Note from the PA Chamber: This is a follow-up message on the status of House Bill 1481, legislation that would make striking workers eligible for unemployment compensation
On Wednesday, the PA House of Representatives voted 106-97 to extend unemployment compensation (UC) benefits to striking workers. Four Republicans joined with all House Democrats in voting for the bill, which now advances to the state Senate.
Pennsylvania employers already pay some of the highest UC taxes in the entire country to finance one of the nation's more generous unemployment systems. These benefits are meant to help Pennsylvanians who lose their jobs through no fault of their own while they search for other employment; extending them to individuals who voluntarily participate in a work stoppage is wildly inappropriate.
House Bill 1481 would create even higher taxes on employers and unfairly tilt the playing field against them in the event of a labor dispute. Under this bill, an employer's taxes could theoretically be used to subsidize a strike against them.
Only two other states currently pay benefits to striking workers, and California's Democratic governor, Gavin Newsom, recently vetoed similar legislation. Moreover, this bill would create additional strain on the UC system and make Pennsylvania a far less attractive place to do business.
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