House Republicans may cut unemployment benefits

To stymie the War on Christmas, the legislature’s Republicans wanted to stage Charles Dickens’s “A Christmas Carol.” Trouble was, every Republican in the General Assembly wanted to play Scrooge. Then someone in the GOP-run House had an idea:

We can all play Scrooge by passing a pre-Christmas bill to freeze unemployment benefits and hammer down the maximum number of benefit weeks. If that doesn't put lumps of coal in thousands of stockings, nothing can.

And that’s what Ohio’s House may do this week, by passing House Bill 620. According to Policy Matters Ohio, the bill “would reduce the maximum number of weeks of benefits from the current 26 to a sliding scale based on the monthly statewide unemployment rate” – if HB 620 were now the law, 20 weeks.

HB 620 would also freeze benefit amounts well into the next decade. Currently, according to the Legislative Service Commission, the maximum weekly benefit for a jobless Ohioan without dependents is $435; for someone with one or two dependents, the maximum’s $527 – or $587, with three or more dependents.

The bill would set the weekly maximum benefit amount at a projected $450, plus up to $8 more for dependents, while abolishing the other tiers. (In fairness: The LSC said the bill, unlike current law, would let all claimants with dependents receive a dependents’ amount, though the LSC said it’s unclear if that change would offset losing the other tiers.)

The bill, sponsored by Rep. Kirk Schuring, a Canton Republican, aims to assure the solvency of Ohio’s unemployment compensation fund by boosting the unemployment tax Ohio employers pay, and limiting benefits.

But the deal’s not 50-50. According to the LSC, from 2017 to 2030, assuming a moderate recession, the bill would boost employer contributions by 4.4 percent – but cut benefits by 19.5 percent. If that’s “balance,” the General Assembly is using a funny dictionary.

Also odd is the political calculations Republicans seem to use in backing HB 620. In October, Ohio’s statewide unemployment rate (seasonally adjusted) was 4.9 percent. But it was worse in many counties that (a) traditionally send Republicans to the General Assembly and (b) supported Donald Trump.

Usually, a Statehouse caucus aims to protect its friends – depending on how it defines “friend.” For instance, if an Ohio legislator considers business lobbyists “friends,” GOP support for HB 620 makes perfect sense. But if you define a “friend” as someone back in your district who voted to send you to Columbus, then HB 620 may be a tough sell when House Republicans go home for Christmas.

In October, Ohio’s not-seasonally-adjusted jobless rate was 4.6 percent; on an apples-to-apples basis, 46 of the 88 counties had higher unemployment rates. Of the 46, Republicans represent many in Columbus, and Trump carried 40 of them last month.

For instance, among the Top Ten counties in October’s county unemployment rankings was Pike (Waverly), which cast 66 percent of its vote for Trump and whose jobless rate was 6.9 percent. Pike is one of the counties in the 91st House District, which is represented in Columbus by House Speaker Clifford Rosenberger, a Clarksville Republican.

Of course, a state legislator has to decide things based not only on his or her district but also on statewide needs. Still, before Nov. 8, few if any Ohio voters could know that legislators – after the election – might act to make life tougher for out of work Ohioans. That’s exactly why lame-duck legislative sessions are so bad for Ohio taxpayers – and so good for the Statehouse’s grasping lobbies.

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