Unemployment Benefits Now Capped, Even If Inflation Rises

Under a new law, West Virginia’s maximum unemployment benefit rate will no longer adjust as inflation rises. Also, unemployed residents must prove they’re seeking a job at least four times a week to receive benefits.

A controversial new law will soon limit how much money residents can receive through state unemployment benefits.

Beginning in July, residents can collect a maximum of $622 per week from West Virginia’s unemployment trust fund. That figure cannot be adjusted, even if inflation rates rise like they did in 2022.

Most residents already receive less than the new maximum. On average, the state provides benefit recipients $420 per week, the Associated Press previously reported.

But critics of the new law worry that capping benefit rates could exacerbate hardship in periods of economic downturn, especially among low-income and blue-collar residents.

On March 9 — the last day of the West Virginia Legislature’s 2024 regular session — Del. John Williams, D-Monongalia, expressed as much on the House floor.

“We are hamstringing people who are at the worst time of their lives,” he said. “There’s going to be a mess on our hands in less than 10 years, once inflation takes its toll.”

Inflation rates are down nationally from their peak in 2022. But they still remain above levels before the surge, as well as the target set by the Federal Reserve.

Currently, the state updates its benefit rates annually based on labor data that takes broader economic circumstances into account, like the average weekly wage in West Virginia.

However, that process will be removed under the new law, which passed in the final hours of this year’s regular session.

During the session, proponents of the bill expressed concerns about overspending state unemployment funds. The final bill was pared down from initial, more sweeping drafts of legislation that would have cut benefits far more drastically.

Speaking in favor of an earlier bill also addressing unemployment benefit spending, Sen. Eric Tarr, R-Putnam, said the legislation would help preserve access to unemployment benefits in years to come.

“If we do not do something now to go in and fix this unemployment fund, what’s going to happen is unemployment services will become unavailable in the future,” he said in February. “That’s just a matter of math.”

Gov. Jim Justice declined to veto or sign off on the final bill, allowing it to become law automatically Thursday. As of Friday, he had not explained his decision publicly. 

Opponents of the bill, however, were outspoken about their concerns throughout this year’s legislative session.

In February, Sen. Mike Caputo, D-Marion, said lawmakers backing the bill should have sought more input from labor unions and business owners, especially as layoffs and labor tensions mounted statewide.

Josh Sword, president of the West Virginia AFL-CIO, told West Virginia Public Broadcasting he agreed.

“The best way to get good policy is to bring all impacted parties to the table,” Sword said in February. “That absolutely did not happen.”

Republican lawmakers like Sen. Eric Nelson, R-Kanawha, said they would use the final remaining weeks of the session to clue labor leaders into discussions. But, since its passage, Sword has maintained his disapproval of the law.

Beyond capping benefit rates, the new law also poses additional requirements for benefit recipients. Recipients now must prove they have taken steps to find a job on a weekly basis.

These requirements — and the new maximum rate — will take effect statewide on July 1, alongside the start of a new fiscal year for the state.

Reporter Roundtable Looks Back And Ahead To Final Days Of 2024 Session

On this episode of The Legislature Today, we sit down a day early for our weekly reporter roundtable. Randy Yohe, Emily Rice and our newest reporter Jack Walker discuss some of the legislation that has moved so far this week.

On this episode of The Legislature Today, we sit down a day early for our weekly reporter roundtable. Randy Yohe, Emily Rice and our newest reporter Jack Walker discuss some of the legislation that has moved so far this week.

Also, the Senate Wednesday night passed a bill that would reduce overall unemployment benefits but increase initial benefits, and they approved a bill that would affect transgender people in the state. Briana Heaney has the story.

In the House Thursday, global partnerships and international politics took center stage, along with a continuing legislative effort to address the mental health crisis among the state’s first responders. Randy Yohe has the story.

And, a bill allowing suspended school employees to attend public functions at schools has now passed both education committees. Chris Schulz has more.

Finally, it was Arts Day at the Capitol, a day when artists and organizations gather in the rotunda to spread the word on the variety of arts in West Virginia. Landon Mitchell has the story.

Having trouble viewing the video below? Click here to watch it on YouTube.

The Legislature Today is West Virginia’s only television/radio simulcast devoted to covering the state’s 60-day regular legislative session.

Watch or listen to new episodes Monday through Friday at 6 p.m. on West Virginia Public Broadcasting.

Trades Apprenticeship Day At The Legislature Highlights Career Paths

West Virginia’s working men and women took center stage in the Capitol rotunda Monday. On Trades Apprenticeship Day at the West Virginia Legislature, the old is new again when it comes to learning an occupation.

West Virginia’s working men and women took center stage in the Capitol rotunda Monday.

On Trades Apprenticeship Day at the West Virginia Legislature, the old is new again when it comes to learning an occupation. 

Construction, maintenance, renovation, design, the job themes here update what goes back to the medieval apprentice times of the butcher, baker and candlestick maker. West Virginia is fifth in the nation for apprenticeship programs. George Capel, the government relations director for the West Virginia State Building and Construction Trades, said the “earn while you learn” initiative puts thousands on a direct career path.

