Tagged: unemployment

Governor Rick Snyder signed major changes to employer paid benefits into law yesterday.

The changes will limit how much an injured worker can be compensated based on how much an insurance company thinks that worker could make at another job, among other things.

The new law will also make it more difficult for a person to collect jobless benefits.

Governor Snyder signed big changes to employer paid benefits into law this afternoon. One limits how much injured workers can be compensated (basing their pay on how much an injured worker could potentially make at another job), and another limits a person's ability to collect unemployment payments.

More from the Associated Press:

The bills would further limit the ability of a person who was fired for cause or who may have left a job voluntarily from collecting jobless benefits.

They would require some unemployed workers to take jobs after 10 weeks of benefits even if the jobs are outside the unemployed worker's previous experience or pay lower wages.

The measures also would push injured workers to seek some type of employment once they're able.

Democrats say the new laws could unfairly keep hurt or jobless workers from getting benefits. Republicans say they'll cut down on fraud.

Michigan Radio's Rick Pluta reports:

The measures will also allow Michigan to sell bonds to repay unemployment loans to the federal government. Snyder says those loans cost taxpayers almost $40 million in interest this year, and businesses $137 million in penalties.

“By doing this financing we can essentially get out of the penalties and we can lower our interest costs and be successful and give our employers a better path to create jobs, which I want to emphasize is the real point behind this,” said Snyder.

Michigan's unemployment rate fell by eight-tenths of a percentage point last month to 9.8 percent. This is the first time since November of 2008 that Michigan's jobless rate has dropped below 10 percent. The national November unemployment rate is 8.6 percent.

The jobless rate fell by eight-tenths of a percentage point in November. That’s a sharp drop and much of it was due to new hiring. But retail was the only sector to show significant growth from month to month and much of the decline is also due to about 19,000 fewer people in the workforce competing for available jobs. All told, there are still about 457,000 people in Michigan without jobs and looking for work.

At 9.8 percent, the state’s unemployment rate is still above the national rate.

When people who have quit looking are counted, along with part-time workers who’d like to be full-time, Michigan’s rate of unemployment and under-employment is 18.8 percent. 

The Grand Rapids economy grew faster than predicted this year and economic forecasters say growth will continue into 2012.

George Erickcek is an economist at the Upjohn Institute for employment research. He says the Grand Rapids economy did grow in 2011, but only by two-percent. (His full presentation is linked here.)

“There’s been no talk of a double dip for many, many months. But the growth…is disappointing. It’s not the growth we want,” Erickcek told a group of business leaders assembled Wednesday.

He says a recovering auto industry and gains in advanced manufacturing are the main reasons Grand Rapids’ economy has grown.

In fact, Erickcek says Grand Rapids is technically over the recession in terms of employment numbers.

Michigan Congressman Sander Levin says Congress should cancel its winter recess if members can’t reach a deal to extend unemployment benefits.

Right now, the federal government supplements state unemployment programs to offer assistance for the long-term unemployed--up to 53 weeks of emergency benefits since the country slid into recession in 2008.

But those benefits will lapse January 1 if Congress doesn’t act this month.

In wake of petition drive, emergency manager law being revamped

Lawmakers say they're trying to avoid "chaos" by retooling the state's emergency manager law (Public Act 4). A petition drive could put the question of whether or not to keep the EM law in front of voters next November. If petition drive organizers are successful, the law could be suspended until that vote takes place.

More from the Detroit Free Press:

State Treasurer Andy Dillon told the Free Press he has encouraged legislative leaders to rewrite the law. The alternative, he said, is "a pretty confused situation" if the law is suspended. State Rep. Fred Durhal, D-Detroit, said passing a new law to counter a voter repeal effort would be "a slap in the face to the Legislature and to the people." If the law is suspended, Gov. Rick Snyder said he believes Michigan would revert to a weaker emergency manager law from 1990, but there's no guarantee the courts will see it his way.

Detroit Mayor Bing reports progress with unions

Detroit could be the next city in line for a takeover by a state-appointed emergency manager. Detroit leaders say they're working on the city's financial problems to avoid a takeover. In a radio interview this morning, Mayor Bing said progress is being made with the city's unions.

From the Detroit News:

In an interview with WWJ-AM (950), Bing said he's asking the city's unions for reduced wages and reform to pension, health care and work rules because "that's where we can get the most flexibility and savings." "Yes, we're making progress," Bing told WWJ's Vickie Thomas around 7:30 a.m. "I think the unions understand at this point that they've got to be part of the solution." The expected number of citywide layoffs — about 1,000 — hasn't changed since Bing gave a televised address to the city last month. He doesn't know which departments the city will hit first, but public safety will be last on the chopping block.

Protesters tell Congressman to extend unemployment benefits

Michigan Radio's Steve Carmody reported on about three dozen picketers outside of Michigan Congressman Mike Rogers Lansing office:

They were there to draw attention to a deadline looming at the end of the month. 66,000 Michiganders may lose their unemployment benefits in January if an extension is not passed.   

Protester Ronnie Rosner says this is a bad time to let unemployment benefits to expire.  

“When the price of food…gas   and other necessities are going up …when people can not afford to buy goods and services…our whole economy suffers," says Rosner.   

Congressman Rogers’ office issued a written statement …expressing support for extending unemployment benefits.   But he says… as important…is the need for policies promoting economic growth.

Union members and others picketed outside the offices of Michigan’s Republican congressmen today to protest the lack of a deal to extend unemployment benefits.

About three dozen protesters waved signs at honking motorists outside Congressman Mike Rogers Lansing office. They were there to draw attention to a deadline looming at the end of the month.

Sixty-six thousand Michiganders may lose their unemployment benefits in January if an extension is not passed

Extension of unemployment benefits

Congress might debate whether to extend unemployment benefits this week. It's a decision that could impact tens of thousands of Michigan residents.

From the Detroit Free Press:

Unless Congress acts to continue extended unemployment benefits, it could be a grim holiday season for nearly 160,000 Michiganders.

An end to the extended benefits would immediately impact 61,000 state residents who are getting this federal aid after exhausting their 26 weeks of state-funded assistance.

Another 98,743 people who are receiving state benefits would no longer get additional help if they are still jobless after 26 weeks.

Experts worry about future of U.S. battery manufacturing

Some experts worry about the longevity of battery manufacturing in the U.S. In Michigan, battery manufacturing is seen as a new economy in the state. The companies have enjoyed investments from private and government entities. But can this type of green manufacturing compete? The Wall Street Journal reports on the current state of some battery manufacturers:

So far, the results have been disappointing. Some high-profile battery makers have stumbled, burdened by high manufacturing costs, strong competition from Asian rivals and a slower-than-expected rollout of electric vehicles. Now the companies are responding by cutting costs, scaling back production and trying to tap other markets, such as large-scale storage for the electricity grid.

State plans to consolidate office space for workers

State officials are hoping to save money by moving workers out of leased offices and into state-owned buildings. According to the Detroit Free Press:

In the last 10 years, the state has shed close to 20% of its workers, but hasn't made similar reductions in its office space. What's more, use of laptops, cell phones and other mobile technology means far fewer state employees need their own office space.

The paper reports leases cost the state around $90 million a year.