What is the unemployment risk and impact of not returning to work to you? Why not turn the real unemployment risk and impact of NOT returning to work into motivation to get back in the workforce – today.
The Federal Government voted in legislation to support those in dire need to feed their family and pay their rent. If you are one of those you are blessed with these benefits. Now that you have benefits and if you are able and available for work – you should be calling your employer NOW.
Unemployment’s long-term consequences to you, your family and livelihood are real. The fact is that today there are far more available jobs than people applying. And as a result YOU have lots of choice. But, this will eventually change making it hard to find work again.
This Is Urgent
On June 7, 2021, CNBC reported that 25 states will be ending special unemployment benefits. Will Illinois be next? Certainly it’s clear that the end of the special benefits is coming. Businesses are working with their state representatives and senators to make this happen in Illinois, too. Some obvious reasons and converging trends are listed below. But the fact is that businesses need to reopen, manufacturing and other industries need people and pay rates are good. It’s time for the economy to reopen and that takes people.
Consider these other converging factors that affect those collecting unemployment payments.
Unemployment Fraud Is Up
The Chicago Tribune reported that “Unemployment insurance fraud is growing in Illinois.” The authorities are focused on this, and considerations in the legislature are likely forthcoming to recover over-paid, or fraudulently paid, benefits to individuals who are able and available to work.
Illinois Department of Employment Security (IDES) makes it clear that “If you collect more Unemployment Insurance (UI) benefits than you are eligible for, you are committing fraud. UI fraud is punishable by law and violators could face a number of penalties and consequences.” IDES’ list of consequences include jail, repayment and fines.
Next Advisor reported that many states have added additional reporting requirements. Today it is more effort to be on unemployment with far less financial benefit. The article reported that up to 4 million people may have to pay back unemployment benefits who fail to maintain these new requirements.
State employment commissions like the Illinois Department of Employment Security (IDES) will likely review who is and who is not legitimately in need. And of the trillions of dollars handed out, may well ask for money to be paid back. This is a real scenario that anyone able and available for work should consider the long-term consequences.
Unemployment Risk and Impact in Terms of Cost
Don’t forget these drawbacks to being on unemployment. These alone should motivate you to go back to work if your employer has called.
- Pays less than an employer’s total compensation.
- No overtime pay opportunity.
- No health insurance.
- You still work hard – to look for a job.
- No paid holiday time off.
- Spending money and family budget cuts.
- Delays future career advancement.
- Less savings and your family’s future (education, house, new car, etc.).
- Research shows emotional self-worth declines, depression and illness increases.
- Gap in employment history will deter future employers from considering you for future jobs – gaps perceived as low work ethic.
These and other reasons alone should be enough to drive the motivated to get into a new job and leave unemployment behind.
Timing and Job Scarcity
And don’t forget timing! Eventually forces will converge that will flip the job market around, and jobs will become scarce again. Like the child’s game of musical chairs the music will stop, and someone will not have an opportunity. Don’t wait for that to happen to YOU. Motivated employees moving their careers forward are calling their employers NOW. If you wait, the best jobs will all be taken.
Let’s consider another perspective. As the pandemic subsides the factors converge creating potential “What If” scenarios. With a vaccine available and the availability of masks, the Center for Disease Control (CDC) and other agency’s guidelines say it is safe to go to work. Fear of COVID-19 is no longer an acceptable excuse to NOT go back to work.
The Department of Labor (DOL.gov) has a Q&A about unemployment benefits and one question asked is “[my employer] has asked me to return to my job. Can I remain on unemployment?” The short answer from the DOL is “NO.” Paraphrasing their answer, this defeats the purpose of Unemployment. Able and available individuals should go back to work when called by their employer.
Will Your Employer Still Be There?
If you are waiting on the sidelines, there is another unemployment risk and impact. There may be an employer you want to work for, but are holding off applying. Some companies, places of employment, won’t make it if people don’t go back to work. Manufacturers, retailers and businesses, can’t stay open without employees. The number of opportunities go down if businesses shut down. The economy is a real thing that affects all of us.
Real Risk and Impact
The five converging factors above and the potential scenarios they create should be enough to convince you to be the first one to choose the best job available today. Jobs are plentiful, there’s no competition for the one YOU want now. If that’s not enough to motivate you, consider how damaging collecting unemployment can impact you over time. Sapling, a consumer financial advisory website, shared a long list of how filing for unemployment will hurt you. From their list:
- Your Credit Scores weakens with unpaid bills and increased credit card balances.
- Lower Income; unemployment benefits provide less than a paying job.
- Jail time and court fees if unemployment applications are fraudulent or falsely claim unable and/or unavailable for work.
- Work harder for less money looking for work to meet requirements for unemployment.
There is real value and economic contribution for getting back in the workforce. It benefits everyone. The compelling reasons above can help you be the first to find and choose the best job available and begin earning and rebuilding your career, life and supporting your family.
Staffing and recruiting companies like Barton Staffing Solutions can help you get back on track with dozens of jobs currently available – you can apply online. There are temporary jobs, temp-to-hire jobs and permanent jobs (direct-hire jobs) available. All of these jobs pay more and improve your well-being. Unemployment benefits cannot compete. Many jobs are well above the minimum wage. We are here to help. Start today.