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Michigan Small Businesses Strongly Oppose Increasing Unemployment Insurance Benefits

Michigan Small Businesses Strongly Oppose Increasing Unemployment Insurance Benefits

December 5, 2024

Michigan News

NFIB State Director Testifies Before Senate Committee – Expresses Disappointment at Swift Passage Through the Senate

LANSING, Mich. (Dec. 5, 2024) – NFIB Michigan State Director Amanda Fisher testified today before the Michigan Senate Labor Committee to oppose the Senate Bill 40 and House Bill 5827, legislation that would increase the duration of unemployment insurance benefits from 20 to 26 weeks and increase the weekly benefit from $362 to $614 over three years and indexing to inflation thereafter. Senate Bill 40 passed the Michigan Senate just hours later.

According to an NFIB member ballot, when asked if the time period to collect benefits should be increased, 86% of NFIB members responded “NO.” When asked should Michigan increase the current weekly maximum unemployment insurance benefit of $362 per week, 78% of NFIB members said “NO.”

“We are disappointed that the Senate chose to ram through such significant policy affecting small businesses so quickly,” said Amanda Fisher, NFIB Michigan State Director. “It is always important to remember that the Unemployment Insurance (UI) program is 100% employer funded.  And because of actions taken in 2011, including limiting duration of benefits, the UI Trust Fund was able to weather the pandemic, but was decimated in the process.  Increasing benefits adds extra pressure to a system that has not yet recovered and would make weathering another economic downturn difficult.

Small businesses want to make sure that those Michigan employees who have lost their jobs through no fault of their own are able to receive unemployment insurance,” Fisher continued. “But when many small businesses are struggling to find workers, any policy that could lead to tax increases falls flat.”

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