Unemployment Insurance

Subdivision A, Title II, Division A of the CARES Act, or the Relief for Workers Affected by Coronavirus Act (“RWACA”), provides funding for unemployment compensation (“UC”) to workers adversely impacted by COVID-19.  RWACA extends the availability of UC to those workers who are not otherwise covered by State UC laws or that have exhausted State UC benefits.  Covered individuals include those who have been unemployed, partially unemployed, or unable to work because of COVID-19 between January 27, 2020 and December 31, 2020 (for purposes of this section, the “Covered Period”).  Notably, RWACA covers independent contractors (including gig-economy workers), the self-employed, and furloughed employees (including those with reduced hours).  Under the RWACA, States may provide an additional $600/week of UC to an individual for up to four months (even if the employee was/is making less), and those nearing the end of their UC timetable can extend the period for an additional 13 weeks.  UC is capped at 39 weeks during the Covered Period; however, there is no one-week waiting period.  RWACA also makes emergency unemployment relief available to governmental entities and nonprofit organizations.

For more information or questions regarding unemployment insurance and other issues facing your business, email info@stubbsalderton.com.