Wednesday, February 16, 2011

Proposal to Freeze Unemployment Insurance Rate Passes Unanimously

House Republicans voted today in favor of freezing the current Unemployment Insurance rate.

An Act Relative to Unemployment Insurance Rates was drafted in response to the already large financial burdens that are placed on the states small business market.

Any increase to the unemployment insurance rate would, on average, increase businesses unemployment payments $228 per employee. However, even with the rate freeze in place, the Commonwealth’s unemployment costs are close to two times the national average.

Republican members were particularly concerned that the state’s already volatile small business climate, could not weather another hit to their payrolls.

The legislation is now before the Governor for his review and he has indicated he will sign it.