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Va. saw slight increase in jobless claims last week

Virginia saw a slight increase in the number of initial jobless claims last week, the Virginia Employment Commission reported Thursday — bringing the total number of initial claims filed since mid-March to 1.136 million, or nearly 28% of the commonwealth’s pre-pandemic payroll employment.

For the week ending Sept. 5, 11,135 Virginians filed initial claims for unemployment, an increase of 830 from the previous week. And 217,485 people in Virginia remained unemployed last week. This is a 6.8% decrease from the previous week, but 200,069 higher than the 17,416 continued claims from the same period last year. People receiving unemployment benefits through the VEC must file weekly unemployment claims in order to continue receiving benefits.

“[Continued claims] also declined by 46.1% from their May 16, 2020 filing week peak of 403,557 claims,” VEC Senior Economist Timothy Aylor said in a statement. “The continued claims total is mainly comprised of those recent initial claimants who continued to file for unemployment insurance benefits during the COVID-19 pandemic.”

The regions of the state that have been most impacted continue to be Northern Virginia, Richmond and Hampton Roads. 

Below are the top 10 localities, listed by number of initial unemployment claims, for the week ending Sept. 5:

  • Fairfax County, 671
  • Virginia Beach, 496
  • Richmond, 451
  • Norfolk, 411
  • Prince William County, 343
  • Chesterfield County, 265
  • Henrico County, 257
  • Newport News, 248
  • Chesapeake, 239
  • Portsmouth, 228

Nationwide, the advance figure for seasonally adjusted initial claims for last week was 884,000, unchanged from the previous week’s revised level, according to the U.S. Department of Labor. There were 160,342 initial claims during the same week last year.

“As we enter the fall, the seasonal downturn in hospitality and tourism is likely to increase demands for unemployment insurance,” Robert McNab, director of Old Dominion University’s Dragas Center for Economic Analysis and Policy, said in a statement. “We are also observing an increasing number of workers transitioning from temporary furloughs to permanent layoffs. These developments suggest a ‘K-shaped’ recovery, where many highly skilled workers did not experience prolonged work disruptions. Lower-skilled workers continue to be buffeted by the demands of face-to-face employment and unemployment.”

 

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Va. jobless claims during pandemic exceed Great Recession

While Virginia saw a slight decrease in the number of initial jobless claims last week, the Virginia Employment Commission reported Thursday that the total number of initial claims filed since the beginning of the pandemic is greater than the combined totals filed during the 2007-09 Great Recession and the economic recession in 2001.

For the week ending Aug. 29, 10,305 Virginians filed initial claims for unemployment, a decrease of 1,131 from the previous week. However, 233,467 people in Virginia remained unemployed last week. This is a 6.5% decrease from the previous week, but 215,203 higher than the 18,264 continued claims from the same period last year. People receiving unemployment benefits through the VEC must file weekly unemployment claims in order to continue receiving benefits.

“The continued claims total is mainly comprised of those recent initial claimants who continued to file for unemployment insurance benefits during the COVID-19 pandemic,” VEC Senior Economist Timothy Aylor said in a statement.

Since the pandemic began, more than 1.1 million Virginians have filed initial claims for unemployment.

The regions of the state that have been most impacted continue to be Northern Virginia, Richmond and Hampton Roads. 

Below are the top 10 localities, listed by number of initial unemployment claims, for the week ending Aug. 29:

  • Fairfax County, 684
  • Virginia Beach, 537
  • Richmond, 429
  • Norfolk, 399
  • Prince William County, 370
  • Chesapeake, 264
  • Chesterfield County, 240
  • Henrico County, 239
  • Newport News, 218
  • Loudoun County, 204

Nationwide, the advance figure for seasonally adjusted initial claims for last week was 881,000, a decrease of 130,000 from the previous week’s revised level, according to the U.S. Department of Labor. There were 179,516 initial claims during the same week last year.

 

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Va. reports 8% unemployment rate for July

Despite the ongoing pandemic, Virginia’s unemployment rate was 2.5% lower than the national average for the month of July, according to statistics released by the Virginia Employment Commission on Wednesday.

