The program needed about compulsory unemployment insurance in the United States was evident when the Depression of the 1930s. Until then, few companies have adopted voluntary unemployment insurance plans, and even less capital funds was strong to face the pressure of long duration. Some unions have tried the issue by creating their own coffers address. The benefits, although, were small and of limited duration. The first state to establish an unemployment insurance has been in Wisconsin in 1932.
The basic of unemployment insurance has been the federal Social Security Act 1935, which insured a Federal-State cooperation in the workers with partial compensation for lost wages be determined by the involuntary unemployment (see Social Security). The program was financed by payroll taxes. According to the Social Security Act, the Federal share of these fees cover the costs for administering the unemployment insurance and employment service programs, involvement of the state can be used by way of costs. Each state sets its own rules and is responsible for administering the program. State laws are for the eligibility of benefits will benefit amount also some weeks where they are paid.
Originally, eligible workers to wait 2-4 weeks before the performance that could be made for a maximum period of 20 weeks. Since the range is limited to certain areas is just 1/2 of the workers are entitled to advantages if they were released. Changes in legislation and administrative practices have changed their original properties. Many states require no waiting time before benefits begin at all can, and do not wait more than a week. Since 1970, the extension of benefits for a period of not more than 39 weeks will automatically take effect when the unemployment rate increase above a certain value. The emergency laws in times of recession spreads more than, say, during the recession of 1981-82, some people were able to get the benefits for a maximum period of 55 weeks. States through the provision of services a growing proportion of employees entitled to more liberalized than about 20 weeks of benefits at all times.During 1976, coverage of the program is such that the laid-off workers in all industries for benefits when they last meet the requirements of the state.