Michigan’s unemployment law is about to undergo a significant update — and for workers who rely on jobless benefits during a stressful time in their lives, understanding these changes is essential.
Later this month, bipartisan changes to unemployment insurance law go into effect, reshaping how people qualify for and stay eligible for benefits, expanding options for waiver repayment and appeals and giving employers more flexibility to retain employees during periods of economic uncertainty.
Understanding these changes will help workers and employers make the most of the support available to them when they need it most.
Here’s a clear overview of what unemployed workers receiving benefits and Michigan employers can expect.
One of the most significant changes for people receiving and filing for benefits is the expanded work search requirement. Starting the week of July 19, unemployed workers must complete and report three work search activities each week, up from one today. If you fail to log all three required activities during certification, you will not be paid benefits by the Michigan Unemployment Insurance Agency (UIA). While this increase may mean a bit more effort each week, it also opens more pathways back to stable employment.
Another change adds protections for survivors of domestic violence. Beginning July 17, people who leave their jobs because of domestic violence will be eligible to receive benefits. This change provides survivors a financial lifeline when independence and safety hinge on economic stability.
Starting July 19, employers participating in the Work Share Program will be able to reduce employee hours by 10 to 60% (currently it is 15 to 45%). This added flexibility gives Michigan businesses more room to weather downturns without laying off workers. It also allows workers to stay on the job, preserve skills, keep their benefits and receive partial unemployment payments to offset reduced hours.
Starting July 17, certain appeal cases can be consolidated into a single hearing before an administrative law judge. This will reduce stress and delays while eliminating the need for multiple proceedings on issues tied to the same claim. Also, anyone who must repay benefits to UIA can submit up to four financial hardship waiver applications a year — today, it’s one every six months. Additionally, unemployment benefits will no longer be counted as household income when determining someone’s ability to repay.
The legislative package — which also increased the maximum number of benefit weeks to 26 and changed the maximum top weekly benefit rate (with another increase scheduled for Jan. 1, 2027) — reflects the need for an unemployment system that meets the realities of today’s workers and workplaces.
At UIA, we have been working hard to meet those realities. Our modernization efforts include a new computer system launching later this year, an AI-powered chatbot, the plain-language Claimant Roadmap to make filing easier, expanded language assistance services and public dashboards that track agency performance and economic indicators.
Together, these changes aim to create an unemployment system that is more responsive and better aligned with the needs of workers and employers, while establishing UIA as a national model for fast, fair, and fraud-free service.
To help people understand the July changes, we have launched a helpful webpage at Michigan.gov/UIALawChanges, along with topical FAQs.
Understanding the upcoming changes is the first step. The next is ensuring that every worker and employer feels prepared — and knows how the changes can support them as they work toward their next opportunity.
Jason Palmer is director of the Michigan Unemployment Insurance Agency.
This article originally appeared on The Detroit News: Michigan’s Unemployment Insurance Law is changing. Here’s what to expect.
Reporting by Jason Palmer / The Detroit News
USA TODAY Network via Reuters Connect
By Jason Palmer | USA TODAY Network
