Thousands to lose jobless benefits : News-Record.com : Greensboro & the Triad's most trusted source for local news and analysis

GREENSBORO — A little good news for the state’s economy could be a crisis for about 37,000 people who draw unemployment checks every week.

The state’s unemployment rate has dropped, and it no longer qualifies for extended unemployment benefits from the federal government.

People who get benefits under a 20-week extension won’t get any more checks starting April 16 .

“We have seen the unemployment rate fall in North Carolina over the past year or so, and on one hand that’s a good thing, but on the other hand that’s driven by the contraction in the labor force,” said John Quinterno of the Chapel Hill research firm South by North Strategies told the Charlotte Observer.

The state estimates that 2,271 unemployed people in Guilford County will lose benefits, according to a March 19 count.

“It’s really kind of out of our control,” said Larry Parker , acting public information officer for the N.C. Employment Security Commission.

A 1970 federal law uses a formula that automatically triggers the benefits to begin and end. The formula compares rolling three-month averages of the unemployment rate to previous years to measure economic trends.

The state’s unemployment rate dropped to 9.7 percent in February compared to 11.4 percent in February 2010. That triggered the federal government to cut the extra benefits that workers in the state have received since October 2008 .

“If it is found that the state no longer qualifies for the program, then by law benefits must terminate immediately,” said Keith B. Kelly , communications director for U.S. Rep. Mel Watt , a Charlotte Democrat whose district includes parts of Guilford and other Piedmont counties.

N.C. job seekers are eligible for up to 26 weeks of initial unemployment benefits, plus up to 53 weeks of emergency unemployment compensation through a federal program set to expire in January 2012 .

Qualified job seekers can currently receive 20 weeks on top of that, for a maximum of 99 weeks of government benefits. The state has paid more than $750 million to 234,500 people through extended benefits, Parker said.

The unemployment rate in the state, although decreasing, is still a source of concern for the hundreds of thousands of people struggling to make ends meet. The ESC reported that 435,297 people were unemployed statewide in February.

“You’d like to say, hey, the unemployment rate is coming down, you don’t need extended unemployment benefits. ... But people are out longer and longer,” Quinterno said. “These benefits become, in some ways, even more important the longer you are out of work.”

McClatchy News Service contributed to this report.

Contact Richard M. Barron at 373-7371 or richard.barron@news-record.com

bravesfan6000

April 6, 2011 - 5:05 am EDT

What are the unemployed people suppose to do in order to survive and take care of their families? Do you realize this will cause some to loose their homes and everything they have? I do not think the government gives a dam about the voting public. All they want is for us to vote them back in office. I for one will never vote again. It is a shame that you pay into unemployment and then can't touch your own money.

Waldo Leidecker

April 6, 2011 - 6:48 am EDT

I guess the great State of North Carolina is too busy throwing millions in corporate tax incentives to companies that don't need it to give a damn about the people who do. It would be nice if someone in Raleigh did something, but after trying to get a response from my State Senator Stan Bingham, you might as well be talking to a brick wall. You're right once they're elected they couldn't care less about the voters........until, of course, they're up for re-election again.

terrier2003

April 6, 2011 - 11:04 am EDT

Where exactly do you "pay" into unemployment? Employers have to pay unemployment insurance, but are you referring to your fed and state taxes?

And honestly, I don't think you not voting will make a difference. Somebody will be elected whether you vote or not.

Panacea

April 6, 2011 - 7:59 am EDT

"I for one will never vote again. It is a shame that you pay into unemployment and then can't touch your own money."

Do you have any idea how silly this statement is? Government doesn't do what you want, and your answer is not to participate in the process? Then don't complain. Ever.

You don't put your own money into unemployment insurance. Your employer does. By the time you've hit extended benefits, that money has been exhausted and you are drawing off state or federal funds (ie taxpayer funds). The people getting the 20 weeks of extended benefits that North Carolina is about to lose are drawing federal taxpayer money.

Unemployment was never meant to be a long term benefit, but a short term one to tide people over until they could find a new job. 99 weeks is nearly 18 months of benefits.

I, for one, have complained before about corporate tax incentives, which are basically a form of welfare for corporations. But that doesn't mean I think we should support the unemployed indefinitely. Cutting off those benefits will encourage people to be a little more creative in their job searches. Too many people refuse to search outside their fields, or to consider looking for work in other parts of the state or country. I know one gentleman who was a furniture exec: he refused to look for work outside the furniture industry when his employer went out of businesses. I don't want to support him for 99 weeks because he's never going to get a job in a field that is contracting not expanding.