For the month of July, the U.S. reported a 10.5% unemployment rate while Virginia reported an 8% unemployment rate, a 0.2% improvement from the month of June. 

Petersburg had the highest rate of unemployment among Virginia localities, reporting a 19.1% unemployment rate for July. Among Virginia regions, the Greensville/Emporia labor market reported the highest unemployment rate at 10.8%, while the Winchester area reported the lowest rate at 6.2%. 

Northern Virginia and Shenandoah Valley localities tended to fare better, while Central, Eastern and Southern Virginia reported higher unemployment rates  on the whole. 

The 10 highest unemployment rates reported in July were as follows:

  • Petersburg, 19.1%
  • Emporia, 15.1%
  • Hopewell, 14.7%
  • Martinsville, 14.5%
  • Portsmouth, 13%
  • Richmond, 12.3%
  • Covington, 12.2%
  • Norfolk, 11.9%
  • Franklin, 11.9%
  • Danville, 11.8%

The 10 lowest unemployment rates reported in July were as follows:

  • Highland County, 4.2%
  • Madison County, 4.5%
  • Falls Church, 4.6%
  • Poquoson, 5.1%
  • Augusta County, 5.3%
  • Botetourt County, 5.4%
  • Rappahannock County, 5.4%
  • King George County, 5.5%
  • Mathews County, 5.6%
  • Arlington County, 5.7%
  • Clarke County, 5.7%
  • Fauquier County, 5.7%
  • Middlesex County, 5.7%

 

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Va. saw slight decrease in initial jobless claims last week

More than 11,000 Virginians filed initial jobless claims last week — a decrease of nearly 4,000 claims from the previous week, according to the Virginia Employment Commission.

The number of initial claims filed during the Aug. 22 filing week fell to near the average weekly volume in 2009, according to the VEC. However, 249,745 people in Virginia remained unemployed last week. This is a 5.8% decrease from the previous week, but 230,488 higher than the 19,257 continued claims from the same period last year. People receiving unemployment benefits through the VEC must file weekly unemployment claims in order to continue receiving benefits.

“[Claims] had leveled off in mid-August before picking up recent months’ declining trend in the most recent filing week,” VEC Senior Economist Timothy Aylor said in a statement. “The continued claims total is mainly comprised of those recent initial claimants who continued to file for unemployment insurance benefits during the COVID-19 pandemic.”

Since the pandemic began, more than 1.1 million Virginians have filed initial claims for unemployment.

The regions of the state that have been most impacted continue to be Northern Virginia, Richmond and Hampton Roads. 

Below are the top 10 localities, listed by number of initial unemployment claims, for the week ending Aug. 22:

  • Fairfax County, 750
  • Virginia Beach, 552
  • Norfolk, 462
  • Richmond, 444
  • Prince William County, 426
  • Chesterfield County, 337
  • Henrico County, 274
  • Newport News, 251
  • Loudoun County, 243
  • Chesapeake, 243

Nationwide, the advance figure for seasonally adjusted initial claims for last week was 1.006 million, a decrease of 98,000 from the previous week’s revised level, according to the U.S. Department of Labor. There were 176,867 initial claims during the same week last year.

 

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Va. saw slight uptick in initial jobless claims last week

More than 15,000 Virginians filed initial jobless claims last week — an increase of more than 1,800 claims from the previous week, according to the Virginia Employment Commission.

“The increase in initial claims for unemployment benefits in Virginia reverses the trend of declining claims over the last two weeks,” Dominique Johnson, research associate with Old Dominion University’s Dragas Center for Economic Analysis and Policy, said in a statement. “With the volatility of unemployment claims over recent weeks, the uncertainty for Virginia’s economy remains high.”

The week before last, Virginia saw its initial unemployment claims fall by 46%. In Virginia, 265,225 people remained unemployed last week, which was essentially unchanged from the previous week, but 245,425 higher than the 19,800 continued claims from the same period last year. People receiving unemployment benefits through the VEC must file weekly unemployment claims in order to continue receiving benefits. 

