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Monday, October 26, 2009

Law stings laid-off workers, employers

Tom Fahey reports in his Under the State House Dome column on higher unemployment claims leading to higher taxes for employers and longer waits for benefits for employees.
Employers will pay higher taxes in 2010 to help sustain the system, and workers will see a one-week delay in their benefits.

Under a change in state law, Gates said, a worker who is furloughed for two weeks will receive a one-week benefit. A worker out of work for 15 weeks will get 14 weeks. A worker furloughed for one week will be out of luck.

With the higher taxes employers will be paying, Gates said, "it was felt that employees ought to participate in some manner in the solution." Cutting benefits would have jeopardized a $25-a-week federal benefit enhancement, he said.

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