Business
Sen. Jack Reed offers a bill that would extend jobless benefits
01:00 AM EDT on Saturday, September 20, 2008
Rhode Island residents who have run out of unemployment benefits could qualify for another round of federal benefit extensions under legislation introduced in Congress authored by Sen. Jack Reed.
The latest proposal would provide up to seven weeks of extended unemployment insurance to jobless Americans who have exhausted their benefits, according to a statement by Reed’s office. States with unemployment rates above 6 percent could receive an additional 13 weeks — or up to 20 weeks — of extended federal benefits.
The national unemployment rate in August was 6.1 percent.
Rhode Island’s unemployment rate last month jumped to 8.5 percent, and the state unemployment rolls swelled to 48,800, the highest level on record, according to the state Department of Labor and Training.
The last federal benefits extension, announced in July, was part of a spending bill that included money for the wars in Iraq and Afghanistan.
About 3,200 unemployed Rhode Islanders will have exhausted their federally funded extended unemployment benefits by Oct. 4, the department’s assistant director of income support, Raymond A. Filippone, said yesterday. Many of them will then be eligible for a 13-week benefit extension provided under a state program.
In Rhode Island, state unemployment benefits are financed 50-50 by state and federal unemployment insurance taxes paid by Rhode Island employers. The latest proposal would ensure that the cost of the additional benefit extensions for those who exhaust their federal benefits will be financed entirely by the federal government.
“Without this legislation, hundreds of thousands of Americans are expected to run out of their current extended benefits in October and 1.1 million are estimated to run out by the end of the year,” the statement reads.
Besides Rhode Island, the other states with high unemployment rates that would be eligible for up to 20 weeks of extended federal benefits include: Alaska, California, Illinois, Kentucky, Michigan, Mississippi, Missouri, Nevada, North Carolina, Ohio, South Carolina and Tennessee.
In Rhode Island, unemployed residents who exhaust their federal benefits and can’t find work can apply for an additional benefit extension of up to 13 weeks.
Rhode Island’s unemployment benefits replace about 60 percent of gross, taxable earnings up to a maximum of $513 per week. For people with children, the state also provides a dependency allowance.
Due to the high volume of calls recently, the state has extended the hours during which the unemployment insurance division staff are available to assist customers with filing claims for regular and extended benefits. The call center will be open today and next Saturday from 8 a.m. until noon. For more information, go to www.dlt.ri.gov or call (401) 243-9100.
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