Emergency Unemployment Compensation
(EUC08): Current Status of Benefits
Julie M. Whittaker
Specialist in Income Security
Katelin P. Isaacs
Analyst in Income Security
March 28, 2012
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Emergency Unemployment Compensation (EUC08): Current Status of Benefits
Summary
The temporary Emergency Unemployment Compensation (EUC08) program may provide
additional federal unemployment insurance benefits to eligible individuals who have exhausted
all available benefits from their state Unemployment Compensation (UC) programs. Congress
created the EUC08 program in 2008 and has amended the original, authorizing law (P.L. 110-252)
10 times.
The most recent extension of EUC08 in P.L. 112-96, the Middle Class Tax Relief and Job
Creation Act of 2012, authorizes EUC08 benefits through the end of calendar year 2012. P.L. 112-
96 also alters the structure and potential availability of EUC08 benefits in states. Under P.L. 112-
96, the potential duration of EUC08 benefits available to eligible individuals depends on state
unemployment rates as well as the calendar date.
The P.L. 112-96 extension of the EUC08 program does not allow any individual to receive more
than 99 weeks of total unemployment insurance (i.e., total weeks of benefits from the three
currently authorized programs: regular UC plus EUC08 plus EB). No additional benefits were
created for those who had exhausted all unemployment insurance benefits (e.g., “99ers”).
However, from February 19 through May 26, 2012, up to 10 additional weeks of tier IV EUC08
benefits may be available (for a total of 16 weeks) if there is no active EB program in the state at
the time when an individual enters tier IV and the three-month average state unemployment rate
is at least 8.5%. Eligibility for these additional weeks is subject to the requirement that no
individual receives more than a 99 weeks total of unemployment insurance. A figure providing
the sequence, availability, and total maximum of all unemployment benefits (UC, EUC08, and
EB) is provided in the Appendix.
This report summarizes the structure of EUC08 benefits available through December 29, 2012
(December 30, 2012 for New York). It also provides the legislative history of the EUC08
program.
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Emergency Unemployment Compensation (EUC08): Current Status of Benefits
Contents
Introduction...................................................................................................................................... 1
Emergency Unemployment Compensation ..................................................................................... 1
How Does an Eligible Individual Receive the EUC08 Benefit? ............................................... 4
How Much is an Eligible Individual’s Weekly EUC08 Benefit? .............................................. 4
The Potential Duration of an Eligible Individual’s EUC08 Benefit Depends Upon
State Unemployment Rates and Calendar Date...................................................................... 5
How to Find Which Tiers are Available in a State .............................................................. 7
When Do the Expanded EUC08 Benefits Begin and End? ....................................................... 7
All Tiers Terminate the Week Ending On or Before January 2, 2013, with No
Grandfathering ................................................................................................................. 7
Tier I EUC08 Eligibility Requirements..................................................................................... 8
Exhausted Regular UC Benefit ........................................................................................... 8
“20 Weeks” of Full-Time Insured Employment or Equivalent ........................................... 8
Tier II EUC08 Eligibility Requirements.................................................................................... 9
Exhausted Tier I EUC08 Benefit......................................................................................... 9
Beginning on May 27, 2012 (May 28, 2012, for New York), At or After the
Period of Tier II EUC08 Exhaustion, the State Must Currently Have at Least a
6% Unemployment Rate .................................................................................................. 9
Tier III EUC08 Eligibility Requirements .................................................................................. 9
Exhausted Tier II EUC08 Benefit ....................................................................................... 9
At or After the Period of Tier II EUC08 Exhaustion, the State Must Currently
Have at Least a 6% Unemployment Rate (Beginning May 27, 2012, the TUR
Must be at Least 7%)...................................................................................................... 10
Tier IV EUC08 Eligibility Requirements ................................................................................ 10
Exhausted Tier I, Tier II, and Tier III EUC08 Benefits..................................................... 10
At or After the Period of Tier III EUC08 Exhaustion, the State Must Currently
Have at Least 8.5% Unemployment Rate Until May 26, 2012...................................... 10
After May 26, 2012, the State Must Currently Have at Least 9% Unemployment
Rate ................................................................................................................................ 11
No Retroactive Payments If State Triggers Back on to Tier IV ........................................ 11
Special Considerations for Determining the Maximum Potential Weeks Available................ 11
Individuals Are “Grandfathered” into a Particular Tier’s Available Weeks at the
Date of Entering the New Tier Even if the Number of Weeks Available in the
Tier Subsequently Increases (or Decreases)................................................................... 11
Special Rule for Tier IV Weeks of Entitlement................................................................. 11
Special Consequences of EUC08 Tier Duration in States with Reduced Maximum
UC Duration................................................................................................................... 12
Lapses in EUC08 Authorization.............................................................................................. 12
The Extended Benefit Program...................................................................................................... 13
EB Program is Permanently Authorized.................................................................................. 13
EB Program Financing ............................................................................................................ 14
EUC08 and EB Interactions .................................................................................................... 14
Which Benefit Is Paid First? ............................................................................................. 14
Legislation Enacted in the 112th Congress..................................................................................... 14
P.L. 112-96, the Middle Class Tax Relief and Job Creation Act of 2012.......................... 14
P.L. 112-78, the Temporary Payroll Tax Cut Continuation Act of 2011............................ 15
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Emergency Unemployment Compensation (EUC08): Current Status of Benefits
Figures
Figure 1. Benefits Available in Emergency Unemployment Compensation (EUC08) July
6, 2008-December 29, 2012.......................................................................................................... 6
Figure A-1. Sequence of Unemployment Benefits: UC, EUC08, and EB..................................... 16
Tables
Table 1. Summary of Emergency Unemployment Compensation (EUC08) Program:
Public Laws, Benefits, Effective Dates, and Financing................................................................ 2
Table 2. Summary of EUC08 Program Authorization Lapses ....................................................... 13
Appendixes
Appendix. Availability and Sequence of Unemployment Benefits................................................ 16
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Emergency Unemployment Compensation (EUC08): Current Status of Benefits
Introduction
Various benefits may be available to unemployed workers to provide income support. When
eligible workers lose their jobs, the Unemployment Compensation (UC) program may provide up
to 26 weeks of income support through the payment of regular UC benefits. Unemployment
benefits may be extended for up to 63 weeks by the temporarily authorized Emergency
Unemployment Compensation (EUC08) program. Unemployment benefits may be extended for
up to a further 13 or 20 weeks by the permanent Extended Benefit (EB) program under certain
state economic conditions. Current law does not allow an individual to receive more than 99
weeks of benefits (UC plus EB plus EUC08).
