Unemployed workers in N.J. worry about the future once the $600 extended payments stop – NJ.com

More than 1.3 million New Jersey workers have filed for unemployment in New Jersey since mid-March, when the coronavirus shut down the state.

Thousands of people are still waiting to speak to a representative about their claims so they can get paid, but for those who have received benefits, the extra weekly $600 federal payment has been a lifeline.

A line thats going to be cut at the end of July unless Congress acts.

The Democratic House of Representatives passed a new stimulus bill called the HEROES Act, which would send out new stimulus payments, and, importantly to those out of work, extend the $600 payments through the end of the year.

But President Donald Trump called that legislation dead on arrival, and on Sunday said he would consider not signing any stimulus plan that didnt include a payroll tax cut.

Republicans are expected to introduce their own legislation in the coming days. No specific plans have been announced yet, but some lawmakers and the administration have talked about a round of stimulus payments but not extending the $600 unemployment benefit. Others have talked about a one-time back-to-work payment and a smaller extra unemployment benefit, or no unemployment extension at all, with some calling the extra payments incentive for people not to go back to work.

You can expect things to heat up when Congress returns from its recess this week.

We asked some unemployed New Jerseyans what will happen without the $600 payments.

THE ENTERTAINERS

Howard Fredrics said he lost most of his income when the pandemic hit New Jersey.

His freelance work in the theater and film industries dried up almost completely.

It took eight weeks for him to get unemployment benefits. Like most gig workers, he was paid the minimum $231 base benefit plus the extra $600 every week.

Fredrics, 57, of Park Ridge, said there were times when he earned more than his benefit, and times when he earned less, depending on how different projects stacked up.

Howard Fredrics at work as a sound designer at the off-Broadway revival of Threepenny Opera. Now unemployed because of the pandemic, Fredrics worries about the end of the $600 unemployment benefit.

His wife, Lori Joachim Fredrics, is a professional singer and actress, so her performing career is at a standstill.

She was, prior to the pandemic, also teaching singing lessons, which formed a major portion of her income, but more than 75% of her students dropped out when she was forced to limit her teaching to online lessons only, instead of offering mostly in-person lessons, which can no longer be done safely, Frederics said.

She, too, received the gig worker minimum plus the extra $600, which added up to less than she usually earned, he said.

Without the $600 payments, her unemployment income is just a fraction of her pre-pandemic earnings, Fredrics said.

They will both probably be eligible for higher benefits when the Labor Department is finally able to review each claim individually, but the state hasnt said when that review will begin for tens of thousands of workers.

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The couple lives with and care for Fredrics mother-in-law, who lives on Social Security payments. While they dont have rent or mortgage payments, they pay the household bills.

He said they are current on bills, thanks to the $600 payments, but are one large expenditure away from financial disaster once the payments stop.

If our 30-plus-year-old central AC or 15-plus-year-old water heater goes out, were dead-in-the-water, literally, as between my emphysema and my mother-in-laws very fragile health, we would not survive without a functioning AC unit, he said. Our two cars are at the newest, 19-years old, and one is 28 years old and barely runs. How well pay for new cars when ours die is a huge concern.

Fredrics said people in the theater, film and music industries absolutely need the continued expanded benefits through at least the end of the year, and maybe even longer.

And return-to-work bonuses are impossible for our industry since we simply cannot return to work, at least not anywhere near pre-pandemic levels, he said. If we reopen prematurely to the extent that some other states have done, we risk harm to the public health, which will cost much more in terms of lost productivity than would a continued $600 payment.

THE TRAVEL INDUSTRY

The pandemic was like a tsunami for the travel industry, as hotels emptied, reservations were canceled and few dared to get on a plane.

Carol Piscitelli, the owner of Gemini Travel Agency in Bloomfield, said she saw all her income dry up.

Shes staying afloat on unemployment payments, getting the same $231 minimum paid to gig workers plus the $600 extra payment.

Piscitelli is holding out hope that the travel business will recover and her clients will come back.

I have 2021 confirmed bookings on file, however, any commissions on any of my 2021 bookings will not be distributed till 2021, she said.

So she spends her days trying to help her clients get refunds for trips that were canceled because of the virus.

Carol Piscitelli, the owner of Gemini Travel Agency in Bloomfield, lost her income when the coronavirus pandemic hit. She works daily, unpaid, she says, to help her customers get refunds for canceled travel. Piscitelli worries about paying her bills when the $600 extended unemployment benefit ends.

Piscitelli, 59, owns her home outright but still needs to pay property taxes and household bills.

When the $600 ends I will be living off of $800 a month, she said. I still cannot wrap my head around that amount. It shakes me to the core.

She said she doesnt expect the $600 payments to continue, but she says the government has to do something.

It has to be an amount that can sustain us, she said, noting that people in her industry may not see much income until 2021.

While the state has added another 20 weeks of unemployment benefits for regular unemployment recipients, gig workers and the self-employed will only receive an extra seven weeks.

Seven weeks will do me no good, she said.

I truthfully do not want to rely on the government. I want to work, I love to work, and certainly want to continue to work, she said. Our leaders should have had this to pen and paper already. Its a political game. And this game they play has to do with my life and it angers me.

I have no answers, just frustrations, anger, and heartache, she said.

When the $600 payments stop, Aimee Aiellos income will be cut in half.

The Manahawkin mother of three was furloughed from her job in corporate travel planning on March 23.

The furlough was supposed to end on June 1, but then it was extended until July 31. Thats when shell learn if shes lost her job permanently. If she does get to keep her position, shell have to pay for her own health benefits, the company told employees.

With the extra $600 I am lucky that I was making what my salary was. Once the payment ends in a few weeks, I will take almost a 50% pay cut, said Aiello, 47.

Aimee Aiello with one of her three children in a 2009 photo. She is unemployed and worries about paying the bills when the $600 unemployment payments end at the end of July.

She said shes grateful that her husband is still employed, but even before the pandemic, they always lived paycheck-to-paycheck.

Their mortgage and other bills are up-to-date, but shes not sure whats going to happen when the $600 payments end.

Aiello said shes already spoken to her mortgage company, which is willing to suspend their payments for three months, but then they will have to pay the entire amount back when the three months pass.

They are not willing to even put the amount into the end of the loan, she said. If I dont have it now, how will I have it in three months? Not helpful at all.

She said shes beyond nervous about her future job opportunities because her industry has been decimated.

Aiello says Congress should extend the $600 payments, even if the payments are only continued for those in the hardest-hit industries.

I am so scared for myself and every coworker who has been furloughed or permanently laid off from this industry, she said. We need Congress to acknowledge us and help us get through this pandemic. Our industry will be the last to recover.

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Karin Price Mueller may be reached at KPriceMueller@NJAdvanceMedia.com.