“You have a job while you’re in the program, and you’re paid a living wage while you’re receiving your education,” Capel said. “It’s tuition free for the apprentice so there are a lot of great benefits for the apprentices in these programs.”

Capel said he’s concerned with Senate Bill 59, which has been stalled in the House Workforce Development Committee since Valentine’s Day. The measure would cut unemployment benefits from 26 to 12 weeks. Capel noted that many construction jobs are temporary and/or seasonal.

“Folks who are on unemployment are there through no fault of their own, so it’s not just like they’re staying on there for an indefinite amount of time,” Capel said. “You have to have earned wages in West Virginia for the last 18 months to be on those rolls, and it’s important to us because those unemployment benefits get our folks to the times when there is no work, whether that’s the winter months or time between projects, we rely on that.”

These trade folks want to see an equivalency program, similar to what they have in Michigan and some other states. A program where you complete your trade apprenticeship and you earn an associate’s degree.  

Shawn Young from Buckhannon completed a five year electrical apprenticeship, went to work as an electrician and is now a IBEW union organizer. Young said earning that degree from an apprenticeship would open more career doors.

“I work for the union, other people go work for contractors directly, maybe in the office as a project manager, or an estimator,” Young said. “Some of those positions with these big companies require some kind of college education even if it’s not even related. In a related field to have that degree and then be able to continue to pursue higher education afterwards would be a great thing.”

Twelve construction craft unions, all supporting apprenticeships, were represented at the Capitol. 

Senate Passes Bill Changing State’s Unemployment Benefits

Senate Bill 59 makes several changes to the system of unemployment benefits in the state.

Senate Bill 59 makes several changes to the system of unemployment benefits in the state.

Sen. Tom Takubo, R-Kanawha, is the lead sponsor of the bill. He says the bill aims to help target benefits fraud that saw a spike during the COVID-19 pandemic.

“For example, I got contacted that I had filed for unemployment and all these benefits were kicking in. Obviously having been a pulmonary physician during 2020- 2021, it’s the busiest I’ve ever been,” he said. “But it’s outside entities, it’s foreign governments trying to get in, break into our system, computer hackers. So there’s always going to be more fraud. What this does is gives more latitude to us as a workforce development state to be able to defend against those fraudulent activities.”

Takubo also said the bill aims to alleviate the burden of the unemployment tax on the state’s businesses. 

“Everybody thinks of a big corporation when you think of employers but in West Virginia, over 90 percent of the employment is small businesses, and those small businesses are having to pay a very high tax levied to pay for unemployment,” Takubo said.

He said the bill ultimately aims to modernize the state’s unemployment laws to reflect the modern workforce and work environment and try to help more people get back to work.

“What we believe we can use this bill for is to help match jobs that are good jobs for people looking for those, and improve our workforce participation,” Takubo said. “We’re still the worst in the country. Part of that may be that they’re having more difficulty, so this bill will address some of that.”

If passed, the bill would require a job search, with the help of Workforce West Virginia, as a condition of receiving unemployment benefits. If a recipient of unemployment refuses the offer of what the bill calls a “suitable” job, their benefits could be reduced. 

Takubo said the bill isn’t intended to penalize anyone. 

“We’re not trying to pass legislation that guarantees you the perfect job,” he said. “What we are trying to do is get people back into the workforce because we do believe that one job will springboard to the next, to the next to get you to what you feel suitable, and what you enjoy doing for a living.”

The bill also reducess the maximum number of weeks applicants can receive unemployment benefits from 26 weeks to 20.

Sen. Mike Caputo, R-Marion, voiced his opposition to the changes during discussion of the bill on the Senate floor. He drew from his own experience of being on unemployment, and said the changes Senate Bill 59 makes are too harsh on workers.

“When things got a little slow in the mining industry, and myself and my friends got laid off, we wanted to go back to work, we wanted to go back to work desperately, but sometimes things just weren’t available to us,” he said. “There was a time when folks were laid off for years. Sometimes things get extremely tough, and sometimes 26 weeks is not enough. But I’ll tell you what I do know,  I do know that 12 is not enough. And I do know that 20 is not enough when you’re trying to pay the light bill.”

Caputo also questioned why the government had no issue helping corporations, but couldn’t do the same for workers.

“We hand out things to corporations all the time, and I’m supportive of that, because we believe it brings jobs to West Virginia, and we all want people to succeed and have good employment, and we hand it out constantly,” he said. “But when it comes to workers, it seems like it’s a constant beat down. I just don’t get it.” 

Takubo said Senate Bill 59 is just one tool in the state’s toolbox to address workforce issues, and they are always looking for more.

“We’re trying to look at all facets to help as many West Virginians as we possibly can. And so one thing I would say is legislators are all ears,” he said. “What we need is all the help we can get. So anybody out there that has ideas that maybe would help us with this, or any piece of legislation, please let us know.”

The bill will head over to the House of Delegates for consideration.

