‘Ending enhanced unemployment insurance provisions is likely not the silver bullet to speeding up this economic recovery’

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States that ended unemployment benefits saw an uptick in some --- but not all --- hiring, a new report finds.

Economists and policymakers are paying close attention to employment trends in 25 states that prematurely prevented jobless Americans from collecting an extra $300 a week in unemployment benefits.

“ States that didn’t cut off workers from benefits saw a larger uptick in the hiring of 15- to 19-year-olds compared to states that announced they were ending benefits. ” The report, published by Gusto, a payroll management company, analyzed data from more than 100,000 small businesses. States that didn’t cut off workers from benefits saw a larger uptick in the hiring of 15- to 19-year-olds over the same period of time compared to states that announced they were ending benefits.

“ ‘A reasonable interpretation of these findings is that there was a segment of workers for whom it was easy to return to work—and they did so the week governors announced the end of these benefits’ ”

 

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