The Louisiana Association of Business and Industry and other business groups are asking Governor Edwards to stop the 300-dollar weekly federally enhanced unemployment benefits. LABI President Stephen Waguespack says at one time this additional benefit was needed, but now it’s making it difficult for employers to fully staff their businesses.
“Those folks are having a really difficult time right now getting people back to work,” said Waguespack.
Waguespack says instead of extra unemployment dollars, he suggests using that money to provide a hiring bonus for when out-of-work individuals find a job.
LABI says 17 other states have already opted out of the additional funding.
But Governor John Bel Edwards wants to make sure that this would be the right move for Louisiana.
“I don’t want to rush into this, because what I can tell you is none of the states that have done it already are as dependent on tourism to sustain their economy as we are,” said Edwards.
But Waguespack says hotels and restaurants need workers and the federal enhanced unemployment benefits are keeping vacant jobs unfilled.
“They have the openings, they are begging for employees, they’ll get dozens and dozens of applications, but it’s hard to get a callback,” said Waguespack.
Edwards says he’ll study the issue.
“We want to get an economist to take a look at this to see whether there’s a net benefit or a net cost,” said Edwards.
The extra $300 a week benefit from the federal government is set to end in September. It’s in addition to the $247 a week that unemployed individuals receive from the state.
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