LANSING, MI – Legislation that would significantly increase weekly unemployment benefits in the state is headed to the governor’s desk.Michigan lawmakers on Tuesday gave final approval to the bill that would increase the maximum unemployment benefits a person could collect from the current $362 a week to $614 a week by 2027, an increase of nearly 70%.The legislation would also restore the maximum number of weeks a person could collect unemployment from the current 20 weeks to 26 weeks, a period that aligns with most states in the U.S.The bill now awaits Gov. Gretchen Whitmer’s signature. It passed the House and Senate largely along party lines, with all Democrats in favor and a few Republicans supporting it as well.Related: Payments to Michigan’s unemployed would increase by 70% under Democrats’ planMichigan’s unemployment benefits haven’t increased since 2003. The increase would not only account for inflation but also bring the benefits in line those offered in neighboring states, said state Rep. Jim Haadsma, D-Battle Creek.“Unemployment benefits are not a permanent solution, but they are a lifeline for people who find themselves out of a job through no fault of their own to get back on their feet,” Haadsma siad. “From the gas pump to the grocery store, families across Michigan are coping with higher costs, but families without a stable income are struggling the most. “It’s not right that hard working folks who lose their jobs through no fault of their own are left to struggle.”The benefit cap increases would be phased in over a three-year period, increasing by $84 every year until 2028, when it would increase again based on inflation. The bill would also increase the maximum dependent cap from the current $6 to $26 over that periodUnemployment benefits come from the state’s Unemployment Trust Fund, which employers pay into. Business leaders have previously expressed concern about the financial burden the increases will put not only on employers but also the fund.State Rep. William Bruck, R-Erie, said Tuesday the bill will result in a “major cost increase” for employers around the state.He said unemployment isn’t meant to be a living wage, and that increasing it removes some incentive for a person to find a new job.“I’m not against individuals making more or getting more money, but when it comes to the unemployment, unemployment is not meant to be a living wage,” Bruck said. “It’s not meant to be an amount that someone can function on and not have to worry about getting another job. It’s there for a purpose. It’s there for a bridge, a short bridge, to get them from job A to job B, and we should not be putting more costs on employers in order for those individuals to get from job A to job B.”Michigan previously let workers collect up to 26 weeks of benefits, but that was cut to the current 20 weeks in 2011 under former Gov. Rick Snyder.
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