This report provides a detailed legislative history as well as the current structure of the EUC08
program. For information on current legislative attempts to alter the EUC08 program, see CRS
Report R41662, Unemployment Insurance: Legislative Issues in the 112th Congress, by Julie M.
Whittaker and Katelin P. Isaacs. For information on the regular unemployment compensation
program, see CRS Report RL33362, Unemployment Insurance: Programs and Benefits, by
Katelin P. Isaacs and Julie M. Whittaker.
Emergency Unemployment Compensation
On June 30, 2008, President George W. Bush signed the Supplemental Appropriations Act of
2008 (P.L. 110-252) into law. Title IV of this act created a new temporary unemployment
insurance program, the Emergency Unemployment Compensation (EUC08) program.1 This is the
eighth time Congress has created a federal temporary program that has extended unemployment
compensation during an economic slowdown.2 State UC agencies administer the EUC08 benefit
along with regular UC benefits and the permanently authorized EB program. The authorization
for this program expires the week ending on or before January 2, 2013. The last day of EUC08
availability is December 29, 2012 (December 30, 2012 for New York).
The EUC08 program has been amended 10 times by P.L. 110-449, P.L. 111-5, P.L. 111-92, P.L.
111-118, P.L. 111-144, P.L. 111-157, P.L. 111-205, P.L. 111-312, P.L. 112-78, and P.L. 112-96.
This temporary unemployment insurance program provides additional weeks of unemployment
benefits to certain workers who have exhausted their rights to regular UC benefits through a
sequential array of four tiers, each of which is an individual entitlement.
On February 22, 2012, President Barack Obama signed P.L. 112-96, the Middle Class Tax Relief
and Job Creation Act of 2012, into law. P.L. 112-96 extends the authorization for EUC08 through
the week ending on or before January 2, 2013. It also substantially alters the structure of the
program, creating three distinct EUC08 benefit time periods during the remainder of 2012: March
through May 2012, June through August 2012, and September through December 2012. EUC08
1 For information on legislative attempts to extend or expand the EUC08 program, see CRS Report R41662,
Unemployment Insurance: Legislative Issues in the 112th Congress, by Julie M. Whittaker and Katelin P. Isaacs. For
information on the regular unemployment compensation program, see CRS Report RL33362, Unemployment
Insurance: Programs and Benefits, by Katelin P. Isaacs and Julie M. Whittaker.
2 The other programs became effective in 1958, 1961, 1972, 1975, 1982, 1991, and 2002. For details on these
programs, see CRS Report RL34340, Extending Unemployment Compensation Benefits During Recessions, by Julie M.
Whittaker and Katelin P. Isaacs.
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Emergency Unemployment Compensation (EUC08): Current Status of Benefits
tier duration and availability in states vary across each of these time periods. In addition, EUC08
tier requirements that establish particular required unemployment rate thresholds in order that the
state have an active tier II, tier III, and tier IV also change.
The P.L. 112-96 extension of the EUC08 program does not allow any individual to receive more
than 99 weeks of total unemployment insurance (i.e., total weeks of benefits from the three
currently authorized programs: regular UC plus EUC08 plus EB). No additional benefits were
created for those who had exhausted all unemployment insurance benefits (e.g., “99ers”).
However, from February 19 through May 26, 2012, up to 10 additional weeks of tier IV EUC08
benefits may be available (for a total of 16 weeks) if there is no active EB program in the state at
the time when an individual enters tier IV and the three-month average state unemployment rate
is at least 8.5%. Eligibility for these additional weeks is subject to the requirement that no
individual receives more than a 99 weeks total of unemployment insurance. A figure providing
the sequence, availability, and total maximum of all unemployment benefits (UC, EUC08, and
EB) is provided in the Appendix.
Table 1 provides a summary of how the EUC08 program has changed since it was first
authorized in 2008. Each row provides the public law that amended the original EUC08 program,
the corresponding EUC08 benefits available under that law, and the effective dates authorized by
that law.
