Percent of Jobless Getting Aid Could Hit New Low, Study Says

The percentage of unemployed Americans receiving jobless benefits could sink to record low levels by midsummer after emergency legislation expires, according to a study published Tuesday.

Only two in five unemployed received jobless benefits in an average month between July, 1990, and October, 1991, the lowest level ever recorded during a recession, the Center on Budget and Policy Priorities said in a report.

The liberal think tank said the proportion of people receiving benefits rose to over 50% starting in December because Congress enacted emergency legislation, but the money runs out in July.

In February, 9.2 million Americans were listed as jobless, or 7.3% of the work force, the highest rate in seven years.

The Bush Administration and congressional estimates anticipate unemployment remaining high next year, even as the economy recovers.

The study, called “Far From Fixed,” found that the percentage of unemployed receiving benefits in the current recession was lower than in any other since the end of World War II.

For example, half those unemployed in the recession year of 1980 received aid, and an all-time high of 76% got benefits in 1975, according to the study.

The center called for extending the emergency legislation and said that if it expires in July, most workers who exhaust their state benefits after midyear will be ineligible for any further help.

It said that the federal government maintained supplemental benefit programs through the early years of the recovery from both previous recessions.