Workforce Solutions replenishes funds for unemployment benefits
ALBUQUERQUE, NM (KRQE) – The governor has said she will use federal stimulus money to replenish the fund that pays out unemployment benefits. The Unemployment Insurance Trust Fund had more than $ 460 million before the pandemic.
The trust fund was depleted in September last year, forcing the state to borrow money from the federal government. During the pandemic, the state paid out about $ 3.7 billion to New Mexicans. Now the ministry will receive more than $ 600 million from the US bailout; Part of this amount will be used to repay a federal loan.
“Restoring the trust fund is essential to minimize the impact the pandemic will have on New Mexico businesses,” Ricky Serna said in a department press release, acting secretary of the Department of Workforce Solutions. âWhen combined with other provisions already approved by the NM legislature, this measure will further advance the state’s economic recovery. “
The remainder will be used to replenish the state trust fund, which the state says will again have around $ 460 million. The ministry says the restoration of the trust fund should be completed by June 30 to meet the deadline for calculating employer tax rates for the coming year.
For more information on how Unemployment Insurance tax rates are calculated, visit dws.state.nm.us/Unemployment/Unemployment-for-a-Business/Unemployment-Insurance-Tax-Information/ How-UI-Tax-Rates-Are-Calculated.