Poster #83 - Prolonged Support? State-Level Variations in Extended Unemployment Benefits During the COVID-19 Pandemic

• In Event: Friday Poster Reception

Abstract

Background and Purpose:

The COVID-19 pandemic precipitated unprecedented unemployment rates across the United States. In response, the federal government activated the Extended Benefits (EB) program, providing additional weeks of unemployment insurance (UI) to individuals who exhausted regular state benefits. States triggered EB based on specific unemployment indicators, such as the 13-week Insured Unemployment Rate and the 3-month average Total Unemployment Rate. However, the timing, frequency, and duration of EB implementation varied substantially across states, shaped by economic conditions, state-level policy decisions, and administrative capacity. Prior research has shown that such heterogeneity in unemployment responses is influenced not only by local COVID-19 case rates, but also by industry composition, state shutdown orders, and differences in policy uptake. This study examines: (1) state-level variation in EB activation and duration during the pandemic, and (2) the relationship between activation frequency and total duration of EB availability.

Methods:

We analyzed data from the U.S. Department of Labor’s EB Trigger Notice Reports from April 2020 to December 2021. EB activations were defined as the number of unique state activation dates. Descriptive analyses summarized state-level differences in EB activation and duration. Pearson’s correlation coefficient was calculated to examine the association between activation frequency and total EB duration.

Results:

EB duration and frequency varied markedly across states. For instance, California maintained EB for a total of 489 days, whereas Arizona phased out the program by December 2020. Pearson’s correlation analysis revealed a strong positive association between activation frequency and duration (r = 0.73, p < .001), indicating that states with more frequent EB activations also experienced longer periods of benefit availability. This pattern may reflect persistent economic distress, variations in labor market recovery, or differences in policy implementation practices, including the use of optional TUR triggers or discretionary shutdown responses.

Conclusions and Implications:

This study highlights the uneven deployment of EB across states during the COVID-19 crisis and points to the critical role of administrative discretion and policy design in shaping benefit access. The findings support calls for a more uniform and responsive federal-state unemployment insurance framework that can better accommodate economic disruptions in real time. Understanding the drivers of activation and extended support duration can inform future emergency UI responses and mitigate inequities in economic recovery.

Authors

• Jihye Lee, Washington University in St. Louis
  Presenting Author

• Liwei Zhang, The University of Georgia
  Non-Presenting Co-Author

• Jaesung Lee, University of Georgia
  Non-Presenting Co-Author