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Reductions to Unemployment Benefits Signed into Law
May 14, 2012
Governor Nathan Deal recently signed House Bill 347 into law, cutting unemployment benefits to Georgians and increasing unemployment insurance taxes to businesses.
Under the new bill, unemployment payments will fall starting July 1, 2012 from 26 weeks to a sliding scale of 14 to 20 weeks. Georgians already receiving benefits will be grandfathered in the new program, while all new claims after July 1 will be affected.
HB 347 stemmed from Georgia’s debt of more than $760 million to the federal government to pay for unemployment benefits during the recession. Currently, state funding for unemployment insurance benefits comes from taxes paid by employers and business owners.
Georgia's unemployment rate dropped in March for the eighth straight month to 9%. The nation’s unemployment rate is currently 8.2%.