Local economies benefit from state, federal unemployment stimulus funds

For Immediate Release: July 9, 2009

OLYMPIA � State and federal stimulus packages have pumped an additional $130 million into Washington�s economy since earlier this year through higher unemployment benefits for jobless workers.

�This additional money is helping our families put food on the table and keep a roof over their heads during these difficult economic times,� Gregoire said. �Benefits go directly to people who need help and are spent locally to boost business and save jobs. Every dollar in benefits results in another $1.64 of buying power.�

Under the federal American Recovery & Reinvestment Act, unemployment benefits were temporarily increased by $25 a week for most existing and new unemployment claims filed on or after Feb. 22. So far, the extra $25 totals about $82 million to more than 307,000 claimants.

Under the state�s own stimulus legislation, the Economic Security Act, the minimum weekly benefit was temporarily increased to $155 a week beginning May 3. Another $45 a week was added to the minimum and most claims. So far, the state-approved stimulus benefits have totaled more than $48.2 million to 213,000 claimants.

Both the state and federal stimulus increases are set to expire at the end of the year.

�Our state�s economy would be in worse shape if we didn�t have an unemployment benefits system,� said Employment Security Commissioner Karen Lee. �The temporary stimulus increases provide some extra relief for workers and local communities at a time when it�s very difficult to find a job.�

In total, Washington�s Employment Security has paid $1.63 billion in unemployment benefits so far this year. The average weekly benefit is about $436, including the temporary stimulus increases.

Because of the recession, unemployed workers in Washington who use all of their �regular� unemployment benefits may claim up to 33 weeks of emergency unemployment compensation and up to 20 weeks of extended benefits, for a potential total of 79 weeks of benefits. Individuals enrolled in approved worker-training programs may qualify for even longer benefits.

Lee encouraged people who need help finding a job to contact their local WorkSource career center. WorkSource is a partnership of Employment Security, other state agencies, local governments, colleges and nonprofit organizations that work together to provide free employment and training services to job seekers and employers. More than 270,000 people in Washington received assistance from WorkSource in 2008.