Recent Unemployment Claims in Minnesota

by Michelle Dreier
Member Engagement/Gov't Affairs Manager

In all of 2019, there were 75,000 claims for unemployment insurance. In the past 30 days, there have been 450,000 claims for unemployment insurance. That brings the total unemployment up to 485,000 for 2020 to date in Minnesota.

The pandemic has turned the world upside down, and provided many in situational unemployment where there once was a workforce shortage. Still, unemployment has become a strategy with federal supplements to battle the pandemic, not a symptom.

For our single-man shops with not enough work, you can now file for unemployment. You will initially be denied, but benefits will catch up to you in Minnesota’s follow-up procedures.

For our members who laid individuals off with the intent to bring them back after the payroll protection program loans came through, early adopters have found additional nuances.
1. If you pay employees retroactively from first day of lay off, they will need to pay the State back.
2. Some employees may refuse to come back because of the lucrative unemployment benefits. They need to come back and go back to work as essential employees. If they don’t, their benefits will be discontinued.

In the end, the extra $600 per week of unemployment benefits is coming from the federal government. Typical unemployment funds are coming from the unemployment trust. At current levels, the trust has enough assets to pay the unemployed population through October.

State agencies are learning from critical businesses what going back to work looks like. Their plan will be based on fact & science and rooted in health. The Walz administration understands that keeping the economy going is important. They want to make certain that keeping COVID 19 contained to manageable levels supports the reentry of our workforce.

Please give the office a call if you have any questions or concerns going forward: 612-827-6117