Tuesday, April 21, 2009

Governor Quinn Announces Recovery Money to Help Unemployed

Funding provides 13 more weeks of unemployment insurance


CHICAGO – April 16, 2009. Governor Pat Quinn today announced that the American Recovery and
Reinvestment Act of 2009 (ARRA) will fund an additional 13 weeks of unemployment insurance for Illinois
unemployed workers who otherwise would have exhausted their benefits. The news comes after the Illinois
Department of Employment Security announced that the Illinois unemployment rate rose to 9.1 percent last
month.


“The proud workers of Illinois deserve this additional help to weather the storm of this national
recession,” said Governor Quinn. “We need to do more than just extend unemployment benefits – we need to
pass legislation to put the people of Illinois back to work. Two weeks ago I signed the Jump Start Capital Plan
to start projects that put people to work; now I am working with the General Assembly to pass the rest of the
Illinois Jobs Now! plan which will support 340,000 jobs.”


The Extended Benefits Program provides up to 13 additional weeks of unemployment insurance to
workers who have exhausted their 26 weeks of benefits through the state and the additional 33 weeks
provided through federal emergency extensions approved by Congress. Without the Extended Benefits
Program, Illinois workers who exhausted their regular and emergency benefits would no longer receive
unemployment benefits through the Illinois Department of Employment Security (IDES).


The Extended Benefits Program activated April 5 after the insured unemployment rate exceeded 5
percent. The extended benefits automatically will become payable for weeks beginning on or after April 12.


With extended benefits come more rigorous federal requirements. In order to qualify for extended
benefits, claimants must document their job search, which must generally include at least five personal
contacts with prospective employers each week and three work applications each week. Those eligible for
extended benefits will receive more detail in the mail and do not need to contact the department. Details are
also available at www.ides.state.il.us.


“To assist working families with the more stringent documentation rules, the Department has set up a
centralized customer service center and will provide individual notices to claimants along with required forms
necessary to receive the benefit payment,” IDES Director Maureen O’Donnell said.

MARCH UNEMPLOYMENT RATE TOPS NINE PERCENT

The Illinois seasonally adjusted unemployment rate for March is 9.1 percent, the highest level since November 1985, according to data released today by the Illinois Department of Employment Security (IDES). The March rate is +0.5 percent higher than February and the sixth consecutive month to record an increase.

Total non-farm payroll declined by –39,300 jobs in March 2009, the second largest over-the-
month decrease on record (back to 1990). In March, the number of unemployed people in Illinois increased to 596,000 (+27,400), the highest level reported since September 1983.

“As the recession continues, so do our efforts to improve customer service and to inform people about programs that assess an individual’s work skills so they can better prepare themselves when the economy turns around,” IDES Director Maureen O’Donnell said. “We encourage workers to take advantage of this time by learning new skills and positioning themselves for better opportunities as this economy improves.”
Nationally, the total number of unemployed grew to 13.2 million in March. The seasonally adjusted unemployment rate increased to 8.5 percent, its highest level in 25 years. National payroll employment declined for the 15th consecutive month, dropping by -663,000 jobs and bringing total national job losses to -5.1 million since the recession began in December 2007.

In Illinois, the Manufacturing sector lost -14,200 jobs in March, its third largest over-the-month reduction since January 1992. In the last year, this sector has dropped by -60,800 jobs, more than 9 percent of its total workforce. The Professional and Business Services sector reported -13,200 fewer workers, the second largest decrease on record and its third decline in excess of -10,000 in the last five months.
The IDES administers federally funded employment services and unemployment insurance programs through its nearly 60 offices, including the Illinois workNet Centers. IDES also receives federal grants to provide and analyze labor market statistics and information.


Seasonally Adjusted Unemployment Rates

March
2009
February
2009
March
2008
Illinois 9.1% 8.6%* 6.0%*
U.S. 8.5% 8.1% 5.1%
* Revised

Illinois Seasonally Adjusted Non-Farm Jobs – by Major Industry
Industry Title
March*
2009
February**
2009
March**
2008
Over the
Month
Change
Over the
Year
Change

Total Non-Farm 5,744,300 5,783,600 5,976,600 -39,300 -232,300
Mining 10,100 10,200 9,900 -100 200
Construction 233,200 235,400 263,200 -2,200 -30,000
Manufacturing 602,400 616,600 666,500 -14,200 -64,100
Trade, Transportation, & Utilities 1,170,400 1,177,200 1,213,100 -6,800 -42,700
Information 111,300 111,400 116,100 -100 -4,800
Financial Activities 380,600 384,200 395,700 -3,600 -15,100
Professional and Business Services 803,000 816,200 870,900 -13,200 -67,900
Educational and Health Services 803,100 803,900 791,700 -800 11,400
Leisure and Hospitality 514,600 514,000 533,300 600 -18,700
Other Services 261,700 260,700 262,800 1,000 -1,100
Government 853,900 853,800 853,400 100 500