As we head into the final two months of 2020, the Covid-19 pandemic has already killed more than 200,000 Americans and forced hundreds of thousands more out of work. Here in California, we have felt the weight of both numbers throughout the entire year.
However, there is a slight cause for optimism here following the completion of a recent data audit that shows many of the original jobless claims falling away as people are getting back to work despite the fact that the pandemic appears to be as bad today as it was all the way back in March.
With that in mind, let’s take a closer look at some of the nuances that come with this decrease in unemployment claims here in the great state of California.
Original Claims Are Expiring
One of the biggest reasons that we are seeing a drop in unemployment numbers is that people are seeing their original claims reach the end of their 26-week lifespan.
Where many Californians spent the early summer months collecting traditional unemployment benefits as well as the extra $600/week from the federal stimulus package, a large number of those same claims are now collecting only a fraction of what they were able to get just a few months ago.
So while there are options that remain for residents that truly have no way of returning to work, many residents are finding that they need to get back to their jobs in order to stay current with the bills that continue to hit their mailboxes.
More Stimulus Coming Soon
As we move past the election, we can expect that congress is going to work diligently to pass an additional stimulus package, which should allow many of our California residents to make up some of the difference they are seeing in their recently reduced unemployment benefits.
Many different versions of stimulus packages have been discussed, but almost all of them would end up putting cash in the hands of our residents that need it the most.
Covid On the Rise Again
One of the reasons that an additional stimulus package is so incredibly important is that we are seeing a record spike in new cases of Covid-19 across the entire country.
As much as we would like for everyone to get back to work, it is simply not possible in many professions without taking on a huge increase in the risk of exposure to the virus that is still terrorizing our country.
Regular Travel Could Be Years Away
Even with the completion of a vaccine, we are likely going to see a reduction in both leisure and business travel for years to come, which will no doubt have a significant impact on the economy here in California.
Whether we are talking about not being able to open Disneyland for tourists or production companies in Los Angeles that are unable to fly in the actors and directors they need to film movies and televisions shows, the impact of this pandemic is going to be felt across the state for years to come.
But while there is no doubt that we are facing challenging times, there are reasons to be optimistic moving forward. Have faith that our leaders will do the right thing to take care of their constituents, and that our scientists will be able to find a cure for the virus.
Eventually, things will be back to some form of normal, and we are going to be ready to celebrate with each other in large crowds again when that happens.
