Maximum benefits length for unemployment could be almost cut in half by Senate bill

Hoosiers on unemployment insurance could see the maximum length of benefits cut nearly in half under a new proposal heard in a Senate committee.

Supporters of the bill said it would help small businesses find workers, but others raised concerns. Senate Bill 123, authored by Sen. Scott Alexander (R-Muncie), would reduce the current time limit for those on unemployment benefits from 26 weeks to 14 weeks.

Rob Henderson is the executive director of the Indiana State Building and Construction Trades Council. He said his members don’t want to be on unemployment. But he said uncontrollable factors like weather and project delays sometimes result in them needing the program – especially in an economic downturn.

“Our preference would be to remain at the 26 weeks maximum benefit and stay consistent with the majority of the country and surrounding states,” Henderson said.

Applicants could receive an additional two weeks of benefits if they meet certain requirements including enrollment in an approved job training program while making satisfactory progress and actively looking for work.

Henderson said if the bill is passed he would like people employed in the construction industry and enrolled in a training program to qualify for those additional two weeks.

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While concerns for the bill did arise one person believes it could help small businesses attract employees. Natalie Robinson is the state director of the National Federation of Independent Business. According to a report from the NFIB, 35 percent of small business owners were unable to fill open positions in December.

Robinson said the change would continue to help "ignite" Indiana's workforce and emphasize fiscal responsibility.

“We believe that legislation, this legislation represents the necessary and forward thinking adjustments to the Indiana compensation system,” Robinson said.
 

Timoria is our labor and employment reporter. Contact her at tcunningham@wfyi.org.