Signed by Governor Rick Snyder

Vote Smart's Synopsis:

Vote to pass a bill that reduces the maximum number of benefit weeks for unemployment compensation from 26 weeks to 20 weeks, and amends various statutes related to unemployment compensation.

Highlights:

• Reduces the maximum number of benefit weeks of unemployment compensation from 26 weeks to 20 weeks, beginning January 15, 2012 (Sec. 27).

• Increases the chargeable benefits component of an employer's contribution rate from the percentage determined by dividing the total amount of benefits charged to the employer within 60 consecutive months by the amount of wages paid by the employer within the same period, to the following amounts (Sec. 19):
• For calendar year 2012, the percentage determined by dividing the total amount of benefits charged to the employer within 48 consecutive months by the amount of wages paid by the employer within the same period; and
• For each calendar year beginning after January 1, 2013, the percentage determined by dividing the total amount of benefits charged to the employer within 36 consecutive months by the amount of wages paid by the employer within the same period.

• Prohibits a recipient from denying a work placement as "unsuitable" for either of the following reasons if the individual has received benefits for at least 50 percent of the benefit weeks in the recipient's benefit year, effective January 15, 2012 (Sec. 29):
• The work is outside of the recipient's training or experience; or
• The work is unsuitable with regard to pay, provided that the pay rate for that work meets or exceeds the minimum wage, is at least the prevailing mean wage for similar work in that locality, and is 120 percent or more of the individual's weekly unemployment benefit amount.

• Prohibits an individual from receiving unemployment benefits if he or she (Sec. 29):
• Failed to apply "diligently" for available suitable work after receiving notice from the unemployment agency of the availability of that work, or failed to apply for work with employers that could reasonably be expected to have suitable work available; or
• Committed an act of theft from the employer that resulted in the employee's conviction within 2 years of the date the employee was discharged from employment.

• Requires each recipient of unemployment benefits to conduct a "systematic and sustained" search for work every week, and to report the details of the work search to the unemployment agency as follows, beginning on January 1, 2013 (Sec. 28):
• The recipient must report the name and location of every employer from which work was sought each month by:
• Entering the information into the unemployment agency's online reporting system;
• Submitting a written report to the unemployment agency by mail or fax; or
• Appearing in person at an agency office.

• Authorizes the unemployment agency to randomly audit any work search conducted by any recipient of unemployment benefits (Sec. 28).

• Specifies that any individual who receives unemployment benefits in excess of $3,500 as a result of a false statement or willful failure to disclose information is guilty of a felony, whereas existing law specified an amount of $25,000 (Sec. 61).

Full Bill Text