Individuals unemployed due to COVID-19 are now eligible to receive an additional $300 per week in unemployment insurance (UI) benefits from the federal government.
The Federal Emergency Management Administration (FEMA) on Friday approved the Michigan Unemployment Insurance Agency’s (UIA) application for the funding. The Whitmer administration applied Tuesday for this additional federal UI payment which was made available states under a new presidential executive order.
The UIA estimates approximately 910,000 Michigan workers will be eligible for the supplemental benefits retroactive to August 1. The extra $300 federal payment will added to an individual’s state weekly benefit amount. The maximum any one person would be eligible for would be $662 per week ($300 federal plus up to $362 state).
The new benefit is less than the $600 federal boost that expired at the benefit of July. President Donald Trump issued an executive order last week to replace the extra $600 federal UI payment authorized under a previous congressional stimulus bill with the $300 payment and a $100 match from states. Michigan received authorization to pull that $100 from the $362 it would otherwise pay claimants from the Unemployment Trust Fund.
Trump’s order appears to be a stop gap measure intended to bring Congress back to the table on unemployment and other phase four relief. The order provides executive authority until Congress acts to enact a supplemental federal unemployment compensation, or similar compensation, for individuals unemployed or underemployed due to COVID-19. It is also contingent on money being available via FEMA. FEMA has said the additional funding may last about five or six weeks depending on how many states participate.
If you are a member of the Michigan Chamber and have questions, please contact Wendy Block at wblock@michamber.com.