Reynolds to end pandemic unemployment aid, citing more jobs than unemployed Iowans

RIGHT NOW. STACEY: GOOD EVENING. THANK YOU FOR JOINING US. TIME IS RUNNING OUT FOR TENS OF THOUSANDS OF IOWANS RECEIVING FEDERAL PANDEMIC UNEMPLOYMENT BENEFITS. STEVE: GOVERNOR REYNOLDS ANNOUNCED TODAY THAT THE STATE IS LEAVING THE PROGRAM. KCCI’S ANDREW MOLLENBECK IS LIVE IN DES MOINES WHERE MANY BUSINESS OWNERS SAY IT’S NECESSARY TO FILL OPEN JOB ANDREW: MORE THAN 30,000 IOWANS GET UNEMPLOYMENT THROUGH THE MAIN FEDERAL PROGRAM BUT GOV. REYNOLDS SAYS THE BENEFITS ARE NOW HOLDING BACK THE ECONOMY. THE MESSAGES ON THE MARQUEES AND STOREFRONTS ARE MORE URGENT THAN SIMPLY NOW HIRING. SOME SIGNS PLEAD THAT BUSINESSES CANNOT OPEN FURTHER WITHOUT MORE HELP. REYNOLDS SAYS THE FEDERAL BENEFITS WILL EXPIRE JUNE 12 AND SHE EXPECTS THAT TO DRIVE MORE PEOPLE BACK TO WORK. SHE RELEASED A STATEMENT THAT SAYS, THESE PAYMENTS ARE DISCOURAGING PEOPLE FROM RETURNING TO WORK AND VACCINES ARE AVAILABLE TO ANYONE WHO WANTS ONE, AND WE HAVE MORE JOBS AVAILABLE THAN UNEMPLOYED PEOPLE. MATT SINOVIC AT PROGRESS IOWA CALLS THAT HEARTLESS AND AGAINST THE SPIRIT OF IOWANS. >> WE SEEN I FROM THE PANDEMIC TO THE DERECHO TO FLOODS, AND WE ROLL UP OUR SLEEVES AND WE HELP EACH OTHER OUT. THAT’S WHAT WE DO, AND NOT IS NOT WHAT THIS GOVERNOR IS DOING. SO I WOULD HOPE THAT SHE WOULD HAVE A CHANGE OF HEART. ANDREW: THE BENEFITS CUT WILL END THE ADDITIONAL $300 PER WEEK IN UNEMPLOYMENT BENEFITS. CONNOR DEERING FROM CEMENTECH IN INDIANOLA SAYS THE PAYMENTS ARE HOLDING CAPABLE WORKERS BACK. HIS COMPANY IS TRYING TO FILL ABOUT THREE DOZEN POSITIONS. >> IT HAS LED US TO SPEND PROBABLY 4-5 TIMES ON RECRUITING EFFORTS WHAT WE WERE SPENDING FREE PANDEMIC. -- PRE-PANDEMIC. IT IS WITHOUT QUESTION THE NUMBER ONE CHALLENGE THAT WE HAVE IN OUR BUSINESS TODAY. ANDREW: SINOVIC TAKES EXCEPTION TO THE NOTION OF WORKERS SITTING ON THE SIDELINES TO COLLECT UNEMPLOYMENT. >> IF YOU ARE PAYING PEOPLE LESSEN WHAT THEY MIGHT BE MAKING OR MIGHT BE TAKING IN FROM UNEMPLOYMENT, THEN IT MIGHT BE TIME TO INCREASE YOUR WAGES. ANDREW REYNOLDS’ DECISIONS : FOLLOWS REPUBLICAN GOVERNORS IN OTHER STATES WHO ARE ENDING THE BENEFITS. LIVE IN DES MOINES, ANDREW MOLLENBECK, KCCI 8 NEWS, IOWA'

Gov. Kim Reynolds announced Tuesday that Iowa will end participation in several pandemic-related federal unemployment benefits programs due to a severe workforce shortage. According to Reynolds, the week ending June 12 will be the last week that the following federal pandemic-related unemployment benefit programs are available in Iowa: Federal Pandemic Unemployment Compensation (FPUC) Pandemic Unemployment Assistance (PUA) Pandemic Emergency Unemployment Compensation (PEUC) Mixed Earners Unemployment Compensation (MEUC)"...Now that our businesses and schools have reopened, these payments are discouraging people from returning to work," Reynolds said in a news release. "Our unemployment rate is at 3.7%, vaccines are available to anyone who wants one and we have more jobs available than unemployed people.” Matt Sinovic, with Progress Iowa, called the decision heartless and against the spirit of Iowans. “We've seen it in from the pandemic to the derecho, to floods -- we roll up our sleeves and we help each other out,” Sinovic said. “That's what we do, and that is not what this governor is doing. So, I would hope that she would have a change of heart.”Sinovic said he takes exception to the notion of workers sitting on the sidelines to collect unemployment. “If you're paying people less than what they might be making on, or might be taking in from unemployment, then it might be time to increase your wages,” he said.The governor said Iowa will no longer waive employer charges for COVID-19-related unemployment insurance claims, effective June 13 Additional information can be found here.

DES MOINES, Iowa —

Gov. Kim Reynolds announced Tuesday that Iowa will end participation in several pandemic-related federal unemployment benefits programs due to a severe workforce shortage.

According to Reynolds, the week ending June 12 will be the last week that the following federal pandemic-related unemployment benefit programs are available in Iowa:

Federal Pandemic Unemployment Compensation (FPUC)
Pandemic Unemployment Assistance (PUA)
Pandemic Emergency Unemployment Compensation (PEUC)
Mixed Earners Unemployment Compensation (MEUC)

"...Now that our businesses and schools have reopened, these payments are discouraging people from returning to work," Reynolds said in a news release. "Our unemployment rate is at 3.7%, vaccines are available to anyone who wants one and we have more jobs available than unemployed people.”

Matt Sinovic, with Progress Iowa, called the decision heartless and against the spirit of Iowans.

“We've seen it in from the pandemic to the derecho, to floods -- we roll up our sleeves and we help each other out,” Sinovic said. “That's what we do, and that is not what this governor is doing. So, I would hope that she would have a change of heart.”

Sinovic said he takes exception to the notion of workers sitting on the sidelines to collect unemployment.

“If you're paying people less than what they might be making on, or might be taking in from unemployment, then it might be time to increase your wages,” he said.

The governor said Iowa will no longer waive employer charges for COVID-19-related unemployment insurance claims, effective June 13

Additional information can be found here.

Reynolds to end pandemic unemployment aid, citing more jobs than unemployed Iowans

TRACKING THE COVID-19 VACCINE

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