unemployment compensation

noun

: compensation paid at regular intervals (as by a government agency) to an unemployed worker and especially one who has been laid off

called also unemployment benefit

Examples of unemployment compensation in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
At the same time, however, Thursday's decision could open the door to large numbers of religious groups, some of them employing tens of thousands of people, fleeing and weakening the unemployment compensation system, which at one time was mandatory in Wisconsin and other states. Nina Totenberg, NPR, 5 June 2025 Unemployment payments for millionaires: Federal funds cannot be used for unemployment compensation benefits for millionaires. Aliss Higham, MSNBC Newsweek, 3 July 2025 And when an independent contractor leaves, for whatever reason, there is generally no severance or unemployment compensation payable. Kelly Phillips Erb, Forbes.com, 6 June 2025 Initial claims for unemployment compensation unexpectedly increased last week as angst over the jobs market accelerates, the Labor Department reported Thursday. Sean Conlon,pia Singh, CNBC, 4 June 2025 See All Example Sentences for unemployment compensation

Word History

First Known Use

1935, in the meaning defined above

Time Traveler
The first known use of unemployment compensation was in 1935

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Cite this Entry

“Unemployment compensation.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/unemployment%20compensation. Accessed 24 Jul. 2025.

Legal Definition

unemployment compensation

noun
un·​em·​ploy·​ment compensation
: compensation paid at regular intervals (as by a state agency) to an unemployed worker and especially one who has been laid off

called also unemployment benefit

Note: Unemployment compensation is usually a fixed percentage of the former wages of an unemployed worker.

More from Merriam-Webster on unemployment compensation

Last Updated: - Updated example sentences
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