The Coronavirus relief law, ie the CARES act has been giving out an extra $600 per week to the unemployed workers as federal aid. But the extra benefits will soon end after July 31 or even a week earlier in several states. The jobless workers will only get state unemployment benefits after that, which they used to receive when the COVID-19 pandemic was not a thing.
Announcing new unemployment benefit eligibility:
— Gov. Greg Abbott (@GovAbbott) April 30, 2020
It means the people without jobs will get roughly 40 percent of the wages of an average worker after July. It is not like the federal government is reducing their paycheck, the extra pay boost due to coronavirus relief law is only taken back. The jobless workers were getting the highest unemployment check till now, but the COVID-19 benefits will not continue after the end of July.
Jobless Pay will be reduced after July
As per the US Labor Department, around 18 million Americans are currently collecting the unemployment benefits, which is the highest in history. The coronavirus relief law with a budget of $2.2 trillion, also known as CARES act has increased the jobless pay for such people.
It has raised the weekly benefit amounts, pay duration, and other extended benefits even to the self-employed individuals. But the extra jobless pay which is $600 a week at the moment, will be reduced after July. The COVID-19 relief weekly pay will end after July 31 and in some states, it will end a week before around July 24.
No Extra COVID-19 Benefits for Unemployed People
The US Federal government is currently giving out the biggest payout to jobless workers who qualify for unemployment benefits. It’s in addition to whatever the state is paying as weekly benefits, which is different for every state.
The average worker used to get $378 a week prior to the COVID-19 relief law and now they are getting a weekly total of $978 which is more than double. But the coronavirus unemployment benefits will now be reduced after July 31 as per the federal government officials. However, if someone loses their job after July, they will still be eligible for the increased state benefits.