Congress Extends Unemployment Benefits

At least one million laid-off Americans whose unemployment benefits are about to expire will likely see them continue into next year, USA Today reports.

Congress approved legislation Nov. 20 to extend unemployment; the House approved the provision in October, and President George W. Bush is expected to sign it despite earlier opposition to broader legislation with the benefits extension. Similar federally funded unemployment extensions have been passed by Congress seven prior times, in 1958, 1961, 1972, 1975, 1982, 1991 and 2002.

Without the extension, which is estimated to cost $6 billion, more than 1 million people would see their unemployment checks dry up by the end of 2008. A new report shows that new unemployment claims recently reached a 16-year high, and more than 10 million Americans are currently searching for work. In 2008, more than 1.2 million jobs have been cut, and the civilian jobless rate is at a 14-year high of 6.5 percent. The latest report from the Labor Department showed that unemployment claims rose last week to 542,000 — the most since July 1992.

With the extension, beneficiaries will receive seven more weeks of payments. In states with unemployment rates above 6 percent, beneficiaries will receive an extra 13 weeks of payments. Regular benefits expire after 26 weeks, and payments nationally average about $300 per week.

Source:
USA Today: Congress OKs extension of jobless benefits

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