Bill Allows Unvaccinated W.Va. Workers To Receive Unemployment

West Virginia lawmakers have advanced a proposal that would allow people who leave their jobs because they are denied a religious or medical exemption to the COVID-19 vaccination to receive unemployment benefits.

Republican Sen. Mark Maynard, a sponsor of Senate Bill 576, said Thursday that the legislation was designed with health care workers in mind.

“Our frontline health care workers were required to be in the midst of this battle with COVID in the years 2020 and 2021 without even an option,” he said, speaking on the Senate floor. “When the mandates started rolling in, they had to make a decision,”

A number of West Virginia hospitals have mandated that employees be vaccinated against COVID-19, including two of the largest health care networks: the West Virginia University Health System and Charleston Area Medical Center.

“This piece of legislation merely defends some of those that want to opt out on the vaccination,” Maynard said. “This gives them a little bit of a cushion to figure out what they’re going to do with their life.”

The bill passed the Senate 29-5 and will now be considered by the full House.

Usually, people who quit their jobs aren’t eligible for unemployment, unless they had “good cause” to leave. Maynard said people who are opposed to getting the COVID-19 vaccine for medical or religious reasons should be protected.

Democratic Sen. Stephen Baldwin spoke in support of the bill. He said that when he initially read the legislation, he assumed he would vote against it.

“It seemed just like another politicized COVID bill,” he said.

But as he sat down to read it more thoroughly, Baldwin said he started thinking about it differently.

“I don’t think this bill is about COVID. This bill is about workers’ rights,” he said. “What this bill does is it protects workers to ensure that they have transitional employment support.”

Just over 53% of West Virginia residents are fully vaccinated, according to data from the West Virginia Department of Health and Human Resources.

Bills On Unemployment Benefits Pass W.Va. Senate

Separate bills that would reduce the maximum amount of unemployment benefits from 26 weeks to 20 weeks and require recipients to actively seek work passed the Republican-led West Virginia Senate on Tuesday.

It took two hours of debate to cover both bills. Legislation addressing the benefits period passed on a 20-14 vote.

“It moves West Virginia forward,” said Morgan County Republican Sen. Charles Trump. “It will not, as some of the hyperbole has suggested, cause the sky to fall.”

According to the nonpartisan Center on Budget and Policy Priorities, West Virginia would join nine other states that provide fewer than 26 weeks of unemployment benefits.

“What evidence is there that it’s going to work?” said Sen. Mike Romano, a Harrison County Democrat. “Unemployment saves folks from being on welfare.”

The amount of allowable weeks for the benefits would be tied to the state’s unemployment rate, which currently is 3.7%, the lowest on record. If the unemployment rate is below 5.5%, the maximum duration of benefits would be 12 weeks. It would increase an additional week for each half-percentage point increase in the unemployment rate to a maximum of 20 weeks.

Senators noted that the average length of unemployment benefits currently being paid is six weeks. The maximum weekly benefit is $424.

Some senators said it will reduce the burden on businesses that have to pay unemployment taxes. About 8,000 people in a state of 1.8 million residents currently collect unemployment benefits, while there are tens of thousands more job openings.

“That unemployment tax is an inhibitor to business in West Virginia,” said Kanawha County Republican Tom Takubo. “If we can do what’s intended, which is to help people that lose their job while at the same time lowering that tax down, then we’re going to create more jobs. We don’t want to hurt anybody but at the same time we’ve got to be competitive.”

Democrats warned that the reduction would cause West Virginia to further lose residents who will look for work elsewhere. West Virginia already lost a higher percentage of its residents than any other state in the nation over the past decade. From 2010 to 2020, the population dropped 3.2%, a loss of about 59,000 people.

Democrats Mike Caputo of Marion County and Owens Brown of Ohio County, who opposed the bill, said most other senators have never experienced the unemployment lines.

Caputo said he was 11 in 1968 when his father cried at the kitchen table after being laid off and that unemployment benefits “kept us alive, kept us going” until his father could find a job in the coal mines.

Caputo said he, too, got laid off from the coal mines, was out of work for more than six months and had to cancel plans to buy his first house

“Have you ever experienced that?” Caputo asked other senators “It’s not fun. When your neighbor gets laid off, that’s sad. But when you get laid off, it’s a crisis. It’s an absolute crisis. This is kicking a man when he’s down. This is a race to the bottom. This is not good for West Virginia.”

Brown said he’s been in the unemployment line many times, including when he was laid off as a steelworker.

He said West Virginians without college degrees will find it tougher to land a new job.

“We seem to have an attitude a bit more punitive toward the unemployed, like it’s their fault that they’re unemployed,” Brown said. “I want you to get out there and try to find a job in 12 weeks.”

Opponents also pointed out that a lack of transportation and available child-care options are burdens to looking for work.

The other bill, which would require four specific jobs search activities a week for those receiving unemployment benefits, passed on a 23-11 vote. Among the activities are registering with job sites, applying for training and taking a civil service exam. Those who fail to comply would be ineligible for benefits.

Residents would be allowed to work a part-time job while receiving full unemployment benefits.

Both bills now goes to the House of Delegates.

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