Table 1. Summary of Emergency Unemployment Compensation (EUC08) Program:
Public Laws, Benefits, Effective Dates, and Financing
Public Law
Benefit Tiers and Availability
Dates in Effect and Financing
Supplemental Appropriations Act of
13 weeks (al states)
7/6/2008-3/28/2009
2008, Title IV Emergency
(No benefits past 7/4/2009)
Unemployment Compensation (P.L.
110-252), signed June 30, 2008
Funded by federal Emergency
Unemployment Compensation
Account (EUCA) funds within
Unemployment Trust Fund (UTF).
Unemployment Compensation
Tier I: 20 weeks (all states)
11/23/2008-3/28/2009
Extension Act of 2008 (P.L. 110-449),
Tier II: 13 additional weeks (33 weeks
(No benefits past 8/29/2009)
signed November 21, 2008
total) if state total unemployment rate
(TUR) is 6% or higher or insured
Funded by federal EUCA funds within
unemployment rate (IUR) is 4% or
UTF.
higher.
American Recovery and Reinvestment
Same as above.
2/22/2009-12/26/2009
Act of 2009 (P.L. 111-5), signed
(No benefits past 6/5/2010)
February 17, 2009
[Act included several other
interventions that augmented UC
Funded by general fund of the
benefits: the Federal Additional
Treasury. (Additionally, the FAC
Compensation (FAC) benefit of
program is funded by the general fund
$25/week; at state option, EB benefit
of the Treasury. The 100% financing of
year could be calculated based upon
the EB program is funded by the
exhausting EUC08 benefits; 100%
EUCA funds within the UTF.)
federal financing of EB program; and
the first $2,400 of unemployment
benefits were excluded from income
tax in 2009.]
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Public Law
Benefit Tiers and Availability
Dates in Effect and Financing
Worker, Homeowner, and Business
Tier I: 20 weeks (all states)
11/8/2009-12/26/2009
Assistance Act of 2009 (P.L. 111-92),
Tier II: 14 additional weeks (34 weeks
(No benefits past 6/5/2010)
signed November 6, 2009
total, all states)
Tier III: 13 additional weeks if state
Funded by general fund of the
TUR is 6% or higher or IUR is 4% or
Treasury. Extended FUTA surtax
higher (47 weeks total)
through June 2011. The estimated
Tier IV: 6 additional weeks if state
revenues col ected from FUTA surtax
TUR is 8.5% or higher or IUR is 6% or
provision were $2.578 billion and
higher (53 weeks total)
offset the estimated direct spending
costs for unemployment insurance
[Act included 1.5 year extension of the provisions of $2.42 billion.
Federal Unemployment Tax Act
(FUTA) surtax.]
Department of Defense Appropriations
Same as above.
12/27/2009-2/27/2010
Act, 2010 (P.L. 111-118), signed
(No benefits past 7/31/2010)
December 19, 2009
Funded by general fund of the
Treasury.
Temporary Extension Act of 2010 (P.L.
Same as above.
2/28/2010-4/3/2010
111-144), signed March 2, 2010
(No benefits past 9/4/2010)
Funded by general fund of the
Treasury.
The Continuing Extension Act of 2010
Same as above.
4/4/2010 (retroactive)-5/29/2010
(P.L. 111-157), signed April 15, 2010
(No benefits past 11/6/ 2010)
Funded by general fund of the
Treasury.
The Unemployment Compensation
Same as above.
5/30/2010 (retroactive)-11/27/2010
Extension Act of 2010 (P.L. 111-205),
(No benefits past 4/30/2011)
signed July 22, 2010
[Note this did not include an
extension of the Federal Additional
Funded by general fund of the
Compensation (FAC) benefit of
Treasury.
$25/week for those receiving UC,
EUC08, EB, Disaster Unemployment
Assistance, or Trade Adjustment
Assistance. The FAC expired on June
2, 2010.]
The Tax Relief, Unemployment
Same as above.
11/28/2010 (retroactive)-12/31/2011
Insurance Reauthorization, and Job
(No benefits past 6/9/2012)
Creation Act of 2010 (P.L. 111-312),
signed December 17, 2010
Funded by general fund of the
Treasury.
The Temporary Payroll Tax Cut
Same as above.
1/1/2012-2/18/2012
Continuation Act of 2011 (P.L. 112-78),
(No benefits past 8/11/2012)
signed December 23, 2011
Funded by general fund of the
Treasury.
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Emergency Unemployment Compensation (EUC08): Current Status of Benefits
Public Law
Benefit Tiers and Availability
Dates in Effect and Financing
Middle Class Tax Relief and Job
Tier I: 20 weeks (all states)
2/19/2012-5/26/2012
Creation Act of 2012 (P.L. 112-96),
Tier II: 14 additional weeks (34 weeks
signed February 22, 2012
total, all states)
Funded by general fund of the
Tier III: 13 additional weeks if state
Treasury.
TUR is 6% or higher or IUR is 4% or
higher (47 weeks total)
Tier IV: 6 additional weeks if state
TUR is 8.5% or higher or IUR is 6% or
higher (53 weeks total); 16 weeks if no
EB and al other conditions met (63
weeks total)
Middle Class Tax Relief and Job
Tier I: 20 weeks (all states)
5/27/2012-9/1/2012
Creation Act of 2012 (P.L. 112-96),
Tier II: 14 additional weeks if TUR is
signed February 22, 2012
6% or higher (34 weeks total, all
Funded by general fund of the
states)
Treasury.
