North Carolina Workers’ Compensation and Unemployment Advocates Worry about Federal Benefits Cut Off
Analysts in the North Carolina workers’ compensation and unemployment benefits community are anxiously awaiting November 30th. On that day, the U.S. Congress is set to either potentially extend federal funds for unemployment benefits… or not.
If Congress fails to extend the federal funds, states like North Carolina would have to make up the difference. In North Carolina, according to experts in the Employment Security Commission, this would mean that the 300,000+ residents who collect unemployment would have to turn to the state for help. North Carolina collected $2.35 billion from the federal government this year to support the state’s unemployment fund. Over the past 12 months, $5.4 billion in state and federal benefits have been paid out to NC residents.
In a healthy economy, unemployment compensation extends for 26 weeks. Fueled by fears over economic crises, however, legislators opted to extend the benefits period to 99 weeks temporarily. Progressive advocates, like Alexander Sirota of the North Carolina Budget and Tax Center, worry that a federal cut off of funds could spell trouble for the regional economy.
When individuals lose access to North Carolina workers’ compensation or unemployment benefits, they suddenly don’t have money to reinvest in local economies. This cash flow shortage theoretically could precipitate broader economic problems.
Furthering complicating matters… the state remains mired in dire economic straits. October statistics showed NC unemployment hovering just under 10%. NC has already weathered several months of double-digit unemployment since the start of the “Great Recession.”
Are you or a family member struggling with how to make ends meet during these tough times? If so, you may need help meeting your challenges head-on. For instance, perhaps you are juggling multiple issues at once. Maybe an insurance company has challenged the validity of your injury claim. Or maybe an employer has suddenly refused to pay out your full benefit amount, citing internal financial difficulties.
To compel the system to work fairly for you, consult with an experienced North Carolina workers’ compensation firm. A strong legal strategy can ensure that you maximize your benefits and prime yourself to take best advantage of any new job opportunities that present themselves to you.
More Web Resources:
North Carolina Budget and Tax Center
More about the Federal Funding Debate
