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AP Business Writer

RALEIGH, NC (AP) — North Carolina is cutting unemployment benefits for new claims beginning Sunday, a move that also makes it the first state disqualified from a federal unemployment compensation program for the long-term jobless.

State officials in February adopted a package of unemployment benefit cuts and increased costs on companies to repay $2.5 billion borrowed from Washington.

North Carolina needed the money after the Great Recession created a flood of jobless who needed benefits, draining the state’s unemployment fund.

But benefits cuts on those making unemployment claims on and after Sunday also disqualify North Carolina from receiving federal funds that kick in after state unemployment compensation runs out. The US Labor Department says about 170,000 workers whose six months of state benefits expire between July and January will lose more than $700 million.

(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

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23 Comments on "NC becomes 1st state to drop federal jobless funds"

Ponder This
2015 years 9 months ago

The current state of affairs with NC’s unemployment benefits ending could possibly provide someone a Great Opportunity. Any seasoned street person will now be able to offer his/her services as speaker at seminars to teach the newly homeless how to survive without money in NC. Then our Great Governor can point to this and say he’s actually creating new jobs. Why, this could even become a success story for our illustrious state. Yay.

2015 years 9 months ago

blind legislators don’t get is this simple axiom.
Part of my paycheck is the *food stores* profit (substitute any store you’d like for food store).
If I cut back then several other entities hurt.
If 70,000 cut back MANY entities get hurt.

But we shall see…….


2015 years 9 months ago

The dollar in my wallet that i earned looks the same as the dollar in another persons wallet that was given to them. I understand your logic, but the taxes i pay on consumption/income provides some public/private good because i earned it while the same dollar that is given to someone does nothing for the public good. There are jobs out there people just have to look hard and be willing to accept things until times get better. We have got to get out of this welfare/entitlement state of mind.

2015 years 9 months ago

All you hard-working folks with jobs better get your guns ready because crime, poverty and homelessness are going to make the unemployed desperate. Just shoot all those hungry kids-that’ll reduce classroom sizes, too. Win-win!

The GrossOldPiggies only care about the corporations and their rich donors….not you.

2015 years 9 months ago

Now there’ll be even LESS money to put back into the economy. And the federal programs like food stamps will see an increase in recipients.

It’s unfathomable how this move HELPS anyone in the state. It just makes NC look backwards and ignorant—I guess that’ll help attract good, high-paying industry, right?

2015 years 9 months ago

The “Obama Phone” program was actually started during the Bush II administration and discontinued during the Obama administration.

2015 years 9 months ago

Oh crap that means no more watching Judge Judy and i actually have to start looking for a job instead of using my Obama phone to log on every Sunday and claim my weekly benefits?

2015 years 9 months ago

Well, thats nice and heartless. You are right, everyone that is unemployed is just a lazy sack. You have a good understanding of your community.

In the Middle
2015 years 9 months ago

You are an idiot. Yes – everyone that is unemployed just watches TV all day and that’s it. I was out of work for nearly 6 months, was looking and applying, went on interviews, was considering relocating (possibly out of this state), to find work in my field. I don’t own an “Obama phone”. I pay for my own phone. Stop trying to generalize everyone’s situation and stop speaking about something you know nothing about. Did you know that since the recession, it has taken an average of 30 weeks for people to find regular full-time employment? I bet you didn’t….

2015 years 9 months ago

It is all too easy for the “anti-entitlement folks” to generalize and lob unfounded accusations against All who are unemployed.
The facts remain – as put out by the CURRENT Administration.
Since March of 2012 businesses in NC have created 56,000 jobs. (Less than 5,000 per month).
468,000 people are unemployed.
It will take 9+ years at that job creation pace to eliminate unemployment.

McCrory is inflicting a self imposed wound on the NC economy. So be it.

But with that many people out of work employers are being very particular and eliminating both over and under qualified candidates. Then employers are low balling the applicants they want to hire. That’s OK because that’s a fact of business but when the tables turn businesses will then have to compete to keep you onboard or to fight over the smaller number of applicants.


2015 years 9 months ago

I was speaking about myself and not generalizing everyone. I have been on unenjoyment for 7 months and have not even gotten one phone call or letter from ESC demanding that i show proof of trying to find a job. I am just sad to see this wonderful program be cut so short. I have enjoyed my time with Judge Judy and have even started to enjoy the show The View. It is just sad this has to come to an end. I guess they will even cut my Food Stamps when i start back to work.

2015 years 9 months ago

Guest CR, in the last six months my NON lazy formerly unemployed behind watched Judge Judy exactly zero times.