Tier III: 13 additional weeks if state
TUR is 7% or higher or IUR is 4% or
higher (47 weeks total)
Tier IV: 6 additional weeks if state
TUR is 9.0% or higher or IUR is 6% or
higher (53 weeks total)
Middle Class Tax Relief and Job
Tier I: 14 weeks (all states)
9/2/2012-12/29/2012
Creation Act of 2012 (P.L. 112-96),
Tier II: 14 additional weeks if TUR is
(No benefits past 12/29/2012)
signed February 22, 2012
6% or higher (28 weeks total)
Tier III: 9 additional weeks if state
Funded by general fund of the
TUR is 7% or higher or IUR is 4% or
Treasury.
higher (37 weeks total)
Tier IV: 10 additional weeks if state
TUR is 9.0% or higher or IUR is 6%
Source: Congressional Research Service, based on statutory provisions indentified in the table.
Note: Because New York defines a week as a period from Monday through Sunday, the effective dates for New
York are one day later. For example, the EUC08 program first became active in all states except New York on
July 6, 2008. The EUC08 program first became active in New York on July 7, 2008.
How Does an Eligible Individual Receive the EUC08 Benefit?
An individual should contact his or her state’s unemployment agency to obtain specific
information on how to apply for and receive EUC08 benefits. The U.S. Department of Labor
maintains a website with links to each state’s agency at http://www.workforcesecurity.doleta.gov/
map.asp.
How Much is an Eligible Individual’s Weekly EUC08 Benefit?
The amount of the EUC08 benefit is the equivalent of the eligible individual’s weekly regular UC
benefit and includes any applicable dependents’ allowances.
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The Potential Duration of an Eligible Individual’s EUC08 Benefit
Depends Upon State Unemployment Rates and Calendar Date
See Figure 1 below for a diagram of EUC08 benefits available from 2008 to the present. Under
current law (as depicted in the last three columns of Figure 1), the following changes in structure
is scheduled to occur:
• Tier I is available in all states, up to 20 weeks until September 2012 when the
maximum number of weeks of available benefits decreases to 14 weeks.
• Tier II is available in all states, up to 14 weeks until June 2012. Beginning in
June 2012, the state’s three-month seasonally adjusted average state total
unemployment rate (TUR)3 must be at least 6% to have tier II benefits available
in the state.
• Tier III is available in states with a TUR of at least 6% (or an insured
unemployment rate (IUR)4 of at least 4%) for up to 13 weeks until June 2012.
Beginning in June 2012, the state’s TUR must to be at least 7% (or IUR of at
least 4%) to have tier III benefits available in the state. Beginning September
2012, the maximum number of weeks of UI benefits available in tier III
decreases from 13 to 9 weeks.
• Tier IV is available in states with an active EB program and a TUR of at least
8.5% or an IUR of at least 5% until June 2012 for up to 6 weeks. However, in
states that do not have an active EB program and have a TUR of at least 8.5% (or
an IUR of at least 5%), the maximum potential duration is up to 16 weeks. The
16-week provision for states without an active EB program terminates in June
2012.
• Beginning in June 2012, tier IV benefits are available in a state if that the
state’s TUR is at least 9% (rather than 8.5%) or the IUR is 5% (unchanged).
Thus, for all states meeting the unemployment rate criteria, the maximum
potential duration is up to 6 weeks.
• Beginning in September 2012, the maximum potential duration of tier IV
increases to 10 weeks.
3 The total unemployment rate (TUR) is the 13-week average ratio of unemployed workers to all workers (employed
and unemployed) in the labor market. The TUR is essentially a three-month average of the seasonally adjusted
unemployment rate for each state published by the Bureau of Labor Statistics from its Local Area Unemployment
Statistics (LAUS) data.
4 The IUR is a program based statistic: the ratio of UC claimants to individuals in UC-covered jobs. The ratio does not
include those unemployed workers who are receiving EUC08 or EB payments, who have never received UC benefits,
or any other type of unemployed worker except those who are currently receiving regular UC benefits.
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Emergency Unemployment Compensation (EUC08): Current Status of Benefits
Figure 1. Benefits Available in Emergency Unemployment Compensation (EUC08) July 6, 2008-December 29, 2012
Source: Congressional Research Service.
Notes: Because New York defines a week as a period from Monday through Sunday, the effective dates for New York are one day later than those shown above. For
example, the EUC08 program first became active in al states except New York on July 6, 2008. The EUC08 program first became active in New York on July 7, 2008.
The total unemployment rate (TUR) is the 13-week average ratio of unemployed workers to all workers (employed and unemployed) in the labor market. The TUR is
essential y a three-month average of the seasonally adjusted unemployment rate for each state published by the Bureau of Labor Statistics from its Local Area
Unemployment Statistics (LAUS) data. It is possible to have tier III or tier IV available based upon a 13-week average insured unemployment rate (IUR). The IUR is a
program based statistic: the ratio of Unemployment Compensation (UC) claimants to individuals in UC-covered jobs. The ratio does not include those unemployed
workers who are receiving EUC08 or EB payments, or any other type of unemployed worker except those who are currently receiving regular UC benefits.
