Unemployment compensation insurance, paid for by all workers and employers, is a great idea. The current high rate of and prolonged unemployment is difficult, sometimes devastating to many families, but when it is turned into a welfare program, it begins to fail.
There are many jobs available but most pay wages lower, sometimes much lower, than the jobs previously held. Many of those unemployed are paid higher unemployment dollars than the wages these jobs pay so there is no incentive to accept them. Not many could object to that, but when the normal benefit period is exhausted and benefits are extended beyond that, it is equivalent to welfare and dampens the urgency of finding a job. The statistics bear this out.
I propose that at the end of the normal benefit period, the unemployed be required to take these low wage jobs and be paid only the difference between these wages and their normal unemployment rate. This way, the amount of "welfare" payment would be reduced by the amount of the wage and the worker loses nothing but earns a portion of the extended benefit. Our sympathy for the unemployed should not allow someone to remain unemployed for long periods of time and receive full unemployment benefits.
What do you think?
There are many jobs available but most pay wages lower, sometimes much lower, than the jobs previously held. Many of those unemployed are paid higher unemployment dollars than the wages these jobs pay so there is no incentive to accept them. Not many could object to that, but when the normal benefit period is exhausted and benefits are extended beyond that, it is equivalent to welfare and dampens the urgency of finding a job. The statistics bear this out.
I propose that at the end of the normal benefit period, the unemployed be required to take these low wage jobs and be paid only the difference between these wages and their normal unemployment rate. This way, the amount of "welfare" payment would be reduced by the amount of the wage and the worker loses nothing but earns a portion of the extended benefit. Our sympathy for the unemployed should not allow someone to remain unemployed for long periods of time and receive full unemployment benefits.
What do you think?
No comments:
Post a Comment