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Unemployment benefits may be in jeapordy

OSCODA COUNTY —The Michigan Unemployment Insurance Agency ,sent out letters, on Feb 17, to those receiving unemployment benefits advising them that federally-funded unemployment benefit extensions may not be renewed by the end of the month if Congress does not act soon.

According to the spokesperson for the Unemployment Insurance Agency, Norm Isotalo, this could be devastating for the state of Michigan.

“As it stands now, if Congress doesn’t act on the extension dates, the extension programs could be no longer in effect,” Isotalo said. “People will still be able to draw their unemployment benefits that they were granted originally. However, if they are looking for an extension on their unemployment benefits at this time and Congress doesn’t move on this issue, there may not be any money left to pay for the extensions. We will have to wait to see how Congress will resolve this issue.”

The UIA reports that if the federal funds are depleted, the impact would be harsh and quick. In Michigan, the average unemployed person collects $290 a week. If this income disappears, it will affect nearly 500,000 households.

Paul Matte, of Mio, who is currently drawing unemployment, said it would be devastating if he didn’t’ have his unemployment check.

“There are so many people like me, out of work and depend on that unemployment check to pay the bills,” said Matte. “Without my check I wouldn’t be able to make my house payment, pay my electric bill or put food on the table. It’s already tough enough to make ends meet with the amount I get with my unemployment. I can’t imagine what I would do if that wasn’t there.”

According to the Unemployment Agency, Congress needs to approve the funding to continue the four tiers of the Emergency Unemployment Compensation program, which now pays up to 53 weeks of jobless benefits in Michigan; the Extended Benefit program, which pays up to 20 weeks of benefits; and the Federal Additional Compensation program that pays an extra $25 per week in unemployment benefits.

The UIA indicated that without Congressional approval, those collecting EUC will only be able to draw out the remaining benefits they are entitled to through the EUC tier they are in, as of February 28 but will not be able to move into the next tier.

“If no congressional action is taken, then half a million people will be affected in Michigan alone,” Isotalo said.

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