As the deadline gets closer, many Americans, particularly those who are out of work, are wondering if there will be an extension of unemployment benefits.
Currently the Emergency Unemployment Compensation (EUC) Benefits are set to expire on 12-29-12, even if you are in the midst of a tier.
As it stands now, the EUC program will end 12-29-12.
Many states have begun to post notices informing claimants that the program will end.
The State of Nevada, for example, has posted this notice on their website,
EUC program scheduled to end. The EUC program is due to expire on January 2nd, 2013. The final week for which EUC benefits may be paid will be the week ending December 29, 2012. There will be no phase-out period, and currently there is no indication of further extension of the program. The telephone claims centers do not have any additional information at this time;
Will the benefits really end or will the fiscal cliff be averted?
At this point it looks like talks are completely stalled. To sum it up, the more wealthy Republicans want to completely do away with the program and the Democrats, who favor the working class, want to continue the program.
Our nation is still in recovery mode and there are many Americans that are out of work due to economic conditions.
The Congressional Budget Office estimated that the two federal unemployment programs, (EUC and State Extended Benefits (SEB)) could be extended for another year at a cost of $30 billion. They also say that it would create 300,000 jobs and boost economic growth by 0.2 percent in the fourth quarter of 2013.
That’s because a good portion of that money would be dumped right back into the economy, helping to contribute to the recovery.
Without that lifeline, about 2 million American will lose their benefits.
Republicans want to preserve their elite status and vehemently oppose the tax increases that President Obama has proposed for the wealthiest of Americans and are even more strongly opposed to maintaining a payroll tax relief extension that benefits everyone except them and the wealthiest members of our nation.
You will read about numbers and hear that the unemployment rate is declining but the numbers are simply skewed. They include people that had professional level jobs and are working for peanuts simply to feed their families. The numbers also include those that have gobbled up seasonal part time jobs for the holiday. Those factors, amongst many others, are figured in to the supposedly recovery.
Remember, the numbers do not include people that have simply become so disgusted that they have stopped looking for a job.
That’s why the numbers do not tell the whole story; they are easily manipulated. The real figures are much, MUCH higher.
President Obama has said in the past that he will push very hard for the Unemployment extension 2013.
Here are the 4 options that are being considered,
Option 1: Extend the current EUC program and temporary provisions of the EB program for one year.
Option 2: Partially extend the EUC program by providing up to 14 extra weeks of benefits for one year.
Option 3: Allow UI recipients to finish receiving up to 14 weeks of EUC benefits, depending on the number of weeks of benefits for which they will qualify at the end of December 2012.
Option 4: Extend the current EB program for one year, maintaining full federal funding and allowing states to more easily qualify for the program.
A good example of option #4 would be Nevada, which has a very high rate of unemployment. Double digits.
The SEB program was cut off in July because, unbelievably, Nevada did not meet the requirements, yet other states with rates that are nearly half of Nevada’s extremely high unemployment rate are collecting SEB.
Personally, as earlier noted, it is very hard to fathom that an unemployment extension 2013 will not be passed simply because it will further plunge our nation into demise and will not aid in our nation’s recovery. It will hinder it.
There are still far too many out of work and study after study has painted a very bleak future for our nation if unemployment is not approved for 2013 with many families being plunged into poverty.
Unfortunately, right now talks appear to be stalled and it is not clear, at this point, if any agreement will be hammered out by years end.