The old saying goes, “If you give a man a fish, you will have to continue giving. If you teach a man to fish, he can fend for himself.” The unemployment benefits are no different. If people can live off of the government and get away with it, then they will. This is why the GOP and President Trump is working to end the COVID-19 unemployment benefits. Employers are calling people to go back to work, and they do not want to because they will lose their “free money.”
For others, it is a little bit different. Some employers cannot compete with paying their workers $600 a week. Just getting back to work and getting their businesses kicked off again is a strain on their finances.
Those who were laid off found themselves making more money off of the unemployment benefits. Some of these workers want to get off of the government handouts but are losing money by going back to work.
One example of an employer, Carl Livesay, wanted to get his workers back, which totaled about 60 employees. Livesay wished to see his operations rolling again at the Baltimore-based manufacturer Maryland Thermoform Corporation. He got approved and received the forgivable government loan the Paycheck Protection Program (PPP).
Today, Livesay finds himself in a bind to keep the PPP as a government grant instead of a loan. Some of his workers under the CARES Act are receiving more money than he was paying them. Livesay fell short of the three-quarters of their payroll.
Livesay told ABC News, “It’s been very difficult to get some people to return to work. In some cases, depending on what their compensation was, they make more money with unemployment and the federal stipend of $600 a week.”
Maryland Governor Larry Hogan is also taking advice from employers like Livesay to help him restore the state’s economy. Livesay added, “There are significant unintended consequences. I’m hoping that they give us some extra time to get up to full staff. We’re interviewing three to five people a day for jobs we have open, and we can’t even get them to show up for interviews.”
The laws in every state are the same. If someone who was offered reemployment turns down the offer, the worker immediately loses their unemployment benefits. This is not the time for workers to become lazy and rely on the government. They will cut their own throats and, at the same time, destroy the economy.
For so many decades, this is how Democrats wanted Americans to live, and some spongers got spoiled by abusing the system. When Trump became President, he cut that system out and put it for workers who needed the benefits. It forced people to go to work and get off their couches. Now, it looks like we may need President Trump to kick these people in the butt again.
President Trump made it clear in an executive order if those people refuse to go back to work, they get cut off from the benefits. We are going to start again from square one. Only this time, things will move along more quickly due to the foundation President Trump has already built before the COVID-19 pandemic shut everything down.
It is time to put our country back to where it was, if not better than before. The problem we face is the business owners who cannot get their workers back or the positions filled, will have to pay back the PPP loan. The rules state they have to fill up 75 percent of their payroll with the remaining 25 percent to go to utilities and rent.
The rent is not the issue, it is the people who are refusing to go back to work. This is always the hardest part as a business owner is finding people who want to work.
Noah Williams, director at the Center for Research On the Wisconsin Economy at the University of Wisconsin, explained how these business owners are caught in between a rock and a hard place when it comes to the PPP loans and the unemployment benefits.
He said, “PPP is essentially the government providing forgivable loans to keep people on the payroll. [The extra unemployment money] provides an incentive to not have people on the payroll. They seem pretty clearly in opposition to me.” The worst ones are those working part-time, receiving full time pay with the unemployment benefits. Those are really hard to get back.