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Pentagon spends nearly $1B a year on unemployment

WASHINGTON – Even as it faces budget cuts and forced employee furloughs, the Pentagon is spending nearly a $1 billion a year on a program that sends unemployment checks to former troops who left the military voluntarily.

Unemployment Compensation for Ex-Servicemembers, a Labor Department program, is a spinoff of the federal-state unemployment insurance program. The Labor Department says the overall program is meant to help “eligible workers who are unemployed through no fault of their own” such as during layoffs.

But eligibility for the military compensation requires only that a person served in uniform and was honorably discharged. In other words, anyone who joins the military and serves for several years, then decides not to re-enlist, is potentially eligible for what could amount to more than 90 weeks of unemployment checks.

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