A day after the state halted federal unemployment benefits, they announced a $2.5 million campaign giving free airline tickets to out-of-state tourists. At the very least, it's terrible optics. On July 4th, the day after Tennessee Governor Bill Lee shut the doors on federal benefits for the state's unemployed (as well as ending extended benefits, and gig worker & self-employed benefits), he announced that 10,000 airline tickets will be given away to tourists. The campaign, named 'Tennessee On Me' will be distributing 10,000 $250 gift cards to visitors who fly Delta, American, or Southwest Airlines to Nashville, Memphis, Chattanooga, or Knoxville, and book a 2 night stay. The gift cards are being paid for with Tennessee taxpayer money. Opponents of the campaign say it not only looks bad, but it also only benefits the four Tennessee cities targeted as destinations, leaving the rest of the state holding the bag. Lt. Governor Randy McNally, who said he was unaware of the campaign until it started, released a statement saying, "I will be asking the administration...to provide more detail to the legislature about such initiatives...in the future." Meanwhile, the thousands who have now had their benefits cut, are left trying to find a job for minimum wage or less. While the state continues to harp about the 250,000 job openings on their website, if you're really looking for a job, the results are not that rosey.
As an example, we went to the state's jobs4tn.gov website...entered Jackson Tennessee and a 10 mile radius...checked for job openings from the last 2 weeks...with an income of $40K+...and a requirement of high school diploma or less. The result? 10 job openings. Drop the income to just $20K+ per year, and there were just 60 openings....and even with those jobs, there were specific skills required for the vast majority. The picture is NOT as it is being painted. If your family is struggling because you no longer qualify for unemployment, are having difficulty finding family-supporting employment, or the pandemic put you in a financial crisis....call us at the law office of T. Verner Smith. Through financial restructuring, debt resolution, or legal options including but not limited to bankruptcy, there are ways to relieve the pressure and chart a path to a better future. Don't be embarrassed, don't be hesitant, you are not alone, and taking action now is the smart approach. Call us at (731) 423-1888 and schedule a free consultation. A number of new laws were enacted yesterday (7/1/21) in Tennessee, the entire list can be seen here.
Here are a few of the new laws: Sales Tax Holiday now includes food, and features extended dates The current sales tax holiday weekend is July 30th through August 1st for clothing, school supplies and computers. This new bill adds food, food ingredients, and prepared food (grocery and restaurants) to those same dates, but then the tax-free food continues through Thursday August 5th. Some exclusions (including alcohol and tobacco) apply and can be seen here. Parents can be charged with 'severe' child abuse if children exposed to certain drugs A new law protects children from being exposed to dangerous illegal drugs. It expands the definition of “severe child abuse” (as well as Child Neglect and Endangerment) to involve a child being in the presence of or having access to certain extremely dangerous or illegal drugs: cocaine, methamphetamine, or fentanyl. New 'lifetime' order of protection To help victims of stalking or domestic violence, a new statute creates a 'lifetime' order of protection that can be issued after certain felony offenses. A victim of felony assault, kidnapping, attempted homicide, or sexual offenses can file a 'lifetime' order of protection against their convicted offender. Porch Pirates to receive stiffer penalties Previously, criminals who steal packages from doorsteps, porches, driveways or mailboxes faced penalties determined by the value of the stolen package. Now, however, after the first offense, all following offenses must be charged with at least a Class E felony....with prison times of one to six years as well as fines. Small business protection if another COVID-like crisis occurs. The Tennessee Fair Business Act is designed to protect small businesses in the event of another pandemic shutdown in the future. This new law allows businesses to remain open if they follow guidelines issued by ANY government. This act puts all businesses on the same playing field in a declared emergency so that small businesses aren't forced to close, while larger competitors remain open. Thousands of Tennesseans are about a week away from losing all or part of their unemployment benefits.
