How many Americans who thought they would never need unemployment compensation now desperately need unemployment compensation? By the end of March, the U.S. unemployment rate had hit 8.5 percent. More than 13 million workers had lost their jobs and an average of 656,750 Americans a week were turning in their first-ever applications for unemployment compensation. So, how does unemployment compensation work and who pays for it?
Also See:
The Government Job Finder
Top 10 Government Benefit Programs
Obama’s Economic Stimulus Plan: What’s in it for You?
Comments
rich hard working americans pay for lazy unemployed peoples benefits
Hudson: how lazy are the hard working americans who have been made redundant because of corporate downsizing and agressive internal budgeting? How is THAT an issue of being “lazy”?
It seems as though you need to check your facts before suggesting that only lazy people use unemployment benefits.
you have no idea how ignorent yu sound right now.This is not welfare or a handout..These people have paid taxes most of their lives.Being laid off is not a walk in the park and peple are struggling with half of what they use to get working..:( How can you sit there and say such a closed minded thing” Let’s just hope you are not one of the millions in need of unemployment..if you are..i pray you are not treated as badly as you treat others..:(
You don’t know how ignorant you sound when you call someone ignorent. Check your spelling and grammar before insulting someone.
Hudson: As the full article points out, unemployment insurance is paid for by state and federal taxes paid by employers, not individual taxpayers.
http://usgovinfo.about.com/od/federalbenefitprograms/a/ucprogram.htm
Robert
Are you serious? Certainly you know that employers receive their income by profits. Profits are made by subtracting costs from income. Income is number of items sold times price. So who pays for it? The consumers pay for it because to make up for the “tax”, businesses raise prices or cuts costs which typically is layoffs or less expansion and creates the trickle affect. OVER – Regulation is the cause to the issues.
i never thought i would have to apply for unemployment. i am not lazy and am diligently trying to find new job.in fact my previous job i was working 6 days a week 50+ hours. its so easy to judge until it happens to you.
What percentage of “hard working” Americans are “rich” I wonder. Then let us think about what percentage of “rich” Americans are “hard working”. Hmmm. Personally, I work about 20-30 hours a month @ $50/hr (finding cheap rent and spending less money overall means you don’t have to work nearly as much). Mules work hard. I work smart. Oh, and before I got this gig I spread my unemployment out over 3 years while nobody in the local industry was hiring senior level people, such as myself. Unemployment ran out finally, and guess what, the next week I had a great contract job. What I mean to say, people, is enjoy it while you have it and don’t ever feel bad about collecting it. Take that unemployment money, cut back on your spending, and when you’re not looking for that next job, do what you’ve always wanted to do but never had time. It’s like a present, compensation from the “rich hardworking Americans” that failed to manage their business responsibly and laid you off through no fault of your own. Peace out, Hudson, have fun busting your ass for peanuts, sucker.
Hudson-Sucks Rocks ! You have got the right idea my friend
Graduated with a degree in Psych, took out school loans to pay for it. After graduated in 2005 no one hired me with my degree or merit. Heard technological jobs were looked down upon, stupid me they are the ones still employed. Should have become an ultra sound tech or a plumber. Applied HR, Research, Autism Centers, Public Schools, Cities Jobs, Gov Jobs, Monster, Craiglist, Jobs overseas, Yahoo jobs, Google Jobs, Jobs on Crusie ships, Kaiser, local hospitals, Medicare, Military Civilians Jobs, and the list goes on.
I call this the Death of Corporate America. The Extinction of the every day 8-5 worker with replaceable skills from out sourcing America. No manufactoring jobs or business. I kick myself for not allowing creativity or having specials skills that I loved that could make money. I should have thought of making money other than paper pushing. No clerical or much temp work either in this economy. Finally asked a friend’s mom, got a temp job. Hired on and off. Wouldn’t give healthcare or hire me permenately, but it is a job. Worked 53 hours a week. Needed healthcare but didn’t qualify. Then the final layoff. Tried again. Now this time still not hired because don’t have experiance or too qualifed. Jobs never called back, employers never needed extra help. Stop caring because I had to go back to school to get special skills to be hired for somthing that can’t be out sourced to China or India.
