Over 7mn U.S. Workers to Lose Unemployment Benefits

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As pandemic social programs expire on Monday, more than seven million individuals in the United States will lose their jobless benefits, The Hill reports.

If the government does not intervene, the emergency federal welfare benefits will expire on Labor Day, and another three million individuals would lose their $300 increase to state unemployment payments.

According to The Associated Press, the White House has stated that there are no plans to increase federal jobless benefits any more.

According to Jared Bernstein, a member of the White House Council of Economic Advisers, 22-trillion-dollar economies function in large part on momentum, and that there is a  tremendous momentum heading in the proper way on behalf of workers in the United States.

The benefit cliff, which took effect on September 6, was part of a March agreement to prolong federal unemployment help from the $1.9 trillion COVID-19 relief measure. The economy appeared to be on the mend at the moment, with COVID-19 vaccinations becoming more freely available and summer activities resuming.

However, a string of disappointing job reports during the summer dashed these optimism. A decrease in hiring was noted in the August employment data issued last week, signaling a tighter job market moving into September.

At the moment, the one-week average coronavirus case tally is over 150,000 which is similar to rates reported in January.

As per The Washington Post, there is increased unease in the White House over the termination of jobless benefits, as some in the Biden administration are afraid that the sudden halt to help would force many people into poverty.

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