Federal sequestration began on March 1, 2013. Sequestration
is a term used to describe the practice of implementing
mandatory federal budget cuts. The following is the current
information concerning the effects of sequestration on unemployment
insurance benefits and individuals who may be furloughed
due to sequestration.
Impact on Maryland Regular Unemployment Insurance Benefits
There is no impact on Maryland regular unemployment insurance benefits. Maryland regular UI benefits
will not be reduced due to the federal sequestration.
Impact on Federal Emergency Unemployment Compensation
- June 10, 2013
There will be a reduction
in claimants’ federal Emergency Unemployment Compensation (EUC) benefits.
Federal Employee Information
If a federal employee is subject to sequestration and is
furloughed one or two days per week, the employee will not
be eligible for unemployment insurance benefits. The earnings
for three or four days each week will disqualify the claimant
from receiving any benefits.
If a federal employee is subject to sequestration and is furloughed for three or more days in a week or is totally laid
off, the individual must file a claim by calling an unemployment insurance
claim center. The claim cannot be filed via the internet.
If a federal employee voluntarily quits employment due
to the sequestration, the individual will likely be disqualified
from receiving unemployment insurance benefits.
Maryland Claim Process for Federal Employees Furloughed Due to Sequestration
Federal Contractor Employee Information
If an employee of a private company is furloughed for one or two days per week, the individual will generally not
be eligible for unemployment insurance benefits. See the guidance under Federal Employee Information.
If an employee of a private company which is a federal contractor is laid off due to sequestration, the individual
may file a claim via the internet or by
contacting a claim center.