My point, Corporate America is Dead for about allot of us. Never feel bad for unemployment. We wouldn’t need it if we had a job. Corporate America sank leaving the 8-5 worker to drown in debt. You need food and shelter and that takes money. How can you get a job when no one is hiring, your not skilled, too skilled, and they have millions of qualified people who well work less than they should. People say your not trying hard enough tell them to find you a job and that well shut them right up. I would give my friends my resume or asked to volunteer at their work. Surprise surprise I still did not have a job even with their “help.” At this point enjoy your life alittle because you can’t stress what you can’t change. Maybe find jobs that can never go oversea or make an income out of doing something you love. Good luck!
Illegal Mexicans are plumbers now.
Go study be a Lawyer, Doctor and stop critizen ilegal mexicans you said, such racist, you must be a ignorant redneck. LOL
Worked very hard for many years. Never laid off until the company, BEAVER TILE, got bought by canadians and local supervisors sucked them behind closed doors. Screwed loyal people and formed a political party to ruin the veterans cause we were there too long and made too much money. Moved away and won’t look back….but, What goes around, comes around. Can’t wait to hear whose next….. Stay away from BEAVER TILE. Enjoying the unemployment. BEAVER can pay for it forever!!!
DEAR GEL, You got it right…. enjoy some time off in name of the losers that run BEAVER TILE. Think of it like this…. “NO work + free money”…. The non management that is still working there probably aren’t bringing home much more than you, after taxes, etc. WHO NEEDS A TILE COMPANY LIKE THAT ANYWAYS??? Gotta love HOME DEPOT AND LOWES. Standing strong thru it all. Sorry for your loss Gel.
Gel and Bo………….. got the right idea. Everyone needs to stick together and help each other out in hard times…. and shop the big box stores. Best values anyways. Little shops just hurt the little guys all around.
Tony, where do you get this IDEA that the big box stores are the way to go? Has anyone else seen the trend… 60’s and 70’s people had jobs, had unions and made money. 80’s 90’s “box stores really take off” unions start to be bashed by companies and workers brainwashed to believe unions are bad and just take your money….. pay goes down and you rely on a 701K.
Mid 80’s to now: china makes everything, USA industry failing, pay cut even further(except government workers), unemployment….. Still think box stores good and unions bad?
Thank you usgovinfo for the link.
Obama has a plan. So far it is helping some…and hurting some. We don’t have a Beaver Tile where I come from….but if we did….I know a few in the hood that would take care of them real quick. I’m thankful for the unemployment plan, and love that the people who put you in that place have to pay for it!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Desperate…hang in there…. always something better for everyone. Hudson…. I understand how you think…feel. I’ve used Unemployment and thankful it is there, but employers use it as a crutch to hire cheaper labor and tell the higher paid to kiss their lives goodbye…with NO remorse. (the devil is busy these days) Everyone who lays people off in this matter must not care about customer service or loyalty. That speaks volumes!!
Yes..I worked free overtime for more than 8 months, up to 20 hours a week. took abuse from my employer( construction company owner)…..verbal and physical because the job market was bad. The business was really shady and one day she let her tempr get the best of her and “released me” because I was sick. best thing she did.. single mother of three, no child support…gave me an opportunity to collect unemployment. I workd for half of what the salary for my job description and saved her thousands of dollars being her executive office manager…I can tell you that if they approve my unemployment I EARNED IT MYSELF!!!!!!
I am 64 and planned to work to 66. My company was bought out and all the employees layed off. I have worked all my life and was hoping to work at least 2 more years as I was trying to get my 401K at least back to where it was 4 years ago. I am still $100,000 less then what it was. I worked, paid taxes, saved, and been a responsible citizen and and employee. The result is that I have been screwed coming and going. My severance package is taxed at 54%!
I just ran out of unemployment benefits. I am 80 years old and worked all my life. I can not find a job due to the economy and my age, I do get Social Security but it is not enough . I have downsized as much as I can. I will not go on welfare I have no idea what to do now. Help someone please
I do not know how long you can collect unemployment for. I know the rules have changed. Anybody else know?
