Texas Finance

TEXAS FINANCE 6

TexasFinance

Texasfinance

Unemploymentbenefits

Unemploymentbenefitsare servicesby thestateextendedto peoplewhoare lookingfora jobopportunitybutare not successful.Thestateprovidesthefundswhilethefederalgovernmentcaters foradministrativeexpensesattachedto theFund (Department of Labor). Thecompensationismadeby thestateandotherauthorizedbodiessuchthatthepeopleunder theschemesecurefundsforbasicneedsandotherservicessuchas healthcare.Thefundisadministeredto peoplewhoare registeredandalsoactively seekinga workingpositionimplyingtheyreplacethewages.Therefore,thepaymentshelpsustainconsumerdemandbecauseunemployedpeoplelosetheir previouspurchasingpower.Thefundis availablefortwenty-six weeksafter which permanentExtended Benefits setin iftheindividualhas not secureda job.

Thesolesourceof thebenefitsis taxmoneyimplyingitis a sustainable sourcethat can bereliedupon in thefuture.Thefundis alsosustainable becauseunemploymentbenefitsare not availableto all thosewhohavelosttheir jobsbutwhomeetthethree conditionsdictatedby thestate.In addition,thefundsare contributedby employersasa taxdeductionforwagesplus extrasurchargeavailable.First,theapplicantmust havelosta jobin such a mannerthatitis not his orher fault(Stone &amp Chen). Therefore,casesof workerswhoaredismissedforindiscipline andothercasesdonot qualify.Secondly,thecandidatemust be ableto work,availableandactively seekingto work.Third,thepersonmust haveearnedsomemoneyas proofthatheorshehas workedbefore.

InTexas, unemploymentbenefitsare availed at variouslocalofficesas wellas online athttp://www.twc.state.tx.us/jobseekers/unemployment-benefits (TexasWorkforce Commission). Theonline platformprovidesinformationabout peoplewhoqualifyforthefundandafter thatavails theapplicationcriteria.Theonline platformalsoprovidesindividualswith an opportunityto estimatethebenefitsandrequestpayment.In addition,a personcan viewandclaimpaymentandchangethemodeusedto deliverpayment.In thestateof Texas, unemploymentbenefitsdifferaccordingto precedingwageanddisabilityconditionof an individual.ForFY 2008 and2012, thehighestbenefitis recordedat $378 and$426 respectively(thedisabledreceiveddoublethisamount)fora durationof 26 weeks.

Whenthestatefindsitself havingnofinanceto fundthisprogram,thefederalgovernmentmay lendthem moneyfortheunemploymentinsurance.Thissituationmay occurwhenthestate`sUI fundfailsto satisfythecostof ongoingbenefits.Ahighlevel of theunemploymentratecontractsUI taxincomesandamplifiesexpenditureson benefits.StateUI fundsandthenecessityforcreditfacilitiesaremadeworsewhena statereducestaxationandimprovesbenefits.FUTA advancesto statecoffers are paidbackwith interest.To curbthetrendof statesincurringhugemoneyowingforunemploymentrecipientschemeledto stateeconomicpredicamentin the1980s.

InTexas, theunemploymentbenefitprogramis overseenby theTexas Workforce Commission (TWC), a boardcomprisingof three membersselectedby thegovernor,with theapprovalof theSenate, fora six-year termthat may overlap.Outside theinfluenceof theHealth andHuman Services Commission, thethree membersof theTWC manage benefitspayments.Under theratherrestrictivelawsof Texas, a ceilingof twenty-six weeklyassistancecompensationis calculatedas paran individual`spastearningsin spiteof thefamilysizeorneedassessment.Itis mandatoryfora workerto registerwith TWC, andis not supposedto receiveanypaymentsin caseof he/sheleaveson ownvolition,wasterminatedforcause,orwasunemployeddue to a labordisagreement(Maxwell andCrain, 2007, p. 385).However,TWC doesnot havemuchpowerin casesconcerningtheissueof insuranceof unemploymentclaims.Out of thethree membersof theTWC, one representslabor,anotherrepresentsemployees,andthethirdmemberrepresentsthegeneralpublic(Brown et al., 2013, p. 370).

