Job searches up in states ending participation in expanded federal unemployment benefits program

May 29, 2021 Carley Shaffer US 0

A man wearing a face mask walks past a sign "Now Hiring" in front of a store amid the coronavirus pandemic on May 14, 2020 in Arlington, Virginia. - Another 3 million people filed initial unemployment claims last week on a seasonally adjusted basis, according to the Department of Labor. (Photo by Olivier DOULIERY / AFP) (Photo by OLIVIER DOULIERY/AFP via Getty Images)

A man wearing a face mask walks past a sign “Now Hiring” in front of a store amid the coronavirus pandemic on May 14, 2020 in Arlington, Virginia. (OLIVIER DOULIERY/AFP via Getty Images)

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UPDATED 11:38 AM PT – Saturday, May 29, 2021

Job searches have jumped in GOP-led states that opted out of Joe Biden’s expanded unemployment benefits program. According to reports on Friday, job searches recently rose by five percent after at least 24 states announced their intent to withdraw from the federal supplemental unemployment program.

The program provides about $300 in extra unemployment assistance, meaning unemployed individuals in certain states are receiving roughly $687 per week. This averages to about $17 an hour, which is more than double the federal minimum wage.

OAKLAND, CA - FEBRUARY 02: A job seeker looks at a job listing board at the East Bay Career Center February 2, 2006 in Oakland, California. According to a government report, U.S. unemployment benefits claims dropped to about 273,000 last week, sending a four-week average of claims to the lowest level in nearly six years. (Photo by Justin Sullivan/Getty Images)

A job seeker looks at a job listing board (Justin Sullivan/Getty Images)

Chief economist for the employment website Indeed, Jed Kolko, said that job search activity rose in states that cut off the extra unemployment benefits, suggesting it may be a sign that the halting of the program could be the end of the labor shortage seen in the U.S. Among the industries, tourism, hospitality, sales and marketing saw the greatest increases.

GOP lawmakers have long contended that Biden’s expanded unemployment benefit program is hampering job creation and hurting businesses who are seeking to hire.