Saxman Op-Ed: Addressing Unemployment Issues

During the recent Reconvened Session of the General Assembly, Governor Kaine recommended action that would have permanently changed Virginia’s unemployment laws in order to receive short-term, temporary federal funding. The News Leader’s editorial on the unemployment insurance vote correctly notes that the issue is not as simple as the governor and some Democrats try to make it seem, but it is not quite accurate to simply suggest it was a partisan divide caused by unwillingness to compromise.

It should first be noted that prior to this vote, the Republicans in the House unanimously approved Del. Sam Nixon’s HB1889, which more than doubled the time an individual is eligible for unemployment insurance, from the current 26 weeks to 59 weeks, or 14 months. The Legislature recognizes the severity of the economic challenges and took action that will provide real relief to Virginians who, through no fault of their own, are out of work.

The Reconvened Session is a one-day opportunity for the Legislature to vote on the governor’s amendments and vetoes of bills passed during the legislative session, which ended in February. At the Reconvened Session, legislators do not have the chance to make further amendments to the governor’s recommendations, but merely vote them up or down exactly as they are worded from the governor.

For Wednesday’s vote, the governor placed amendments onto an unrelated bill to permanently change Virginia’s unemployment insurance laws.

Instead of consulting with the House Commerce and Labor Committee, which is responsible for employment and labor issues, prior to the Reconvened Session to discuss options for compromise on the changes, such as a sunset provision, Gov. Kaine instead made a unilateral decision and proposed permanently amending Virginia’s unemployment insurance laws in order to receive the additional $125 million in temporary federal funding.

Already during the regular session, the Legislature agreed to accept $62 million being extended to the Commonwealth for unemployment benefits with no strings attached. While the additional federal money may have seemed to be short-term, quick fix, it would have been a job-killer, and when those federal funds ran out, Virginia would have been left holding the bill for another unfunded federal mandate.

Virginia has been recognized for several years as the number one state in which to do business, and even in these challenging times, our economy remains more competitive than other states, in large part thanks to policies such as our unemployment insurance laws. Since the governor’s amendment was made before the Reconvened Session, he left us no room for negotiation or compromise on the language.

Should the governor choose to call a special session to work on a compromise regarding unemployment insurance, I believe both sides would be more than willing to work together for a responsible solution to help Virginians.

We are acutely aware of the challenges Virginians are facing in this economy, challenges I have experienced first-hand through our small family business. We know that many Virginians are hurting, and this is exactly why members of the Legislature worked together this past session to pass a number of meaningful, comprehensive initiatives to provide real benefits to Virginians.

• We extended unemployment benefits from 26 weeks to 59 weeks of coverage.
• We passed legislation to establish a program allowing employees of small businesses to have better access to the federal health insurance premium assistance program to assist Virginians in obtaining quality healthcare.
• We extended tax credits to businesses that create new full-time jobs here in the Commonwealth to encourage job creation and get Virginians working.
• Additionally, we approved funding for economic development incentives to attract new businesses to Virginia, aid in workforce development and promote tourism - important steps to grow our economy and create good jobs for Virginians.

The economic challenges we face as a Commonwealth are real, and Virginians expect comprehensive solutions and a balanced, long-term approach to address these problems. They expect our actions to provide real results that will not prove to be detrimental to our future economic stability and growth. A short-term check from the federal government is no substitute for real, pragmatic solutions that will create new jobs, stimulate economic growth, and get Virginians working again in long-term, full-time jobs that provide good pay and good benefits.