Millions of jobless Americans across are having difficulty affording the basics now that an extra $600 a week in federal unemployment benefits has expired.
What We Know:
- Lawmakers in Capitol Hill are working hard on an agreement that would restore some federal jobless aid. Even if they do reach a deal, the amount is likely to be less than $600, by the time the money starts flourishing again, it could be too late for many Americans who are already facing difficulties.
“Members of Congress may have the luxury to come to an agreement this week and vote next week and then roll it out over several weeks,” said Brian Gallagher, CEO of United Way Worldwide. “Families don’t have that luxury — they are out of money tomorrow.
- Meanwhile up to 30 million Americans, have lost their jobs or income caused by an outbreak that has completely stopped the economy and killed close to 160,000 people in the U.S., are struggling trying to get by just on state unemployment benefits, which in average are less than $400 a week.
- On Thursday, the government stated close to 1.2 million laid-off Americans applied for unemployment last week. That is a decline from the previous week. Still, it was the 20th straight week that at least 1 million people sought jobless aid. Before the coronavirus, the number had never surpassed 700,000 in a single week.
- The rescue package that is currently being developed out in Washington would include over $100 billion to help reopen schools, another round of $1,200 direct payments to most people, and hundreds of billions of dollars for state and local governments to help them avoid furloughing workers and cutting services.
- Although Republicans in Congress argue that the extra $600 in unemployment benefits is so “abundant” that it is discouraging people from going back to work. University studies have doubt on that. Economists and labor experts state that the benefits some jobs carry, such as health care, can be enough for people to go back to work even if the pay is low.
- Pantries, food banks, amongst other organizations report seeing demand from people in need. Charitable groups worry the problem will only get worse with the end of the $600 and the expiration of coronavirus-era moratoriums on evictions.
According to COVID-19 Eviction Defense Project, a coalition of economic researchers and legal experts state that around 23 million renters nationwide are at risk of being evicted by the end of September.
