UNEMPLOYMENT BENEFITS FOR MILITARY SPOUSES

House Bill 6426 (Substitute H-1)

Sponsor:  Rep. Gino Polidori

House Bill 6427 without amendment

Sponsor:  Rep. Fred Miller

Committee:  Labor

Complete to12-3-08

A SUMMARY OF HOUSE BILLS 6426 AND 6427 AS REPORTED FROM COMMITTEE

In general, a person who leaves a job voluntarily without good cause attributable to the employer is ineligible to receive unemployment insurance benefits. 

House Bill 6427 would amend the Michigan Employment Security Act (MCL 421.29) to provide an exception for a person who leaves a job because his or her spouse has been reassigned by the military to a different geographic location.  A person quitting a job under these circumstances would not be disqualified from drawing unemployment benefits.  The reassigned spouse would have to be a full-time member of the United States Armed Forces.

House Bill 6426 (Substitute H-1) would amend the Michigan Employment Security Act (MCL 421.20) to specify that unemployment benefits paid to a relocating military spouse would be charged to the nonchargeable benefits account rather than the person's employer for benefit years beginning afterMarch 30, 2009.   

Tie-bar.  As introduced, House Bill 6426 was tie-barred to Senate Bill 130.  As reported, it is tie-barred to House Bill 6427, described above.  (Senate Bill 130 and House Bill 6427 have identical content.) 

(The nonchargeable benefits account is used to pay the costs of unemployment benefits that are not charged directly against any particular employer’s account and benefits charged against employers that go out of business.  Paying the benefits from this account would not increase an employer's experience rating.) 

FISCAL IMPACT:

The bills would have no significant fiscal impact on the state or local units of government.  It is estimated that there would be few eligible claimants under the bill. 

POSITIONS:

           

Quality of Life RegionalLiaison, United States Department of Defense, provided a written statement indicating support of the bills.  (9-23-08)

The Department of Labor and Economic Growth is neutral on the bills.  (9-23-08)

The Department of Military and Veterans Affairs supports House Bill 6427 and is neutral on House Bill 6426.  (9-23-08) 

            The American Legion indicated support the bills.  (9-23-08)

The Commanders Group, a group of 11 chartered veterans organizations, indicated support of the bills.  (9-23-08)

The Marine Corps League indicated support of the bills (9-23-08) 

The Military Order of the Purple Heart indicated support of the bills.  (9-23-08)

 

                                                                                           Legislative Analyst:   Shannan Kane

                                                                                                   Fiscal Analyst:   Mark Wolf

■ This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.