LANSING – As part of their continuing effort to help Michigan workers who are struggling in the global economic crisis, Genesee County lawmakers today passed a plan to extend unemployment benefits for workers who take advantage of retraining or vocational programs to pursue good-paying jobs available now in high-demand fields. Michigan's unemployment rate is currently 12.6 percent, the highest in the nation.
"Too many Michigan workers have lost their jobs through no fault of their own, and we will not abandon them in these tough times," said State Representative Richard E. Hammel (D-Mt. Morris Township), who sponsored the plan. "We must stand up for the workers who built the middle class in this country. This plan will get displaced workers back into the workforce with the skills they need to find a job in growing fields like renewable energy, advanced manufacturing and health care."
Under the House plan, unemployed workers who are enrolled in a vocational or skill retraining program qualify for an additional 26 weeks of unemployment benefits. These benefits will be automatically provided to workers who are in a declining industry and enter an approved training program that prepares workers for entry into a high-demand occupation. Under this program, workers will be able to complete their training and have the time they need to move back into the workforce.
"We must prepare our workers for jobs in the emerging industries of the 21st century," said State Representative Lee Gonzales (D-Flint Township), whose plan to provide tax credits for advanced manufacturers brought billions in economic development to the state. "With the recent Chrysler bankruptcy and news that many suppliers are having trouble, we need to be sure that we have our workers' backs. With this plan, we can not only transition our workers into high-tech, good-paying jobs, we can provide businesses with the highly-skilled workforce critical to their success."
The stimulus dollars would cover funding for workers in retraining for at least the next two years. Without this plan, Michigan stands to lose out on more than $138 million in unemployment assistance money as part of the American Recovery and Reinvestment Act. The Bureau of Labor Statistics estimates that in February, Michigan's underemployment rate was 19.1 percent, according to an April 14 article in The Detroit News. This number includes both unemployed and those who are looking for a full-time job and are unable to find work.
"This is a plan that works for workers and businesses," said State Representative Woodrow Stanley (D-Flint). "I urge the Senate to move quickly on this issue, otherwise Michigan is going to be out $138 million in aid that could have helped workers in need. I encourage the Senate to act swiftly and in a bipartisan manner, so that we can do what's right for the people of Genesee County and the state of Michigan."