as May 2006.

External links

The source of this article is wikipedia, the free encyclopedia.  The text of this article is licensed under the GFDL.
 
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