Austerity arrives in GA: Georgia could cut jobless benefits to repay feds

Georgia borrowed $721 million from Washington to help the unemployed survive the lousy economy and now, as the bills come due, it may repay the debt by cutting back on jobless benefits.

The state Labor Department will send a $21.4 million check to Washington this week, the first payment on debt run up since late 2009. Labor Commissioner Mark Butler is weighing a slew of repayment options, but strongly hinted he favors cutting benefits -- both the weekly amount and the number of weeks of eligibility.

“That’s not fair,” said Katrina Cunningham, a laid-off waitress applying for benefits last week at a north Atlanta unemployment office. “People have needs, not wants, and they need the money. They need to survive.”

[link to www.ajc.com]