White House Touting Drop in Jobless Claims as a "Sign of Progress"

The White House is touting the drop in jobless claims as a “sign of progress” after belatedly ending the bonus $300 federal unemployment payments as Republicans — citing the benefits’ disincentivizing effects — had long urged.

The enhanced jobless payments were continued through President Biden’s $1.9 trillion American Rescue Plan. Many Republican governors attributed the labor shortage in the economy, particularly in restaurants and retail stores, to the added benefit on top of state jobless payments.

This prompted 26 states to voluntarily end the federal benefits over the summer in advance of the Sept. 6 end date in the American Rescue Plan Act.

A recent study found that Florida’s economy, in particular, improved after Gov. Ron DeSantis ended the bonus benefits early.

The Biden Administration and Democrats in Congress did not take steps to end the payments before the deadline in the stimulus bill.