NYS Lags Behind in Payouts to Help Unemployed, Injured Workers

Gregory DeFreitas, professor of economics and director, Center for Study of Labor and Democracy, was interviewed by Newsday for a story on a report from the New York State Comptroller’s Office that shows that the state lags behind others when it comes to cash payouts for several social safety net programs meant to help unemployed or injured workers.

Dr. DeFreitas explained that the state’s unemployment benefits system was challenged during the COVID-19 pandemic. The state still owes the federal government $6.2 billion in debt from borrowing funds to pay out a record number of unemployment claims spurred by pandemic job losses, according to the report.

“We’re only one of three states in debt like that,” Dr. DeFreitas said. “What that means is we really can’t raise benefits until we repay that $6.2 billion or raise taxes.”