Georgia's unemployment fund going broke

By: Associated Press Email
By: Associated Press Email

Friday, March 25, 2011

ATLANTA -- State officials are trying to figure out how to meet Georgia's unemployment insurance obligations.

Officials say the fund is running out of money, and more than 191,000 Georgians received unemployment insurance payments last week.

Labor Department officials say the jobless will get their checks.

In 1999, Georgia's trust fund stood at $2 billion, and the state suspended payroll taxes to cover unemployment insurance for most employers.

The fund dipped to $703 million in 2003, and has run out of money while the Legislature blocked increases in payroll taxes to support it.

Georgia and other states sought emergency assistance from Washington in December 2009 and Congress provided assistance, but the government expects to be repaid. A $24 million interest payment is due in October.

Copyright 2011 The Associated Press.

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