Move. Go back to school. Start a business of your own. Get a job in a new field--learn to promote yourself.

4boys

April 6, 2011 - 8:13 am EDT

Your comment is quite appropriate, but your math is a little off. 99 weeks is not almost 18 months; it is 5 weeks short of two years.

April 6, 2011 - 11:10 am EDT

I have had clients and friends who were on unemployment and they are looking for a job that "fits" them. Excuse me if I think that somebody should take a position offered even if it is not the dream job. And in the mean time keep looking. The overall problem here is many people seem to feel they are entitled to a better job than those that are offered in some cases. I don't discredit those who can not get an offer, I honestly feel for them. The thing is that Walmart and McDonalds are always hiring. Do what you have to in order to make it.

If you are about to lose your house or may lose it, then sell it and move into an apartment...nobody is entitled to own a house.

retiree

April 6, 2011 - 3:17 pm EDT

Am sure we all believe the letter writer was voicing their frustration, but even though we disagree on some things that are on the various N&R blogs your response was on target. Most people have no clue about unemployment and see it as a never ending source of funds. The majority got out what they put in long ago and the rest was gravy, meaning it was borrowed from the Chinese and we (you and me) are paying for it.

LIBERALLARRY

April 6, 2011 - 8:03 am EDT

UNEMPLOYMENT BENEFITS ARE OUT OF CONTROL. YOU SHOULD HAVE TO WORK TO GET A HAND OUT FROM THE GOV. MANY THOUSANDS OF PEOPLE ARE ON UNEMPLOYMENT A COULD WORK BUT DON'T WANT TO.THIS USED TO BE A SHORT TERM LIFELINE NOW IT IS A WAY OF LIFE. SIT HOME IN YOUR SUBSIDIZED HOUSE GETTING FAT EATING YOUR FOOD STAMP FOOD, AND WALK OUT TO THE MAILBOX A GET YOUR CHECK.PULL YOUR PANTS UP AND FIND A JOB.

sickandtired

April 6, 2011 - 8:12 am EDT

Be careful what you say. Kharma is a b____. Not everyone is sitting in a subsidized house getting fat eating food stamp food. I have worked my whole life and paid for my house and car and everything else. The economy is bad and there are no jobs. I have applied to Dollar General, Dollar Tree and Hardees. I was told I had no retail or food experience. I hope people like you who don't appreciate their jobs lose everything!!!! There are sorry people out there but there are too many unemployed people who lost their jobs by doing nothing wrong!!!!!! YOU SHOULD BE ASHAMED OF YOURSELF!!!! I hope you get everything you deserve!!!

April 6, 2011 - 11:16 am EDT

Nice rant.

Do you Volunteer in the community since you have time?

I know it is hard for others to walk a mile in your shoes. I volunteer and work with a poverty outreach mission and homeless mission. I've heard the stories and I have pity. However, to Larry's point... How are you entitled to my taxes? Employers pay into the unemployment system, but when that coffer is liquidated they use tax dollars to fund it. I'm just curious how you justify taking the tax money?

April 6, 2011 - 11:29 am EDT

I am not taking any tax money. I am not drawing anything. The point I am making is that not all unemployed people are sorry and living off of the government. Stop lumping everyone together. If you know someone is taking advantage then don't like that person. That does not mean the whole world is doing it.

April 6, 2011 - 11:40 am EDT

The unemployment that companies pay are subsidized by the government. therefore:

1. if you have taken unemployment benefits and pay, you have lived off the government. the government is primarily funded through the collection of taxes and essentially interest on investments.

2. Whether or not somebody is sorry and lazy is an issue I guess individuals can decide on their own.

And I agree that the whole world isn't doing it, just under 10% of the NC population is...at least according to the article.

April 6, 2011 - 11:48 am EDT

Trust me. It is more than 10% unemployment. They are not counting the people who are over 50 who have stopped looking because no one will hire them. Of course, you probably don't believe companies don't hire older workers.

carcrazy

April 6, 2011 - 8:50 am EDT

I for one agree with Larry. I personally have a couple friends that are just too lazy to get up and get another job. I am sorry you were laid off 1 year ago, but there is always something to do! It may not be ideal but it will damn sure show how much you really do love your family. Im tired of working everyday, half my pay check is going to you, and im struggling to make my necessary payments because you want to sit on your butt and wait for that cake job to arrive! GO DO SOMETHING!!! ANYTHING!!!!

April 6, 2011 - 8:31 am EDT

ANYBODY USING A WEB NAME "SICKANDTIRED" IS A LOOSER IN THIS WORLD. CHEERS

General Greensboro

April 6, 2011 - 8:44 am EDT

Enough with the all-caps, Larry.

I asked you nicely on Monday to quit it. So stop.

P.S. Don't pick on someone for their handle. That's a cheap shot.

P.P.S.: The correct spelling is "loser."

April 6, 2011 - 9:03 am EDT

Sickandtired of people like you who think they know everything. You are the loser!

April 6, 2011 - 10:32 am EDT

That's enough, S&T.

Larry: Last warning.

April 6, 2011 - 11:03 am EDT

My point is not to lump everyone into the same category. Not every unemployed person is sorry and lazy. Ask the unemployment office. They will tell you the only people being hired are those who know someone in a company. Companies are not always fair about who gets hired. I know people who are lazy and just collecting a check. I don't think that all unemployed people are like a few of my "friends." For those of you who still have a job, just be thankful and hope you don't have to worry about being called sorry and lazy. If you lose your job and have trouble finding one, you will be placed in the sorry and lazy category too!

April 6, 2011 - 11:17 am EDT

I feel like I'm in elementary school again...

k2ksb

April 6, 2011 - 8:37 am EDT

Panacea, how is the person going to afford to go back to school when he/she doesn't have any money. Going to school cost money. You act like it's free and it's not... And start a business of their own, that's a joke when you don't have any money. Your comments are absurd...

April 6, 2011 - 11:21 am EDT

1. I have 4 friends that lost their jobs and decided to go get a masters. They took out student loans. . . They got a deferral on their older student loans since they were a full time student again.

2. Panacea I think assumes that people saved a little something. Take the insurance industry for instance. 600.00 would get you licensed and registered to sell insurance and that is essentially a starting of your own business...you live and die by how good you are/hard you work.

So it can be done. I know people that literally had 300.00 to their name and got started. They borrowed the other 300.00 and repaid it.

KimberlyGSO

April 6, 2011 - 1:38 pm EDT

Thank you for this post, terrier. The people about to be cutoff need this encouragement. I would love for the N&R to print a collection of success stories from people who were in similar situations and have grown from it.

“POOR is a state of mind. BROKE is, 'I'm just passing through.’” – Dave Ramsey

April 6, 2011 - 2:29 pm EDT

I would love an article allowing people to give others ideas on how to come back from losing your job. If it happens, I hope it is from all age groups and all income groups. Someone's success story could give another person a similar idea. It could also give them that little push to overcome their fears and try something new. Great idea!!

Bosco

April 6, 2011 - 8:51 am EDT

"The party's over." You can sing the rest

April 6, 2011 - 9:56 am EDT

If you search diligently you can still find a few remaining street corners in Greensboro unoccupied by persons with cardboard signs. The entrepreneurial spirit is alive and well in our fair city. Opportunity awaits for those with the desire.

HotRodLincoln

April 6, 2011 - 10:44 am EDT

You folks of NC better get use to it, you wanted Republicans, now you've got Republicans.

April 6, 2011 - 11:35 am EDT

I'm sorry- I thought the article referred to a 1970 law that set the standards. In 1969 the senate was majority democrat 57 of 100. Inthe house democrats held a majority of 243 seats. In 1971 it shifted a little but still majority democrat in senate at 54 and 255 majority in the house.

It was during this time that the dems came up with this law...you can thank them.

mnstr

April 6, 2011 - 11:36 am EDT

99 weeks is ridiculous! I believe in helping people out but extension after extension after extension is not the answer. I worked in a job placement agency and I have seen people turn down good job offers because their unemployment paid more. Or they waited until the end of the 99 weeks and then they were begging for a job. I want to tell them it was their own stupid fault. Finding a job is a job itself and it takes time.

No job is perfect—and the “perfect” job that you were let go from was not really that great. We tend to glamorize.

luap2011

April 9, 2011 - 9:15 am EDT

Very interesting points of view,,,, Since I am directly affected by this I have one also. I started working when I was 16 years of age. (Never drawn unemployment until the second week of October of last year). Went back to school and have been looking hard for a job. I was told I would have unemployment until October of this year. Now I will receive my last check week after next. I was counting on those benefits until October. So those of you who have a job be thankful. Call and e-mail your government officials stop sending jobs out of this country. Or you may find yourself in my position. I trained my replacements in India and was promised it would have no effect on my job.
Guess What happened next !

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