Mississippi Unemployment Benefits Facts

If you are one of the thousands of Mississippians who have lost your job during this recession, day-to-day challenges of providing shelter, food and safety to your family are more prevalent than ever. Unemployed workers, however, are not without hope. The American Recovery and Reinvestment Act contains provisions aimed directly at easing the burden for workers – both full- and part-time – who have lost their jobs due to no fault of their own.

For Mississippi, the Unemployment Modernization Act (UIMA) would provide:

$56.1 million in incentive funding
Coverage for nearly 40,000 workers

The portion of the Recovery money available for Mississippi would cover this estimated cost of $13.9 million annually for approximately four years.

Given the challenges of the current recession, and the rising unemployment rate in Mississippi, why would Governor Barbour turn a blind eye to this kind of help? While we can't answer that question, we can clear up a few myths about the UIMA. After you finish getting the facts, please Sign the Petition to support hardworking Mississippians.

MYTH #1: This legislation will negatively impact the local economies in Mississippi. False.
FACT: UI benefits help families meet basic needs during uncertain economic times. And, by doing so, generate an incredible economic impact at the community level. According to the U.S. Department of Labor, every $1 paid in jobless benefits causes the economy to grow by $2.15. For Mississippi, $56.1 million in Recovery funds for UI benefits could generate more $120 million in economic activity.

MYTH #2: Accepting these funds will cause Mississippi to raise business taxes. False.
FACT: Extending benefits for more Mississippians now can be done on a temporary basis to provide much-needed relief until the economy makes a comeback. According to the National Employment Law Project, the incentive funding will cover expanded benefits for approximately four years. When the funds run out, Mississippi can eliminate or scale back the reforms to ensure the system remains solvent without raising taxes on Mississippi's businesses.

MYTH #3: The Federal Government mandates the kinds of changes that Mississippi would have to make. False.
FACT: The Recovery package offers a variety of choices to states. In order to receive nearly $19 million in funding, Mississippi could choose to change the current standard base period for eligibility to an Alternative Base Period.

Sources

Unemployment Insurance Modernization Act Fact Sheet (PDF)
The Unemployment Insurance Modernization Act: Opportunities for Mississippi (PDF)

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