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Unemployment benefits

Is NC heading for another special session? Perhaps.

The folks over at NC Policy Watch pointed out yesterday that jobless benefits for 25,000 long-term unemployed North Carolinians will stop at the end of the month.

The issue is very similar to one that provoked a war of words (and a veto) between Gov. Bev Perdue and the Republican-controlled General Assembly last summer. (Background here and here.) There's an extra dollop of contentiousness added to the issue given the ill-will between senate Republicans and Lynn Holmes, who heads North Carolina's employment security agency.

The bottom line, asWRAL reports, is that some sort of fix is needed. And if that fix requires a change in state law, that would mean another special session.

House Speaker Thom Tillis and Senate President Pro Tempore Phil Berger sent out the following release this afternoon:


Raleigh, N.C. – Senate President Pro Tempore Phil Berger and House Speaker Thom Tillis on Wednesday responded to questions about changes to federal unemployment benefits.

The state budget approved in June extended long-term unemployment benefits in North Carolina until the federal deadline of Dec. 31, 2011. But the U.S. Congress recently extended those benefits for an extra two months, requiring a change in state unemployment law to comply with the new federal law.

Below is a joint statement from Berger (R-Rockingham) and Tillis (R-Mecklenburg):

“The General Assembly is ready to work with Gov. Perdue to resolve this issue. If Gov. Perdue believes an immediate fix is required, then we encourage her to take the appropriate action and call the General Assembly back for a special session.”


One senior legislative aid said that the Republicans really were trying to work cooperatively the governor on the issue. But given the recent midnight madness, there might be some unease on both side with the idea of calling the legislature back to town yet again. 

Update: Gov. Perdue sends word that no special session is needed. She has signed an executive order to take care of the problem. From a news release:


“Middle class families across North Carolina are working harder than ever, but many are still having a tough time. I signed an executive order today that will extend temporary benefits to approximately 25,000 unemployed North Carolinians. In addition to providing desperately needed financial help to the families that actually receive the benefits, these federal dollars will help all North Carolinians because the money will circulate throughout the economy and help support large and small businesses across the state. To be clear, we’re able to achieve these results with no impact on the state budget because all extended benefits resulting from this order will be paid with 100% federal money.”


Program Note: I'll be off for a few days. Blogging will resume next Wednesday.

Comments

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retiree

January 12, 2012 - 10:18 am EST

At what point do we stop unemployment benefits? Or, do we follow the European model (England??) and extend them for life? Temporary benefits is one thing, but long term benefits breeds a culture of not worrying about getting a job.

rooster8786

January 13, 2012 - 12:29 pm EST

define long term? As one who has worked, and paid into the system, for over 30 years, I would like to know the benefit will be there if needed. Since unemployment only pays 55% of what you made, how long can your finances afford a 45% pay cut?

retiree

January 14, 2012 - 8:42 am EST

Funny, I didn't mention long term but now that you asked how about more than 2 years? What's wrong with our unemployment situation is we have people who are on unemployment and aren't willing to take a job that pays the same as the unemployment, so they just wait it out thinking a job will come up that pays them what they were making. I was once unemployed for about 18 months and eventually took a job that paid 40% less than I was making before, but I took it since it had benefits and was permanent. Too many people seem to want to wait it ouot with renewable unemployment benefits which are used as a pawn in the political game.

Doug Johnson

January 12, 2012 - 6:16 pm EST

I agree retiree. I know folks are hurting now, but this forever unemployment checks, is getting out of hand.
Wonder were Perdue thinks that federal money comes from.

hgals01

January 13, 2012 - 11:10 am EST

Stop talking about "Middle Class", we are all Americans! Your class warfare is not lowering the unemployment rate.

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