“They had trended downward in recent months before leveling off in the most recent filing week,” VEC Senior Economist Timothy Aylor said in a statement. “The continued claims total is mainly comprised of those recent initial claimants who continued to file for unemployment insurance benefits during the COVID-19 pandemic.”

Since the pandemic began, however, more than 1.1 million Virginians have filed initial claims for unemployment.

“The number of initial claims filed from mid-March through the Aug. 15, 2020 filing week totaled 1,104,097 or 27% of pre-pandemic, payroll employment,” according to the VEC.

The regions of the state that have been most impacted continue to be Northern Virginia, Richmond and Hampton Roads. 

Below are the top 10 localities, listed by number of initial unemployment claims, for the week ending Aug. 15:

  • Fairfax County, 1,174
  • Prince William County, 642
  • Virginia Beach, 591
  • Richmond, 575
  • Norfolk, 516
  • Newport News, 383
  • Chesterfield County, 375
  • Henrico County, 370
  • Loudoun County, 352
  • Chesapeake, 332

Although the number of initial claims filed in the U.S. dropped below 1 million the week before last, the U.S. Department of Labor reported Thursday that more than 1.1 million people had filed for unemployment last week.

“More than 28 million workers, or approximately 17% of the civilian labor force in July, received some form of unemployment benefits for the week of Aug. 1, highlighting the continuing challenge facing the national economy,” Robert McNab, director of the Dragas Center, said in a statement. “One week does not make a trend, but it does serve to illustrate the uncertainty of the recovery.”

 

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Va. initial jobless claims dropped 46% last week

Initial unemployment claims in Virginia fell by 46% last week, according to a Thursday release from the Virginia Employment Commission. 

More than 13,000 Virginians filed initial jobless claims last week — a decrease of more than 10,000 claims from the previous week, according to a VEC statement released Thursday.

For the first time since the pandemic began, the number of initial claims filed in the U.S. dropped below 1 million. According to U.S. Department of Labor (DOL) statistics released Thursday, 963,000 Americans filed initial claims. Pandemic Unemployment Assistance ended during the week of July 25, and Congress has yet to take action to extend it. The program provides temporary benefits for people who are not eligible for regular or traditional unemployment insurance.

“This week’s unemployment claims report shows a marked improvement in the number of Americans filing an initial claim for unemployment benefits,” Robert McNab, director of Old Dominion University’s Dragas Center for Economic Analysis and Policy, said in a statement. “The downward trend in initial and continued claims is welcome news, but we remain well above levels seen in previous recessions. While progress has been made, Hispanic and African American workers have borne a disproportionate burden of COVID-19 infections and unemployment. The challenge remains creating a broad-based recovery that benefits all Americans.”

In Virginia, 264,410 people remained unemployed last week — a decrease of 66,991 from the previous week, but 244,425 higher than the 19,985 continued claims from the same period last year. People receiving unemployment benefits through the VEC must file weekly unemployment claims in order to continue receiving benefits. 

“Virginia’s labor market has now shown two weeks of continued improvement, with sharp declines in initial and continued unemployment claims,” Dominique Johnson, research associate at the Dragas Center, said in a statement. “The number of Virginians receiving unemployment benefits declined by more than 68,000 from the previous week, the largest decrease since the crisis began in mid-March. If these increases are sustained in the coming weeks, Virginia’s recovery will be well under way.”

The regions of the state that have been most impacted continue to be Northern Virginia, Richmond and Hampton Roads. 

Below are the top 10 localities, listed by number of initial unemployment claims, for the week ending Aug. 8:

  • Fairfax County, 1,108
  • Virginia Beach, 617
  • Richmond, 563
  • Prince William County, 478
  • Norfolk, 461
  • Henrico County, 379
  • Chesterfield County, 355
  • Newport News, 324
  • Loudoun County, 304
  • Chesapeake, 281

 

 

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Va. saw nation’s second-highest jobless spike last week

Coming on the heels of reports that the U.S. domestic gross product in the second quarter dropped to its lowest point since 1947, the U.S. Department of Labor reported Thursday that Virginia saw the second-highest increase in initial jobless claims in the nation last week. 

