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Governors This Week: Return to Work Incentives, Pandemic Prison Funds, Emergency Paid Leave & More

October 01, 2021 (3 min read)

NJ Gov Unveils Return to Work Incentives:

In an effort to address ongoing staffing shortages across several industries, New Jersey Gov. Phil Murphy (D) announced an incentive program that will pay currently unemployed workers $500 to return to the workforce and employers who hire them up to $10,000 in wage subsidies.

To be eligible for the Return and Earn program subsidies, employers must have fewer than 100 employees and offer a wage of at least $15 per hour. Funds for the program will come from the federal aid granted as part of the government’s efforts to ease the impact of the pandemic on the economy.

New Jersey is just the latest state to offer some form of cash incentives to lure workers back into the job pool. At least nine states – Arizona, Colorado, Connecticut, Kentucky, Maine, Montana, Michigan, New Hampshire, New Mexico, Oklahoma, and Virginia - have used federal pandemic relief funds to create such programs.

To date, results have been mixed.

A recent HuffPost survey found that Colorado is the only state to disperse much money this way, paying out nearly $14 million to approximately 11,000 applicants so far this year. In contrast, Virginia and Maine had each awarded bonuses to only about 500 applicants, while Arizona had dispersed the incentives to only about 760 workers.

Observers credit Colorado’s success to the simplicity of its program, which allows newly-hired workers to opt into the bonuses on the same portal they used to get unemployment insurance, allowing them to report their new employer and the wages they are receiving in just one place.

The process has been more complicated in other states, which likely has led to a slower pace of approval. Connecticut, for example, cut off new applications in mid-September after reaching its maximum number of 10,000.

Back in New Jersey, Murphy’s administration has taken note of Colorado’s success and says it will work to offer a streamlined process for workers and employers.

“Our administration is committed to assist businesses in hiring workers while providing benefits to those entering and re-entering the workforce that will set them up for success in their new jobs and their future careers,” he said in a statement. (NJ GOVERNOR’S OFFICE, CENTRALJERSEY.COM, YAHOO NEWS, HUFFPO)

NC Gov Vetoes GOP Power Grab:

North Carolina Gov. Roy Cooper (D) vetoed SB 360, a bill that would have barred Tar Heel State government agencies from settling certain lawsuits without the approval of the General Assembly. State agencies currently have the power to enter settlement agreements if they are sued. (RALEIGH NEWS & OBSERVER)

AL Gov Defends Using Pandemic Funds on New Prisons:

Alabama Gov. Kay Ivey (R) defended the use of federal pandemic relief funds to build two new state prisons, saying in a statement “The Democrat-controlled federal government has never had an issue with throwing trillions of dollars toward their ideological pet projects,” adding “These prisons need to be built, and we have crafted a fiscally conservative plan that will cost Alabamians the least amount of money to get the solution required.” (ALABAMA GOVERNOR’S OFFICE, CNN)

MI Gov Vetoes Anti-Abortion Funding:

Michigan Gov. Gretchen Whitmer (D) signed a nearly $70 billion budget last Wednesday, but vetoed two bills (SB 82 and HB 4400) that would have allocated $16 million for abortion diversion programs, saying the proposals “would have used state funding to pursue an anti-abortion political agenda.” (DETROIT FREE PRESS)

Baker Signs MA Emergency Paid Leave Extension:

One day before it was set to expire, Massachusetts Gov. Charlie Baker (R) signed a measure (HB 4127) that extends the Bay State emergency paid sick leave program until April 1, 2022. The law is intended to allow workers time to quarantine, recover, get vaccinated, or help a family member dealing with the coronavirus. (WBUR [BOSTON])

Baker Files MA Occupational Licensing Reform Bill:

Massachusetts Gov. Charlie Baker (R) filed legislation that would grant license portability for military families transferring to military installations in Massachusetts by entering the Commonwealth into a series of interstate licensure compacts and other agreements. (NEW BEDFORD GUIDE)

-- Compiled by RICH EHISEN

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