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PA Chamber Statement on Final Passage of Unemployment Compensation Legislation

HARRISBURG – Pennsylvania Chamber of Business and Industry Senior Vice President of Government Affairs Alex Halper today issued the following statement after the Pennsylvania House of Representatives passed House Bill 274, sending the bipartisan unemployment compensation (UC) reform package to the governor’s desk.

“House Bill 274 is compromise legislation that includes priorities from various stakeholders. Like in any compromise, there was give and take, but this legislation will improve Pennsylvania’s unemployment compensation system overall,” Halper said. “The bill strengthens safeguards against abuse, fixes a costly technical error, and provides added relief for employers facing higher UC taxes through no fault of their own.

“At the same time, we remain concerned about the delay of the updated benefit formula now pushed to 2029. That reform is intended to improve fairness and reduce long-term strain on the UC Trust Fund, which remains below federal solvency benchmarks even as Pennsylvania employers pay among the highest UC taxes in the nation.

“We appreciate the bipartisan work of lawmakers in both chambers, particularly Senate Labor and Industry Committee Chair Devlin Robinson and members of the House, to advance legislation that improves how the UC system operates while keeping a focus on the system’s financial health.”

Background

House Bill 274 incorporates legislation introduced by Sen. Michelle Brooks, R-Crawford, to address “ghosting,” when claimants skip interviews or ignore job offers while continuing to receive benefits. Employers have raised concerns about this practice for years, and the bill clarifies that claimants who discourage their own employment are not eligible for UC benefits.

House Bill 274 also includes several other provisions supported by the PA Chamber:

  • Strengthens requirements for individuals previously deemed ineligible to demonstrate a clear connection to the workforce before reapplying for benefits.
  • Corrects a technical error that would have expanded eligibility and increased system costs.
  • Expands situations in which employers are automatically granted relief from charges, helping avoid UC tax increases.

PA Chamber Statement on Senate Passage of Unemployment Compensation Legislation

HARRISBURG – Pennsylvania Chamber of Business and Industry Senior Vice President of Government Affairs Alex Halper today issued the following statement after the Senate amended and passed House Bill 274, a package of reforms to the state’s unemployment compensation (UC) system.

“This bill takes several important steps to improve the unemployment compensation system. It strengthens protections against claimants who avoid pursuing employment, fixes a technical flaw that would have driven up system costs, and helps employers avoid tax increases when former employees qualify for benefits.

“At the same time, we are concerned about the delay of the updated benefit formula set for 2026, which was designed to make benefits fairer and ease long-term pressure on the UC Trust Fund. As discussions continue, we urge lawmakers to focus on the system’s financial stability, which remains below federal solvency benchmarks even as Pennsylvania employers pay among the highest UC taxes in the country.”

“We appreciate the work of Senate Republicans, and especially Labor and Industry Committee Chair Devlin Robinson, to move this bipartisan unemployment compensation legislation that includes several PA Chamber priorities to improve how the system is run.”

Background

H.B. 274 incorporates legislation introduced by Senator Michelle Brooks (R-Crawford) to address “ghosting,” in which claimants skip interviews or ignore job offers to keep receiving benefits. Employers have raised concerns about this for years, and the bill confirms that claimants who discourage their own employment are not eligible.

H.B. 274 includes several other provisions supported by the PA Chamber:

  • Strengthens requirements for individuals who were recently deemed ineligible to show a clear tie to the workforce before reapplying for benefits
  • Corrects a technical error that would have expanded eligibility and increased system costs.
  • Adds new situations where employers are automatically granted relief from charges, helping them avoid UC tax hikes.

PA Chamber: House Bill to Pay Striking Workers Threatens PA’s Competitiveness

HARRISBURG – Pennsylvania Chamber of Business and Industry President and CEO Luke Bernstein today issued the following statement after the Pennsylvania House of Representatives voted to advance House Bill 145:

“State lawmakers should be focused on policies that strengthen our economy, not ones that make us less competitive. House Bill 145, which passed the state house earlier this week, rewrites 90 years of legal precedent by extending unemployment benefits to individuals who voluntarily go on strike — a move that is unsustainable, extreme, and quite frankly, unamerican.

“Even in states like California and Connecticut, Democratic governors recently vetoed similar bills because of the damage they would do to their economies and the strain they would place on unemployment systems. Pennsylvania employers already pay some of the highest unemployment taxes in the country, more than 50 percent above the national average. H.B. 145 would drive those costs higher, tilt the playing field during labor disputes, and drain a trust fund that is already below federal solvency standards.

“The Senate should reject this legislation and continue working toward policies that attract investment, create jobs, and keep Pennsylvania competitive.”