Federal Unemployment Benefits Set To End for 7.5 Million Americans
SAN FRANCISCO (CBS SF) -- Federal unemployment benefits, including weekly $300 payments, are set to end by Labor Day for more than 2 million Californians. This will be the largest cut off of unemployment benefits in US history, and it is leaving many people anxious.
"Sleeplessness... it's a lot," said Giselle Manzano, who is losing unemployment benefits.
"My inner voice is just me yelling and screaming: 'What am I going to do? What am I going to do? What am I going to do?'" said Gustavo Maria, who is also going to be without the extra cash.
The additional income assistance is also set to expire for part time and freelance workers who were not typically eligible for unemployment.
While many companies say they're trying to fill positions with incentives like signing bonuses and higher pay, they're often having trouble getting any takers.
"We're still in a pandemic. The idea of being close to hundreds of strangers a day, even while being vaccinated, that's not something that appeals to me in anyway," said Michael Kittle, who is currently collecting benefits.
Ending benefits doesn't necessarily mean people will flood the job market.
According to data from April to July, the states that ended federal benefits early saw just under a point in growth, while those that kept the benefits saw nearly twice as much.
This comes on the heels of Friday's disappointing August jobs report.
"There's no question the Delta variant is why today's jobs report isn't stronger. I know people were looking, and I was, hoping for a higher number," said President Biden.
While unemployment ticked down, the number of average COVID cases hit six figures once again - forcing Americans to scale back on hiring and purchasing. Consumer confidence also hit a 6-month low.
President Biden and Congress do not plan on extending the extra weekly assistance. He urged states to do whatever they can to help those out of work.
