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The Unemployment Insurgent Program

Minority Unemployment

The biggest problem that arises in the lives of workers is unemployment. There is a lack of jobs and not enough work for the youth. A person who does not have a job but actively seeks work to do is known as an unemployed person. Youth unemployment rates are historically high than the adult rates in every country in the world.

There are so many reasons behind unemployment in countries around the globe. The first reason that we come up with is the quality of education. Most of the unemployed people are those who have primary or less education. Although, high education does not always guarantee a good job but it does help in landing a suitable job most of the time! Second is, that companies or offices hire the young workers in temporary forms of work like internships and short-term contracts and when a firm downsizes, it fires these workers.

The unemployed people face so many consequences in their life. What can be more unfair, that they are willing to do work but are not getting any? Unemployment has many direct and indirect impacts on lives of young people and their families. Due to unemployment, many people are becoming victims of depression and anxiety. Crime rate also increases due to unemployment because their needs force them into doing wrong things to earn money.

Unemployment also affects the economic growth of the country as so many people are not working which causes non-productivity. The young people who are at the age of 18- 26 seriously consider migrating to other places in order to find work. As it is not easy to spend life without working and earning because nothing comes in free. Money is such an important part of life as there are so many desires that a person wants to fulfill and without money it is not possible and without a job or work earning money is also not possible.

The rate of unemployment in the United States has increased in last five years. Youth unemployment rate has increased 10 percent more. For solving the problem of unemployed workers, the country provides them with some benefits. These are known as Unemployment Insurance Benefits.

Unemployment insurance is also known as unemployment benefits or unemployment compensation. It is a form of social welfare payments made by the state or other authorized bodies to unemployed people.

In 1932, unemployment insurance was launched in Wisconsin in the United States. The federal government of the United States effectively promoted the individual states to adopt unemployment insurance programs through the Social Security Act of 1935.

Unemployment insurance is organized as a federal-state system and it provides basic income support for unemployed workers rather than retirees. The program is designed to provide limited income replacement to regularly employed members of the labor force who become involuntarily unemployed. It means people who become jobless for a reason other than misconduct. Benefits are paid weekly to workers who are qualified as a matter of right, according to benefits schedules or formulas specified in the law. Benefits eligibility and amounts are related to previous contributions by or on behalf of the worker.

WHO SHOULD AVAIL THIS?

In order to receive benefits payments, a person must meet the unemployment insurance (UI) eligibility requirement. When an unemployment insurance claim request is filed and a certification is submitted all the eligibility requirements must be fulfilled before benefits can be paid by the Employment Development Department (EDD).

An individual who files for unemployment insurance benefits must meet the following eligibility requirements before benefits can be paid. The  individual must:

  • Have worked for at least one quarter in the previous year.
  • Be laid off by an employer.
  • Be unemployed through no misconduct.
  • Be physically able to work.
  • Be available for work.
  • Be ready and willing to immediately accept work.
  • Be actively looking for work.
  • Be approved for training before training benefits can be paid.

Workers who meet these eligibility conditions may still be denied unemployment insurance benefits if they are found to be responsible for their own unemployment. If the worker is receiving certain types of income such as pension, back pay, or workers’ compensation for temporary partial disability, the benefits may be reduced. Unemployment benefits are subject to Federal income taxes.

An individual must certify for benefits by submitting a certification online, over the phone, or by mail. The EDD will schedule a phone interview if the information on the certification shows that the individual did not meet the eligibility requirements. Benefits may be reduced or denied it depends on the information that is obtained from the individual.

BENEFITS OF UNEMPLOYMENT INSURANCE

The unemployed workers in the United States who are eligible to claim the benefits are given between 40-50 % amounts of their previous pay. These benefits are paid by the state government, the state funds it in large part and by the federal payroll taxes imposed on employers, to the workers who become unemployed without any misconduct of their own. The benefits are based on the quarterly earnings of an individual. The time period and value of an unemployed benefit are determined through the previous amount of earnings and number of quarters a person had worked. Although the maximum time limit of an individual to receive this benefit is 26 weeks.

These benefits are good for unemployed persons and give them support to some extent. And it somewhat helps them.

CONCLUSION

For permanent and temporary workers more balanced employment protection is needed. The country should maintain the level of education. There should be a high and equal level of education in reasonable fee for every individual of the country so that maximum persons could meet the criteria of available jobs. The country should take measures and try to create opportunities for the unemployed population.

Although, Unemployment Insurance scheme is very beneficial and useful for the unemployed workers. The procedure to file a claim is also not difficult and lengthy but yes there are rules and conditions applied. The person should be able to work, willing to work, and should not be responsible for his own unemployment. Otherwise, the individual’s request to claim the benefit will be denied.