WHEREAS:

Since its inception in the 1930's, the employment security system has played a crucial role in stabilizing the American economy during recessions and providing unemployed workers with temporary wage replacement income and assistance finding jobs when they lose their jobs; and

WHEREAS:

Dramatic structural changes in the nation's economy and employment arrangements, combined with outdated and restrictive state policies, have made it impossible for many low wage, contingent and part time workers to qualify for unemployment benefits and have driven the percentage of unemployed workers receiving unemployment benefits down to about one third; and

WHEREAS:

Persistent underfunding by the federal government of state unemployment insurance and employment service operations is jeopardizing the system's ability to respond effectively to future recessions and is causing many states to support federal legislation to devolve financing of the system back to the states because they are not getting adequate federal funds to run their systems; and

WHEREAS:

Devolution of administrative financing would expose states and workers to significant financial risk during economic downturns and would give states with low percentages of unemployed workers receiving benefits a financial windfall at the expense of states that provide access to more workers; and

WHEREAS:

Enactment of the Workforce Investment Act and its requirement for locally run one stop systems is creating new challenges for the employment security system, including state efforts to privatize and/or devolve employment service operations to the local level; and

WHEREAS:

Continued underfunding of the employment service undermines its ability to help unemployment insurance claimants find work, weakens the federal state national public labor exchange, and could relegate it to a marginal, instead of core, role in the new workforce system.

WHEREAS:

Despite the current period of economic distress and dwindling federal and state unemployment trust fund balances, business interests continue to seek unemployment insurance tax reductions at both the state and federal level.

THEREFORE BE IT RESOLVED:

That AFSCME strongly support federal and state actions to shore up and modernize this crucial safety net program by providing greater access to unemployment benefits including such reforms as movable base accounting periods and coverage for part time workers, and by increasing federal funding for state employment security operations; and

BE IT FURTHER RESOLVED:

That AFSCME strongly resist efforts to undermine the existing federal state employment security partnership by devolving administrative financing to the states, privatizing the public employment service, devolving the state employment service to the local level, or by otherwise breaking the link between the unemployment insurance system and the public employment service; and

BE IT FURTHER RESOLVED:

That AFSCME resist business efforts to secure tax reductions at the expense of needed improvements in the employment security system at the federal and state level; and

BE IT FINALLY RESOLVED:

That AFSCME work to ensure that the state employment security operations play a central role in the new workforce system.

SUBMITTED BY:

Ronald C. Alexander, President and Delegate
Kathleen Stewart, Secretary/Treasurer
OCSEA/AFSCME Local 11
Ohio