Business

The states are ending federal unemployment advantages this week

A Help Wanted sign in the Queens borough of New York on June 4, 2021.

Spencer Platt | Getty Images News | Getty Images

There are 25 states that are ending their participation in state unemployment programs early – some as soon as this week.

Alaska, Iowa, Mississippi, and Missouri will be the first to join from Dec.

They represent a handful of the 25 states that will be doing the same in the coming weeks through July 10th.

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In total, around 3.9 million Americans will be affected by government decisions, according to Daniel Zhao, Senior Economist at Glassdoor, a job and recruiting site.

The states, all run by Republican governors, claim that improved unemployment benefits provide an incentive to stay at home and make it difficult for companies to hire.

Critics say other pandemic-era factors such as persistent health risks, childcare obligations and early retirement are the main drivers of any labor shortage. Ending income support prematurely could also undermine economic recovery, they said.

Unemployment programs

A handful of states offer a re-entry bonus of up to $ 2,000 in lieu of improved unemployment benefits, though there are caveats such as limited availability.

Here is a list of all of the states that are opting out: Alabama, Alaska, Arizona, Arkansas, Florida, Georgia, Idaho, Indiana, Iowa, Maryland, Mississippi, Missouri, Montana, Nebraska, New Hampshire, North Dakota, Ohio, Oklahoma, South Carolina, South Dakota, Tennessee, Texas, Utah, West Virginia, and Wyoming.

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