New York State raised the maximum weekly unemployment insurance benefit to $869 on Monday, the first increase since 2019. Before this increase, the maximum amount was $504 per week.
New York Labor Commissioner Roberta Reardon and Governor Kathy Hochul announced the change Wednesday morning. Although the new rate went into effect Monday, New Yorkers will begin to see the increase reflected in their unemployment checks next week. With an increase of more than 72%, this is the largest increase in the state’s benefit limit in the history.
“This change will make a real difference for families across the state,” Reardon said at a news conference last week. “It will provide more money for basic needs. Unemployed New Yorkers who receive unemployment insurance will now have hundreds of extra dollars each week to pay for rent, food or transportation.”
The increase will benefit more than half of the state’s unemployed. More than a quarter of those receiving unemployment insurance will hit the new high, while another quarter will see their payments increase.
In a press release Wednesday, Hochul noted that the increase is especially relevant in light of the partial federal government shutdown, which has withheld paychecks for hundreds of thousands of federal workers across the country, 115,000 of them in New York.
“The agenda of Donald Trump and Washington Republicans directly attacks working New Yorkers, with trade wars driving up prices, and now their decision to shut down the federal government has left thousands of New Yorkers unemployed and without support,” Hochul said. “This is in contrast to everything we do here in New York.”
After six years without maximum increases, the state can now increase the maximum benefit after repaying its $7 billion federal loan to the Unemployment Insurance Trust Fund earlier this year. According to Reardon, the refund restored the fund’s solvency, allowing the maximum weekly benefit to be increased.
Reardon added that restoring the fund’s solvency will eliminate federal surcharges tied to the loan for businesses across the state.
“This is an important step in making New York more affordable, and I am proud that under Governor Hochul’s leadership, the state is strengthening our safety net for unemployed workers,” Reardon said.
The increase represents a victory for unions in the approved Fiscal Year 2026 State Budget. In June, Hochul celebrated the increase alongside members of the Hotel and Gaming Trades Council.
“These are really difficult times for our people, and when we can do something like this, we send a message that we care deeply about all the difficulties they are going through, especially the high cost of living,” Hochul said in June.
In addition to the increase in the maximum benefit, the legislation passed in Albany offers unionized workers greater financial leeway in contract negotiations, reducing the wait for benefits for striking workers from three to two weeks.
The previous maximum benefit of $504 per week had lagged behind the rising cost of living, especially in New York City, and the housing shortage. With the increase, the state seeks to alleviate the financial burden of unemployed New Yorkers, a priority issue for state and local officials.
New Yorkers receiving unemployment insurance can visit the Department of Labor’s calculator to determine if they are eligible for the new rates.
