Gov. Tony Evers vetoes bill that would end extra unemployment benefits

Molly Beck
Milwaukee Journal Sentinel

MADISON - Gov. Tony Evers late Tuesday vetoed a bill Republicans and the state's largest business lobby have pushed for weeks that would eliminate additional unemployment benefits for Wisconsinites who lost work during the coronavirus pandemic. 

Republican lawmakers who authored the bill said it would reduce worker shortages, arguing the additional benefits have kept workers home. 

Evers in his veto message said he did not trust their argument and that the state's labor force participation has returned to nearly pre-pandemic levels with the benefits in place.  

"There is a lack of evidence to support the notion that eliminating supplemental unemployment insurance benefits would bring more individuals into the workforce," Evers wrote. "Many of the most hard-hit areas are located in both rural parts of the state that had slower pre-pandemic changes in business operations."

Assembly Majority Leader Jim Steineke, R-Kaukauna, said Evers' veto was foolish. 

"By now, we all know of at least one business that is actively seeking employees, has been forced to reduce its hours, or even had to close their doors because of the worker shortage. That’s why it is absolutely mind-boggling to learn our governor thinks we should still be paying folks an extra $300 per month to sit home on their couch," he said in a statement. (The additional benefits provide $300 more per week, not per month, however.)

The federal program that provides enhanced benefits is set to expire in September but Republican lawmakers introduced legislation in May, arguing it should be gone sooner to help business owners who need more workers during the summer. 

Evers has argued Republicans could help draw more workers to the state if they invested in education, transit, health care or child care.

Soon after the COVID-19 pandemic began, Congress passed legislation to pay people an extra $600 a week in unemployment benefits because hundreds of thousands were thrown out of work in each state. Congress later reduced the amount of the additional payments to $300 a week. 

The arrangement increases the maximum weekly amount an unemployed worker in Wisconsin can receive from $370 to $670. The federal government pays for all of the cost of the additional benefits, which are set to run through Labor Day.

The bill vetoed passed Tuesday also would prohibit the Department of Workforce Development from waiving the work search requirement for reasons related to COVID-19.

Contact Molly Beck at molly.beck@jrn.com. Follow her on Twitter at @MollyBeck.