@hudson ….get brain please…don’t say things that you have no idea about..PLEASE
Rich people dont pay a fair tax
hudson parr says:
rich hard working americans pay for lazy unemployed peoples benefits
Correct Answer:
Unemployment compensation is money received from the United States and a state by a worker who has become unemployed through no fault of his own. To facilitate this program, the U.S. Congress passed the Federal Unemployment Tax Act (FUTA), which authorizes the Internal Revenue Service (IRS) to collect an annual federal EMPLOYER tax used to fund state workforce agencies. In a recession, UI tax revenue falls and UI program spending rises as more workers lose their jobs and receive UI benefits. The increased amount of UI payments to unemployed workers puts additional funds into the economy and dampens the effect of earnings losses. In other words, “Hudson” the unemployment insurance may prevent you from becoming unemployed or taking a pay cut or perhaps reduced working hours (PT).
Hudson….20-30 hrs a week at $50 an hour…I assume you dont have a family on 18k a year…I wouldnt say you figured it out but that you are an idiot and that you have readhed your full potential
Anyone ever go into BEAVER TILE, Kate-lo Tile, or Olympia Tile???? If so… let them know how badly they treat the public and their employees!! Hurry … as they will all be out of business soon! They deserve it. Thank God for unemployment.
Always the “Wait until it happens to you!” or “its my taxes, too!”. I was unemployed and didnt collect UI for a year and still paid all my bills. How did I do it hmmm….I worked! Shocking for some of you I know, I mean i have a wife who cant work and a 2 YR old daughter to take care of. Shoooooot I Mowed lawns, shoveled driveways, delivered newspaper, plumbing, fixed computers, I even volunteered because rich people like to volunteer so good connects there so freelance stuff. I believe in unemployment insurance, dont get me wrong. Just not 2 years worth, or a year at that.
hey!!! working under the table works for some…. I wonder how long before people like you get caught? I mean, unless you toldddd the Government you made that money? But, all good ideas for making money for sure. I remember raking leaves as a child and made money too but that won’t support a family. Sounds like an extension is coming…………………. again.
Who pays for the insurance is a straw man argument… Our society dictates that for the special privileges received as a business owner e.g. tax deductions for cost of employee’s including their unemployment insurance, Their business Meals, fuel expenses etc… The corporate business form also receives the additional benefit of personal liability protection and lower taxes.
When an business hires a new employee ALL expenses are considered as part of the cost of doing business and is it profitable to bring on the human resource.
Hudson- You sound like one of the biggest losers I have ever seen. I hope I never accidently hire you or ayone like you.
Obama (Hudson) is that you, sounds just like the man him self…Dumb as a fookin rock!
I have now lost unemployement after being on it too long. I too worked for Olympia Tile! They are heartless and have straw for brains. The people that work for them talk behind their backs and break the law for them continiously without shame or penalty. If you buy any products from anyone in connection with this firm, shame on you. Olympia Tile give Canada a band taste in its mouth….not to mention the USA!!!
I think the younger crowd is a bunch of wet rags!! this is why the rich is rich! they dont suck off the government or let themselves get into a position where they lose thier income!… this is the number one reason why we are falling from being the worlds top dog, and you all are pussies to not go out and make your own for yourselves… thanks to peolple like obama that wanna spread the wealth to the people of this country that wanna sit on thier asses or just enjoy getting free cash… If you served our country in our military then your deserve a check a week, but for those with privelage lifes in thier youth? you need a beat down!!!! i grew up on the streets and knew where i wanted to go in my life without depending anyone and I am self-employed!!! grow up weak asses and make your own instead of blaming others for your own true failures and stand up for yourselves to compete in this world and do it with pride! make it happen! “sucess is a matter of luck, ask any failure!” but at least try, try,try,try,try and keep trying!!!! chase your passion and control the way this country is supposed to work by our founding forefathers!!!!!!!!!!!!!! dont let the government choose for you otherwise we will be world losers like france, and greece…etc..
that wasnt meeeee, im just trying to recliam whats left of my name. sorry for the imposter.
