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How Extended Unemployment Benefits Work

August 16, 2010

In periods of high unemployment and in partnership with Congress, benefits may be extended beyond the customary number of weeks a former employee may collect (26 weeks in all states except Massachusetts where it is 30). In 2009 and 2010, up to 99 weeks per claim were allowed. The amount paid per week is generally the same for all weekly extensions unless specified differently in the legislation or a new benefit rate has been established. You must first exhaust your regular benefits before qualifying for an extended benefit. There are two types of extended benefits – state and federal.  

 

Federal Emergency Unemployment Compensation Extensions

 

During 2009, four federal extensions were in effect, each providing for a different number of weeks. The federal programs expired on June 2nd, 2010; however, on July 22nd, 2010 they were reinstated by Congress retroactive to June 2nd and extended through November 2010. The new legislation continues to provide up to 53 weeks of extended benefits. The federal government pays 100% of the cost of the federal extended benefit programs. 

 

  State unemployment extended benefits

 

Each state has another program that kicks in when their state unemployment rate reaches a certain level. Federal Emergency Extensions are paid first, followed by the state program.  Thirteen additional weeks are paid in states at or above 6.5% unemployment and another seven weeks for states at or above 8%.  These costs are shared 50/50 with the federal government. The one exception is that federal funding is not provided under the state extended benefits programs to state or local government entities and they are responsible for 100% of these charges. 

   

                     26 weeks regular benefits

                  + 53 weeks federal extended benefits

                  + 20 weeks state extended benefits

                  = 99 weeks of unemployment benefits

 

 

 

When do Employers Pay?

 

Federal extended benefits stopped being paid on 6/2/10 and charges were switched to the Federal-State program which pays up to 20 weeks.  This is why employers and municipalities started receiving a bill for extended benefits.  However, because the Congress made the “new” federal extension retroactive to 6/2/10, all employers are due a credit for any payments made under the state program to a former employee who still had benefits due under the federal 53 week extension.

Work study students and unemployment

June 25, 2010

Any services performed within a school, college or university by a student enrolled at that institution is exempt from unemployment. If you are utilizing the USC online system to report separation information to us, you do not need to complete an ESR for that student.  You should merely reply to our email as "Not an Employee.  Work study student."  We do not need dates of employment or wages since their employment is exempt from unemployment.

Security of Personal Information

May 25, 2010

Be assured that USC is compliant with all State and Federal laws regarding the safe keeping of personal information.  Due to the stringency of these laws, USC does not retain paper files any longer.    All disputed claims are scanned and shredded and non-disputed claims are logged on our database and shredded.  We take the protection of this information very seriously and continue to ensure the safeguarding of such information.

School Employees and Reasonable Assurance

May 24, 2010

If an employee of an educational institution files for unemployment between a scheduled  break in classes and has reasonable assurance that they will return to their same job or a similar or comparable position they will be denied unemployment.  Reasonable assurance can be written or verbal. The date of assurance is the day the employee is told or receives it in the mail.

 

When school employees are told they will not be rehired, as soon as school closes they are eligible for unemployment benefits.   If the budget changes and their position is restored, you can save money by stopping their unemployment. 

 

In cases involving adjunct professors, if the facts prove that the reemployment is contingent on class enrollment or funding, there is no reasonable assurance and the employee will collect unemployment benefits.

 

If the situation changes between terms and a worker without reasonable assurance is now notified that they will have work when school resumes they could be denied benefits. This could be significant in school systems where the budget is not finalized when school ends and a number of employees are not given “reasonable assurance” that they will return when school reopens. In this case, notify your USC account rep. when a new offer of reasonable assurance is made anytime before school reopens so we can notify state unemployment office and stop the payment of benefits.