Legislature scores another one for big business

Every year since 1993 Georgia businesses have grabbed mega-million-dollar tax breaks made possible by surpluses in the state’s unemployment fund — extra money that could have been claimed by workers who lost their jobs.

On the last day of the session, the General Assembly gave Georgia corporations yet another year of breaks, which amounts to at least $135 million that will not be paid into the unemployment fund in fiscal year 2005.

Interestingly, one of the main reasons Georgia wound up with surpluses in its unemployment fund is that only one in three of the unemployed actually collect money from it because of tight eligibility standards. For example, employers pay into the unemployment insurance fund on behalf of part-time workers, even though part-time workers can’t collect unemployment in Georgia. Only nine states have a lower rate of claimants who collect unemployment, says Cindia Cameron, organizing director of 9to5, the National Association of Working Women.

But this session’s tax break bill was amended in the House to finally allow part-time workers to collect unemployment.

That would have been a big deal considering that many businesses are increasing their percentage of part-time employees to avoid paying for benefits like health insurance.

When the bill went to the Senate, however, Sen. Robert Lamutt, R-Marietta, stripped the part-time employee amendment — with the backing of Georgia Labor Commissioner Michael Thurmond. Then the entire Senate passed the Lamutt version on April 1.

That set up a showdown between the House and the Senate over part-time employee benefits on April 7 — or at least it should have been a showdown. Inexplicably (or perhaps because of pressure from the Big Bidness-friendly Georgia Chamber of Commerce), amid a flurry of head-spinning motions and counter-motions, House Speaker Terry Coleman, D-Eastman, allowed a series of votes that paved the way for the House — led by Rep. Earl Ehrhart, R-Powder Springs — to cave in on the Senate’s position, even as Democratic Caucus Chairman Calvin Smyre, D-Columbus, kept fighting against it.

Score one for big business.