Lawmakers are again considering a plan to slash the maximum number of weeks Missourians can claim jobless benefits to one of the lowest in the nation.
Five months after the Missouri Supreme Court found a 2015 version of the change unconstitutional, a House panel heard testimony last Tuesday about the latest proposal to shorten the length of time laid off workers could receive benefits from 20 weeks to 13 weeks if the jobless rate is below 6 percent.
The current unemployment rate in Missouri is 4.7 percent.
Rep. Scott Fitzpatrick, RShell Knob, told members of the committee that the plan would not only benefit the state during a tight budget year, but it also could help businesses by shoring up the state’s unemployment insurance trust fund.
The measure, which would go into effect in late August, has the support of business groups, including the National Federation of Independent Business and the Missouri Chamber of Commerce and Industry.
Chamber spokeswoman Tracy King said the change is needed because the state has had to borrow from the federal government to cover claims, leaving businesses to pay millions in interest on the borrowed funds.
Labor groups opposed the change, saying the shorter duration for benefits could force some laid off workers onto welfare.
The measure is among a handful of high-profile pro-business initiatives launched this session by the Republican majorities in the House and Senate. The House already has approved a proposed right-to-work law that would bar unions and employers from requiring all workers in a bargaining unit to pay dues or fees.
Former Gov. Jay Nixon, a Democrat, vetoed the unemployment benefits measure in 2015, saying Missouri was among eight states paying less than the national norm of 26 weeks.
The House and Senate overrode his veto, but the Supreme Court tossed out the law, saying the Senate’s veto override vote came too late.
Under the plan, the maximum number of weeks will rise if the unemployment rate begins creeping above the 6 percent level, topping out at 20 weeks if the jobless rate crests over 9 percent.
The legislation is House Bill 288.