The cuts, scheduled to occur July 3rd, include the extra $300 per week from the feds, an end to all unemployment benefits past the standard timeframe, AND those who are gig workers or self-employed. New data, (here) however, suggests that cutting off unemployment won't push people into finding work. A dozen states ended their extra unemployment benefits over the past two weeks...and yet job searches are about 4% below the national average in those states. The data, comprised by Indeed, says clicks on job posts in those states is well below that of the average job seeker. Why these numbers are still remaining stagnant is anybody's guess. Economists are struggling to find answers. One tweeted that "no one says it's a 'consumer shortage' if companies offer high prices and bad service...yet some say it's a 'labor shortage' if companies only offer low wages and bad benefits." A quick search on Indeed's website (here) shows Jackson Tennessee had 269 full time job openings posted over the last week. More than half of the jobs pay $15 or less an hour. There is also the negative retail impact that shutting down the benefits will create. Studies have found that Tennessee retailers will lose over $450 million in sales that would have been fueled by continued unemployment benefits. If your family is struggling because you didn't qualify for unemployment, or are about to lose your benefits....call us at the law office of T. Verner Smith. Through financial restructuring, debt resolution, or legal options including but not limited to bankruptcy, there are ways to relieve the pressure and chart a path to a better future. Don't be embarrassed, don't be hesitant, you are not alone, and taking action now is the smart approach. Call us at (731) 423-1888 and schedule a free consultation. Much has been talked about in the news about the number of jobs available in Tennessee. Most cite the state's 'Job Board' currently listing of over 260,000 job openings. But a recent analysis found that only 3% of those jobs listed pay $20K or more. The federal poverty line for a family of three is about $22K. So 97% of the jobs available on the state's site pay less than the federal poverty line for the average family? Apparently so. The number of 'available' jobs, at more than 260,000, may also be inaccurate, as the analysis also found almost 200,000 of those listings are more than a month old.
Will Tennesseans who have been looking for a job to support their family be forced into taking one of those 'under $20K jobs'? Maybe so. Will that magically fix the problem? Of course not. Last week's blog explored the likely results of the July 3rd shutdown, and how $480 million will also be taken out of Tennessee retail cash registers as a result. Read that blog here. If your family is struggling financially....call us at the law office of T. Verner Smith. Through restructuring, debt resolution, or legal options including but not limited to bankruptcy, there are ways to relieve the pressure and chart a path to a better future. Don't be embarrassed, don't be hesitant, you are not alone, and taking action now is the smart approach. Call us at (731) 423-1888 and schedule a free consultation. More thanĀ half of Tennessee's unemployed about to lose benefits - here's why this is a bad idea.6/8/2021
Tennessee residents have known for weeks that 'federal' unemployment assistance is coming to an end on July 3rd. But a new report explains how that loss can impact ALL Tennesseans. The report, (here) issued by the Joint Economic Committee in Nashville, found that 64% of those who qualified for unemployment in May, will no longer qualify after July 3rd. Those groups are primarily folks who have exhausted their state benefits, gig workers, and the self-employed. That's not great news for businesses either. Here's why... The report also found that every 'dollar' distributed through the unemployment system generates $1.61 in local spending. Based on those numbers, when Tennessee's unemployed lose $300 million in benefits over the next few months, Tennessee businesses will feel a $480 million negative impact. As the report states, "By ending these programs early, states are refusing billions of already appropriated federal dollars that could be spent in local groceries, restaurants, and retail shops. This will not force the unemployed to go to work. Another report (here) notes that all indicators suggest this 'cutting off' of unemployment benefits just won't work. The chief economist for the AFL-CIO noted that the share of unemployed workers flowing into employment has gone unchanged since last summer. Even the best estimates suggest about 25% of the unemployed workers will find jobs. So what will the other 75% turn to? The options are few, and most will impact the general public in a negative way: alcohol, drugs, and crime almost always follow. If your family is struggling because you didn't qualify for unemployment, and stimulus checks and child credits are still keeping you behind the eight ball....call us at the law office of T. Verner Smith. Through financial restructuring, debt resolution, or legal options including but not limited to bankruptcy, there are ways to relieve the pressure and chart a path to a better future. Don't be embarrassed, don't be hesitant, you are not alone, and taking action now is the smart approach. Call us at (731) 423-1888 and schedule a free consultation. A new study has found that 60% of jobless workers never received any unemployment aid. (study)
