Co-Sponsorship Memo Details

     Please join me in legislation introduced as Senate Bill 1305 in the 2011-12 session by Senators DINNIMAN, STACK, SCHWANK, WASHINGTON, BLAKE, BOSCOLA, BREWSTER, BROWNE, COSTA, ERICKSON, FONTANA, WAUGH, WILLIAMS, TARTAGLIONE, FERLO, YUDICHAK, HUGHES and FARNESE, to amend the unemployment compensation law to take away the current disincentive for unemployed individuals to start their own businesses. Under current law, those receiving unemployment compensation lose their benefits with their first positive step toward starting a business, be it the renting of an office or the purchase of equipment.

     I believe this restriction wrongly punishes individuals and stops them from seeking financial self-reliance.
Under my bill, an unemployed individual who begins a business would continue to receive unemployment compensation benefits for 26 weeks or until the profits from the new business exceed 50 percent of their unemployment compensation benefits, whichever comes first. Individuals receiving benefits while starting their own business would, during the 26 weeks, still be required to be available for suitable work per current law.
     
     Let’s encourage entrepreneurship and job creation. This legislation is one part of a legislative package called PA Works Now which is designed to create 28,000 new jobs and leverage over $2 billion in new private investment. I hope you will join me in co-sponsoring this legislation.