The Department of Labor reported Thursday morning that 46,524 Virginians filed initial claims last week, which is a nearly 10,000 spike from the week prior. More than 37,000 Virginians filed initial jobless claims the week before last. 

The Virginia Employment Commission reported Thursday afternoon, however, that 42,966 Virginians filed initial claims last week. The DOL count is preliminary, while the VEC’s published number is the final count, according to the VEC. The discrepancy presents itself in cases in which people are employed in Virginia but live in different states, and can also occur when people have more than one job in more than one state, according to the VEC.

Nationwide, the Bureau of Economic Analysis reported that the national GDP shrank by nearly 33% in the second quarter, the lowest point on record since 1947. Last week, initial jobless claims across the nation continued to climb while Congress continues to negotiate on a new COVID-19 stimulus package before federal supplemental unemployment benefits expire.

The $2.2 trillion Coronavirus Aid, Relief, and Economic Security Act references a July 31 expiration date for unemployment benefits, but according to the U.S. Department of Labor, states can pay out federal unemployment benefits no later than the week ending one week before July 31.

“Barring action by Congress to extend the benefit, federal law mandates the end of the $600 supplemental benefit this week,” VEC spokesperson Joyce Fogg said last week. “If it is extended or modified, VEC will execute its responsibilities under the law.”

In Virginia, 344,826 people remained unemployed last week — a decrease of 12,272 from the previous week, but 324,629 higher than the 20,197 continued claims from the same week last year. People receiving unemployment benefits through the VEC must file weekly unemployment claims in order to continue receiving benefits. 

The regions of the state that have been most impacted continue to be Northern Virginia, Richmond and Hampton Roads. 

Below are the top 10 localities, listed by number of initial unemployment claims, for the week ending July 25:

  • Norfolk, 3,286
  • Fairfax County, 2,996
  • Virginia Beach, 2,959
  • Richmond, 2,482
  • Portsmouth, 1,933
  • Chesapeake, 1,739
  • Newport News, 1,462
  • Prince William County, 1,452
  • Chesterfield County, 1,359
  • Henrico County, 1,281
  • Hampton, 1,255

Nationwide, 1.434 million people filed initial claims for unemployment last week — a 12,000 increase from last week — bringing the total of unemployed Americans to nearly 55 million in the wake of the pandemic-related economic crisis, according to DOL statistics released Thursday.

The seasonally adjusted insured unemployment rate was 11.6% for the week that ended July 18, an increase of 0.5% from the previous week. 

For the week ending July 11, 46 states reported that nearly 12.4 million people are claiming federal Pandemic Unemployment Assistance, which provides temporary benefits for people who are not eligible for regular or traditional unemployment insurance. 

Forty-five states reported 940,113 people claiming Pandemic Emergency Unemployment Compensation (PEUC), which provides up to an additional 13 weeks of regular or traditional unemployment insurance benefits to those who have exhausted their eligibility. Last week, the VEC reported that it had received more than 28,000 PEUC applications.

States with the largest increases in initial claims for the week that ended July 18 were Louisiana, Virginia, California, Tennessee and Alabama, while the largest decreases were seen in Florida, Texas, Georgia, New Jersey and Washington.

The states and U.S. territories with the highest insured unemployment rates for the week ending July 11 were Puerto Rico, Nevada, Hawaii, Louisiana, New York, Georgia, California, Connecticut, Massachusetts and the Virgin Islands.

See below the most up-to-date unemployment insurance claims dashboard by the VEC. The dashboard is updated no later than the following Monday after the weekly claims press release.

 

Va. unemployment trust fund facing $750M deficit

With jobless claims at a record high, the state trust fund that pays for jobless benefits is expected to rack up a $750 million deficit by the end of the year, according to the Virginia Employment Commission. And Virginia employers already hurting from the pandemic’s economic fallout could face tax increases to replenish the state’s Unemployment Insurance Trust Fund, which covers the cost of unemployment benefits for workers who are laid off or furloughed.

