JEFFERSON CITY, Mo. (KMOX) - Missouri Gov. Mike Parson announced on Tuesday that the state will end participation in all federal pandemic-related unemployment insurance programs. That includes the extra $300 a week in unemployment benefits from a COVID-19 pandemic program.
Parson says many businesses are still struggling, not because of COVID-19, but because they can't find people to fill the jobs.
"While these benefits provided supplementary financial assistance during the height of COVID-19, they were intended to be temporary, and their continuation has instead worsened the workforce issues we are facing," Parson says. "It's time that we end these programs that have ultimately incentivized people to stay out of the workforce."
Rep. Cori Bush of St. Louis responded to Parson's action, saying on Twitter, "Governor Parson refused to address COVID-19 in St. Louis. He refused to implement a mask mandate. He denied us vaccines for months. I ran for Congress to bring us the relief he refused to provide. And now he’s denying us some of it. Governor Parson, YOU are hurting people."
The programs that will be terminated on June 12 are:
• Pandemic Unemployment Assistance
• Emergency Unemployment Relief for Government Entities and Nonprofit Organizations
• Federal Pandemic Unemployment Compensation
• Pandemic Emergency Unemployment Compensation
• 100 Percent Reimbursement of Short-Time Compensation Benefit Costs Paid Under State Law
• Mixed Earner Unemployment Compensation.
Arkansas, Mississippi, Montana and South Carolina have also recently announced they are ending the $300 federal benefit that is on top of state benefits.
“We know that one of the last remaining hurdles to full economic recovery is addressing this labor shortage. Even with unemployment at only 4.2 percent, there are still 221,266 known job postings across the state,” Parson said. “The solution to close this gap is not the excessive spending of taxpayer dollars by the federal government, but rather getting people back to work and to a sense of normalcy for themselves and their families."
Missouri's House Minority leader Crystal Quade has released a statement on Parson's actions:
“Contrary to what the governor claims, the free market – not some federal boogeyman – is primarily responsible for Missouri’s tight labor market. When there are more open jobs than available workers, businesses must increase wages to attract prospective employees, particularly in industries with a high risk of COVID-19 exposure. That’s how supply and demand works. If companies provide a livable wage, applicants will respond. The notion that Missourians are refusing to work so they can temporarily collect $300 a week is an offensive right-wing myth.”
You can watch the full announcement from Parson, here:
This is a breaking news story that will be updated.
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