I just read an article on The Indy Channel website about the new Jobless Bill recently passed in the Indiana legislature and signed by Gov. Mitch Daniels. In the new bill, businesses tax rate on their unemployment costs will increase, while the benefits received by the unemployed won’t be reduced at all.
The example shared in the article really highlights the issue in my mind:
Commonwealth Engineers on the south side is typical of how the impact will be felt. The company employs 56 people and, until last year, had rarely laid off anyone. But when eight employees were laid off, it put the company in a higher unemployment tax bracket.
The combination of that and the new higher rates will cause the company’s bill for unemployment insurance to rise from $20,000 a year to $35,000 this year and almost $40,000 next year.
The point that’s not made clear in the article is how ridiculous the unemployment system is already. I understand the need to help people out in a tight situation, but we can’t make it easier and more comfortable to just look for a job instead of taking a job that’s available, but pays less than they’re pulling in on their unemployment check.
The other thing that really irritates me is when people are working various jobs under the table AND still collecting their unemployment check, continuing to drain the unemployment funds that businesses have been paying into in both the best and the worst of times.
Read the article, "Business Leaders ‘Outraged’ Over Jobless Bill" and share your own thoughts in the comments.