Labor unions, business groups clash over giving unemployment benefits to striking workers

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The “hot strike summer” is prompting California lawmakers to introduce last-minute legislation to help workers.

There are several funds available that can provide temporary assistance for those in dire financial situations due to the strike.Businesses pay state and federal payroll taxes on each employee’s first $7,000 in annual wages to fund the unemployment insurance program.

“The level of taxable income is low,” Portantino said. “This is the time to maybe look at that level of income to raise it to make sure that the fund is solvent.” California lawmakers proposed a similar bill to give striking workers unemployment benefits in 2019, butfailed to pass the Senate. Various business groups opposed the legislation, saying it could force the state to take out more federal loans and penalize employers for strikes.

 

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