At a news conference last week, PA Chamber Senior Vice President of Government Affairs Alex Halper voiced the business community’s support for a package of bills that aim to make Pennsylvania’s Unemployment Compensation (UC) Trust Fund solvent faster and cut taxes on workers and employers.

The legislation – which is being sponsored by House Labor and Industry Committee Republican Chairman Seth Grove, R-York, and Reps. Barb Gleim, R-Cumberland, and Aaron Bernstein, R-Butler/Lawrence – would achieve these goals in several ways:

• Incentivize unemployed workers to return to work by tying the maximum benefit duration to the state’s unemployment rate so that when unemployment is low, claimants would not be allowed to extend their claims unnecessarily, but the duration of benefits would grow as the unemployment rate increases;
• Adjust the benefits paid to seasonal workers to align them with those paid to workers who work year-round and are laid off;
• Require claimants to report other types of benefits that typically indicate they are not able to work, such as workers’ compensation and public and private disability benefits;
• Tighten guidelines for existing UC requirements by requiring certain disqualified claimants to demonstrate a stronger attachment to the workforce before they can requalify for benefits; and
• Clarify that when a claimant voluntarily quits employment, to receive UC benefits, the quit was due to a ‘necessitous and compelling’ cause.

“Unemployment Compensation is a critical safety net for Pennsylvanians who unfortunately have lost their job through no fault of their own as they actively seek new employment,” Halper said. “Despite significant taxes on the business community, Pennsylvania’s UC system is insolvent and expected to be depleted in the event of a recession. The program also lacks safeguards to ensure resources are directed to those for whom the program is intended. We applaud Chairman Grove for advancing this package of UC improvements to help ensure both the financial stability and integrity of this essential program.”