Unemployment Benefit Cuts

Jul 26, 2013 4:17 PM

The California economy continues to improve, but the economic growth means unemployment benefits will soon be running out for some. The reason is because California is losing its eligibility for "Tier Four" federal unemployment extensions. The tier 4 extension lets claimants get an extra ten weeks of unemployment benefits while they continue to look for a job.
However, many people in the north state are still unemployed. Unemployment rates in Butte, Shasta, Tehama and other surrounding counties are still well above the state average, ranging between 9.4 and 11.3 percent. The California unemployment rate recently dropped to 8.5 percent, which is below the level required by federal guidelines in order to provide the ten weeks of additional benefits.
Tier 4 is the final extension of unemployment benefits, and E.D.D. estimates that more than 100,000 Californians are currently collecting benefits as part of the Tier 3 federal extension and will be the first to be impacted by the loss of eligibility. According to E.D.D., anyone starting a tier 4 extension prior to August 11th can still collect the remainder through December 28th of this year. Tier 4 benefits have been payable in Calfifornia since February of 2010. The loss of such benefits means the new maximum potential benefit amount available for claimants is up to 63 weeks.
For more information on unemployment benefits and benefit extensions, you can find a link on our website under news links. ####


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