States cutting unemployment benefits didn't get people back to work, study finds
- Twenty-five states have ended all or some federal benefits paid to the unemployed, including an extra $300 a week. Another state, Louisiana, will do so later this month.
- States said the benefits were keeping people from looking for work. Critics claim Covid-related factors may instead be sidelining workers.
- The first states to withdraw support didn't see a jump in jobs in the weeks following their withdrawal, according to an analysis published by Arindrajit Dube, an economics professor at the University of Massachusetts Amherst.
State withdrawals from pandemic-era unemployment programs aren't speeding up the job recovery, according to a new analysis.
Twenty-five states have ended their participation in at least some of the programs since mid-June. Louisiana, will do so July 31.
Those measures offered aid to the long-term unemployed, gig and other workers ineligible for traditional state benefits and raised pay by $300 a week.
State governors, largely Republicans, said the federal funds were keeping recipients from looking for jobs, making it harder for businesses to hire and holding back the economic recovery.
However, Census Bureau data …
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