This bill amends the Michigan Employment Security Act to update unemployment benefits, introducing new maximum weekly benefit rates and adjustments for dependents starting January 1, 2025. The maximum benefit rate will increase from $362.00 to $446.00 for claims filed on or after that date, with a gradual increase for dependents leading to a maximum of $614.00 by January 1, 2028. The definition of "dependent" is also modified to use more inclusive language, replacing "husband or wife" with "spouse" and "brother or sister" with "sibling." Additionally, the bill allows individuals receiving partial remuneration to earn up to half of their weekly benefit amount without a reduction in benefits, with a specified reduction for earnings beyond that threshold.

Further amendments focus on the treatment of retirement benefits and child support obligations. The bill clarifies how retirement benefits are assessed based on individual contributions and mandates that unemployment benefits be reduced by any governmental or other pension received. It also requires individuals with child support obligations to disclose this information when filing for unemployment compensation, with the unemployment insurance agency notifying the relevant child support enforcement agency if the individual is eligible for benefits. The bill includes provisions for seasonal workers, specifying that benefits are payable only during normal seasonal work periods and outlining the process for employers to apply for seasonal designation. It also mandates annual adjustments to benefit amounts based on the Consumer Price Index starting in 2026 and emphasizes compliance with federal laws regarding unemployment benefits.

Statutes affected:
House Introduced Bill: 421.27