Surprisingly, the study found that young workers, black workers, Asian workers, and those without a 4-year degree were all less likely to be receiving benefits compared to other groups. The reasons for not receiving benefits included, being unsure how to apply, ineligible, applied and waiting, and applied but never received. The study also found that those who became unemployed early in the pandemic were much more likely to receive benefits (40%), compared to those who were unemployed late (18%) . Studies such as these have added fuel to the fire of a potential 4th stimulus check and/or a continuing monthly stipend for qualified families. Analysts, however, think those additions are 'on hold' while the White House wants the focus to be on the $2 trillion 'infrastructure' bill currently being debated. If your family is struggling because you didn't qualify for unemployment, and stimulus checks are a drop in the bucket compared what you need to stay afloat....call us at the law office of T. Verner Smith. Through financial restructuring, debt resolution, or legal options including but not limited to bankruptcy, there are ways to relieve the pressure and chart a path to a better future. Don't be embarrassed, don't be hesitant, you are not alone, and taking action now is the smart approach. Call us at (731) 423-1888 and schedule a free consultation. New research is revealing just how much the pandemic continues to hurt American households financially.
Despite additional unemployment benefits and three rounds of 'stimulus' checks, 40% say their current income is less than it was before the crisis. More than 25% say they are having difficulty keeping up with expenses. And 9% report a 'shortage of food' in their homes. Other numbers to consider: 15% are behind on their rent, and while mortgage delinquency is in the single digits, that number is likely to spike as forbearance ends June 30th. New unemployment claims in Tennessee continue to rise (news article). The Tennessee Department of Labor & Workforce Development says the numbers are "unprecedented". Thousands of those who filed months ago still haven't received any benefits yet, as the state is slowly sifting through all claims to prevent fraud. Additionally, 'system errors' over the last week have caused some claimants to believe their benefits were exhausted when, in fact, they still had money available (news article). Another new study found that stimulus checks were, for the vast majority, properly used. Researchers found that recipients applied more than 70% of the money to savings or to pay down debt. The common misconception is that government money provided during the pandemic was mismanaged or spent on frivolous luxuries, when in fact, these studies have found quite the opposite. Families all across America, including and especially in Tennessee, were hard hit by the pandemic and the results will likely continue to be felt for years. Many families have found themselves in financial trouble and are struggling to find answers to their problems. The law office of T. Verner Smith has helped thousands of Tennessee families struggling with financial problems and we offer a free consultation to determine how we can help you. Call us at (731) 423-1888. Area employers are having a hard time finding workers.
The reason, however, may be more complicated than you think. The most common refrain is, 'Why work when you can get free government money?' But in reality, that's only a small part of what's going on here. According to a new article from the Associated Press (here) many Americans are simply rethinking their careers. From the article, "In March, U.S. job openings rose 8% to a record 8.1 million, but overall hiring rose less than 4%." The article features several examples of workers in the service industry who were forced out of their jobs during the pandemic, and have taken that time to explore other options. One worker, 57 year old Ellen Booth, was a lifelong bartender. When her employer closed during COVID, she started an on-line class to be a medical coder. 25 year old Shelly Ortiz had a career as a restaurant server. When her employer reopened, she returned cautiously, concerned about exposure from customers. She finally quit after a co-worker tested positive and the restaurant refused to deep clean. She decided to enroll in a film-making college class and is graduating this month. All of those in the article admitted money is tight, some digging into their retirement savings...but they have no intention of going back to their previous careers. They are no longer chasing the 'money dream', they say...their qualify of life is most important now. The pandemic has definitely had an effect on workforce dynamics...from workers realizing they can work from home, to those who are actively changing careers, to others striking out on their own...and the results are being felt, as fewer workers are interested in taking the jobs available. If the pandemic had lasted only a few months, rather than over a year, everything may have returned to normal in the labor market. But such a long time period, not only allows, for often forces people to reimagine their lives and make substantial changes. If you have found yourself re-evaluating your employment future, or have already found a new way of life that is more rewarding to you...yet your old life has left you in a financial whirlwind...reach out to us and let's discuss ways to clean up your financial problems. Either through debt restructuring, negotiations with creditors, budget adjustments, and if required, bankruptcy. There are several remedies available, including legal options if needed. Call the office of T. Verner Smith today at 423-1888. Tennessee to refuse $300 federal unemployment bump - but what about folks who really do need it?5/11/2021
Tennessee Governor Lee took the dramatic step earlier this week of refusing the $300 per week federal unemployment supplement. Although the federal program will continue elsewhere through September, Tennessee will put on the brakes July 3rd (story).