“In order to continue paying unemployment benefits, Virginia will need to borrow funds from the federal government,” according to a VEC statement. “Because these taxes are based, in part, on a company’s history of laying off or reducing staff, the businesses most impacted by pandemic-related workforce reductions face the most significant increases in future unemployment insurance taxes.”

Since January, more than 1 million Virginians have filed initial jobless claims and the VEC has paid out $6.9 billion in benefits. More than 37,000 Virginians filed initial jobless claims last week — an increase of more than 5,000 claims from the previous week, according to a VEC statement released Thursday.

The VEC projects that by the end of 2020, nearly 1.5 million initial jobless claims will have been filed.

On Jan. 1, the trust fund had a $1.45 billion balance (or 86% solvency), which was a record balance at the time. But when the pandemic hit, the state had to use the resources to pay out an unprecedented number of jobless claims due to the pandemic using the trust fund. This month, the trust fund has dipped to just $500 million. With an expected $2.6 billion payout by the trust fund and only $376 million in tax revenue from employers, the Dec. 31 balance is expected to be deep in the red by $750 million.

Unless the federal government steps in to cover the anticipated deficit, employers will end up carrying the burden through increased taxes due to the fund builder portion of employer taxes that go toward the trust fund.

“Virginia employers are facing the prospect of significant tax hikes to replenish the trust fund,” VEC spokesperson Joyce Fogg says. “Businesses that have been hardest hit by the pandemic and that have laid off or furloughed the most employees face the highest tax increases.”  

The trust fund is composed of three types of funding: the tax base rate, a pool charge and a fund builder, according to the VEC. 

The tax base rate is individualistic and based on an employer’s history with layoffs and furloughs; pool charges are used to offset employee loss not at the fault of the employer; and the fund builder is covered by all employers when the trust fund balance solvency drops below 50%. When the fund builder kicks in, employers are taxed an additional 0.2% and pay federal unemployment tax of $420 per employee. 

“In 2008, the unemployment insurance trust fund solvency level was calculated at 64%. In 2010, it went into the red as a result of the Great Recession. In the following years, employers replenished the trust fund, and at the start of 2020, it was projected to be at least $1.5 billion, or 86%, which is very near full solvency,” Fogg says. “Now, less than a year later, we anticipate the trust fund will be depleted in less than two months and Virginia will have to borrow funds from the federal government to continue making benefits payments.”

 

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Va. sees 5K spike in initial jobless claims last week

Since January, more than 1 million Virginians have filed initial jobless claims, according to the Virginia Employment Commission. More than 37,000 Virginians filed initial jobless claims last week — an increase of more than 5,000 claims from the previous week, according to a VEC statement released Thursday.

“The jump in initial unemployment claims in Virginia highlights the fragility of the commonwealth economy,” Robert McNab, director of Old Dominion University’s Dragas Center for Economic Analysis and Policy, said in a statement.

The VEC projects that by the end of 2020, nearly 1.5 million initial jobless claims will have been filed.

In Virginia, 357,098 people remained unemployed last week — a decrease of 14,972 from the previous week, but 337,023 higher than the 20,075 continued claims from the same week last year. People receiving unemployment benefits through the VEC must file weekly unemployment claims in order to continue receiving benefits. 

The regions of the state that have been most impacted continue to be Northern Virginia, Richmond and Hampton Roads. 

Below are the top 10 localities, listed by number of initial unemployment claims, for the week ending July 18:

  • Norfolk, 2,817
  • Fairfax County, 2,750
  • Virginia Beach, 2,280
  • Richmond, 2,188
  • Portsmouth, 1,598
  • Prince William County, 1,421
  • Newport News, 1,389
  • Chesapeake, 1,317
  • Chesterfield County, 1,087
  • Henrico County, 1,068
  • Hampton, 1,058

The accommodation and food services industry continues to be the most affected industry by the pandemic, followed by administrative, retail and health care jobs, according to the VEC.

