The Great Recession: Lessons Learned for the Unemployment Insurance System
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About the Study
In 2018, the Chief Evaluation Office partnered with the Employment and Training Administration (ETA) to fund contractor The Urban Institute to design and conduct an evaluation that examines critical policy issues, lessons learned, and challenges states faced administering Unemployment Insurance (UI) programs during the Great Recession that began in 2007 and the economic recovery that followed.
The result of an extensive literature review, two issue briefs explore lessons on benefits extensions and UI recipiency that can inform current and future UI policy and practice. Extending Unemployment Insurance Benefits in Recessions: Lessons from the Great Recession discusses lessons related to benefit extensions adopted and implemented in the Great Recession, including modifications made to the EB program and the emergency EUC program. Covering More Workers with Unemployment Insurance: Lessons from the Great Recession discusses some of the potential issues posed for UI by nonstandard employment, changes in UI recipiency over time, and efforts to broaden coverage in the Great Recession.
This Department of Labor-funded study was the result of a recommendation from the Government Accountability Office. It contributes to the growing labor evidence-base to inform unemployment insurance and employment and training programs and policies and addresses Department strategic goals and priorities.
- How did States rapidly “ramp up” staffing at the start of the recession and “ramp down” as the economy recovered? How did approaches vary by state? How did administrative funding formulas and relative funding levels affect staff levels? What lessons have been learned to help in addressing future rapid changes in staff workload?
- How did trigger mechanisms work in the extended benefit (EB) and extended unemployment compensations (EUC) programs? What might be improved in the process in case of mass unemployment events in future?
- How have services changed within UI and from partner programs in state and local workforce systems, including better coordination with educational programs and new opportunities for work-based learning or apprenticeships? How might these changes be used in addressing new mass unemployment shocks?
- The Unemployment Insurance System in Two Recent Economic Downturns: Lessons from the Great Recession and the COVID-19 Recession (Final Report, August 2022)
- Extending Unemployment Insurance Benefits in Recessions: Lessons from the Great Recession (Issue Brief, March 2021)
- Covering More Workers with Unemployment Insurance: Lessons from the Great Recession (Issue Brief, March 2021)
Project Duration: 46 Months
Contract End Date: July 2022
Contractor: The Urban Institute
For More Information: ChiefEvaluationOffice@dol.gov
The Department of Labor’s (DOL) Chief Evaluation Office (CEO) sponsors independent evaluations and research, primarily conducted by external, third-party contractors in accordance with the Department of Labor Evaluation Policy and CEO’s research development process.