Labor and Public Employees Committee

JOINT FAVORABLE REPORT

Bill No.:

HB-5369

Title:

AN ACT CONCERNING AN ADJUSTMENT TO THE METHOD FOR DETERMINING THE MAXIMUM WEEKLY UNEMPLOYMENT BENEFIT RATE.

Vote Date:

3/10/2016

Vote Action:

Joint Favorable Substitute

PH Date:

3/3/2016

File No.:

SPONSORS OF BILL:

Labor and Public Employees Committee

REASONS FOR BILL:

To set the wage that workers in the state are calculated by the Connecticut Quarterly Census of Employment and Wages or other accurate wage reporting methods by the Connecticut Department of Labor in paying out unemployment benefits.

***Substitute Language (LCO #2826):

Bases the maximum unemployment benefit on 50%, rather than the 60%, of the statewide average.

RESPONSE FROM ADMINISTRATION/AGENCY:

Scott D. Jackson, Commissioner, Connecticut Department of Labor: Supports this bill as it proposes to calculate the maximum weekly benefit rates by using the Connecticut Quarterly Census which would be a much more accurate way to determine the mean wage in the State and provide more consistency in determining Unemployment Benefits.

NATURE AND SOURCES OF SUPPORT:

None Offered

NATURE AND SOURCES OF OPPOSITION:

Eric W. Gjede, Assistant Counsel, Connecticut Business and Industry Association: Opposes this bill as the desire for unemployment benefits being paid to reflect annual wages, should consider basing unemployment benefits on an employee's annual salary rather than the two highest wage quarters.

MetroHartford Alliance: Opposes this bill as in their view, this legislation would harm the state's employers' ability to compete and succeed and should be rejected by anyone committed to creating jobs in Connecticut.

Lori J Pelletier, President, Connecticut AFL-CIO: Opposes this bill unless it is a way to increase and not decrease the benefits for unemployed workers.

Reported by: Joshua F. Quintana

Date: 3/23/16