Last Updated on June 2, 2021

The Status Of Unemployment Benefits Is Changing The Hiring Forecast

There continues to be an increase in the number of states planning to end enhanced unemployment benefits, which were made available due to the pandemic. So where does this all stand? We hope to shed some light on the current state of hiring and unemployment for you as an employer.

When Does Unemployment End? It Varies.
At least 23 states are going to stop participating in the federal government’s supplemental unemployment benefits program, which provides an extra $300 a week to the jobless. The rationale for dropping the payments is that they discourage workers from returning to the workforce. States are varying when they will opt out. Four states—Alaska, Iowa, Mississippi and Missouri—will drop the benefits on June 12, the earliest states may leave the program. Arizona Gov. Doug Ducey will end participation in the program on July 10, but Arizona will offer a $2,000 return-to-work bonus. The extra $300-a-week payments will continue until Sept. 6 in states that don’t opt out.

Some States Also Canceling Benefits for Gig Workers
Alaska, Arizona, Florida and Ohio are only dropping the $300 benefit, while the other states are also canceling federal benefits for gig workers and the long-term jobless. Cutting the $300 benefit affects approximately 4 million people, according to a recent article. Only about half of them will continue receiving state benefits, which average less than $400 per week.

Employer Hiring Challenges Will Continue

The number of available jobs in the U.S. is at a record-breaking high while unemployment remains significantly elevated, leading employers in need of workers to wonder, where are all the job applicants? Some possibilities include:

1. Some individuals may still be hesitant to return to the workforce due to the pandemic,
2. Pandemic-related early retirements may be more significant than previously thought
3. A historically large number of people who report being on temporary layoff or furlough may be holding out for their old jobs
4.  People classified as unemployed may not have the skills to qualify for open roles

How Can You Increase Your Chances For A Strong New Hire?

Hire Effectively To Avoid Future Turnover

Establish a solid system of interviewing and screening future employees so that you have a stable team for future growth. A good hire means employee retention, which can help save on both financial and people resources. In addition, you can mitigate hiring problems associated, with a bad hire such as theft, harassment, criminal activity, and more. Because a company’s most valuable asset is its people, securing the right people is the key for every company to be successful. A key to a smooth process is using an Applicant Tracking System(ATS) such as myHIRE. Some of the benefits you will gain from a good ATS include:

• Easy access to a wider group of job seekers
• Efficient process that saves time and ensures compliance
• User-friendly job creation and application process (schedule interviews, take notes and more)
• Customizable onboarding capabilities (for desktop or mobile device)
• Seeing available Work Opportunity Tax Credits (WOTC) during the process.
• Efficient and clear benefit information and resources
• Paperwork tracking and document archive

Screen Your Candidate Thoroughly.

When things are moving so quickly, things can fall through the cracks. It is imperative that employee screening be accurate and turn over every leaf of possibility so that you know who you are hiring. A solid healthy candidate will reduce turnover (which means expenses and other resources) and provide a foundation for success for your business.