State Rep. Matthew Bierlein on Tuesday voted against a plan that doubles down on big government solutions by drastically increasing the amount of time people can stay on welfare before returning to work.
“These benefits are critical for helping people get back on their feet and giving them a vital lifeline between jobs, but this legislation goes way too far to create an incentive for people to stay on unemployment instead of finding a new position,” said Bierlein, of Vassar. “The current maximum time allowed is ample, and there are unintended consequences associated with extending it. This plan doesn’t respect taxpayers and hardworking small business owners who pay into the unemployment benefits system and expect that money to be used responsibly.”
Senate Bill 40 extends the maximum number of benefit weeks a claimant can receive to 26, up from the current maximum of 20. The plan also increases the maximum weekly benefit amount from the current $362 to $614 by 2027.
Bierlein noted the increases will put greater strain on the UIA’s Trust Fund, which will lead to more chance of insolvency and required federal borrowing which took years to pay off the last time the state was forced to borrow. Fraud has also long been a concern with unemployment claims in Michigan – notably during government-ordered COVID shutdowns that idled livelihoods – and Bierlein said added benefits will increase the likelihood that UIA seems more fraudulent claims that drain funds and take benefits away from people who need them most.
“I speak with many business owners across our region who are looking for people to fill jobs,” Bierlein said. “If there isn’t a system in place that encourages self-sustainability and ultimately returning to work, those jobs will go unfilled and we won’t reach our economic potential both locally and as a state.
“Unemployment wasn’t intended to be a career path. These benefits are intended to be a bridge between work, and this proposal moves us farther away from that and more towards reliance on government.”
SB 40 will soon head to the governor for review.
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