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Trump's Federal Unemployment Supplement Runs Dry as Congressional Compromise in Doubt

In the absence of a Congressional compromise on additional pandemic federal funding, in August President Trump extended an extra $300.00 per week from the federal government to most unemployment compensation recipients, but the funding has now run out and will not extend beyond the week that ended September 5, 2020.  The Administration is supposedly looking at ways to extend the program even absent Congressional approval. 

So far, Congressional leaders have not reached agreement on an additional stimulus package, as Republicans have been pushing for a bill for around $1 trillion, while Democrats have been pushing for a bill more than twice that.  The latest proposal from the Republicans provides a $300.00 per week unemployment benefit enhancement, $258 billion for the Paycheck Protection Program for small businesses, liability protections for employers, and other provisions.  The most recent proposal made by a 50-member equal group of House Republicans and Democrats provides an approximately $1.5 trillion stimulus plan, with additional aid to state and local governments, a key point demanded by the Democrats.  Under the plan, the 50-member group is supporting $450.00 per week federal unemployment supplement for eight weeks and then applying a formula capping benefits at 100% of previous wages or $600.00 per week, whichever is lower.   President Trump in mid-September indicated he was supportive of the $1.5 trillion stimulus proposal from the bipartisan group, with the President wanting to campaign for re-election on a platform of strong economic recovery.  Some Republicans are reluctant to spend more money on stimulus with the deficit over $3 trillion this year.


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