Bill to end pandemic-related federal unemployment benefits heads to Cooper
(The Center Square) – A bill that would end federal unemployment benefits sparked by the COVID-19 pandemic in North Carolina is on its way to Gov. Roy Cooper.
The North Carolina General Assembly voted Wednesday to cease $300 and $100 weekly supplemental payments for unemployed workers. If Senate Bill 116 becomes law, North Carolina will join 25 other states that have opted out of the federal assistance.
“With a severe labor shortage, now is no time to pay people extra money not to work,” Sen. Chuck Edwards, R-Henderson, said. “The pandemic is largely behind us, and our state shouldn’t be stuck in mid-pandemic policies.”
North Carolina’s unemployment rate decreased 8.7 percentage points in May compared to May 2020. The number of unemployed North Carolinians decreased by 11,691 over the last month to 239,523 and decreased by 407,991 over the year.
If SB 116 becomes law, an unemployed worker would have to accept a job if it pays at least 120% of the weekly unemployment benefit. They must also respond to interview offers within 48 hours and show up to scheduled interviews.
The House approved the final version of the bill, 66-44 Wednesday. The Senate voted 26-22 in favor of the measure that day. It was sent to Cooper on Thursday.
Democrats in the House said the state would stand to lose $500 million in federal aid if they choose to end the program early, while the state’s unemployment rate has dropped below the national level. North Carolina’s unemployment rate was 3.9% in March 2020 at the onset of the pandemic. As of May, the unemployment rate is 4.8%.
Democrats also argued that workers need higher wages and child care to return to work. The bill also allocates $250 million in child care assistance to make it easier for parents to return to work.
Cooper has advocated for an expansion of the state’s unemployment benefits. The governor has 10 days to sign or veto SB 116 before it automatically becomes law.
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