UNEMPLOYMENT; ACTIVELY SEEKING WORK S.B. 812:
SUMMARY OF BILL
REPORTED FROM COMMITTEE
Senate Bill 812 (as reported without amendment)
Committee: Economic and Small Business Development
CONTENT
The bill would amend the Michigan Employment Security Act to specify what an individual would have to do to be "actively engaged in seeking work" for the purpose of receiving benefits under the Act.
The Act specifies that an unemployed individual is eligible to receive benefits with respect to any week only if the Unemployment Insurance Agency (UIA) finds, among other things, that the individual has registered for work and is actively engaged in seeking work.
Under the bill, beginning on its effective date, to be actively engaged in seeking work, an individual would have to conduct a systematic and sustained search for work in each week the individual was claiming benefits and would have to report to the UIA the details of the work search at least once every two weeks or, if the UIA prescribed a shorter reporting period, the reporting period prescribed by the UIA.
An individual could conduct a systematic and sustained search for work by doing any of the activities listed in the bill.
MCL 421.28 Legislative Analyst: Drew Krogulecki
FISCAL IMPACT
The bill would have a negative fiscal impact on the UIA in the form of increased administrative costs and would have no fiscal impact on local units of government. The increased reporting requirement for unemployment insurance claimants would require additional staff and increased information technology costs. The UIA administration currently is supported with Federal revenue, penalties and interest, and State restricted revenue. It is indeterminate whether the additional administrative costs would be covered within current appropriations and revenue. The UIA has spent less in recent fiscal years than has been appropriated to it in the budget.
The bill likely would not increase the cost for programs that assist claimants engaged in work-seeking activities.
Date Completed: 3-10-20 Fiscal Analyst: Cory Savino
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.