Evening star., 1951-03-07
Unemployment
Payments Drop
|15%Under 1949
Sturt of Korean War
Brings Decrease in
Number Of Claims

Benefit payments by the District
Unemployment Compe n ton
Board during 1850 dropped Is per
cent under the number for 1949.
for a total of 1876, ,002, the boards
annual report disclosed today.
The 1850 checks amounted to
So, ,483 ,406, or IL per cent less than
the 1949 record total of $3,960,758,
according to the figures.
The report said the start of the
Korean war brought about an al
most immediate drop last June in
the number of benefit payments
issued by the board.
Nearly 14,400 different persons
drew initial payments for weeks
of unemployment during the year.
More than $500 were women. In
addition, a large number of pay
ments were made to unemployed
workers who initially filed their
claims during 1949.
46 Millions in Trust Fund.
The Unemployment Trust Fund
amounted at the end of 1850 to
SAG, ,454, ,803, the report showed. 1t
is this fund which receives con-
tributions from District employers,
and from which benefits are paid
to eligible unemployed workers.
The report said the size of this
fund has increased each year
since 1886, with the smallest in
crease since that time recorded in
F1949, when $132,673 was added
This increase was despite the
nearly 81 million benefit disburse-
ment during that year. the heav-
lest in the history of the board.
The board estimated that if
benefits were disbursed at the rate
of 81 million year, the present
fund. plus earned interest, would
finance the disbursement for near
ly IA years without any further
collections.
During 1850, the fund rose from
S45, ,076 696 to SAG, ,454, 1903, of which
1865, ,406 represented earned in
terest.
Net contributions actually re-
ceived by the boards cashier
amounted to $3,810.901.
In 1850, claimants drew bene-
fits for an average of 1872 weeks.
although during the latter part Of
the year it was estimated the
claim duration dropped consider
ably The average benefit check
increased from S17.61 in 1949 to
$17.86 during 1850. This average
was the highest on the boards
records.
The report estimated that the
average weekly wage of covered
employment in the District during
1850 was about $50.
| Nearly 60 per cent of the pay
ments for 1850 were for the maxi
mum benefit rate of $40.
The report included recon-
mendations for a study to de-
termine future amendments nee
essary to the benefit structure Of
the act in order that benefits
might be increased in IAN amount
commensurate with current wages
and the increased cost of living"
Increase Considered.
| c.. A. Wharton, director, said
the thinking has been in terms
of an increase from the present
$40 maximum to $50, with the
present 20-week limit extended
to 26 weeks.
1t is expected that defense build
ing here will offset the effect Of
the freeze on construction which
in some areas will run up the
claim load in the labor field.
Monthly totals for the board
here during 1850 were highest
in March, with 25,843 checks
amounting to $462. .526, and lowest
in December, with 9,463 checks
for S167 ,494. The December fig
ures. the report said. are lowest
monthly totals since 1916.
1t was estimated the number
of persons receiving benefits was
about 6.5 per cent of the total
number of covered workers in the
District.
The only major industrial di-
vision charged with benefits in
excess of contributions due was
that of transportation, communi-
cations and other public utilities.
This division represents II per
cent of the total wages reported
for covered employment in the
District. the report pointed out.