Several legislations were passed by the Michigan Legislature this week. Many of these legislations held provisions that will make deeper cuts to the state’s unemployment insurance system, if signed into law by Governor Rick Snyder. The state’s unemployment insurance system has already seen changes earlier in the year, when lawmakers passed new legislations that limited the maximum benefits people could receive. These new changes will have a profound impact on how benefits are calculated for residents and will change who is eligible to receive these benefits.
The legislations aim to bring stability to the insurance system by simplifying the eligibility requirements. To accomplish this, lawmakers have changed the definition of leaving employment voluntarily. According to the legislation, if an employee misses three days of work consecutively, they will be considered as vacating their position, making them ineligible for unemployment benefits. Businesses that pay at least 120% into the state’s weekly unemployment benefits premium will only be required to provide 10 weeks’ worth of benefits for former employees.
Supporters of the legislations claim that the changes will create a more favorable business environment and help companies create more jobs. Opponents, however, argue that the changes infringe upon the benefits of consumers and create a hostile financial environment for those that have lost their jobs. The legislations have not yet been signed into law, but Governor Rick Snyder is expected to back the legislations next week.