Tennessee is also ending participation in federal programs that have allowed the self-employed to qualify...AND the initiative that extended payments after regular benefits expired. The bottom line: after July 3rd, it's back to a maximum of $275 per week for the unemployed who qualify, no unemployment for self-employed, and no extension of regular benefits. For those who have been taking advantage of the system, the supposition is they'll likely be able to find a job, since there are approximately 250,000 jobs available...but what about those who are truly struggling and are truly unemployed? Many who legitimately can't go back to work yet. Can you imagine getting by on $275 a week? Especially now as inflation is pushing the price of necessities higher every week? Not to mention, not everyone has been able to get their unemployment checks. Thousands of Tennessee residents, although they qualified, haven't received any money in weeks or months. There is a Facebook group page titled 'Unofficial Unemployment Tennessee Information and Help' (link here ), and a quick visit will give you some insight into those who are struggling: One post said, "Been waiting for months and still ain’t got nothing." Another, "I'm pregnant and not getting paid anything from my job on my leave...people never know what people are going through." and another, "People have been waiting 6 months for a payment. I spent probably 20 hours on the phone with Unemployment trying to get my claim fixed. It’s still not fixed." Most every family is literally just one 'life event' away from being in a financial mess - an unexpected medical emergency involving your parent, spouse, or child...business reorganizations, layoffs or closings...a wage earner suddenly required to be home for family reasons...a divorce...any number of life changing events. If you've found yourself in one of these situations, and the upcoming date of July 3rd will put you even further behind, call our office today. We have helped thousands of Tennessee families struggling with financial problems and we offer a free consultation to determine how we can help you. Call the law office of T. Verner Smith at (731) 423-1888. In March of last year, The Cares Act allowed homeowners to 'skip' their mortgage payments for up to 360 days. Nearly 5% of all mortgages are still in forbearance. That's over 2 million homeowners. Now, as those deadlines are occurring, many homeowners are surprised to find the lender can demand all of the skipped payments due at once.
That is obviously not a realistic option for most families. Most lenders will have other options for getting the loan current, including deferring the payments to the end of the term, or increasing the monthly payment. However, lenders can, by law demand whatever payments they want to bring the account current, including demanding all past payments due at once. A number of families may not be able to meet the new conditions and losing their home to foreclosure is a real possibility. According to a new report from the Consumer Financial Protection Bureau (link), people of color will be hardest hit, as 9% of black mortgage borrowers, and 8% of hispanic borrowers are in forbearance...compared to less than 4% of whites. If your family has found itself in this situation, and losing your home is a real possibility, call us at the law firm of T. Verner Smith. If you qualify, there are legal options that can stop foreclosure, the eviction process, and lawsuits. This is just one example of how families affected by the COVID19 crisis were forced into seeking help, and now that timelines have exhausted, they can be unprepared or unable to answer new financial demands. Our office has helped thousands of Tennessee families struggling with financial problems and we offer a free consultation to determine how we can help you. Call us at (731) 423-1888. |
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