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EX-201 (01/2019)

MICHIGAN STATE POLICE

FOR IMMEDIATE RELEASE For more information contact:


No. 330 – September 2, 2020 Jason Moon
517-282-0041

UIA Update: Unemployment Benefits Help Bolster Economy, $22B


Paid to Workers
LANSING, MICH. Emergency aid provided by the Michigan Unemployment Insurance Agency to
vulnerable workers has boosted the state’s economic outlook, according to data and testimony shared by
economists. At the recent Consensus Revenue Estimating Conference, University of Michigan economist
Gabriel Ehrlich indicated that UIA’s efforts to pay benefits quickly and nation-leading Work Share program
were credited with helping Michigan outpace the nation in consumer spending.

Since March 15, nearly $22B in unemployment benefits have been paid to more than 2.1M workers. As a
result of this and other emergency aid, spending by Michigan residents has been three times higher than
economists forecasted, helping families make ends meet and buffering the State Budget and State School
Aid Fund against the most devastating cuts.
“Our unemployment system was designed to be a safety net for both our workers and economy,” said UIA
Director Steve Gray. “As we have throughout the pandemic, the UIA will continue to work, day and night,
to provide this emergency financial assistance quickly so that claimants have the resources to provide for
their families.”
Consumer Spending
Ehrlich noted that UIA did a “better job in getting benefits to people in a timely fashion” than other states,
and that the state has “seen a stronger recovery in consumer spending here than nationally.” According to
the Harvard-based Opportunity Insights, Michigan is 2nd in consumer spending relative to pre-COVID
levels.

Work Share
Ehrlich also credited Michigan’s participation in the federal Work Share (WS) program, which allows
employers who are still experiencing decreases in customer demand to bring back laid-off workers at
reduced cost to support continued employment. Under this program, employees also collect partial
unemployment benefits to make up for the lost wages. According the U.S. Dept. of Labor, Michigan led
the nation in WS participation with more than 18% of all national WS participants. The program has
provided $450M in benefits helping over 2,500 Michigan employers and saving the State’s Trust Fund
$212M. Nearly 97,000 employees participated at the peak of enrollment during the pandemic.

Historic Demand
Since March 15, the UIA has received as many claims – nearly 2.6M – as it did in the nearly six previous
years combined, from May 2014 to March 2020. For further comparison, weekly initial claims reached a
high of more than 388,000 in April, while the in the weeks preceding the pandemic, the UIA received
around 5,000 new weekly claims. Even during the Great Recession, the weekly high was around 77,000 in
2009.

A PROUD tradition of SERVICE through EXCELLENCE, INTEGRITY, and COURTESY since 1917

www.michigan.gov/msp
EX-201 (01/2019)
MICHIGAN STATE POLICE

Paying Unemployment Claims


Since the beginning of the pandemic, over 2.2M certifying, potentially eligible claimants have applied for
state and federal benefits, with nearly $22B in benefits paid to more than 2.1 million workers, or roughly
98% of potentially eligible, certifying claimants. There are currently less than 42,000 unpaid claimants with
less than 26,000 needing ID verification and just under 14,000 in the adjudication process which requires
a one-on-one review of their claim.

The UIA has made a determination on all currently eligible, certifying unpaid claims that were filed before
July, provided that information has been submitted and the claimant is reachable. In making a
determination, the agency will pay out benefits, determine that the claimant is ineligible and communicate
why, or deem the claimant unreachable after multiple attempts to make contact.

UIA Data
March 15 – September 2, 2020
$21.9B Benefits paid

2,599,075 Total unique claimants (State and Federal)


201,610 Claimants determined currently ineligible for benefits
186,883 Claimants who have not certified
2,210,582 Total unique potentially eligible claims with certification

2,169,600 Claimants paid at least once


98.1% Percent paid at least once

25,566 Claimants unpaid due to ID verification


13,899 Claimants unpaid due to other non-monetary issues

Information around this outbreak is changing rapidly. The latest information is available at
Michigan.gov/Coronavirus and CDC.gov/Coronavirus.

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A PROUD tradition of SERVICE through EXCELLENCE, INTEGRITY, and COURTESY since 1917

www.michigan.gov/msp

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