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News Release

ETA News Release: [04/02/2009]
Contact Name: Peggy Abrahamson or Suzy Bohnert
Phone Number: (202) 693-7909 or x4665
Release Number: 09-0356-DEN

U.S. Labor Department announces release of $5.9 million in unemployment insurance modernization incentive funds to South Dakota

South Dakota is 2nd state to be certified for funds under Recovery Act

WASHINGTON — The U.S. Department of Labor today certified for release $5,882,545 in unemployment insurance (UI) modernization incentive funds to the state of South Dakota. South Dakota qualified for the funds available under the American Recovery and Reinvestment Act (Recovery Act) by allowing workers to use their more recent earnings to qualify for benefits. South Dakota's approved application will be posted at the department's Employment and Training Administration Web site at http://www.doleta.gov/recovery.

"South Dakota's UI program has been updated to better meet the needs of the 21st century labor force," said Secretary of Labor Hilda L. Solis. "The new legislation just enacted in South Dakota is particularly helpful to unemployed workers who have entered the workforce recently and otherwise might not qualify for UI benefits."

The South Dakota Department of Labor can use the funds to pay unemployment benefits or, if appropriated by the legislature, for administering its unemployment insurance program or delivering employment services.

"South Dakota is committed to helping people get back to work in these difficult economic times. The stimulus funds from the U.S. Department of Labor are a welcome boost that will help unemployed workers get by temporarily until they are re-trained or re-employed," said South Dakota Gov. Mike Rounds.

The Recovery Act made a total of $7 billion available in UI modernization incentive payments to states that include certain eligibility provisions in their UI programs. Each state can qualify for a share of those funds by showing that its law includes those provisions. To date, South Dakota and New Jersey have been certified by the Labor Department to receive a share of the funds.