The Commonwealth is best served by a public system of unemployment insurance that will alleviate the economic hardships of the involuntarily unemployed and provide them with the resources to allow a swift transition back into the workforce.  Likewise, the system should stabilize the workforce and reduce the impact of unemployment on the economy.  The system should provide both economic security and incentives to re-enter the workforce as well as equitable treatment to both claimants and employers. 

Business’s unemployment compensation costs are out of line with employers in other states, therefore the Pennsylvania Chamber of Business and Industry supports changes in the law that will bring fairness and equity to the system.  Excessive costs are a major deterrent to job creation and greatly hinder economic growth.

Specifically, the Chamber supports: 

• A system limited to temporary, partial benefits only for those who are unemployed through no fault of their own.  Periodic review and update of benefit schedules and wage base indexes.  Automatic adjustments are opposed.
• An experience rating system that fairly computes employer taxes through increases in the share of experience rating charges.
• The mandatory registration for employment search services by individuals through Pennsylvania’s CareerLink system to ease their transition to work.
• Benefits that are based upon prior earnings and covered employment and reflect replaced wages.
• A UC fund that is reactive to economic and fund balance levels to ensure solvency.