Construction Industry Examples
The following are anticipated real life scenarios of how the CARES Act will impact building trades men and women (Based on examples from the North American Building Trades)
- Jane Doe, a sheet metal worker, is laid off because the project site she was working on has been shut down due to Covid-19. She reported that she earned $60,000 of income on her most recent tax return, and she is eligible for regular UI benefits because she was an employee and has a prior earning history. She will receive: (1) her weekly UI benefits, which are a percentage of her prior salary, plus (2) an extra $600 per week (through July 31), plus (3) a $1,200 tax credit. Her state normally limits allows 26 weeks up to 39 weeks of regular and extended UI benefits and applies a “waiting week” before benefits are sent. Under the CARES Act, she will be able to receive benefits immediately and for up to 52 weeks because of this
- John Smith is a first-year apprentice sign worker. He started his apprenticeship in September but was laid-off in February because of COVID-19-related work slowdowns. He reported an income of $20,000 on his most recent tax return. In normal circumstances, he would be denied UI under his state’s eligibility rules because of a lack of work history. Under the CARES Act, the state would be able to use any documentation he submits of his earnings during his apprenticeship to calculate an appropriate weekly benefit. He will receive: (1) weekly UI benefits based on the pay stubs that establish his pre-layoff wages, plus (2) an extra $600 per week (through July 31), plus (3) a $1,200 tax credit. He can receive these weekly UI benefits for up to 39 weeks, as long as his unemployment continues to be caused by COVID-19.
- Jill Jones is a sheet metal worker who has been out of the workforce for a few years but was hired to start on a project at the end of March. This project was delayed because of COVID-19. While Jill would not typically be eligible for UI because of her lack of wage history, she can now apply for benefits because of the expanded access provisions of this bill. Because she did not report any income on her most recent tax return and has no wage history that can be used to calculate a weekly benefit amount, she will receive: (1) a “minimum flat benefit” based on the average weekly benefit paid in the state, plus (2) an extra $600 per week (through July 31), plus (3) a $1,200 tax credit. She will start receiving this benefit immediately because the state has waived its waiting