Wisconsin unemployment fund could run dry by October

The Department of Workforce Development released projections Thursday that showed Wisconsin could, under current strains, run out of money in its unemployment fund by mid-October.

Unemployment benefits come from a trust fund that currently has a balance of over $1.8 billion. The state is getting around 300,000 weekly unemployment claims.

At that rate, by October 11, the trust fund would run dry, according to a press release from DWD.

Important to note, the state did not factor in future tax revenue which could prolong the fund's viability.

However, the department also noted that the demand for unemployment benefits may decrease in the coming months.

In a scenario where DWD receives 200,000 weekly claims, the fund can last until January 3. With 100,000 the money endures until September 19, 2021.

DWD did not release projections for if demand for benefits continues to increase.

Currently, the department said it is getting 194 percent more weekly claims than it did on average during the first year of the Great Recession.

To read more go to WKOW https://wkow.com/2020/05/07/wisconsin-could-run-out-of-unemployment-benefits-by-october/

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