At the end of this month, the additional $600 in federal aid for unemployment benefits will end. What does this mean for out-of-work Americans and is there a possibility it will be extended?
With more than 25 million adults out of work, the $600 federal unemployment aid will be ending this week. While the relief package doesn’t expire until July 31st, this week is the last week in which the money will be paid.
The additional funds were originally passed in March, as part of the CARES Act.
Republicans and Democrats are split, with Republicans viewing the extra funds as not motivating Americans to return back to work. However, Democrats believe cutting the funds will lead to financial hardship.
Payments for unemployment are mandated by each particular state, however, during the beginning of this year, they averaged $373/week.
While that extra $600 will expire, Americans will continue to receive state unemployment benefits. According to some U.S. representatives, the House and Senate will likely pass another extension of the program, given the current economic situation due to COVID-19.
Congress have less than two weeks to approve an extension or an alternative plan.