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 Marsha Chartrand

Michigan House votes to expand unemployment benefits to 26 weeks. GOP fumes.

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Michigan House votes along partisan lines to extend unemployment benefit eligibility from 20 to 26 weeks. Photo credit: Shutterstock.

by Lauren Gibbons (Bridge Michigan)

LANSING 鈥 Eligibility for unemployment benefits in Michigan would be expanded from 20 to 26 weeks under legislation that cleared the state House Wednesday over objections from Republicans and business groups.

The Democratic-majority House voted 56-54聽to approve the legislation, which would permanently reverse a 2011 law signed by then-Republican Gov. Rick Snyder that cut unemployment insurance eligibility to 20 weeks.

The legislation, which now heads to the Senate for additional consideration, would align Michigan with the majority of states that offer at least 26 weeks of unemployment benefits. Only 13, including Michigan, currently offer fewer weeks.

During the height of the COVID-19 pandemic, Democratic Gov. Gretchen Whitmer approved a temporary expansion of benefits to workers subject to mass layoffs, but the state’s Unemployment Insurance Agency subsequently came under fire after failing to stop a deluge of fraudulent claims.

Supporters argue that restoring up to 26 weeks of benefits for jobless Michiganders wouldn鈥檛 impact most people who file claims but is 鈥渘ecessary鈥 for those in need.

鈥淲e鈥檙e just taking it back and just bringing back something that needed to be there in the first place,鈥 said sponsoring Rep. Karen Whitsett, a Detroit Democrat.

Whitsett House-passed legislation does not raise the current maximum weekly unemployment payment of $362, but she said she also interested in increasing that amount in the future: 鈥淢y dream number is $600 (a week).鈥

Should the legislation pass the Senate and get signed into law by Whitmer, it wouldn鈥檛 take effect until January 2025. It unclear how much the legislation would cost, according to a聽House Fiscal Agency analysis.

Legislative Republicans and business groups panned the bill as an overreach that would negatively impact employers who pay into the state Unemployment Insurance Trust Fund.

Rep. Ken Borton, R-Gaylord, argued it shouldn鈥檛 take Michigan residents six months to find a job.

鈥淭here are jobs out there, so I鈥檓 not sure why this change is in any way needed,鈥 Borton said in a statement. 鈥淵ou could drive down the main street of any Michigan town and see at least a handful of help-wanted signs.鈥

Amanda Fisher, Michigan state director of the National Federation of Independent Business, called the legislation a 鈥渟lap in the face鈥 to small business owners navigating worker shortages and a difficult economic climate.

“Instead of passing legislation that could raise taxes on small businesses, the legislative majorities should focus on UIA oversight,鈥 Fisher said.

Other leading business groups聽wrote lawmakers this week聽urging them to reject the bill, including the Michigan Chamber of Commerce, Grand Rapids Chamber of Commerce and the Detroit Regional Chamber.

Republicans have called for additional oversight of Michigan Unemployment Insurance Agency following missteps during the pandemic. A third-party audit estimated that from March 2020 through September 2021 cumulative UIA errors cost the state an estimated聽$8.5 billion.

UIA Director Julia Dale, who took over the agency in 2021, said this spring that the agency has made significant improvements. The UIA has moved away from 鈥渜uick fixes鈥 and is instead 鈥渄riving toward lasting change鈥 through technology and personnel improvements, Dale聽told lawmakers in April.

This article is being republished through a syndication agreement with聽Bridge Michigan. Bridge Michigan聽is Michigan largest nonprofit news service and one of the nation leading and largest nonprofit civic news providers. Their coverage is nonpartisan, fact-based, and data-driven. Find them online at聽.

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