New York lawmakers are currently deliberating on a Democratic proposal aimed at establishing a fresh multibillion-dollar fund to offer unemployment benefits specifically catered to undocumented immigrants.
The Senate Finance Committee is currently reviewing a proposal that aims to establish a $500 million trust fund. This fund would provide jobless benefits to workers who are not eligible for traditional unemployment payments and other public benefits.
Backers of the plan have proposed a new tax on tech giants like Google and Amazon to fund it. The tax would be charged on digital advertising and is expected to generate hundreds of millions of dollars for the fund.
State Senator Jessica Ramos, a Queens Democrat who chairs the Senate’s influential Labor Committee, is advocating for the Unemployment Bridge Program proposal. She emphasizes that migrants, who are authorized to work, pay taxes, and contribute to the state’s economy, should be eligible for unemployment benefits if they are laid off by their employer.
“The federal government has allowed unemployment insurance for freelancers to expire,” Ramos posted on social media. “The Excluded Workers Fund has already been depleted. We require a safety net that accurately represents the state of our labor market.”
The bill’s summary highlighted that the fund would provide assistance to a range of individuals, including undocumented workers, domestic workers, landscaping and groundskeeping workers, day laborers, and domestic construction workers who receive under-the-table payments. It would also extend support to street vendors, freelancers, self-employed workers, and individuals recently released from incarceration or immigrant detention who are unable to utilize their prison or detention labor to qualify for unemployment benefits.
According to the summary, the new fund has been established to provide members of these communities with the opportunity to apply for and receive benefits for their ongoing unemployment. The fund sets forth comprehensive requirements and procedures to ensure that individuals from these communities can access the necessary support.
For years, policymakers in New York have been engaged in heated debates regarding the provision of jobless benefits to undocumented immigrants, nontraditional workers, and individuals who do not meet the eligibility criteria for state unemployment benefits.
During the COVID-19 pandemic, lawmakers in New York approved a $2.1 billion Excluded Workers Fund to offer assistance to jobless workers who were ineligible for unemployment benefits. This fund aimed to provide support to individuals such as undocumented adults and those with “gig” economy jobs. However, according to lawmakers, the funds allocated for this program have now been depleted.
Gov. Kathy Hochul’s proposed budget for fiscal year 2025 includes a commitment of $2.4 billion to assist tens of thousands of asylum seekers. This funding will be sourced from the state’s reserves, specifically the ‘rainy day’ fund, with $500 million allocated for this purpose.
Around $1.1 billion has been allocated specifically for New York City, with the aim of providing housing for migrants and offering legal assistance for asylum applications and employment opportunities. However, the proposed spending plan by the Democrat party does not encompass provisions for unemployment benefits for migrants or the establishment of a new fund to aid jobless individuals who are ineligible for conventional benefits.
“In a recent statement, Senate Minority Leader Rob Ortt emphasized the importance of prioritizing legal American citizens and legal residents of New York City. These individuals, who bear the burden of some of the highest taxes in the country, if not the world, deserve our attention and support.”
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