And exactly what is an Obama phone to the formerly employed person? Your average unemployed person owns a car, a home, etc, basically all the trappings of middle class life, making them mathematically ineligible for programs such as food stamps and Obama phones, particularly if they are single.

Back in the day, a person with just a modicum of gumption could become re-employed in a week or maybe a month. Now? Not so much.

It took took me six months to find two part time jobs, this after count them 40 job interviews. Yes, I said 40!! So you still dare to call me lazy? 40 job interviews in Wilmington? And for decent jobs at that? That’s almost unheard of!

The reason I got those 40 job interviews is because I had a well written resume, cover letter, FOLLOW-UP, and a secret fourth ingredient.

Why did I fail in the 39 other interviews? Nerves, and personality quirks that tend to come out because of nerves, but never come out in my everyday working life. There was one case I did fine in the interview, I was quirk free that day, but in the last ten minutes of the interview I became nervous and almost started to jump up to leave too soon because I thought the interview was over. That and I didn’t answer one of the last questions as well as I would have liked. In other words, I answered the question honestly. The question? What irritates you? My answer? People that don’t pull their own weight. What is so wrong with that? I think maybe she thought I was not a team player, but I had given other examples prior to that indeed showed I was a team player.

I understand employers want the best employees and that a bad employee is a costly endeavor, however the best employee is often not the one who gives the lie answers doled out by Monster.com.

2015 years 9 months ago

That will never happen.
Too many employers want cheap labor from over seas or from Mexico.
They will oppose such legislation.
There are huge concessions in Rubio’s immigration bill the Senate just passed for just that reason – agri businesses in particular need that cheap labor.


2015 years 9 months ago

Want to create between 11 and 15 million jobs by next week?? Make it a prison term of 30 years for the first offense of working an ILLEGAL IMMIGRANT and life without parole for the second offense, you will have more than enough jobs to go around within 2 weeks, and offer $100.00 reward for every tip that leads to an employer caught. we can put our friends and neighbors back to work almost overnight, and save the taxpayer untold amounts of money in handouts to them in the process.

2015 years 9 months ago

Not every unemployed person is lazy or taking advantage. It took me 6 months, hundreds of applications/resumes, and dozens of interviews after my college graduation to land a job and I already had good solid work experience. I know the government can’t pay everyone’s way and I don’t expect that, but it’s not fair to lump all unemployed people into the same basket. Besides, unemployment benefits aren’t much anyway and one would hope the majority of people would rather be earning their living.

2015 years 9 months ago

70,000 lose bennys this weekend
170,000 lose them between July 1 and December
or 240,000 total.
Lets assume they average $400/week.
240,000 X $400/week equals $96 MILLION per week taken out of the economy.
So, unemployment will fall by 240,000 over the year due to no longer paying them benny’s.
According to ESC’s latest unemployment release the state had 56,000 new jobs from March of 2012 or 5,000 per month.

Yeah you know where this is going. This is going to be quite the self inflicted wound.
I wonder how many of those 240,000 will lose their homes?


2015 years 9 months ago

. . . have a RUDE awakening coming.

Very Risky
2015 years 9 months ago

If nothing else, it will show other states what not to do. If, on the off-chance that it improves the employment/state fiscal situation, economists everywhere will be rewriting textbooks.

2015 years 9 months ago

This state is turning more conservative, not less. At least for now.
Time will tell.
McCrory and crew could be helped if the national economy picks up more steam allowing them to crow about how they saved NC.
(all politicians do that by the way)


2015 years 9 months ago

Can’t believe TP hasn’t chimed in?
What a great op to let these lazy loafers know just what you think.
The real Takers ought to love this.
Thanks to those below, you have courage as well a compassion.

2015 years 9 months ago

Just wait until this whole “obamacare” goes into full swing. Lot’s of TRUE AMERICANS will be affected. God help us all!!!

I need a job
2015 years 9 months ago

I lost my job at the end of January. I have applied for 100s of jobs that I am more than qualified for. I can’t afford childcare to work three part time jobs. I have had two interviews… No offers. I don’t use welfare but will have to use it once my benefits expire. I just wrote to the Gov. Offering to work for a week unpaid to prove my desire, ability and work ethic. Thankfully I have a friend willing to watch my son for a week in exchange for me doing some work around her house. We live with my parents bc even with a job, I can’t afford rent or a mortgage. My mom was caring for my son but now she is unemployed as I can’t pay her when I’m not working. I have a degree in criminal justice and sociology. I can do anything if given the chance. Don’t give me crap about having a kid. When he was born I had a great job and money saved. Life happens and things change!

2015 years 9 months ago

Them “officials” have saying I cant sell my product to those who come looking for it. Hey I make plenty of $$$$ and not once have I asked for any assistance to take care of my family..


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