AIM supports bill limiting weeks of unemployment benefits

April 26th, 2022- This morning AIM testified in favor of House Bill 1860 which was introduced by Rep. J. Eggleston. HB1860 was heard in the Senate Small Business and Industry Committee. This bill would limit the number of weeks of unemployment benefits when the unemployment rate is lower.

This bill changes the unemployment compensation benefits to:

1. Twenty weeks if the Missouri unemployment rate is higher than 9%;

2. Nineteen weeks if the Missouri unemployment rate is higher than 8.5% but no higher than 9%;

3. Eighteen weeks if the Missouri unemployment rate is higher than 8% but no higher than 8.5%;

4. Seventeen weeks if the Missouri unemployment rate is higher than 7.5% but no higher than 8%;

5. Sixteen weeks if the Missouri unemployment rate is higher than 7% but no higher than 7.5%;

6. Fifteen weeks if the Missouri unemployment rate is higher than 6.5% but no higher than 7%;

7. Fourteen weeks if the Missouri unemployment rate is higher than 6% but no higher than 6.5%;

8. Thirteen weeks if the Missouri unemployment rate is higher than 5.5% but no higher than 6%;

9. Twelve weeks if the Missouri unemployment rate is at or below 5.5%;

10. Eleven weeks if the Missouri unemployment rate is higher than 4.5% but no higher than 5%;

11. Ten weeks if the Missouri unemployment rate is higher than 4% but no higher than 4.5%;

12. Nine weeks if the Missouri unemployment rate is higher than 3.5% but no higher than 4%; and

13. Eight weeks if the Missouri unemployment rate is at or below 3.5%.

For the purposes of this schedule, "Missouri unemployment rate" means the statewide unemployment rate as published by the United States Department of Labor, Bureau of Labor Statistics, on the date that the worker applies for such benefits.

"Employers have many jobs available and cannot get people to take them, many of whom keep checking the boxes so they may continue unemployment benefits until they ate exhausted," said Ray McCarty, president and CEO of Associated Industries of Missouri. "Shortening the period may help push some to find and keep a job."

The bill has a delayed effective date of January 1, 2023.