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Emergency Unemployment Compensation (EUC08): Current Status of Benefits
How to Find Which Tiers are Available in a State
Each Monday the Department of Labor issues its “Emergency Unemployment Compensation
Trigger Notice” at http://www.workforcesecurity.doleta.gov/unemploy/claims_arch.asp. If the
status column for tier II, tier III or tier IV within the notice is “on” for a particular state’s row, that
state is considered to be high unemployment for the purposes of that tier of EUC08 benefits. The
second to the last column, labeled “Tier Four Weeks Available,” lists the maximum potential
number of weeks available in tier IV for each state.
When Do the Expanded EUC08 Benefits Begin and End?
To pay EUC08 benefits, states entered into agreements with the U.S. Department of Labor (DOL)
to provide the original EUC08 benefit to unemployed individuals in the state under the original
EUC08. With an agreement, the EUC08 benefit began the week of July 6, 2008.
Following the passage of P.L. 110-449, additional weeks of EUC08 benefits became available
starting on November 23, 2008. That is, for weeks of unemployment that occur on or after
November 23, 2008, the 20 weeks for tier I and 13 additional weeks for tier II EUC08 benefits
began to be paid.
The passage of P.L. 111-92 led to the expanded EUC08 benefits of tiers II, III, and IV on
November 8, 2009. That is, for weeks of unemployment that occur on or after November 8, 2009,
the 14 weeks (one additional week from previous law) of tier II, the 13 weeks of tier III, and the 6
weeks of tier IV EUC08 benefits began to be paid. The additional weeks of benefits created by
P.L. 111-92 began to be disbursed the week of November 15, 2009 (for the previous week of
unemployment).
With the passage of P.L. 112-96 on February 22, 2012, the EUC08 program will undergo a series
of changes to the number of weeks of benefits available. For some states tier IV will temporarily
offer 6, 10, or 16 weeks of benefits, depending on the state economic conditions, the calendar
date, and whether the state has an active EB program.
The schedule of tier IV changes became effective on the date of enactment and,
programmatically, this means the changes began for weeks of unemployment that occur on
February 19, 2012 (February 20, 2012, for New York) or after. From February 19, 2012, through
May 26, 2012, some states may have an additional 10 weeks of tier IV benefits (for a total of 16
weeks). These additional weeks terminate on May 26, 2012. After that date, no more than 6
weeks of tier IV benefits will be available. Beginning September 2, 2012, tier IV will once again
increase (by 4 weeks, for a total of 10 weeks) in all states that meet the required state
unemployment rate conditions.
All Tiers Terminate the Week Ending On or Before January 2, 2013, with No
Grandfathering
All tiers of EUC08 benefits are temporary and expire in the week ending on or before January 2,
2013. Thus, on December 29, 2012 (December 30, 2012, for New York), the EUC08 program
ends. There is no grandfathering of any EUC08 benefit after that date.
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Tier I EUC08 Eligibility Requirements
Exhausted Regular UC Benefit
The right to regular UC benefits must be exhausted to be eligible for EUC08 benefits.5 Although
federal laws and regulations provide broad guidelines on regular UC benefit coverage and
eligibility determination, the specifics of regular UC benefits are determined by each state. This
results in 53 different programs.6 In particular, states determine UC benefit eligibility, amount,
and duration through state laws and program regulations.
Generally, regular UC eligibility is based on attaining qualified wages and employment in
covered work over a 12-month period (called a base period). Conditional on earnings amounts
and number of quarters worked in the base period, an individual may qualify for as little as one
week of UC benefits in some states and as many as 26 weeks in other states. Individuals with
higher earnings and multiple quarters of work history will generally receive higher UC benefits
for a longer period of time.7
“20 Weeks” of Full-Time Insured Employment or Equivalent
In addition to all state requirements for regular UC eligibility, the EUC08 program requires
claimants to have at least 20 weeks of full-time insured employment or the equivalent in insured
wages in their base period.
States use one, two, or three different methods for determining an “equivalent” to 20 weeks of
full-time insured employment. These methods are described in both law (§202(a)(5) of the
Extended Unemployment Compensation Act of 1970) and regulation (20 CFR 615.4(b)). In
practice, states that apply any of these three requirements for receipt of regular UC benefits and
do not allow for exceptions to those requirements do not need to establish that workers meet the
20 weeks of full-time insured employment requirement for the purposes of EUC. The three
methods are as follows:
• earnings in the base period equal to at least 1.5 times the high-quarter wages; or
• earnings in the base period of at least 40 times the most recent weekly benefit
amount, and if this alternative is adopted, it shall use the weekly benefit amount
(including dependents’ allowances) payable for a week of total unemployment
5 Applicants must have been eligible for regular UC benefits and have exhausted their rights to regular UC with respect
to a benefit year that expired during or after the week of May 6, 2007. For most states, this would apply to individuals
who had filed UC claims with an effective date of May 7, 2006, or later. For the state of New York, this would apply to
original claims filed with an effective date of May 1, 2006, or later. Arkansas has a unique approach to calculating a
benefit year. In Arkansas, the benefit year begins the first day of the quarter in which an individual files a valid UC
claim. Thus, it is unlikely that many individuals in Arkansas who filed UC claims before July 2006 would have been
eligible to receive EUC08 benefits.
