Rhode Island Department of Labor and Training

 

Department of Labor and Training requests $95 million for unemployment insurance trust fund

January 5, 2010

The RI Department of Labor and Training has requested a $95-million line of credit for the months of January, February and March so that the state may continue to pay unemployment insurance benefits over the next three months. Under the American Recovery and Reinvestment Act, the U.S. government allows state unemployment insurance programs to borrow interest-free from the federal unemployment insurance trust fund through December 2010. The line of credit from the federal government is both guaranteed and immediate.

The department requested and received lines of credit for the unemployment insurance in March, July and October of 2009. As of December 24, 2009, the department had drawn down $121.8 million in federal loans.

In 2009, the Rhode Island Department of Labor and Training paid more than $735 million in regular, state extended and federal emergency unemployment benefits. Of that sum, more than $270 million was paid directly from the state unemployment insurance trust fund. Both the state and federal unemployment insurance trust funds are financed through employer contributions.



About the RI Department of Labor and Training

The RI Department of Labor and Training offers employment services, educational services and economic opportunity to both individuals and employers. DLT protects Rhode Islandís workforce by enforcing labor laws, prevailing wage rates and workplace health and safety standards. The department also provides temporary income support to unemployed and temporarily disabled workers. For more information on the programs and services available to all Rhode Islanders, please call the RI Department of Labor and Training at (401) 462-8000 or visit the web site at www.dlt.ri.gov. 

###