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Indexing Arkansas’s Unemployment Insurance Benefits is the Logical Next Step for the Natural State

Naples, FL­—Arkansas has made key changes to its unemployment program over the past several years under the strong leadership of Governor Asa Hutchinson and the legislature. A new brief published by the Foundation for Government Accountability (FGA) highlights how Arkansas’s unemployment program can become even stronger by indexing unemployment benefits to economic conditions. 

By indexing unemployment benefits to economic conditions, Arkansas’s unemployment trust fund could grow by $300 million, and be one of the most solvent nationwide. Unemployment taxes could be slashed by 40 percent, providing needed relief to small businesses. And those trapped in the program could move back to work nearly three weeks faster on average. 

“Arkansas has made commonsense strides to reform their unemployment system, and as a result, have one of the strongest in the nation,” said FGA Senior Research Fellow Jonathan Bain. “Having a strong, competent system shouldn’t be the end, but the beginning. Arkansas should take the natural next step by indexing unemployment benefits and become a nationwide leader.”

FGA looks forward to Arkansas and its leaders continuing to build the state into a national economic leader.


The Foundation for Government Accountability (FGA) is a non-profit, multi-state think tank that promotes public policy solutions to create opportunities for every American to experience the American Dream. To learn more, visit

At FGA, we don’t just talk about changing policy—we make it happen.

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