LANSING – State Representative Bob Constan (D-Dearborn) today announced that his plan to ensure Michigan's displaced workers receive proper benefits from the Unemployment Insurance Agency (UIA) was signed into law by the Governor.
"With Michigan's economy struggling to get back on track, many of our residents are out of work and struggling to make ends meet," Constan said "Thousands of hard-working Michigan families are worrying about how they're going to be able to put food on the table, pay their mortgages and keep their heads above water. In these tough times it is imperative that we ensure that they get the support they deserve."
Constan's plan revises the circumstances under which confidential unemployment insurance information can be disclosed to ensure that the State of Michigan continues to receive federal funds for the UIA. The plan also works together with the American Recovery and Reinvestment Act to waive the interest charged to employers who have a negative balance in their UIA account through December 2010.
Oftentimes, when states have very high unemployment rates for many consecutive months, employers become what are known as "negative balance employers." These are businesses whose unemployed workers are currently drawing more unemployment benefits than the amount that was paid into the system on their behalf.
"Working families are the backbone of our state, and we need to stand up for them during rocky times," Constan said. "This plan does just that. I'm proud that my colleagues in the House and Senate joined me in reaching across the aisle to put our residents' best interests first."