House
and Senate Republican Lawmakers Decry Inaction on Unemployment Insurance Rate
Freeze
Impending
April Increase to Cost Small Businesses Hundreds of Millions of Dollars
BOSTON - With a drastic increase to the Massachusetts unemployment insurance rate taking effect during the first quarter, House and Senate Republican lawmakers have filed legislation to freeze the unemployment insurance rate at its current level. The move comes after continued inaction from the Democratic-led Legislature to act on preventing an increase to the unemployment insurance rate paid by thousands of small businesses across the Commonwealth.
Led
by House Minority Leader Bradley H. Jones, Jr. (R-North Reading) and Senate
Minority Leader Bruce E. Tarr (R-Gloucester), Republican lawmakers are
attempting to prevent a $500 million exposure to businesses, should Democratic
legislators fail to act on legislation protecting hardworking entrepreneurs
across Massachusetts.
“By
leveraging the freeze of our state’s unemployment rate as a means to obtain
their desired minimum wage level, Democratic lawmakers have signaled their
willingness to use the Commonwealth’s small businesses as a pawn in their
political game,” said State Representative Brad Jones. “At this time, it is an
extreme disservice to businesses throughout the Commonwealth to not consider
this proposal separately based on its merit. A freeze of the unemployment
insurance rate is imperative for both our state’s workforce and entrepreneurs.
If not approved immediately, this increase will have a negative impact on our
economy.”
The
effort to prevent an increase to the state’s unemployment insurance rate comes
six months after Republican legislators were successful in advocating for the
repeal of the crippling technology tax which was approved by Democratic
lawmakers. As was the case with the largest and broadest tax on computer and
software services in the nation, an increase of 33% to the rate incurred by
small businesses in regards to unemployment insurance will have a long-lasting
and negative effect on the businesses that are the backbone of the
Massachusetts economy.
“Freezing
unemployment insurance rates is critical to the viability and sustainability of
employers and jobs in our state, and if we don’t act now we will be risking
serious damage to our economy,” said Senator Bruce Tarr. “The House and
Senate may well continue to be divided over issues like the minimum wage, but
there can be no doubt that we should act immediately on behalf of the
commonsense a freeze represents.”
Having
been filed in both the House and Senate, House Docket 4163, An Act Relative to
the Unemployment Insurance Rate, awaits assignment to a legislative committee.
