Social Insurance and Public Assistance

782 Series Bf484–496 Bf SOCIAL INSURANCE AND PUBLIC ASSISTANCE
TABLE Bf484–496 Unemployment Insurance – coverage, benefits, and financing: 1938–1997 Continued
Average Average Average Taxable
Average weekly benefit actual actual wages paid in
monthly Average Average Average as percentage duration Claimants duration of Total covered Net reserves,
covered weekly insured First weekly initial weekly benefit of average of benefit exhausting benefits for Total benefits contributions employment balance as of
employment unemployment payments claims amount weekly wage payments benefits exhaustees paid collected during year end of year
Bf484 Bf485 Bf486 Bf487 Bf488 Bf489 Bf490 Bf491 Bf492 Bf493 Bf494 Bf495 Bf496
Thousand Thousand Thousand Thousand
Year Number Number Number Number Dollars Percent Weeks Number Weeks dollars dollars dollars dollars
1980 71,258,455 3,355,747 9,992,123 479,769 99.66 36.6 14.9 3,071,943 22.7 13,768,135 11,414,649 458,643,511 6,591,827
1981 71,965,970 3,044,857 9,407,372 450,846 106.61 35.9 14.4 2,989,177 23.0 13,221,592 11,624,545 478,414,824 5,745,115
1982 70,331,861 4,058,646 11,648,448 579,252 119.34 37.7 15.9 4,174,709 23.2 20,649,840 12,206,070 477,471,932 2,644,584
1983 70,817,863 3,394,666 8,907,190 441,653 123.59 37.2 17.5 4,179,622 23.4 17,755,392 14,548,669 532,288,687 5,803,331
1984 75,204,621 2,474,809 7,742,547 371,773 123.47 35.5 14.4 2,606,145 22.8 12,598,229 18,757,690 586,020,262 2,204,797
1985 77,467,012 2,616,958 8,372,070 390,294 128.14 35.3 14.2 2,572,059 22.7 14,124,342 19,296,983 611,969,897 10,069,416
1986 79,093,152 2,642,644 8,360,752 376,227 135.65 35.8 14.5 2,687,723 22.9 15,402,735 18,111,266 638,038,517 15,402,260
1987 81,352,396 2,300,399 7,203,357 326,153 140.55 35.5 14.6 2,408,471 22.7 13,617,007 17,576,976 667,498,815 23,174,690
1988 83,984,776 2,080,582 6,860,662 312,882 144.97 34.9 13.7 1,979,285 22.7 12,579,703 17,720,628 705,002,395 31,103,671
1989 86,164,595 2,157,666 7,368,766 328,819 151.73 35.4 13.2 1,940,390 22.9 13,641,569 16,451,876 738,265,107 36,870,882
1990 87,008,189 2,521,564 8,628,557 387,001 161.56 36.0 13.4 2,323,255 23.1 17,320,777 15,221,274 759,670,530 37,937,017
1991 84,905,782 3,341,935 10,074,550 447,593 169.88 36.4 15.4 3,472,019 23.2 24,582,501 14,510,670 751,666,268 30,488,785
1992 85,098,137 3,245,191 9,243,338 407,344 173.64 35.4 16.2 3,838,011 23.3 23,956,510 16,972,655 776,502,595 25,846,579
1993 86,850,536 2,751,441 7,884,326 342,309 179.62 36.0 15.9 3,203,897 23.4 20,687,678 19,831,045 807,165,885 28,001,956
1994 89,690,770 2,669,872 7,959,281 342,730 182.16 35.7 15.5 2,977,468 23.2 20,433,832 21,802,069 856,255,509 31,343,551
1995 92,328,088 2,571,951 8,035,229 357,041 187.29 35.5 14.7 2,661,773 23.1 20,122,189 21,970,828 889,901,028 35,403,296
1996 94,685,734 2,595,585 7,989,615 351,361 189.45 34.5 14.9 2,738,963 23.2 20,634,904 21,577,968 923,895,199 38,631,922
1997 97,837,884 2,322,573 7,325,279 321,511 192.76 33.5 14.6 2,484,911 23.0 18,605,353 21,247,040 970,110,253 43,833,157
Sources
All series except series Bf487. Unemployment Insurance Financial Data Handbook number 394 from the
Information Technology Support Center (ITSC) in Maryland.
Series Bf487. Through 1966, data were collected by the Bureau of the Census from monthly issues of
the U.S. Manpower Administration’s Unemployment Statistics. Beginning in 1967, data are from evidence
posted February 24, 2000, on the U.S. Department of Labor, Employment Training Administration
Internet site.
Documentation
ITSC is a collaboration of state employment security agencies, the Department of Labor (DOL), and
private sector partners. Most of these data were compiled from monthly and quarterly statistical and
accounting reports submitted by the State Employment Security agencies to the U.S. Employment and
Training Administration of the U.S. Department of Labor. Revised data and corrections have been
incorporated into this edition to the extent possible. Data contained in this handbook may not be
identical with state records.
The Social Security Act of 1935 established Unemployment Insurance (UI) as a federally mandated
program run by the states. The states collect payroll taxes from employers to fund the system. After
the Social Security Act passed, the states had to pass enabling legislation and then wait two years to
accumulate enough reserves to begin paying benefits. Because Wisconsin had passed an unemployment
insurance act prior to 1935, it was the first state to pay benefits. By 1938, roughly 75 percent
of payrolls were covered by unemployment insurance. The percentage rose to a peak of 98 percent in
1979 and fell back to about 92.4 percent in 1994.
To fund the system, employers pay taxes on employee earnings up to a specific maximum per employee
in each state. Part of the taxes (0.4 percent of taxable wages in 1970) is remitted to the federal
government, which in turn provides grants to the states for the cost of administering unemployment
insurance and employment services. The payroll contribution rates for individual employers vary to
some extent in response to the unemployment experience of workers in the employer’s operation.
Reimbursable coverage has been excluded from series Bf484 and Bf493–495. However, the claims
resulting from reimbursable coverage have not been excluded from series Bf485–486 and Bf488–492.
In June 1962, employees engaged in the agricultural aspects of the sugar cane industry who were
previously covered under a special unemployment insurance law were brought under the Puerto Rico
Employment Security Act of 1957.
Series Bf484. Average monthly covered employment represents the twelve-month average of the covered
employees reported to states by each employer for 1938–1944 for the last payroll period in the
month. For 1945–1962, data represent the twelve-month average for the payroll period ending nearest
the fifteenth day of the month. After 1963, data represent the twelve-month average for the payroll
period including the twelfth day of the month. Covered employment represents employment in industrial
and commercial establishments of eight or more for the period 1941–1955 and four or more
for 1956 to 1970. In some states, the covered employment also represents employment in smaller
establishments and for additional groups of workers, such as state and local employees or seamen.
Although the federal law requires only employers to pay taxes, some states require some workers to
contribute as well.
Series Bf484–485. Beginning in 1964, the series on the average number of weekly insured employment,
series Bf485, includes workers in the sugar cane industry, while series Bf484 excludes them.
Series Bf487. Calculated as an average for the year of the number of initial claims for unemployment
insurance filed each week. An initial claim is “any notice of unemployment filed (1) to request a determination
of entitlement to and eligibility for compensation or (2) to begin a second or subsequent
period of eligibility within a benefit year or period of eligibility.”