i am the actual hudson parr you imposter
I was doing a research project and found a comment using my name. i think it was another student from my class. sorry for the ignorant comment. wasnt me dont affiliate that comment to my name. although more wealthy people pay higher taxes that doesnt mean they support poor people. sorry for the comment
theres like 10 poeple commenting on this with my name
Here is the quandry: Employers pay for unemployment compensation thru taxes… HOWEVER; Employers factor this into their total operating costs and when their costs go up due to loss of sales or paying more unemployment taxes…they simply pay their remaining working employees less in order to compensate. In a down economy they can’t increase prices… or lower costs. So the net effect of our friends and neighbors being unemployed is a loss for everyone, employed or not… It’s true…deadbeats who are satisfied to sit on their collective butts when they really could be working are costing working stiffs money in pay that they could be collecting if their employers didn’t have to pay higher unemployment taxes. Truth is…when you are doing your best to stay employed we all win together or we all lose together. My heartfelt thanks to those who have enough personal integrity to try to go to work even at a job that pays less than they could be making in a better economic environment. You are not only helping yourself, you are helping all of us to survive. To those deadbeats who are satisfied to sit around whining when they could be working…shame on you and bite me… you are a bunch of losers and a drain on society!!!!
So I’m a deadbeat because I collect unemployment. I started working when I was fourteen. The place I was working at closed down and didn’t let us know until a day before. So I decided to collect unemployment and go back to school. I’m not a lazy ass that sits around living off the system. Not everyone who’s collecting unemployment is. We’ve worked our whole lives and now we gotta chance to collect unemployment, relax a little, do what we need to do and never had the chance because of working full time. UI is for people who’ve worked and gotten screwed around, its not like we’re people who’ve sat around and live of the system our whole lives. I feel like I deserve to be able to go to school full time and collect a little money, hell I’ve been busting my ass all my life.
USGOVINFO,
You are correct, employers pay that tax into a pool. That pool was meant to be a short help for those people getting laid off and was never meant to be a full time never-ending flow of money. I know for a fact that quite a few, possibly not all, have said why should they look for a job when the government is sending them a check.
The pool will soon be gone if we continue giving out all that money. Time to stop it. Buy seeds, plant a garden, build a hen house or catch a few fish is what they should do. Government needs to stop the give away and work on the trade agreements that are the main problem with lack of jobs.
at Mary Poppins: Your comments speak for themself… Your entitlement mentality is what is bankrupting America. If you are going to school to better yourselve so that you can once again be gainfully employed then I commend you. HOWEVER; If, as I suspect, and as your comments indicate you are just laying low and taking a vacation on the taxpayer’s dime because you think you deserve it…then as far as I’m concerned… if the “deadbeat” shoe fits… wear it baby!!! You’ve earned it and whatever else comes with it…
I was laid off in June 2010. I was working as a Purchasing Assistant for an Oil and Gas company. Early this year it began to get very slow in the amount of equipment we were buying to be exported for sale. I was laid off due to the economic downturn and took UI benefits. I applied at 55 different places and did not get but 2 interviews in a 3 month period. This economy is going to ruins!!! I worked there for 7 months and employers are asking for a degree( I only have an AA degree and did not money to complete my Bachelor’s) and experience- two things that i don’t have. Companies are really cutting costs. I’m not sure what is too blame. I remember before when I would apply at several places and I would get like 5 different companies calling me to interview.. Those were the good old days !!!
Climatewiz said, “I suspect, and as your comments indicate you are just laying low and taking a vacation on the taxpayer’s dime because you think you deserve it.”
That’s exactly what I’m doing. I got laid off 20 months ago and am still getting unemployment. I don’t try very hard to find another job. I lay around all day and watch tv, movies, and play video games. I’m glad I don’t have to fight traffic and bad weather and fools like you at a crappy job. I also get food stamps, heating assistance, and medicaid. My life has never been better, all thanks to the retards that laid me off after I worked for them for 15 years. I sure hope that their unemployment taxes go WAY UP!!!!!!!
at Texas Resident: Hang in there Texas. 3 month outlook is getting better for hiring. Look at oilfield pipe valve and fitting suppliers and mill, tool and safety for openings. Durable goods on the rise and with that comes jobs.
