This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

NC Governor Signs Unemployment Bill Into Law


RALEIGH, N.C. (AP) â¿¿ Gov. Pat McCrory signed into law Tuesday changes to North Carolina's unemployment insurance system that supporters say puts the plan on firmer footing and gives businesses more certainty. Critics say it will devastate the jobless with decreased benefits or none at all.

McCrory signed the bill in his state Capitol building office, a governor's spokeswoman said. The media wasn't invited to the signing, which was attended by several legislators who shepherded the bill quickly through the General Assembly in the first two weeks of this year's work session.

The unemployment plan repays $2.5 billion owed the federal government for jobless benefits paid since the Great Recession by cutting maximum weekly jobless payments from $535 to $350 on new claims beginning July 1 and the maximum number of weeks for state benefits from 26 weeks to 12 to 20 weeks, depending on the state unemployment rate.

The bill also raises state unemployment taxes, partially through the elimination of a zero-percent rate that about 30,000 businesses have been receiving. Federal taxes will continue to rise by $21 per employee per year until the debt is repaid and a 20-percent state surcharge will continue a little while longer.

McCrory, a Republican, announced during Monday night's State of the State address he would sign the bill, saying the state is going to stop borrowing money from the federal government without knowing how to pay it off.

All told, the changes will repay the debt by late 2015 â¿¿ about three years earlier than if nothing had been done â¿¿ and will put more than $2 billion in reserve by the end of the decade to pay future claims in the next economic downturn.

A handful of Democrats voted for the bill penned by Republicans.

"This bipartisan solution will protect our small businesses from continued over-taxation, ensure our citizens' unemployment safety net is secure and financially sound for future generations, and help provide an economic climate that allows job creators to start hiring again," McCrory said Tuesday in a statement.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 17,719.92 -78.57 -0.44%
S&P 500 2,080.41 -9.70 -0.46%
NASDAQ 5,108.6660 -18.8590 -0.37%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs