The next time a recession comes around, what can the state do to help people keep their jobs? Illinois Senate President John Cullerton (D-Chicago) has an idea.
“A lesson we learned from the last recession is employers need greater flexibility to work with employees – to explore programs where, rather than losing a job during a downturn, a workers and employer could opt for reduced hours, and unemployment benefits could make up much of the difference,” he said.
The current unemployment compensation requires a worker to be fired outright to make a claim, and some of the details of current labor law make it complicated to operate a scheme like that today, but Cullerton says he thinks it can be worked on, possibly in the legislative session that resumes this week after the election.
The benefit to businesses is that they don’t have to hire and train new workers once the economy picks up again, they can just increase back to normal the work hours of the existing workforce.