Mississippi’s Economic Recovery Largely Resulted from Governor Reeves’s Leadership
- BY FGA
Naples, FL—An FGA report found that Mississippi Governor Tate Reeves’s leadership jumpstarted the Magnolia State’s economic comeback by ending the federal unemployment bonus and expanded benefits before their expiration date.
The report explains that in early 2021 Mississippi was experiencing a labor shortage despite 80,000 Mississippians still collecting welfare benefits. Small businesses struggled to stay afloat and taxpayers were on the hook for as much $37.9 million in unemployment costs.
FGA researchers even found that at this time, those collecting the federal unemployment bonus and expanded welfare benefits were collecting more from government benefits than Mississippi’s median wage. On May 10, 2021, Governor Reeves recommitted Mississippians to work and their economy by announcing an end to the federal unemployment bonus and expansion in the state.
Following this announcement FGA findings show that Mississippi businesses hired 72,000 new workers in June 2021, more than any other month in state history. Since June, businesses have filled more than 300,000 open jobs and reduced unemployment spending by 97 percent.
“Governor Reeves’s decision to end the unemployment bonus and expanded welfare benefits early led to Mississippi’s largest hiring spree ever and an almost immediate start towards economic recovery,” said Jonathan Bain, Senior Research Fellow at FGA. “His decision to be one of the first states to end these government benefits early set the stage for other states to follow suit and for Congress to finally end the expansions nationwide.”
Governor Reeves’s strong leadership jumpstarted Mississippi’s economic recovery and dropped unemployment spending tremendously.
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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 TheFGA.org.
