States Owing the Most to Their Unemployment Funds

An article from the Philadelphia Business Journal recently brought to light the states with the highest amount of underfunded unemployment liabilities (see here, too). Although the exact correlation between underfunded liabilities and office vacancy rates cannot be established with any certainty, it is easy to see the relationship. For example, the CBO has noted that because “potential hours worked in the non-farm business sector” is projected to grow at a rate “significantly below the long-term historical average”, there will be a “correspondingly slower growth in the potential labor force.” Even apart from that relationship, it is interesting to see the  same usual suspects of financially scrapped states. (Side note: According to the U.S. Department of Labor, Employment, and Training Administration, only five states–Maryland, New Hampshire, South Dakota, Tennessee, and Texas, have repaid their loans in full).

10.  New Jersey: $1.7 billion

9. Indiana: $2 billion

8. Florida: $2 billion

7. Ohio: $2.3 billion

6. Illinois: $2.5 billion

5. North Carolina: $2.6 billion

4. Pennsylvania: $3.1 billion

3. New York: $3.3 billion

2. Michigan: $3.7 billion

1. California: $9.76 billion