Navigating Unemployment During COVID-19

March 30, 2020 Will Kellar

Over the last few weeks, our nation has been greatly impacted by the COVID-19. Work for many Americans has changed. Companies have had to make difficult and necessary choices to stay in operation. Many have transitioned to a WFH (work from home) policy. While many companies have had to make the painful decision to cut employee’s working hours, or worse lay employees off.

Our nation is experiencing the worst spike in unemployment the country has ever seen. The Department of Labor announced that 3,300,000 Americans filed for Unemployment Insurance during the third week of March. This figure is nearly five times the previous record of 695,000 in October of 1982. With such figures, it is likely you or someone you know has had their employment disrupted by COVID-19.

Unemployment Insurance Initial Weekly Claims; Source: DOL.gov

So, what’s next for those who are trying to navigate a loss of work or reduced hours during this difficult time? Thankfully there are systems like Unemployment Insurance to help get someone back on their feet. For Oregonians experiencing hardship, we have assembled the following resource to guide you through filing for Unemployment Insurance.

Expanded Unemployment Insurance Eligibility due to COVID-19

In response to COVID-19, the Senate has passed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). The CARES Act has expanded Unemployment Insurance to those impacted by COVID-19. You are eligible to apply for unemployment benefits if you meet one of the following criteria:

have been laid-off due to COVID-19
have had your hours been cut due to COVID-19
have been furloughed due to COVID-19
have had your place of employment temporarily closed due to COVID-19
is self-employed, without sufficient work history for Unemployment Insurance and undergoing financial hardship due to COVID-19
have been unable to work due to themselves or someone their household/care having been diagnosed with or experiencing symptoms of COVID-19

Where to Start?

Act now: Millions of Americans are applying for Unemployment Insurance benefits; thus, processing times may be slower. Act fast, apply as soon as possible.
File a new claim application: A new claim will need to be filed online or by phone. The preferred method is to use Oregon’s online claim system - here, or call unemployment claims 1.877.345.3484 (1.877.FILE.4.UI). When filing a new claim, be prepared to provide information such as:
- Personal info: social security, phone number and mailing address.
- Work History and Income over the last 18 months.
- Previous employer information: employment dates, names, and contact info.
Additionally, there are required questions about your eligibility and willingness to work. To assist those impacted by COVID-19 in the response to these questions and navigate the new claims application, the Oregon Employment Department has created the following video - here.
File a weekly claim: Once a new claim application is filed, a weekly claim must be filed to receive benefits. To file an initial weekly claim, wait until the Sunday after the new claim application has been submitted. Continue to file for weekly benefits every week that you’re unemployed to request payment. Weekly filings can be completed Sunday through Saturday for the previous week. Note: Another benefit of the CARES Act, Unemployment Insurance benefits, has been extended from 26 weeks to a total of 39 weeks.
Receive payments: Weekly payments can be received via Direct Deposit or via a Debit Card (delivered by mail).

SAMPLE CLAIM EXPERIENCE

How much can you expect to receive?

The current nationwide average weekly benefit is $385 per week. Thanks to the CARES Act, those eligible for unemployment will receive additional unemployment assistance of $600 per week for four months. Annualized, that adds up to an annual income of someone making over $50,000 per year. The intent of the CARES Act is:

“Most will get their full salary, or very very close to it,” Senate Minority Leader Chuck Schumer, D-NY

Your weekly benefit amount is calculated as 1.25% of your total base year wages. An employee’s base year consists of the previous four quarters before the initial claim. Note: During your base year you must have earned $1,000 in wages and worked at least 500 hours.

For example, an employee who earned $15 per hour, working 40 hours per week for the past year would generally receive $390 per week (+$600 per week over the next four months) of benefits.

If you want to calculate your expected Oregon Unemployment benefit, here is a useful tool (does not include an additional $600) -

Final Thoughts

As a reminder, we are all in this together. I recommend being both persistent and gracious when claiming your Unemployment Insurance benefits. The state employees in the unemployment office have gone from historically low unemployment numbers to the highest ever in a matter of weeks and are most likely overwhelmed.

What we have experienced over the last couple of weeks is so much more than market volatility and numbers on the ticker tape. Please let us know if there is anything our team can do for you and your family, financial or otherwise.