Unemployment funds going ‘absolutely broke’

The recession's jobless toll is draining unemployment-compensation funds so fast that according to federal projections, 40 state programs will go broke within two years and need $90 billion in loans to keep issuing the benefit checks.

The shortfalls are putting pressure on governments to either raise taxes or shrink the aid payments.

Debates over the state benefit programs have erupted in South Carolina, Nevada, Kansas, Vermont and Indiana. And the budget gaps are expected to spread and become more acute in the coming year, compelling legislators in many states to reconsider their operations.

Currently, 25 states have run out of unemployment money and have borrowed $24 billion from the federal government to cover the gaps. By 2011, according to Department of Labor estimates, 40 state funds will have been emptied by the jobless tsunami.

"There's immense pressure, and it's got to be faced," said Indiana state Rep. David Niezgodski (D), a sponsor of a bill that addressed the gaps in Indiana's unemployment program. "Our system was absolutely broke."

Comments

Post a Comment

Popular posts from this blog

Sunny von Bulow dies after 28 years in coma

Image
After spending nearly 28 years in an irreversible coma, heiress and socialite Martha "Sunny" von Bulow died Saturday in a New York nursing home, according to a family statement. She was 76. Von Bulow was subject of one of the nation's most sensational criminal cases during the 1980s. Her husband, Claus, was accused of trying to kill her with an overdose of insulin, which prosecutors alleged sent her into the coma. He was convicted of making two attempts on her life, but the conviction was overturned on appeal. He was acquitted in a second trial. His retrial in 1985 received national attention. (Via CNN )
Read more

Ric Alonso resigns from pageant association after porn revelation

Image
Kevin Hogan wasn't the only person this week ambushed out of a job for his participation in the gay adult film industry. FOX News reports : Ric Alonso and his partner of 21 years, Ernie Koneck, have both been both prominent power players in the Southern California Scholarship Association — an incorporated not-for-profit association — which produces the Miss Hollywood pageant, an official preliminary to Miss California, and a feeder to Miss America. Alonso is listed as the first “major sponsor” for 2011 scholarship donations, while partner Koneck has been the pageantry point of contact and is featured in photographs alongside the smiling young sashed pageant contestants. On Tuesday, Alonso was exposed by RadarOnline as adult film actor and producer "Jake Cruise". FOX News adds: Following the revelation, Koneck announced his resignation Tuesday as Executive Director of the Southern California Scholarship Association, and said Alonso was in no way involved in the Miss Holl
Read more

Make Jerry Curl Great Again

Image
You can't consider yourself a writer if you don't write. In recent years, I have probably said those words to myself so often that they could be considered a mantra; a mantra that I don't want to embody but one that is nonetheless true. I don't write anymore. I don't write to faraway friends. I don't write to remember. I don't write for pleasure. I don't write for release. I don't even Tweet. At a recent job interview (for another job I didn't really want), I was asked what I would do for a living if I could do anything. Without even thinking about it, I said I would be a writer. But that was a stock answer. It's the answer I've always given to that question. But this time the answer felt phony. It felt forced. It didn't feel like me anymore. The real, ugly, scary truth is that I don't know if I still got the right stuff to be the writer I wanted to be. While I have always questioned the validity of my own voice (my
Read more