Study Shows States Experienced Minimal Savings by Cutting Unemployment Benefits
According to a recent study, many states that cut back unemployment benefits post-recession actually experienced minimal savings.
The Economic Policy Institute (EPI) issued the study and discovered that six of eight states that cut benefits didn’t have significant savings as a result. In fact, the states saved merely 37 cents per week for every employed worker in their state. This is in comparison to the $252 lost by unemployed workers on a weekly basis.
In a statement, Joshua Smith, one of the study’s authors, said:
“The key to prevent unemployment trust funds from becoming insolvent is to raise more revenue in good times to be able to spend it in bad times.
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