The bill amends the Michigan Employment Security Act to enhance the unemployment benefits system by establishing clearer eligibility criteria and updating benefit calculations. It specifies that benefits will be payable to unemployed individuals as long as they continue to file claims and remain unemployed, with a maximum weekly benefit rate set to increase from $362.00 to $446.00 in 2025, and further to $614.00 by 2028. The bill also modernizes the definitions of dependents, replacing terms like "husband or wife" with "spouse," and ensures that the number of dependents claimed remains fixed throughout the benefit year. Additionally, it outlines how retirement benefits will affect unemployment compensation, clarifying that if a claimant's retirement benefit equals or exceeds their unemployment benefit rate, they will be ineligible for unemployment benefits.

Furthermore, the bill addresses the treatment of seasonal workers and school crossing guards, stipulating that benefits for seasonal workers are only available during their normal work periods and requiring employers to notify employees of their seasonal status. It also mandates that if an individual is denied benefits due to their seasonal employment status but was not offered reemployment, they are entitled to retroactive benefits. The bill introduces provisions for adjusting benefit amounts based on the Consumer Price Index starting in 2026 and ensures that benefits are not payable to school crossing guards during breaks if they have reasonable assurance of reemployment. Overall, these amendments aim to create a more equitable and responsive unemployment benefits system in Michigan.

Statutes affected:
House Introduced Bill: 421.27