CARES Act Unemployment Compensation

Another component to the recent legislation involves unemployment. We will provide an overview on three parts: Pandemic Unemployment Assistance (PUA), Federal Pandemic Unemployment Compensation (FPUC), and Pandemic Emergency Unemployment Compensation (PEUC). These are federal funded programs that states may implement.

PUA:

• Provides unemployment benefits for those traditionally not covered by unemployment: self-employed, independent contractors, gig employees.
• Provides unemployment benefits for those who have exhausted all other unemployment coverages.
• 39 weeks of benefits. Period begins 1/27/20 (retroactive) and ends 12/31/20.
• Must be due to COVID-19 related reason.

FPUC:

• Provides $600 a week payment to those people collecting unemployment compensation.

PEUC:

• May extend 13 weeks of unemployment benefits.
• You are eligible if:
  • You have exhausted all of your rights in benefit year ending on or after July 1, 2019.
  • You have no rights to regular unemployment compensation.
  • You are not receiving unemployment compensation from Canada.
  • You are able to work, available for work and are actively seeking employment.

As we mentioned, states are able offer these benefits. Alabama started paying the additional $600 benefit on April 13^th.