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Covid-19: CT Unemployment Claims Spike As Small Businesses Are Hit Hard By Outbreak

As layoffs, particularly among small businesses, have started amid the novel coronavirus (COVID-19) outbreak, the economic impact is being felt in states around the region and across the nation.

The Connecticut Department of Labor website.

The Connecticut Department of Labor website.

Photo Credit: CT Department of Labor

Connecticut unemployment claims have been unprecedented, hitting 30,000 since Friday, March 13, about a four-fold increase.

Less than a month ago, when Connecticut had a 3.7 percent unemployment rate, the state labor department was getting about 3,000 new jobless claims a week.

After New York state’s unemployment benefits website repeatedly crashed over the last several days, a system of filing alphabetically by the first letter of last names launched. 

It was outlined on the Department of Labor's Facebook page, where there have been numerous complaints posted by those having trouble accessing the main website.

"The system is overwhelmed and keeps crashing," one comment posted on Tuesday, March 17 stated. "I read that over 3x the amount of people were trying to apply for benefits yesterday as had the previous Monday."

The Labor Department acknowledged the issues.

"We experienced a massive increase in the volume of Unemployment Insurance claims, which slowed down the server," the department posted. "It continues to be addressed but now appears to be operational. Please be aware that everyone who is entitled to NYS UI benefits will receive them in a timely manner. Thank you."

New York State is waiving the seven-day waiting period for unemployment insurance benefits for people who are out of work due to COVID-19 closures or quarantines.

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