6 The 50 states, the District of Columbia, Puerto Rico, and the Virgin Islands provide UC benefits to their workers.
7 Individuals in two states (Massachusetts and Montana) may have regular UC durations that exceed 26 weeks. EB law
requires that the total potential duration of UC and EB combined not exceed 39 weeks (46 weeks in the case of the high
unemployment TUR trigger). Thus, the total potential entitlement—from all unemployment programs, including UC,
EUC08, and EB—in these states is not any greater than in other states.
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(before any reduction because of earnings, pensions or other requirements) that
applied to the most recent week of regular benefits; or
• earnings in the base period equal to at least 20 weeks of full-time insured
employment, and if this alternative is adopted, the term “full-time” shall have the
meaning provided by the state law.
The base period may be the regular base period or, if applicable in the state, the period may be the
alternative base period or the extended base period if that determined the regular UC benefit.
Tier II EUC08 Eligibility Requirements
Exhausted Tier I EUC08 Benefit
The right to tier I EUC08 benefits must be exhausted to be eligible for the tier II EUC08 benefits.
Beginning on May 27, 2012 (May 28, 2012, for New York), At or After the
Period of Tier II EUC08 Exhaustion, the State Must Currently Have at Least a
6% Unemployment Rate
The individual must have worked in a state with a TUR of at least 6%. If the state’s
unemployment rate meets one of these conditions, a (still) unemployed tier I benefit exhaustee
would be eligible for tier II benefits at that time.
Each Monday the Department of Labor issues its “Emergency Unemployment Compensation
Trigger Notice” at http://www.workforcesecurity.doleta.gov/unemploy/claims_arch.asp. If the
status column for tier II within the notice is “on” for a particular state’s row, tier II benefits are
available in that state.
No Retroactive Payments If State Triggers Back on to Tier II
No retroactive EUC08 payments exist for the period during which the individual had exhausted
tier I benefits but the state did not meet the requirements for tier II. However, once a state meets
the criteria (and it has been at least 13 weeks since a state triggered off tier II), a continuously
unemployed tier I exhaustee would be able to receive tier II benefits.
Tier III EUC08 Eligibility Requirements
Exhausted Tier II EUC08 Benefit
The right to tier II EUC08 benefits must be exhausted to be eligible for the tier III EUC08
benefits.
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At or After the Period of Tier II EUC08 Exhaustion, the State Must Currently
Have at Least a 6% Unemployment Rate (Beginning May 27, 2012, the TUR
Must be at Least 7%)
Through May 26, 2012 (May 27, 2012 for New York), for an individual to be eligible for Tier III
benefits, the individual must have worked in a state with TUR of at least 6% or an IUR of at least
4% at the time of Tier II exhaustion. If the state’s unemployment rate meets one of these
conditions, a (still) unemployed tier II benefit exhaustee would be eligible for tier III benefits at
that time.
Beginning May 27, 2012 (May 28, 2012 for New York), an individual must have worked in a
state with a TUR of at least 7% or an IUR of at least 4%. (If an individual had previously
qualified for tier III benefits before May 27, 2012, the individual’s entitlement would be
“grandfathered” and continue to its original end date.)
Each Monday the Department of Labor issues its “Emergency Unemployment Compensation
Trigger Notice” at http://www.workforcesecurity.doleta.gov/unemploy/claims_arch.asp. If the
status column for tier III within the notice is “on” for a particular state’s row, tier III benefits are
available in the state.
No Retroactive Payments If State Triggers Back on to Tier III
No retroactive EUC08 payments exist for the period during which the individual had exhausted
tier II benefits but the state did not meet the tier III criteria. However, once a state meets the tier
III requirements (and it has been at least 13 weeks since a state triggered off tier III), a
continuously unemployed tier II exhaustee would be able to receive tier III benefits.
Tier IV EUC08 Eligibility Requirements
Exhausted Tier I, Tier II, and Tier III EUC08 Benefits
The right to tier I, tier II, and tier III EUC08 benefits must be exhausted to be eligible for the tier
IV EUC08 benefits.
At or After the Period of Tier III EUC08 Exhaustion, the State Must Currently
Have at Least 8.5% Unemployment Rate Until May 26, 2012
Through May 26, 2012 (May 27, 2012 for New York), for an individual to be eligible for tier IV
benefits the individual must have worked in a state with unemployment currently of at least 8.5%
or an IUR of at least 5% at the time of Tier III exhaustion. If the state’s unemployment rate meets
one of these conditions, a (still) unemployed tier III benefit exhaustee would be eligible for tier
IV benefits at that time.
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After May 26, 2012, the State Must Currently Have at Least 9% Unemployment
Rate
Beginning May 27, 2012 (May 28, 2012), an individual must have worked in a state with
unemployment currently of at least 9% or an IUR of at least 5%. (If an individual had previously
qualified for tier IV benefits before May 27, 2012, the individual entitlement would be
“grandfathered” and continue to its original end date.)
Each Monday, the Department of Labor issues its “Emergency Unemployment Compensation
Trigger Notice” at http://www.workforcesecurity.doleta.gov/unemploy/claims_arch.asp. If the
status column for tier IV benefits within the notice is “on” for a particular state’s row, that state is
considered to be high unemployment for the purposes of EUC08.
