State Unemployment Fund Out of Cash

Fed loans state $1.8 billion

Tuesday, Jan 27, 2009  |  Updated 6:54 AM PDT
View Comments (
)
|
Email
|
Print
Unemployment Fund Goes Broke

Mario Tama/Getty Images

advertisement
Photos and Videos

Unemployment Fund Goes Broke

California secures a federal loan to cover unemployment benefits.
More Photos and Videos

SACRAMENTO, Calif. -- The state Unemployment Insurance Trust Fund is about to run out of money, but unemployed Californians will still get their benefits.

The state has secured a $1.8 billion federal loan to cover the roughly $34 million in benefits it pays out everyday. It is the second time in the fund's 60-year history that it will borrow money from the federal government.

In 2004, the state got a loan to cover one month of expenses.

Get the latest headlines sent to your inbox!
View Comments (
)
|
Email
|
Print
Leave Comments
Bay Area Proud
Bay Area Proud is NBC Bay... Read more
Follow Us
Sign up to receive news and updates that matter to you.
Send Us Your Story Tips
Check Out