Massachusetts has announced an extension for unemployment benefits, allowing eligible claimants to receive assistance for up to 30 weeks. This marks an increase from the previous cap of 26 weeks.
The change comes in response to recent federal data revealing that the unemployment rate in the Springfield area has reached 5.2 percent, surpassing the 5.1 percent threshold that triggers the extension under state law.
Matt Kitsos, a spokesperson for the Executive Office of Labor and Workforce Development (EOLWD), stated, “This change is required by state law that was passed in 2003. The [Department of Unemployment Assistance] will be in communication with claimants on next steps.”
He further mentioned that the administration is collaborating with various stakeholders to review the Unemployment Insurance (UI) Trust Fund and to implement a new online system designed to better serve residents.
Since July 2023, the duration of unemployment benefits had been shortened to 26 weeks due to lower unemployment levels across all metropolitan statistical areas, with rates dropping below the threshold.
Currently, only the Springfield area exceeds the 5.1 percent benchmark, while the other six areas report average unemployment rates below 5 percent. The Barnstable area, for instance, has an unemployment rate of 4.9 percent.
The National Federation of Independent Business (NFIB) highlighted the increase in benefit duration before state officials confirmed it. NFIB has urged lawmakers to consider reforms to the unemployment insurance system, arguing that the existing structure places excessive financial burdens on employers.
Christopher Carlozzi, Massachusetts state director for NFIB, emphasized the urgency for reform, saying, “The cracks in our broken unemployment insurance system are now becoming chasms. This is yet another example of the Commonwealth’s outlier policies compounding a worsening UI crisis, as we are the ONLY state in the nation that allows recipients to collect 30 weeks of benefits.”
As of March, the unadjusted statewide unemployment rate was reported at 5 percent, a figure that exceeds the national unadjusted rate of 4.2 percent. The seasonally adjusted unemployment rate for Massachusetts stands at 4.4 percent, also slightly above the national rate.
EOLWD noted that the state’s labor participation rate in March was about 67 percent, surpassing the national average by 4.1 percentage points.
Earlier in the month, the Department of Unemployment Assistance released a quarterly report forecasting that the trust fund used to pay unemployment benefits will likely deplete by 2028.
In light of these developments, the Massachusetts Fiscal Alliance pointed to data from the state’s Department of Economic Research, which indicated a significant loss of nearly 25,000 private sector jobs over the past year, coinciding with an increase in state and local government positions.
Paul Craney, executive director of MassFiscal, voiced concerns over the implications of this trend for the state’s economic environment. He asserted, “Private sector employers are facing rising energy costs, burdensome mandates, and an unfriendly business climate. The state is doing serious long-term damage to its economic competitiveness. Every government job added without private sector growth is another step toward eventual fiscal ruin. Massachusetts needs a private sector comeback, not more bureaucrats on the state payroll.”
However, the EOLWD later clarified that the data referenced by Mass Fiscal was incorrect, and upon updating their figures, reported that the net loss in private sector jobs between March 2024 and March 2025 was 12,100, a figure verified by the U.S. Bureau of Labor Statistics (BLS).
During this same period, the state saw a loss of 400 federal jobs and an addition of 1,700 positions in the state government sector, while local government employment decreased by 300 jobs.
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