Potential State UI trust fund Impact after September 6th for States Remaining “On”
After a year of extremely high unemployment rates, regular extended unemployment compensation is beginning to trigger off in many states. The triggering off is due to reductions in the Total Unemployment Rate below 6.0% and the fact that the number of claims filed now is no longer significantly greater than the same period in the prior year. This automatic triggering “off” state by state reduces the total number of weeks of unemployment compensation available to those who remain unemployed and creates an administrative issue for states in explaining the change and in implementing the programming on a timely basis.
As of the most recent trigger notice from US DOL posted for April 4, 2021 Trigger Notice Report (doleta.gov) the number of states remaining “on” regular extended unemployment compensation is down to 16, including AK, CA, CO, CT, DC, IL, MA, MI, NV, NJ, NM, NY, PA, RI, TX, and the Virgin Islands.
In those states continuing to be triggered “on” regular EB, at least through the week ending prior to September 6, 2021 (based on the ARPA extension) there will be 100% federal reimbursement for regular EB payments from state UI trust funds. States continuing to be triggered “on” regular EB for weeks ending after September 6th should be aware that if the 100% reimbursement is not continued there will be increased charges to their UI trust fund accounts.