No Retroactive Payments If State Triggers Back on to Tier IV
No retroactive EUC08 payments exist for the period during which the individual had exhausted
tier III benefits but the state did not meet the tier IV high unemployment criteria. However, once a
state reaches the necessary TUR (and it has been at least 13 weeks since the state triggered off of
tier IV), a still unemployed tier III exhaustee would be able to receive benefits.
Special Considerations for Determining the Maximum Potential
Weeks Available
Individuals Are “Grandfathered” into a Particular Tier’s Available Weeks at
the Date of Entering the New Tier Even if the Number of Weeks Available in
the Tier Subsequently Increases (or Decreases)
For example, individuals who enter tier IV after February 22, 2012, and are originally
eligible for 6 weeks of tier IV benefits (because the state has an active EB program at that
time) do not retroactively become eligible for 16 weeks of benefits if the state’s EB
program becomes inactive.
Similarly, if an individual exhausts tier III benefits in August 2012 (or earlier) and enters
into tier IV with a maximum potential entitlement of 6 weeks, that individual will not be
eligible for an additional 4 weeks beginning on September 2, 2012.
Special Rule for Tier IV Weeks of Entitlement
Until May 26, 2012, there are two potential maximum weeks of benefits available in tier IV. In
states with an active EB program, the maximum potential weeks of benefits is 6 weeks. In states
that have an active tier IV program but no active EB program, the maximum is 16 weeks. If an
individual is in a state with no active EB program and an active tier IV, the individual’s situation
must meet one of the following additional requirements to be eligible for 16 weeks rather than 6
weeks of benefits:
1. At the time of enactment (February 22, 2012), the individual was currently in tier
IV and there was no active EB program, or
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2. At the time of tier III exhaustion the state met the qualifications for the 16 weeks
of benefits.
Special Consequences of EUC08 Tier Duration in States with Reduced
Maximum UC Duration
In 2011, six states enacted legislation to decrease the maximum number of weeks of regular state
UC benefits below the 26 weeks available in most other states: Arkansas (25 weeks); Florida
(variable, based on state unemployment rate with range of 12-23 weeks); Illinois (25 weeks);
Michigan (20 weeks); Missouri (20 weeks); and South Carolina (20 weeks).8
Changes in UC benefit duration have consequences for the duration of EUC08 tiers (as well as
EB benefits). Because state UC benefit duration is an underlying factor in the calculation of
duration for EUC08 tiers (and EB benefits), the reduction of the maximum duration of regular UC
benefits reduces the number of weeks available to unemployed workers from EUC08 (and EB).
For details on EUC08 tier reductions in the six states that have reduced maximum UC duration—
Arkansas, Florida, Illinois, Michigan, Missouri, and South Carolina—see CRS Report R41859,
Unemployment Insurance: Consequences of Changes in State Unemployment Compensation
Laws, by Katelin P. Isaacs.
Lapses in EUC08 Authorization
Over the history of the temporary EUC08 program, there have been four lapses in program
authorization: February 27, 2010, to March 2, 2010; April 3, 2010, to April 15, 2010; June 2,
2010, to July 22, 2010; and November 30, 2010, to December 17, 2010.
Each of these lapses was addressed either in law, via retroactive effective dates of program
extension legislation for longer lapses, or through the administration of the program, in the case
of the shortest lapse (February 27, 2010-March 2, 2010). The longest of these authorization lapses
was 49 days (or 7 weeks), occurring between June 2, 2010, and July 22, 2010, and ending when
P.L. 111-205 was signed. The passage of P.L. 111-312 addressed the most recent lapse (November
30, 2010-December 17, 2010) and retroactively restored EUC08 program authorization.
8 The maximum UC duration in Massachusetts is 30 weeks and in Montana it is 28 weeks. In conjunction with an
active EB program in these states, however, UC duration is capped at 26 weeks.
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See Table 2 below for additional details on these authorization lapses.
Table 2. Summary of EUC08 Program Authorization Lapses
EUC08 Authorization
EUC08 Authorization
Number of Days
Legislation that
Lapse Beginning Date
Lapse Ending Date
Lapse Lasted
Ended Lapse
2/27/2010
3/2/2010
2
Temporary Extension Act of
2010 (P.L. 111-144)
4/3/2010 4/15/2010
11
The
Continuing
Extension
Act of 2010 (P.L. 111-157)
6/2/2010 7/22/2010
49
The
Unemployment
Compensation Extension Act
of 2010 (P.L. 111-205)
11/30/2010
12/17/2010
16
The Tax Relief,
Unemployment Insurance
Reauthorization, and Job
Creation Act of 2010 (P.L.
111-312)
Source: Congressional Research Service.
The Extended Benefit Program
The EUC08 program should not be confused with the similarly named Extended Benefit (EB)
program.9 The EUC08 program is temporary and a portion of the program is available regardless
of state unemployment conditions. In comparison, the EB program is permanently authorized and
applies only to certain states on the basis of state unemployment conditions as specified in law.