at JokesOnYouFool: I rest my case… Your comments kinda sum up the root of the problem. But… don’t worry…when you wear out this final extension of UI benefits and are actually motivated to look for a job cause you’re hungry I will be sure to watch out for you and all of the other people who think like you that spent the full 3 years on someones else’s dime when they really DID have opportunities to work but DIDN’T take them… Yesireee…. that’s the ones I’m gonna hire…..NOT!!!!! You are the “FOOL” if you think other potential employers are NOT going to have the same mind-set and look at you the same way when considering who to hire and who not to hire. The jobs are going to go to those who really tried their hardest to find employment. Now, that being said… May God bless all of you who are trying your hardest and are discouraged. Especially at this Christmas season. I really don’t mind supporting (financially and otherwise) those who try their best and are still honestly in need. Fortunately, that is also the outlook of most Americans. It’s a priviledge,an honor and my responsiblity.
Mary Poppins, Yes you are a dead bead and a fool, you finished college or adult education before you entered the work force and got a better job instead of flipping burgers. You didn’t get screwed you screwed yourself.
Is anyone else suffering depression from losing their lifelong careers? I can’t think straight. I can’t sleep. I feel so violated ……………………. 30+ years and nothing…………..
………………………zip……………… no hand shake. nothing.
Unemployment ran out. A child and mother at home and there are no jobs. God Bless the U.S.A.
I was laid off in august 2010 after working for over a year as a temporary employee. I know most of you are thinking I’m a deadbeat, that’s far from the truth! I am a mother of two, a 5yr old and a 3 year old, also married! I do want to point out that being laid off was neither my decision or choice! For those that has had everything handed to them wouldn’t know how it feels to be laid off and have to apply for benefits, I honestly was embarrassed and saddened by the whole deal due to the reason I was laid off! It was because they couldn’t hire me I had a family member working there, my husband! I pleaded and asked them to change rules but nothing was done, I’m not understanding why when there was a married couple there already! Anyway I didn’t apply for food stamps or medical assistance that isn’t how I was raised, I did get my unemployment and in the proscess I am searching for a job but if you knew where I lived you would know there is nothing here. By the way the money I am able to receive is a help but not like most I’ve heard! I only draw 170.10 a week. We have bills like anyone else but we just keep our head above water. For the people that want to be mean and leave a harsh comment feel free but I’ve done nothing wrong. I don’t want to draw unemployment but having a family to take care of you gotta do what you have to just to survive! Those that have responsibility knows! Until your in that situation you don’t have a right to say what others should do! I know what I need to do, I don’t need someone to tell me. I’ve worked since I was 16 and this is the first time I’ve got money for unemployment was laid off in 2003-2004 but didn’t apply cause I didn’t have kids then! They are my number one priority and if that means unemployment til I find a job, so be it! I know this is long I’m sorry! Just wanted to put my story on here also! I have deepest sympathy for those who are out of work and hope and pray for you all to find a job! Thanks for reading this!
I’m sorry for your hardship “imtrying”…….
I pray it all turns around for you very very soon!
God Bless You and your little family.
That’s fine to ride unemployment. Just don’t ride the food stamp and free lunch gravy train. I shouldn’t have to pay to feed your family. I understand there are emergencies, but working in schools I see several people take advantage of the system.
I’m someone who has had to file for unemployment recently! I don’t consider myself lazy and this was a last resort decision! I was recently injured at work and workmans comp. is screwing me on medical and benefits! I have works all of my adult life and have never asked for a handout but these benefits are here for a reason! Yes I will agree that there are those that abuse the system, but not everyone who has to draw unemployment should be viewed as LAZY! Please look at the comments you write and remember that you could possably be where I am today! I pray this never happens but It is a possibility!!!!!
Dave… YES…. I do believe in giving business to those who don’t screw their employees or the public. I was speaking to others in earlier posts here. You shop where you want… and I know many who work for the box stores and have been treated kindly. Unlike the little shop of horrors….not to mention they import over 75% of their goods to sell here anyways. Buy American / Sell American is what everyone should be talking about.
Yeah… nobody has american made materials here. It’s all over the news. This weeks news cast covering about the clothes you have on right now. Which ones were made in the states? Guess what… NONE of them! Same goes for everything….. parts, cars, home goods, etc. Go to your local flooring store. The place would be emptied if they took out each tile that was imported from another country and manufactured in another country! Read the boxes and the back of your products!! All of this means… NO need to hire americans in america…. and just because they have a location in the states to store these goods… doesn’t mean it was made by american jobs. Do research… spend your money on american made … it will only help the future for US Americans.
