Just 58% Received Their Unemployment Checks on Time — Are You Still Waiting?
Labor Day weekend meant the end of federally funded emergency unemployment benefits for millions of Americans. However, some are still waiting for the benefits they are owed.
A new report from Bloomberg revealed that many unemployed Americans haven’t received benefits on time. In some cases, delayed benefits went out months behind schedule, adding up to thousands of dollars. The report stated that from the start of 2021 to June 30, data from the Department of Labor showed that just 58% of claims were paid out within 21 days.
Meanwhile, not much has changed since June. “I’m not seeing a lot of states meeting that benchmark yet,” Michele Evermore, a senior policy advisor at the labor department, told Bloomberg.
Around 8.4 million Americans remained unemployed in August. According to U.S. Treasury data, the government has spent more than $830 billion on unemployment insurance from the onset of the COVID-19 crisis through September 1.
The state agencies that handle these payments are notorious for having old systems and a lack of staffing, Bloomberg said. This was all made worse by the pandemic as more Americans applied for assistance. This also lead to increased numbers of alleged fraud, forcing states to freeze numerous claims.
Now, the issue has been labeled a top priority. The Department of Labor issued a press release last week stating that the federal agency has created a new office to modernize and reform the unemployment system. The Office of Unemployment Insurance Modernization will develop and support plans to reduce fraud, address inequities in the system and reduce the backlogs within the unemployment insurance system.
If you’ve been the recipient of UI benefits, have you dealt with delays? Get a better grasp of the situation by answering our latest anonymous poll question.
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Last updated: September 9, 2021