A few weeks ago, unemployment hit the record low of 26% drop. This has translated to millions of workers getting laid off their respective jobs. The affected industry is not even based on financial services alone – almost any industry today are being hit hard by the economic situation and the end is not in sight yet.

Different companies are still planning to cut not just a few jobs but hundreds of thousands of employees in their work force. The estimate of 26% did not even include the potential impact of unemployment when the big three auto makers in the US will make an aggressive change in their company structuring. If they do complete their restructuring, thousands of workers will be laid off.

There is a reason to be concerned if you are an employee. Businesses around the country are feeling the pinch of the economic problem that some of them will eventually lay off some individuals or will permanently shut down.

You need to be prepared to face this situation. Save as much as you can and try to look for viable alternatives so that you would have a source of income if all else fails.

But looking for an alternative source of income is often challenging. If you start a business, you will never be assured of success since people are also holding on to their money.

Looking for another job is even harder since companies are in fact, trying to cut as many people as possible without jeopardizing their operations.

The Government Help

Fortunately, help is available when you are running out of options. Last November of 2008, President Bush signed the Unemployment Extension Act of 2008.

This decree mandates the extension of unemployment assistance to laid-off individuals not only for seven weeks but for another 13 weeks.

This means you will be assisted for five months by the US government. During that time, you can try to find a good job and will not worry much since the government will be assisting financially.

What You Will Get

Some say that government assistance will help you out during those months so looking a job during that time seemed like an unlikely idea. But remember, you only have five months and the support you will get might not be enough to support you. If you have a family, the support might not really last you a week or two.

Although support per state is different, it is estimated that everyone who will be part of the program will be receiving at least $290 on a weekly basis. That amount is never enough and will never be able to pay for most of your bills.

The amount given will continue for 20 weeks but during that time, you will need to find a job. The amount of $1,200 a month cannot really help you out even if you are single and do not need to support anyone.

Getting Qualified

This program by the government is offered to those who were terminated because the company closed or for any reason not their own. In gist, you have to show to the government that you were terminated because the company is unable to retain your services because of financial troubles.

This could be easily proven and the company, especially the small business, will be more than enough to help you prove to the government that you need assistance.

Tips to Remember:

• Apply for government assistance on the first day you are terminated from your job. It usually takes two to three weeks before the first check to arrive so be sure to apply early. 
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• The weekly benefits might not be as much as you expect especially if you already have freelance work or a part time job.