Henry Raymond

Fairfax News => Political Issues/Comments => Topic started by: Carolyn Branagan on February 01, 2009, 10:15:51 PM

Title: Unemployment Trust Fund
Post by: Carolyn Branagan on February 01, 2009, 10:15:51 PM


Some changes are in store for Vermont’s Unemployment Trust Fund. Early last week Pat Moulton Powden, Commissioner, Department of Labor, came to visit the Ways and Means Committee to discus the fund and from her testimony it was clear that if the system for maintaining it isn't reformed, the fund will be empty by this time next year.

Currently the Unemployment Trust Fund is paying out approximately $5.2 million dollars per week. At this rate the fund will run out of money by the end of 2009. With the known number of lay offs in January and the uncertainty surrounding the economy, the labor department expects the number of Vermonters requesting funding to continue rising. 

Her proposed solution was to increase the cap for employer contributions from $8,000 to $14,000 in 2010, and then to $20,000 in 2011. A Sunset is in the proposal. The Commissioner also proposes reducing the maximum weekly benefit from $425 to $409 and cap it at that amount effective in 2009.

So the fix amounts to employers paying more and beneficiaries receiving less. 
I’ll be watching this proposal carefully as plans develop further.

Rep. Carolyn Branagan
Franklin-1, Fairfax/Georgia
Vermont House of Representatives