46 million Americans have filed for unemployment in 2020 as a result of the current pandemic.
In April 2020, the United States saw its highest unemployment rate, at 14.9 percent, since 1933’s Great Depression. 46 million Americans lost their jobs and were forced to file unemployment claims after closures of workplaces were deemed necessary by government officials in response to Covid-19. Since mid-March, 2.7 million, a staggering 13 percent of its population, filed for unemployment in Texas. In hopes of preventing what would have been a devastating economic crisis, federal representatives created a relief package to aid states in taking care of its citizens. Now, states like Texas are demanding that 46,000 unemployment claimants give back any overpaid money they received.
Yes. You read that right.
Texas overpaid its citizens by $32 Million.
I hate to break it to you Texas, but that sounds like a YOU problem. It’s one thing to demand a refund of money given if the unemployment claimant falsified claim information, it’s another thing to request overpaid money from someone who, now dependent on the government, had no idea they were receiving any extra cash. One could however, argue that between the $600 per week given as a result of the Pandemic Emergency Unemployment Compensation passed under the CARES Act, in addition to regular benefits received, many Americans were and still are receiving well over their normal paycheck. This may be true, but for many others, unemployment benefits do not match their normal paycheck. Even so, stay at home mandates and closures of stores, parks, gyms and schools lead to unplanned spending!
A pack of 50 face masks cost $30 on Amazon compared to the normal $8. School closures obligated parents to stock up on school supplies, have food for lunch in the house, buy art, music and outside activity supplies. As many employers have lost the ability to provide health insurance for unemployed workers, a quick trip to the Emergency room will cost you an arm and a leg.
This is not to say that it doesn’t suck for Texas that they overpaid on benefits, but, it’s also not most of those claimants faults. Chances are, any extra money is long gone and to expect people to come up with money they never knew they would owe back…is rude, quite frankly! Doing so also defeats the purpose of unemployment benefits in the first place, which is to help keep afloat those who lost their jobs through no fault of their own.