The VEC has received more than 28,000 applications for the Pandemic Emergency Unemployment Compensation (PEUC), which provides up to an additional 13 weeks of regular or traditional unemployment insurance benefits to those who have exhausted their eligibility. Approximately $29 million has been paid out to applicants as of July 23.

The VEC on July 2 launched an application portal for Virginians to access the PEUC program, which is provided by the federal Coronavirus Aid, Relief, and Economic Security Act. Payments are retroactive dating back to the week ending April 4. To be eligible, applicants must have exhausted all benefits from their regular unemployment insurance benefits. The program is available through the week ending Dec. 26. 

Approximately 60,000 applications have been flagged with eligibility issues thus far. VEC officials remind applicants that not everyone is eligible to receive benefits, according to eligibility requirements. The VEC is targeting 10,000 decisions per week regarding applications. PEUC benefits are taxable, as are regular unemployment insurance benefits and federal pandemic unemployment compensation, according to the VEC.

Nationwide, 1.416 million people filed initial claims for unemployment last week, bringing the total of unemployed Americans to nearly 53 million in the wake of the pandemic-related economic crisis, according to U.S. Department of Labor (DOL) statistics released Thursday.

The seasonally adjusted insured unemployment rate was 11.1% for the week that ended July 11, a decrease of 0.7% from the previous week. However, claims were up by 109,000 from the week before.

For the week ending July 4, 48 states reported that nearly 13.179 million people are claiming federal Pandemic Unemployment Assistance, which provides temporary benefits for people who are not eligible for regular or traditional unemployment insurance. This funding is set to end this week on July 25, unless Congress takes action.

“The failure of Congress and the administration to pass a meaningful extension of the expanded unemployment benefits will reverberate throughout Virginia,” McNab said in a statement. “Proposals to adjust these benefits to previously earned income seriously misjudge the capacity of state unemployment systems, which are already coping with historic caseloads, to manage this additional complexity. Forcing unemployed Virginians off an income cliff in the midst of a pandemic is shortsighted and endangers prospects for a sustained recovery.”

“Barring action by Congress to extend the benefit, federal law mandates the end of the $600 supplemental benefit this week,” says VEC spokesperson Joyce Fogg. “If it is extended or modified, VEC will execute its responsibilities under the law.”

Forty-five states reported 940,113 people claiming PEUC, which provides up to an additional 13 weeks of regular or traditional unemployment insurance benefits to those who have exhausted their eligibility. 

States with the largest increases in initial claims for the week that ended July 11 were Florida, Georgia, California, Washington and Indiana, while the largest decreases were seen in Maryland, Texas, New Jersey, Michigan and Louisiana.

The states and U.S. territories with the highest insured unemployment rates for the week ending July 4 were Puerto Rico, Nevada, Hawaii, Georgia, California, Louisiana, New York, Connecticut, the Virgin Islands and Massachusetts.

“Labor markets will not return to pre-COVID levels for an extended period of time,” Dominique Johnson, research associate at the Dragas Center, said in a statement. “Allowing extended unemployment benefits to expire will also exacerbate existing racial inequities as Black Americans have been disproportionately impacted by the pandemic. Black households typically have less wealth, reducing their ability to cope with financial shocks.”

The VEC is hosting a statewide virtual hiring event on July 28, for which more than 150 employers from varying industries have signed up to participate. Employers may contact Robert Walker, VEC veteran outreach coordinator, for details on registering for the event.

“With the [federal] supplemental benefit ending this week, we recognize that many benefits recipients may be looking to return to workforce,” Fogg says. “We’ve heard from hundreds of employers who are looking to fill immediate vacancies, and this is a great opportunity to connect employers and prospective job — and especially in a virtual format.”

 

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1M+ Virginians have filed jobless claims since January

Since January, more than 1 million Virginians have filed initial jobless claims, according to the Virginia Employment Commission. More than 32,000 Virginians filed initial jobless claims last week, according to a VEC statement released Thursday.

