MONTGOMERY, Ala. (WIAT) — President Trump’s executive order would provide $400 of additional unemployment benefits. $300 of which would come from the federal government and $100 would come from the states. This is less than the $600 people were previously getting.
Alabamians that are still unemployed are only getting state benefits, but for how long?
“As of last week, our funds and unemployment compensation trust fund we’re running pretty low,” Rep. Steve Clouse said.
House Budget Chairman Rep. Steve Clouse says if that pot of money runs out, an option would be to increase business employer tax. But he says that option would further hurt businesses.
“Would certainly have a negative impact to do that, and I’m not sure there’s an appetite in the state of Alabama are probably around the country to raise those taxes on businesses,” Clouse said.
Sen. Linda Coleman-Madison would like to see the $600 weekly unemployment payments kept in place.
“School is starting right now. This is the worst time if anything. If they could, they should try to increase the $600 not cut it,” Coleman-Madison said.
Sen. Coleman-Madison feels the state shouldn’t have to pick up the tab and also questions the legality of the executive order.
“I don’t see where the state of Alabama is going to find that money and be able to maintain it. I really think it’s irresponsible of the president to offer a carrot at the end of the stick,” she said.
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