Name: Tennessee lawmakers considering bill that would slash unemployment benefits in half
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Tennessee lawmakers considering bill that would slash unemployment benefits in half

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Tennessee lawmakers considering bill that would slash unemployment benefits in halfTennessee State Capitol (File image FOX 17 News Nashville)Tennessee lawmakers are considering a bill that would cut unemployment benefits by more than half. It reduces the number of weeks someone can receive benefits from 26 to 12 weeks.If enacted, the bill would make Tennessee’s unemployment benefits program among the weakest in the country.Read MoreTennessee already has the fourth lowest payout in the nation for unemployment benefits. The most someone can qualify for is $275 per week.Twelve weeks is the shortest claim period on record. Only Florida and North Carolina use the 12 week system right now.The bill would allow people to collect more benefits depending on the state of the economy. If the average unemployment rate goes above 5.5 percent, an additional week of benefits would be given out. If the state’s unemployment rate exceeds 9 percent, people could receive a maximum of 20 weeks of benefits.“I mean this is some real Ebenezer Scrooge type of stuff here,” Sen. Jeff Yarbro said.The democratic senator tells FOX 17 News this is a move in the wrong direction. Many people depend on each week of unemployment to make ends meet.Those extra 14 weeks Could mean the difference between losing your home, your apartment, feeding your family, having to move,” Yarbro said. “To punish the people who are unemployed in this way just doesn’t make any sense.”The representative behind the bill says it’s intended to help the economy.Tennessee is struggling to keep money in its unemployment trust fund. Businesses pay into the fund to sustain it.Reducing the number of weeks helps keep that fund healthy.“So that the people can rely on a sustainable trust fund- because if you can’t trust it to be there- it’s not really a trust fund, so we’re looking at improving its solvency,” Republican Rep. Kevin Vaughan said.FOX 17 News asked Vaughan what his response is to people depending on the full 26 weeks to survive.“It’s not meant to become a lifestyle sustainer, it’s not meant to be a deterrent for people going back to the work force, its meant to serve a bridge for those needs that period of time,” Vaughan said. “So we have adjustments to make so it’s there for more people for a longer period for making it more solvent.”Senator Yarbro agrees that changes are needed to the unemployment trust, but wants to find a different solution that doesn’t burden the unemployed.“We went into this recession without enough dollars in that trust fund because we haven’t been doing the work at the legislative level, it’s not because we’ve been too generous in our benefits,” Yarbro said.A fiscal report on this bill says it would affect about 65 thousand Tennesseans. It also says this bill could reduce revenue to businesses because its less money for unemployed people to spent.Representative Vaughn says he disagrees with that. He says it would help businesses by not requiring them to pay more into the unemployment trust.If enacted, it would begin in July 2023.The bill is an amendment to this bill, more information can be found on the amendment page and the fiscal note &nbsp;

Tennessee lawmakers considering bill that would slash unemployment benefits in halfTennessee State Capitol (File image FOX 17 News Nashville)Tennessee lawmakers are considering a bill that would cut unemployment benefits by more than half. It reduces the number of weeks someone can receive benefits from 26 to 12 weeks.If enacted, the bill would make Tennessee’s unemployment benefits program among the weakest in the country.Read MoreTennessee already has the fourth lowest payout in the nation for unemployment benefits. The most someone can qualify for is $275 per week.Twelve weeks is the...

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Tennessee lawmakers considering bill that would slash unemployment benefits in half

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