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Friday, January 6, 2012

The changes will cut unemployment benefits in 2012

Usually, January is the month when the resolutions come forward, and people from all walks of life make the changes they deem necessary to achieve their goals.

True, the beginning of a new year is the symbol of a clean slate to shape a new reality with the fabric of our daily lives.

Many Americans are starting the new year with a renewed focus on fitness, while others attempt to get their finances in order. While some of us chasing the American dream of property, taking advantage of low interest rates near record, others simply try to find a suitable job.

A recent bill signed by the Governor of Michigan, Rick Snyder's threat to cut unemployment benefits for unemployed people who have been unsuccessfully looking for work for more than 10 weeks.

On the one hand, this new law allows employers to save on unemployment insurance and the Michigan workers' compensation.

On the other hand, the law (signed by Snyder in December 2011) will force more than 400,000 unemployed to take low-paying jobs (after 10 weeks of benefits), regardless of the amount of income or type of work you were before you became unemployed. Couple that with the fact that the previous laws have reduced the time a citizen of unemployment are eligible for unemployment benefits 26-20 weeks (from this month), and it is quite easy to see why Michigan is one of only three States that have lost population from the publication of the 2010 census. The others are Rhode Island and Maine.

In 2011, the number of unemployed in Michigan fell by more than 51 600 applications (-1.1 percent). Although this may seem like progress, probably a factor leading to the decrease in jobless claims may be the fact that the population of Michigan was down last year too.

Unemployment not only help people without a job, these benefits are the main source of income for workers injured on the job. The new law complicates the efforts of workers injured party to seek the rehabilitation work. In fact, this new law informs injured workers heal in 10 weeks or more.

In defense of the new law, Governor Snyder said: "This is to encourage people to work. This is not to have them back."

Anyway, back to the period of time before the unemployment exists is not encouraging.

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