Each Monday the Department of Labor issues its “Extended Benefit Trigger Notice” at
http://www.workforcesecurity.doleta.gov/unemploy/claims_arch.asp. If the “available weeks”
column within the notice has either 13 or 20 for a particular state’s row, that extended benefit
program is active in that state with a potential of up to 13 or 20 weeks of EB for its unemployed
workers.
When economic conditions in a state no longer meet the criteria for extended benefits, the EB
program becomes inactive. There is no “grandfathering” of the EB benefit. When a state EB
program becomes inactive, payment of all EB benefits stops immediately.
EB Program is Permanently Authorized
The EB program is permanently authorized by the Federal-State Extended Unemployment
Compensation Act of 1970 (EUCA), P.L. 91-373 (26 U.S.C. 3304, note). The EB program
provides for additional weeks of unemployment benefits, up to a maximum of 13 weeks during
periods of high unemployment and, at the option of each state, up to a maximum of 20 weeks in
certain states with extremely high unemployment.
9 For a detailed description of the EB program, see CRS Report RL33362, Unemployment Insurance: Programs and
Benefits, by Katelin P. Isaacs and Julie M. Whittaker.
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EB Program Financing
Under EUCA, EB benefits are funded half (50%) by the federal government through an account
for that purpose in the Unemployment Trust Fund (UTF). States fund half (50%) through their
state accounts in the UTF.10
The American Recovery and Reinvestment Act of 2009, P.L. 111-5, provided for 100% federal
financing of the EB program though December 31, 2009 (through the Extended Unemployment
Compensation Account within the Unemployment Trust Fund). P.L. 111-118 extended the 100%
financing for an additional two months, until February 28, 2010. P.L. 111-144, P.L. 111-157, and
P.L. 111-205 further extended 100% federal financing of the EB program through April 5, 2010,
June 2, 2010, and December 1, 2010, respectively. P.L. 111-312 extended the 100% federal
financing of EB through January 4, 2012. P.L. 112-78 further extended the 100% federal
financing of EB through March 7, 2012. Most recently, P.L. 112-96 extends the 100% federal
financing through December 31, 2012. For individuals who began to receive extended benefits on
or before December 31, 2012, 100% federal financing would continue for the length of receipt of
the extended benefits, even if these benefits continue to be paid after December 31, 2012.11 For
extended benefit payments that start after December 31, 2012, benefits would again be funded
50% by the states and 50% by the federal government.
EUC08 and EB Interactions
Which Benefit Is Paid First?
P.L. 112-96 requires that states pay EUC08 benefits before EB benefits. Before the enactment of
P.L. 112-96, states had the option to pay EB first. Alaska was the only state to pay EB first.
Legislation Enacted in the 112th Congress12
P.L. 112-96, the Middle Class Tax Relief and Job Creation Act of 2012
P.L. 112-96, the Middle Class Tax Relief and Job Creation Act of 2012 (signed on February 16,
2012) contains complex and phased-in changes to the EUC08 program. This law extends the
authorization of the EUC08 program until the week ending on or before January 2, 2013. The last
day of EUC08 availability is December 29, 2012 (December 30, 2012, for New York). There
10 States that do not require a one-week UC waiting period, or have an exception for any reason to the waiting period,
pay 100% of the first week of EB. Twenty-five states, including Rhode Island and North Carolina, do not require a one-
week UC waiting period in all cases. P.L. 110-449 temporarily suspended the waiting week requirement for federal
funding, and the American Recovery and Reinvestment Act of 2009 (P.L. 111-5), as amended, extends this suspension
until the week ending before June 30, 2013.
11 For more information on temporary changes to the EB program under the American Recovery and Reinvestment Act
of 2009, see CRS Report RL33362, Unemployment Insurance: Programs and Benefits, by Katelin P. Isaacs and Julie
M. Whittaker.
12 For information on bills introduced in the 112th Congress that propose changes to UI benefits and programs,
including EUC08, see CRS Report R41662, Unemployment Insurance: Legislative Issues in the 112th Congress, by
Julie M. Whittaker and Katelin P. Isaacs.
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would be no grandfathering of EUC08 benefits after that date. Individuals who had not completed
a tier of EUC08 would not continue to receive those benefits after the week ending on or before
January 2, 2013. As discussed throughout this report, P.L. 112-96 also alters the duration and/or
the state availability of each tier of the EUC08 program during three separate periods: March-
May 2012, June-August 2012, and September-December 2012.
Additional Unemployment Insurance Provisions
P.L. 112-96 requires states to pay individuals any entitlement to EUC08 benefits before any
entitlements to EB benefits. P.L. 112-96 also extends the 100% federal financing of EB through
December 31, 2012, as well as the option for states to use three-year lookbacks in their EB
triggers until the week ending on or before December 31, 2012.
P.L. 112-78, the Temporary Payroll Tax Cut Continuation Act of 2011
On December 23, 2011, President Barack Obama signed P.L. 112-78, the Temporary Payroll Tax
Cut Continuation Act of 2011. P.L. 112-78 extended the expiring UI laws for two months. Under
P.L. 112-78, the authorization for the EUC08 program expired the week ending on or before
March 6, 2012, and the 100% federal financing of the EB program expired March 7, 2012.
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Appendix. Availability and Sequence of
Unemployment Benefits
Figure A-1. Sequence of Unemployment Benefits: UC, EUC08, and EB
Source: Congressional Research Service.
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