Asis consistentwith all theotherwelfareprograms,theunemploymentbenefitsprogramhas its challengesas well.Thewelfareprogramsreceivemoredemystification doubtlessly morethan anyotherpublicservicerolledout by thegovernment.Theterm&quotwelfare&quotin itself doesnot havea vividdefinition.Itiswidelydescribedas anyunearned,state-provided benefit.Thisobservationis may be broughtabout by theclassof peopletargeted by thisprogram.Since itisdirectedtowards thepoor,itis christened&quotunearned.&quotTherefore,one of thedistinctchallengesof thisprogramis thatof stereotyping(Maxwell andCrain, 2007, pp. 385-386).

Anotherchallengeto theunemploymentprogramis thatof resentmentfrom therichandmiddle-classpopulations.Mostof themembersbelongingto thesetwo groups,alwaysfeellike theyare theonesmakingthisprogramandothersocialwelfareservicessuccessful.Theyfeelitis their hugetaxdeductionsthat are usedto boostthisprogramswhich to them is unfair.Their principalcontentionis that,everybody should workandearna livingfrom their effortsandnot depending onotherpeople`shardworkto survive.Forinstance,thiswasobservedduring thepassing of therecentHealth Bill (Obamacare) into law.Asmuchas theideawasnoble,whenconsideringthepoor,therichdisputeditfiercelycitinginequality.In thesamesense,unemploymentbenefitsreceivesimilarbacklashfrom thesameclassof people.In additionto this,variouspeoplefeelthatthisprogramencourageslazinessandlaxityamong thebeneficiaries.Itis reasonedthat,since theyare alreadyearningwhiledoingnothing,theymight not feelthepressureof findinga newjob(Maxwell andCrain, 2007, pp. 385-386).

Third,anotherseriouschallengeto thesystemis thatof cheating.Manypeopleviewthisopportunityas thedoorway to earning&quotfreemonetarysupport.&quotSerioussustentative querieshavebeenexpressedconcerningtheunemploymentbenefitsscheme.Itisnotedthat,overpaymentdue to cheatingcosttaxpayers a lotof moneyandwatersdown thescarceresourcesthat would havebeenavailed to othergenuinesectorsof theeconomyinstead.Itis problematicto approximate theactualamountof cheating.Asa result,theTexas Lone Star Card wasintroducedas a formof identificationto curbthepersistentfraud(Maxwell andCrain, 2007, p. 386).

Inconclusion, I thinkthat,as muchas theunemploymentprogramis highlysuccessful,itdoesnot offerpermanentsolutionsto theproblemat handthat is to eliminateorreducetheunemploymentratesignificantly.Theprogramis onlymeantto alleviateinsteadof curingthesituation.Itonlyrelievesthepainsof theimpoverished,not eliminatethedisease.Unemploymentbenefitsonlymay enablesurvivalbutofferlittleornohopeof thebeneficiaryeverescapingdependenceandpoverty.To thelargemajorityof unemploymentbenefitsrecipients,whoare able-bodied,povertyis a signof an ailmentthat distractsboth thepersonandthegeneralsociety.

Commonly,a majorityof thepoorhavediscontinuedtheir studiesat a tenderageand,therefore,lacktheliteracyandskillsneededto earna decentlivingwage.Furthermore,mostof thesepeople,exhibitdistinctlevels of hopelessness, alienation,despair,andemotionallethargyorinsecurity.Themajorityof them alsolacka feelingthattheycan engineersolutionsto their problemsothers are devoidof thesenseof responsibilitythat may enabletheir crafting of individualeffortsof anykind.Asis commonwith anyotherattitude,thebackgroundof povertyis self-inflicted, passedon from one generationto another.

References

Brown,L., Langenegger, J. A., Garcia, S. R., Lewis, T., &amp Biles, R. E.(2013). PracticingTexas Politics.Cengage Learning.

Departmentof Labor. UnemploymentInsurance,2004. Web. Viewed 15thFebruary 2015 &lthttp://workforcesecurity.doleta.gov/unemploy/ &gt

Maxwell,W., &amp Crain, E. (2007). Texaspolitics today.Cengage Learning.

Nicholson,W., &amp Needels, K. (2006). Unemployment insurance: Strengtheningthe relationship between theory and policy. TheJournal of Economic Perspectives,47-70.

Stone,Chad &amp Chen, William. Introductionto Unemployment Insurance, 2014. Web. Viewed 15th February 2015 &lthttp://www.cbpp.org/cms/index.cfm?fa=view&ampid=1466&gt

TexasWorkforce Commission. UnemploymentBenefits, 2014.Web. Viewed 15th February 2015 &lthttp://www.twc.state.tx.us/jobseekers/unemployment-benefits&gt

Venn,D. (2012). EligibilityCriteria for Unemployment Benefits.