Legislation that could reduce Tennessee’s unemployment time frame while increasing payments $50 a week has started moving in the state Senate, despite complaints it would put families in dire straits.
Sen. Jon Lundberg, who took over the bill from Sen. Art Swann, passed an amended Senate Bill 1042 through the Republican-dominated Senate Commerce and Labor Committee on a 7-1 vote. Swann, who previously said he disagreed with cutting the time frame, voted against it.
The legislation would reduce the time for unemployment benefits to a minimum of 12 weeks when the jobless rate is 5.5%. Each time the unemployment rate climbs a half percent, the time frame would increase one week up to 9% at 20 weeks.
Under current law, unemployed Tennesseans can draw a maximum benefit of $275 weekly for up to 26 weeks. But Lundberg’s bill would increase the benefit by a maximum of $50 a week and a minimum of $25 a week, meaning a person could draw up to $325 a week. Initially, the bill would have added only $5 a week for people out of work.
“It will help people because it puts more money in their pocket right up front,” Lundberg said, pointing out people out of work could draw $200 more a month.