After the California Employment Development Department made an announcement that federal benefits for as many as 400,000 unemployed Californians could end on December 29, California’s unemployment dropped in October as more Californians looked for — and found — work.

According to newly-released numbers, California’s unemployment dropped to 10.1% in October after 45,800 jobs were added to payrolls.

Loree Levy, an official at the California Employment Development Department, said when the federal extension of unemployment benefits expires at the end of the year, “that means no matter what kind of balance anyone has left on any kind of federal extension claim, no further payments can be made after the week ending December 29.”

Though long-term unemployment benefits may be needed for those who are disabled or have unusual circumstances, these numbers show that many on extended unemployment often turn down part-time jobs or work they may not think pays enough so long as they can rely on federal benefits, which can be a disincentive to look for immediate work.