Nearly 30,000 Connecticut residents with long-term unemployment benefits will see a nearly 20 percent decrease in compensation checks due to federal sequestration cuts.
While the average benefit in Connecticut is normally $330 a week, recipients will begin receiving $265 a week the last week in June, through September.
“Economists have estimated that every dollar in unemployment benefits generates $2 in economic activity,” Gov. Dannel P. Malloy said in a May 22 press release. “Not only will these federal cuts have a direct impact on individuals struggling to pay the bills while seeking new employment, but the cuts will also be felt in our overall state economy.”
The federal cuts, enacted to balance the nation’s budget, will not effect state unemployment insurance benefits. However several other services through the Department of Labor are expected to be effected.
Some services for job seekers through the CTWorks Career Center and Workforce Investment Act programs are expected to decrease. The Office of Research Unit will be eliminating some statistical initiatives and Federal Wage and Hour staffing will be cut, reducing the number of wage and work-site investigations.