The week before last, Virginia had the fourth-highest increase in initial jobless claims in the nation, but that was not the case last week, in which the number went down slightly, indicated by U.S. Department of Labor (DOL) statistics released Thursday.

In Virginia, 372,070 people remained unemployed last week — a decrease of 6,537 from the previous week. People receiving unemployment benefits through the VEC must file weekly unemployment claims in order to continue receiving benefits. 

The regions of the state that have been most impacted continue to be Northern Virginia, Richmond and Hampton Roads. 

Below are the top 10 localities, listed by number of initial unemployment claims, for the week ending July 11:

  • Fairfax County, 2,425
  • Norfolk, 2,205
  • Virginia Beach, 1,746
  • Richmond, 1,727
  • Prince William County, 1,256
  • Newport News, 1,193
  • Portsmouth, 1,173
  • Chesapeake, 1,130
  • Henrico County, 973
  • Hampton, 869

“We are starting to see more warning signs that the Virginia economy is starting to slow as COVID-19 cases continue to climb in the commonwealth, especially in the Hampton Roads region,” Robert McNab, director of Old Dominion University’s Dragas Center for Economic Analysis and Policy, said in a statement. “Not only is Virginia facing a public health crisis; the end of extended unemployment benefits under the CARES Act will reduce incomes, harm consumption, and increase foreclosures and evictions.

“We estimate that these benefits likely exceed $200 million a week in direct payments and add at least $300 million a week to economic activity in the commonwealth.”

More than 41,000 individuals who had exhausted regular unemployment insurance were contacted the week before last by the VEC regarding eligibility for the Pandemic Emergency Unemployment Compensation (PEUC), which provides up to an additional 13 weeks of regular or traditional unemployment insurance benefits to those who have exhausted their eligibility. More individuals are being contacted each week, VEC officials said Thursday.

The VEC on July 2 launched an application portal for Virginians to access the PEUC program, which is provided by the federal Coronavirus Aid, Relief, and Economic Security Act. Payments are retroactive dating back to the week ending April 4. To be eligible, applicants must have exhausted all benefits from their regular unemployment insurance benefits. 

As of July 14, the VEC has since paid out $16 million in PEUC benefits to more than 18,000 people. The program is available through the week ending Dec. 26. Approximately 60,000 applications have been flagged with eligibility issues thus far. VEC officials remind applicants that not everyone is eligible to receive benefits, according to eligibility requirements. The VEC is targeting 10,000 decisions per week regarding applications.

PEUC benefits are taxable, as are regular unemployment insurance benefits and federal pandemic unemployment compensation, according to the VEC.

Nationwide, 1.3 million people filed initial claims for unemployment last week, bringing the total of unemployed Americans to more than 51.3 million in the wake of the pandemic-related economic crisis, according to U.S. Department of Labor (DOL) statistics released Thursday.

“This is the 17th straight week where initial claims were above 1 million, which is nearly double the level observed in the worst week during the Great Recession,” Dominique Johnson, research associate at the Dragas Center, said in a statement. “As the pandemic continues, the decline in initial claims in early June has stalled as initial claims have hovered around 2 million for the last seven weeks.”

States with the largest increases in initial claims for the week that ended July 4 were Texas, New Jersey, Maryland, Louisiana and New York, while the largest decreases were seen in Indiana, Florida, California, Georgia and Oklahoma.

U.S. claims were down by 10,000 from the week before. For the week ending June 27, 48 states reported that nearly 14.28 million people are claiming federal Pandemic Unemployment Assistance, which provides temporary benefits for people who are not eligible for regular or traditional unemployment insurance. 

The seasonally adjusted insured unemployment rate was 11.9% for the week that ended July 4, a decrease of 0.3% from the previous week.

The states and U.S. territories with the highest insured unemployment rates for the week ending June 27 were Puerto Rico, Nevada, Hawaii, New York, Louisiana, California, Massachusetts, Connecticut, Georgia and Rhode Island.

The VEC is hosting a statewide virtual hiring event on July 28. Employers may contact Robert Walker, VEC veteran outreach coordinator, for details on registering for the event.

 

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