Iowa to end participation in federal unemployment benefit programs, citing strong labor market and recovering economy

Iowa Workforce Development Communications
For Immediate Release
Date: May 11, 2021
Media Contact:  communications@iwd.iowa.gov

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Iowa to end participation in federal unemployment benefit programs, citing strong labor market and recovering economy 

DES MOINES, IA – Today Governor Kim Reynolds announced new measures to address the State of Iowa’s severe workforce shortage. Effective June 12, 2021, the State of Iowa will end its participation in federal pandemic-related unemployment benefit programs. The Governor also announced that effective June 13, 2021, Iowa will no longer waive employer charges for COVID-related unemployment insurance claims. 

Iowa will continue to pay regular unemployment claims. The following information is provided for impacted claimants: 

  • Claimants who have exhausted their traditional 26 weeks of unemployment benefits and are now receiving benefits through the federal Pandemic Emergency Unemployment Compensation (PEUC) program will no longer be eligible for UI payments after June 12, 2021, the last payable week for PEUC. 

  • Iowa will no longer issue supplemental $300 weekly payments to claimants under the Federal Pandemic Unemployment Compensation (FPUC) program. This payment was made to all Iowans who were receiving unemployment benefits regardless of the program under which they are being paid. The last payable week for FPUC will be the week ending June 12, 2021. 

  • Iowa will no longer participate in the federal Pandemic Unemployment Assistance (PUA) program. PUA presently provides benefits to the self-employed, the underemployed, independent contractors, and individuals who have been unable to work due to health or COVID-19-related reasons. The last payable week for PUA will be the week ending June 12, 2021. 

  • Iowa will no longer in the Mixed Earner Unemployment Compensation (MEUC) program, which offers supplemental payments to individuals who had both traditional W-2 income as well as self-employment income. 

“The overwhelming message we receive from employers these days is the lack of workforce that is adversely affecting their ability to recover from the pandemic,” said Director Beth Townsend, Iowa Workforce Development. “There are currently over 66,000 job openings posted on https://www.iowaworks.gov/vosnet/Default.aspx. Our field offices are open and ready to help. We are very excited to return to providing the support and help we love to provide – helping Iowans find their next great job or new career pathway and helping employers find their next great employee.” 

Iowans can search for new jobs, including teleworking opportunities at https://www.iowaworks.gov/vosnet/Default.aspx

Impacted unemployment insurance claimants will receive official notification from IWD with more information about how these changes affect them individually. We will also continue to update our webpage with relevant information and assistance. https://www.iowaworkforcedevelopment.gov/ Due to current call volumes, customers are encouraged to call IWD only if they need assistance filing their claims. Additional customer questions can be answered by emailing UIClaimsHelp@Iwd.iowa.gov 

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Read the memorandum: Recommendation regarding continued participation in Federal unemployment programs (PDF) (link is external)

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