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Unemployment Tiers

Tiers of Extended Unemployment Benefits

By , About.com Guide

The unemployment extension legislation passed by Congress in February 2012 changed the way the tiers of Emergency Unemployment Compensation (EUC) are structured.

A tier of unemployment is an extension of a certain amount of weeks of unemployment benefits. There are currently four tiers of unemployment benefits. Each tier provides extra weeks of unemployment in addition to basic state unemployment benefits.

The following information includes details on the weeks of unemployment benefits included in Tiers 1 - 4 (there is no Tier 5) of extended unemployment benefits, qualifying factors for tiers to be available, and the maximum number of weeks of unemployment that are available for unemployed workers.

Changes to Extended Unemployment Tiers

There are no changes to the tiers of extended unemployment benefits through May 2012. Unemployed workers will continue to be eligible for up to a maximum of 89 or 99 weeks of unemployment through May, depending on the state and its three month average unemployment rate.

The naximum number of weeks of unemployment will be reduced to 79 weeks starting in June and 73 weeks starting in September. The maximum someone is eligible for is based on a state's unemployment rate.

There are no changes to state unemployment benefits. Unemployed workers will still be eligible for up to 26 weeks of state unemployment compensation.

Starting in June, unemployment benefits will gradually be reduced to a maximum of 73 weeks in high unemployment states and 63 weeks in states with a lower unemployment rate. Additional changes starting in June include linking tier 2 availability to a 6% state unemployment rate and increasing the unemployment rate for tier 3 to 7%.

In addition to EUC benefits, unemployed workers will continue to be eligible for up to 20 weeks Extended Benefits (EB) which is based on the state unemployment rate.

Here's an overview of how the tiers will change, the number of weeks in included in each tier, and the state unemployment rate which triggers the additional tier of benefits.

Emergency Unemployment Compensation (EUC) Tiers Through May 2012

  • Tier 1: 20 weeks
  • Tier 2: 14 weeks
  • Tier 3: 13 weeks if the state unemployment rate is 6% or higher
  • Tier 4: 6 weeks if the state unemployment rate is 8.5% or higher unless state doesn't have EB, then 16 weeks

Emergency Unemployment Compensation (EUC) Tiers June - August 2012

  • Tier 1: 20 weeks
  • Tier 2: 14 weeks if the state unemployment rate is 6% or higher
  • Tier 3: 13 weeks if the state unemployment rate is 7% or higher
  • Tier 4: 6 weeks if the state unemployment rate is 9% or higher

Emergency Unemployment Compensation (EUC) Tiers September - December 2012

  • Tier 1: 14 weeks
  • Tier 2: 14 weeks if the state unemployment rate is 6% or higher
  • Tier 3: 9 weeks if the state unemployment rate is 7% or higher
  • Tier 4: 10 weeks if the state unemployment rate is 9% or higher
Maximum Number of Weeks of Unemployment

With the changes, the maximum weeks of available unemployment benefits depending upon location are:

  • 99 Weeks: March - May
  • 79 Weeks: June - August
  • 73 Weeks: September - December

Extended Benefit (EB) and Emergency Unemployment Trigger (EUC) Notices

The Department of Labor provides updated information each week on state eligibility for EB and EUC unemployment extensions. You can check the Trigger Notice Report for information on changes in eligibiity for your state.

Important: It's important to check with your state unemployment office for a determination of extended unemployment benefits you are eligible for because eligibility varies based on your location and the state unemployment rate. Check with your state unemployment office (usually the Extended Benefits section) for details.

Some states have an "unemployment calculator" you can use to get information online on your unemployment claim and how many weeks you will collect.

DISCLAIMER:
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