It’s been about a year since millions of Americans filed for unemployment benefits in the early days of the Covid pandemic.

That anniversary seems to be posing administrative issues in some states. They may result in delayed benefits or a lower-than-anticipated amount of aid.

“I do think it’s a snag that’s catching certain people,” said Andrew Stettner, a senior fellow at The Century Foundation.

Benefit year
Claims for jobless benefits began ticking up the week of March 14, 2020, as the coronavirus sent shock waves through the labor market.

More than 24 million people applied for benefits over the next month, according to Labor Department data. Millions more applied in the following weeks.

Such individuals are reaching the end of their “benefit year.”

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Individuals who seek benefits past this point — which marks a year since they applied for assistance — typically trigger a review from state labor agencies.

States re-examine a worker’s recent earnings history to determine if they are still eligible for benefits.

Typically, someone who hasn’t found work during the benefit year would not qualify for more aid. That could apply to a large group of workers — about a quarter of the unemployed in March had been out of work for at least a year, according to the Bureau of Labor Statistics.

Someone who found a job but had a substantial gap in work would generally qualify for a smaller weekly benefit. (They may also be ineligible, depending on the state and overall earnings.)

American Rescue Plan
Meanwhile, the American Rescue Plan extended unemployment benefits for workers through Labor Day.

These two competing forces seem to be causing some problems for states and, in some cases, delaying benefits for workers.

However, the issues vary by state and according to the specific program paying benefits when the benefit year ends, according to Michele Evermore, a senior policy advisor for unemployment insurance at the U.S. Department of Labor.

“As we’ve discussed over the last year, any administrative hurdle is going to be a challenge for claimants, and there is no hurdle that every single worker can clear,” Evermore said in an e-mail.

For example, California’s Employment Development Department notified workers Thursday that most would have to reapply for aid when they reach the end of their benefit year.

Processing those claims may take up to three weeks, the agency said.