With the troubling economy, many people are losing their jobs.  It’s unfortunate, but Ohio has been in this situation much longer then the nation as a whole.  Now this economic pinch is squeezing state unemployment budgets.

There is a growing fear that those receiving unemployment compensation in Ohio will be given IOU’s by the state, just in time for the holidays.  According to a news story released today, Ohio may run out of funding for unemployment benefits by next month.

It has been reported that Ohio may be forced to take out a Federal loan to satisfy the unemployment compensation needs of Ohio.  This would be the first time in 26 years that Ohio needed a Federal loan to provide unemployment compensation benefits to its struggling citizenry.

Governor Strickland has asked Congress for Federal aid in attempt to eliminate the need for Federal loans.  But with so many corporations and other government agencies going to Washington with their hands out, Strickland will have to take a number.

The National Employment Law Project said Ohio was one of five states that could run out of unemployment money within three months.  Other states running out of unemployment benefit funding are Michigan, Indiana, New York, and South Carolina.

To read more about state unemployment insurance solvency, and to check how your state is doing, please click here(PDF).

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