Kentucky workers among the hardest-hit in the nation by COVID-19 layoffs
New data from the U.S. Department of Labor show that roughly a quarter of Kentucky’s civilian workforce has filed for unemployment insurance since the beginning of the state’s COVID-19 outbreak, making Kentucky workers some of the most impacted in the nation.
Figures released Thursday show that another 103,548 Kentuckians filed for unemployment last week, bringing the total number of initial claims since the beginning of the novel coronavirus outbreak in mid-March to nearly 500,000, or 24 percent of the state’s total civilian workforce.
Two analyses from financial technology companies show Kentucky is one of the most-impacted states when measuring the number of claims as a percentage of the workforce, and when measuring the percentage increase in unemployment claims from the start of the COVID-19 crisis.
An analysis by SmartAsset, which did not include last week’s unemployment figures, showed that as of April 11, Kentucky had the 6th-highest ratio of unemployment claims as a percentage of the workforce, beaten only by Nevada, Pennsylvania, Rhode Island, Michigan and Hawaii.
Several of Kentucky’s border states, including West Virginia, Tennessee and Virginia, were some of the least-impacted, according to SmartAsset’s analyis.
West Virginia ranked 49 out of 50 states when measuring the number of unemployment claims as a percentage of total workforce, at 5.85 percent.
An analysis by WalletHub found that Kentucky was the 4th-most impacted state when comparing the percentage increase in unemployment claims from March 16-April 13, 2020, to March 18-April 15, 2019.
The number of claims was 4,545 percent higher in 2020 than in 2019, according to WalletHub’s analysis.
Only New Hampshire, Louisiana and Georgia had larger increases.
Figures from Scott Benton, the deputy secretary for the Kentucky Education and Workforce Development Cabinet, differ from those provided by the U.S. Department of Labor.
Last week, during a press conference with Gov. Andy Beshear, Benton said the state had received 521,592 initial claims since March 16.
The Cabinet had processed an average of 14,000 to 16,000 claims every day as of last week, and paid out nearly $150 million to more than 450,000 people, Benton said.
Kentucky has begun to roll out the additional $600 weekly payments approved by the federal government, but the state is running about a week behind, Beshear said.
The state is asking people to not re-file claims even if the payments are delayed. The re-filing process could further delay the state’s ability to roll out payments, officials said.
Many people have reported delays with their payments and other frustrations, including being left on hold on the state’s unemployment phone line for hours only to leave a message that is never answered.
Officials have increasing staffing at the unemployment office from about a dozen to more than 1,000, but the state’s antiquated unemployment system and the record-breaking number of claims have left many Kentuckians struggling to receive their payments.
James Villines, supervisor for an auto-parts manufacturer in Bardstown, said in an email to the Herald-Leader that his partner was laid off from her job at a bar and liquor-retailer in Prospect on March 16. She filed for unemployment on March 20, but has yet to receive any payment.
The lack of income forced Villines and his partner to dip into their savings account and use Villines’ $1,200 stimulus check to stay afloat, he said.
“I understand that the agency’s systems are vastly outdated and overwhelmed, and that they have increased staff greatly,” Villines said. “However, people still have bills to pay and have to have food on the table.”
“Help has to come for all of us, and it is clear that so many people have been lost in the system, with potentially tragic consequences,” he said.
This story was originally published April 23, 2020 at 12:58 PM.