Pandemic Unemployment Assistance (PUA)

The Pandemic Unemployment Assistance is a temporary emergency program created under the CARES Act to expand unemployment insurance to eligible out-of-work self-employed workers, part-time workers, freelancers, and individual contractors affected by the COVID-19 pandemic. The PUA, alongside two other initiatives, Pandemic Emergency Unemployment Compensation (PEUC) and Federal Pandemic Unemployment Compensation (FPUC), were created under the Coronavirus Aid Relief, and Economic Security (CARES) Act. The CARES Act of 2020 is a $2 trillion coronavirus emergency stimulus package that was signed into law on March 27, 2020, by President Trump.

How to Apply for the Pandemic Unemployment Assistance (PUA)

To be eligible, workers must provide self-certification that they are able to work and available for work and that they are either partially employed, unemployed, or unable to work as a result any of these COVID-19 related situations:

• You are directly infected with the coronavirus by a confirmed diagnosis or have symptoms of it

• You are caring for some diagnosed with COVID-19

• If there is a COVID-19 diagnosed person in your house

• You are self-quarantined following the directives of a healthcare provider

• You recently got employed but were unable to start due to the COVID-19 pandemic

• You lost your job or had to quit your job as a direct result of the COVID-19

• Your workplace shutdown as a result of the COVID-19

• You meet other requirements set by the Secretary of Labor

How PUA Works

The Pandemic Unemployment assistance program was scheduled to launch on January 27, 2020, and will run through December 31, 2020. The PUA payment extends unemployment benefits to people who normally would not qualify for unemployment benefits. They include:

• Self-employed workers

• Freelancers

• Independent contractors

• Workers seeking part-time work

• Workers with a short work history that would not normally qualify for unemployment insurance benefits.

• Other workers who do not qualify for unemployment benefits under state or federal law

The PUA unemployment benefits exclude workers who are able to work from home during the coronavirus pandemic and lockdown. All undocumented self-employed workers will not qualify for the benefits, only those who have been authorized.

PUA benefits amounts are calculated by using the formula from the Disaster Unemployment Assistance program under the Stafford Act. This calculation will be based on previous earnings. The PUA benefits will be at a minimum of 50% of the state’s average weekly unemployment insurance benefit, that is, about $190 per week.

Although the PUA program was slated to kick off on January 31, it is still being set up by the US Department of Labor. It may take many states some time to be well prepared to start processing claims for self-employed workers, gig workers, freelancers, and independent contractors. Once everything has been set in place, such workers will be eligible for retroactive benefits and benefit off the PUA program up to 39 weeks.

Note: Provision is made by Federal law for individual states to amend their laws to provide unemployment benefits.