Arizona Senate passes unemployment insurance indexing bill

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In this Nov. 23, 2010 photo, Jay Bashant, of Buckyeye, Ariz., looks over job ads at the Maricopa County Workforce Connections job fair, in Phoenix. AP / Matt York

The Arizona House of Representatives will soon consider a change to the state’s unemployment laws. 

The state Senate on March 2 passed a bill 16-14 that would index the length of unemployment insurance benefits to the state’s unemployment rate. During times when the unemployment rate is at or below 5%, unemployed workers could collect a maximum of 12 weeks of benefits under the bill. The bill proposes capping the maximum benefit length at 20 weeks during times when the unemployment rate is more than 8.5%.

Arizona’s current maximum benefit length is 24 weeks if the unemployment insurance rate is less than 5% and 26 weeks if the jobless rate is 5% or more. The state’s unemployment rate was 4.0% as of December 2022, according to the most recent Arizona Commerce Authority data, meaning the maximum weekly benefit would fall by 12 weeks (from 24 weeks to 12 weeks) if the bill passes and the unemployment rate remains stable.

Republished with the permission of The Center Square.