House Ways & Means Releases UI Proposal

President Biden’s $1.9 trillion American Rescue Plan has entered into the markup phase of the legislation process. This week, House committees will debate and make edits to their respective proposals of the package. The House Ways and Means proposal accounts for half of the total price tag and addresses unemployment insurance extensions.

As anticipated, the language extends federal funding of UI programs through August and increases the federal UI top up to $400 per week. Specifically, the legislation will do the following:

• Extend Pandemic Unemployment Assistance (PUA) through August 29, 2021
• Increase the total number of PUA benefit weeks from 50 to 74
• Extend reimbursing employer relief through August 29, 2021
• Extend Federal Pandemic Unemployment Compensation to August 29, 2021
• Increase FPUC to $400 per week
• Extend Pandemic Emergency Unemployment Compensation (PEUC) to August 29, 2021
• Increase the total number of PEUC benefit weeks from 24 to 48
• Extend full federal funding of the first compensable week of UI for states without a waiting week through 29, 2021
• Extend full federal funding of certain short-time compensation programs through August 29, 2021
• Extend interest-free loans for state UI trust funds through August 29, 2021
• Extend full federal funding of extended benefits (EB) through August 29, 2021
• Provide $2 billion to DOL to support program integrity and timely, equitable access to benefits

The markup session is anticipated to close on Friday, February 12, roughly one month from when federal UI programs are currently set to expire. The Chamber will continue to monitor any changes made to the proposal and update our page here.

About the authors

Stephanie Ferguson

Stephanie Ferguson is the Director of Global Employment Policy & Special Initiatives. Her work on the labor shortage has been cited in the Wall Street Journal, Washington Post, and Associated Press.

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