I can understand being granted unemployment compensation against a former full-time employer when you lose a full-time job. What I don’t understand is being granted unemployment benefits also from your part-time employer when you are still employed part-time… Isn’t that called double dipping?
I was teaching at a technical school, received an award for teaching excellence, then was terminated shortly after for “not meeting performance standards”. I received unemployment. I worked several jobs after that and went through various forms of abuse from employers who knew they could fire me at any time for anything since it is an “at will” state. I decided to go back to school for nursing. I’m not materialistic and live in a one-room efficiency. I take the bus every day and am very frugal. I don’t even have a TV. I’m not out to make money…just want to get to a place in my life where I don’t have to choose between groceries and the electric bill. Then I can focus on someone else’s needs. My existence is more meaningful if I can help someone else. That is my goal…to be able to help someone else.
Have seen many signs of hiring lately… I know this is a good sign. Signs on the doors at Kroger, Menards, Home Depot, Halloween USA, etc. Many departments in each store too. Good luck!
@Tucker: You said,
“Hudson….20-30 hrs a week at $50 an hour…I assume you dont have a family on 18k a year…I wouldnt say you figured it out but that you are an idiot and that you have reached your full potential”
(20hrs week)(52 weeks)=1,040 hours
(1,040 hours)($50/hr) = $52,000 year
If he worked 30 hours he would make $78,000. Get better at math before you talk shit on people.
First to Mojo..idiot..read closer it said he works 20 to 30 hours a MONTH. Second, I have worked since age 14 (I’m 42 now) and have earned 2 four-year degrees and have technical certifications as well. I have been downsized from great jobs throughout in my career and have never tried to get unemployment before. I always took a job no matter what. I recently left a pizza delivery job (I was downsized from Central Parking where I was an area manager for 4 years prior to pizza delivery) to take a better job loading trucks for $10 an hour. I busted my ass 55 to 65 hours a week for over a year. I hurt my back 2 times (bulging discs) and also tore my rotator cuff, with no insurance and no money to pay a doctor. I was afraid to claim workman’s comp for fear of being fired. I worked thru all the injuries and just one month ago I was suddenly fired without notice. Was told they couldn’t afford me any longer. Found out from a work friend that I was replaced the following day by an immigrant for less money. I plan to collect unemployment for as long as I can stand it because in a crappy economy I have taken crappy job after crappy job and still get screwed. Now my resume looks like hell and I will be lucky to ever get a decent job again. Yes there are jobs here if you want to bust your ass for peanuts and total disrespect. Not me, not any more. Don’t buy from Mid South Produce if you have the chance.
Hello to all fellow peeps who got screwed as I did in this fine fine economy. I am not lazy nor have I ever been. When I divorced my abusive mean a** husband I worked 3 jobs to take care of my kids and myself as to not land in the system. I literally worked 24 hours a day a fews days a week while establishing my career in mortgage business. (BIG MISTAKE BTW) I am not complaining by any means but I think its awful when people say that people who collect unemployment are lazy. Since 2008 I have lost multiple jobs among other things and have struggled but have always pulled up my boots by their straps and went back out and muddled through the mess. I DON’T want any one to ever feel bad for collecting on their unemployment it was put into place to help people. I have yet to meet some who can live such a small amount of money but some thing is better than nothing. Nothing is exactly what this economy has offered. Collect your unemployment proudly because you worked your butt off to just end up a product of our broken government. It is not less than brutally difficult but hold you head high and believe that will get because it will have faith thats all we have left! Prayers go out to all of you including you bashing grouchy peeps.
Unfortunately I have to tell you that you are ignorant.I just got fired from my job after I put up with a hostile environment for a little over a year.How am I supposed to live until I find another job when I have school loans, mortgage and other monthly payments?The amount of unemployment is half of what I was making when I was working but it is my right to use my unemployment until I find another job.Believe me, it does not feel good to lose your job……Before you speak again I would suggest to do a little bit of thinking…..