Pentagon spends USD 1 billion on military unemployment

Pentagon spends USD 1 billion on military unemployment

The Pentagon has spent nearly USD 1 billion last year in unemployment benefits for former troops who voluntarily quit despite the country’s budget cuts.

The US Labor Department has spent USD 928 million in 2012 for the Unemployment Compensation for Ex-servicemembers (UCX) program, an initiative that allocates what could potentially amount to more than 90 weeks of unemployment checks for each voluntarily emancipated military member who has served several years in service.

Experts criticize the UCX for paying honorably discharged military personnel because the law stipulated that “workers who are unemployed through no fault of their own”, such as during layoffs, are eligible to receive benefits.

“A lot say, ‘Hey, I joined the Army or Marines so I could get out of working at McDonald’s,’” said Samuel Wright, a former lawyer in the Navy, while describing the difficulty that military personnel face in finding jobs.

Program requirements require former military personnel to follow the same state requirements as civilians when applying for benefits, while requiring them to actively search for employment.

Military members who have experienced combat have a particularly difficult time finding jobs while “re-acclimating” to society, said the Center for a New American Security, adding that unemployment benefits “could be funding the acclimation period for veterans – some veterans may be declining employment opportunities or choosing not to seek employment”.

Nearly 120,000 people filed first-time claims for money in the military program in 2012, compared with 71,000 in 2008 – with more than 515,000 receiving compensation since 2008.

The unemployment rate for 9/11 war veterans remains at 9.4 percent, compared with 7.7 percent for all Americans.