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Massachusetts Unemployment Insurance
The Department of Unemployment Assistance (DUA) runs the Massachusetts unemployment insurance program under the state’s Executive Office of Labor and Workforce Development (EOLWD). The DUA administers unemployment insurance benefits to eligible Massachusetts residents who are currently out of work or have had their hours significantly reduced through no fault of their own. As of August 2016, just 3.9 percent of Massachusetts residents were unemployed, a full point lower than the national unemployment rate reported by the U.S. Bureau of Labor Statistics (4.9 percent).
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Unemployment benefits are meant to help workers who have lost their jobs or had hours reduced to meet their financial obligations until they can obtain suitable work. The DUA collects required contributions from private, for-profit employers for the Commonwealth’s unemployment compensation fund. Employers also pay taxes directly to the federal government for the Federal Unemployment Tax Act (FUTA), which helps cover the DUA’s administrative costs. The DUA distributes unemployment benefits to qualified unemployed individuals who file for unemployment and are determined eligible according to state and federal law. Approved recipients receive temporary weekly benefits while they search for work.
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