Proposed unemployment law changes

The $787 billion federal stimulus plan includes $7 billion for incentive payments to states that enact or have in place unemployment laws that provide extra benefits for some workers who lose their jobs. Missouri's share is $133.2 million, but some political and business leaders have raised objections because of the long-term costs to businesses to continue the laws after the recession.

One-third of the money, or $44.4 million, is set aside to fund changes in the way the state calculates unemployment benefits. Under current law, a person making an initial application for unemployment today would receive a check based on their wages from Oct. 1, 2007, to Sept. 30, 2008. The change would alter that "base period" to cover the period from Jan. 1 to Dec. 31, 2008.

To receive the rest of the money, Missouri would have to change the base period and enact two of the four following changes:

• No disqualification for seeking part-time work. Under current law, a person who has been working part time is eligible for benefits if they have sufficient earnings. But to draw unemployment compensation, they must look for a full-time job and be available for work at any time. The change would allow a job search for a replacement part-time job.
• No disqualification for employees who leave a job for a compelling family reason, including domestic violence, illness or disability of an immediate family member or the need to accompany a spouse to a new location because of a change in the spouse's employment.
• Continue weekly unemployment compensation for people enrolled in an approved training program preparing the worker for entry into a "high demand" occupation. Current law allows the payment of regular benefits for up to 26 weeks for people enrolled in approved training, but many training programs last a year or longer. The law change would allow up to a year of total benefits while in approved training.
• Increased benefits for people with dependents. This change would add $15 per week per dependent, with a limit of not less than $50 or 50 percent of the weekly benefit amount, whichever is less.