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Maryland Ending Enhanced Unemployment Benefits

By
Industry Observer with Retired

Maryland Ending Enhanced Unemployment Benefits

 

As of July 3, Marylanders who have been collecting enhanced pandemic unemployment benefits will no longer receive them.

Gov. Larry Hogan announced that Maryland is discontinuing the extra $300 a week benefit as well as reinstating requirements that those receiving unemployment benefits must show they are actively searching for work.

“Our health and economic recovery continues to outpace the nation, and we have reached the benchmark set by President Biden of vaccinating 70% of adults,” Hogan said in a news release. “While these federal programs provided important temporary relief, vaccines and jobs are now in good supply. And we have a critical problem where businesses across our state are trying to hire more people, but many are facing severe worker shortages. ”

County Executive Marc Elrich called ending these benefits “premature,” noting that while the pandemic is winding down, businesses are far from fully recovered.  He would like to see the benefits continued for at least three to six more months.

“Restaurants are not full,” he said. “You don’t see life returning the way you did before,” Elrich said, noting that a visit to the newly reopened Silver Spring library and a walk around the area made him realize that while “the pandemic is basically suppressed,” many businesses are still closed and others reopened with a smaller staff than they had 15 months ago.

In a news briefing Wednesday, Maryland Delegate Eric Luedtke called Hogan’s decision “cruel,” noting that the money came from the federal government, therefore making it “free money” for the state.

By ending the extra unemployment benefit, 15,000 families in Maryland will be hurt, he said. Also, those families will not be pumping that money into Maryland’s economy, he added.

Luedtke said “it was simply not true” that people were not seeking work because of the extra benefit. He pointed to a J.P. Morgan Chase and Co. Institute study that said, “We find little evidence that elevated unemployment insurance benefits discouraged people from returning to work. Job finding showed no sustained increase after the supplement expired. Furthermore, we observe that more than half of jobless workers who received the $600 supplement returned to work before the supplement expired.”

As of the week ending May 22, 1,767 Montgomery County residents filed initial claims for unemployment, and 15,182 initial claims were filed throughout Maryland.

Beginning the week of July 4, Marylanders receiving unemployment benefits will have to show they were engaged in three reemployment activities each week. Besides applying for jobs, that can include submitting a job application with the Maryland Workforce Exchange, completing a workshop at an American Job Center or attending a job fair. There are American Job Centers in Wheaton and Germantown.

Since March 2020, the state has paid out more than $12.3 billion in unemployment benefits to 730,759 recipients. Maryland Community Media

 

ABOUT SUZANNE POLLAK

Suzanne is a freelance reporter with Montgomery Community Media. She has over 35 years professional experience writing for newspapers, magazines, non-profit newsletters and the web.

 

 

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Roy Kelley, Retired, Former Associate Broker, RE/MAX Realty Group

Gaithersburg, Maryland  

Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

Good morning, Roy. Our Governor in South Carolina stopped this some weeks ago. Still waiting on the North Carolina Governor to do the same. We have so many businesses in the area that are desperate for workers who've been sitting at home. 

Jun 06, 2021 04:55 AM
faye schubert
Retired - Branson, MO
Living the Branson Lake Life

In a tourist area of Branson, it is critical to have workers. This extra unemployment money has been terrible. Missouri stopped the extra payment, so we hope things will improve. 

Jun 06, 2021 05:18 AM
Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400
The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803 - Plainview, NY
Long Island Condo and Home Specialists

I have read that this is happening in some other states too. I hope though, that workers can find jobs again.

Jun 06, 2021 07:10 AM
Rocky Dickerson
Realty One Group - Las Vegas, NV
Superior Service!

Hey there Roy! Great job on getting the news out to help your community

Jun 06, 2021 11:53 AM
Ed Silva, 203-206-0754
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Good For Maryland.  Here in Connecticut, business are crying for workers but with the extended benefits people would rather sit home and collect for doing nothing

Jun 06, 2021 05:15 PM
Myrl Jeffcoat
Sacramento, CA
Greater Sacramento Realtor - Retired

I was sitting here doing the math the other day.  $300.00 a week is $1200 a month extra on top of the regular unemployment benefit.  That's a powerful incentive to not be overly eager to return to the workplace.  

Jun 07, 2021 06:40 PM
Roy Kelley
Retired - Gaithersburg, MD

Thank you very much for your comments. It is always good to hear from you.

Jun 08, 2021 10:38 AM