As an employer, you’ve no doubt spent countless hours working on your unemployment insurance taxes and other calculations, figuring out affordable solutions while still balancing the needs of your workforce.

For businesses in Missouri, that could all change shortly. A new bill that has gained momentum takes aim at the length of unemployment insurance benefits payments, and it has been met with mixed reactions from local politicians, employers and workers. For some, the legislation is anti-employee, for others, it will alleviate the financial burden placed on the companies that provide the funds for Missouri’s unemployment insurance.

Bill ties benefits to unemployment rate
At the moment, Missouri residents can receive unemployment insurance benefits for a maximum of 20 weeks, The Associated Press reported. Now, the new legislation would only allow that to continue if the state’s unemployment rate remained above 9 percent. Instead, the length of payments would decrease in conjunction with the rate, with a floor in place of 13 weeks as long as the jobless rate remains below 6 percent.

This bill has support from a number of politicians, including Missouri Rep. Jay Barnes. He stated that the need for benefits goes down as the economy improves, and that those payments should decrease as well, according to The AP.

The goal of the legislation is to remove some of the fiscal burden placed on employers. Fewer benefits paid out will equal lower taxes, helping bolster the state’s unemployment trust fund. The change could also prevent future fiscal problems from occurring as well.

Potential problems remain for bill
Even with support, this new Missouri bill may still encounter problems before it is passed into law. According to the St. Louis Business Journal, Gov. Jay Nixon still hasn’t made his intentions clear about whether or not he will veto the legislation.

In fact, a recent vote in the state’s House did not pass, falling short of the required two-thirds majority, the media outlet reported. However, a number of local politicians and businesses have expressed support for the measure, including many Republicans and groups such as the Missouri Chamber of Commerce and Industry.

Over the past several months, Missouri’s unemployment rate has remained between 6.3 percent and 6.7 percent, according to recent data from the U.S. Bureau of Labor Statistics. If the bill passes, that would drastically cut the amount of time out-of-work residents have to collect benefits.

At Corporate Cost Control, we work closely with employers across the country to better manage the nuances of unemployment insurance. Legislation changes on the state level could impact you today, and we welcome any questions or concerns you may have on a wide range of topics.


Contact CCC to see how we can save your organization time and money.
Contact our Sales Team
(800) 207-6926

Featured Videos

View All Videos

Latest News

Close

Sales

    Your Name:*

    Title:

    Company Name:*

    Company Address:

    Company City:

    Company State:

    Company Zip:

    Number of Employees:

    Your Email:*

    Phone Number:*

    Fax Number:

    Check the boxes below if you wish to receive information on any of the following:

    Unemployment Cost ControlTax Credits & Incentives (WOTC)Employment / Wage Verification

    Your Message:

    Employment & Income Verfication

      Your Name:*

      Title:

      Company Name:*

      Company Address:

      Company City:

      Company State:

      Company Zip:

      Number of Employees:

      Your Email:*

      Phone Number:*

      Fax Number:

      Your Message: