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Senate approves bill from Sen. Vitelli and Speaker Fecteau to improve Maine's unemployment insurance program

AUGUSTA - On Monday, the Senate approved a bill from Sen. Eloise Vitelli, D-Arrowsic, and Speaker Ryan Fecteau, D-Biddeford, to update and improve Maine's unemployment insurance system. An amended version of LD 1564, "An Act To Amend the Laws Governing Unemployment Compensation," received bipartisan support in a vote of 22-12.

"The past year plus has illustrated how important it is to have a safety net that is in touch with the needs of Mainers, and that is best equipped to help people get back on their feet as soon as possible," said Sen. Vitelli. "This bill will make some commonsense changes we need in the short term to support Maine workers and families. It will also bring employees, small businesses and the administration together to make other changes that will better support Mainers and our economy in the long term."

The bill would make a slew of changes to the unemployment insurance (UI) system to increase efficiency, modernize systems, keep people connected to the workforce and support working families.

"Across the country, the pandemic brought uncertainty and unplanned layoffs. Many states, including Maine, struggled with insufficient unemployment systems. We knew Maines system needed to be improved to meet the needs of a 21st Century workforce. That's exactly what this bill will do," said Speaker Fecteau. "This bill addresses the most significant flaws in the system. This will be a major improvement so laid off workers and their employers will have support navigating the unemployment system, so they can access the benefits they need to survive. This bill is about recognizing where the government can make improvements for the sake of Maine families."

The bills provisions include:
  • An increase in the amount of wages a person can earn working part-time while still receiving partial UI, to encourage UI recipients to work on a temporary or part-time basis while searching for more permanent employment.
  • The creation of a two-year pilot project for a peer workforce navigator program, so community-based navigators outside of the Department of Labor can step in to assist at times when support for unemployment workers must be scaled up.
  • The creation of a working group to provide the business community and other stakeholders the opportunity to shape other parts of the program that need improvement, and to provide input on a business community liaison program that would mirror the workforce navigator program.
  • An increase in the dependency allowance, a weekly amount added to claimants benefits based on the number of children they care for.
  • Allowing workers who had to voluntarily leave a job due to loss of transportation, child care or elder care to claim UI once they are able and available to work again. Caretaking responsibilities fall disproportionately to women, and mass loss of child care during the pandemic resulted in women, especially women of color, leaving the workforce at higher rates than men.
  • Allowing individuals to participate remotely in fact-finding interviews and appeals hearings, to align with current practice.
  • Streamlining rulemaking by transferring this authority to the Commissioner of the Department of Labor; this power currently resides with the Unemployment Insurance Commission.
  • Allowing the Commissioner of Labor or a designee to grant waivers for overpayments, aligning the process with other states and other elements of the unemployment decision making process.

The bill faces further votes in the Legislature.

Contact: Lisa Haberzettl [Vitelli], 207-251-3548
Contact: Jenna Howard [Fecteau] 207-214-3185