The UI Modernization Act made $7 billion in incentive payments available to states to encourage them to reform their UI programs. States could receive one-third of their incentive payment by adopting an alternative base period, which allows workers with shorter, more recent work histories to be eligible for UI benefits. A total of 41 states received their one-third share, including 21 states that responded with legislative changes. States could receive the remaining two-thirds of their incentive payments for adopting two of the following policies designed to expand UI eligibility: allowing workers who were employed part-time previously to continue receiving.
