The people's voice. [volume] (Helena, Mont.) 1939-1969, 1961-11-24


Farmer-Labor Institute in Mis-.
soula last Friday evening. The
prediction was made by Alfred
Root, formerly a member of the
Unemployment Compensation
Commission for more than a
decade.
Root, who co-chaired panel or
unemployment compensation with
Helena attorney Charles V. Huppe
said that the effects of the restric-
tive amendments written into the
act by the 1861 Legislature are just
now beginning to be felt. Under the
disqualification provisions, and the
stiffened earnings requirements, he
estimates that at least 5000 workers
who previously were eligible for COM
pensation in varying amounts will,
this winter find themselves disquali-
fled. This means, he told the audience,
that many Montanans laid off due to
the highly seasonal nature of the
states economy, will have only pub
lie welfare to turn to this winter,
and that as result, relief expendi-
lures will climb accordingly.
I'm the discussion following the
panel. confirmation of Roots con-
tention was given by Rep. Francis
Bardanouve (D-Blaine), who said
that during the 1861 session Welfare
spokesman had agreed that passage
of the UCC amendments under HB q
would force substantially upward as
sistance payments during the winter
months of each year,
"THE MOST COMPLICATED
LAW"
Prior to Roots explanation of the
amendments and their effects. At
torney Huppe reviewed the principles
the jobless comp act, and
some of the background of federal
enabling legislation first passed in
1887. The state act, he said, is "the
most complicated law on the statutes
of Montana" 1t stems from the fed |
erai Social Security Act, and is a |
insurance program und- |
err that act.
Original purpose behind the act
was to set aside reserves in good
times to help carry the economy
over, via unemployment compensa-
ton payments, during slack periods.
He likened the nations economic
current flow to that of an irrigation
project, which brings water to
oarched acres by way of diversion
canals into storage reservoirs. The
unemployment insur-
lnce premium, he said, is diverted
lway from the economic "river" into
! "pool' (trust fund.-, the dollar
low from which is regulated accord
ng to the economy's needs, just as
water is released from reservoirs to
meet the needs of crops. Il
Many of the original features /;
lined at snoring up the nations econ
my in recessionary periods, Huppe
'ointed out, have been legislated !;
way during the "a years since the
ct was first passed. The original
1tent of the federal statute was to t
rovide a jobless worker with SO per j
emit of the average. wage. The COM !
lying Montana act did meet that I
but also set a dollar cell c
lg on maximum weekly benefits. In
937 the average Montana wage was 2
round $50, so at that time the $15 d
laximum was in line. In the years t
nee, however, maximum dollar pay f
Ients have fallen far short of the 7
0 per cent intent, and today at $34 n
week, are only about one-third the N
yerage wage. W
This tagging behind, he pointed
1T, was due to Congress reserving tt
the states the right to draft their m
vn laws, provided certain minimum fl
were met, with the excep- ii
On of standards pertaining to adj h.
inistration. The latter are under hi
deral control. This division of au- ell
ority, he pointed out, has brought in
strange contrast. In the "a years w
e act has been on the statutes, the
yislative trend has been to tighten tn
d make comp. acts more restrictive m
to exclude more and more jobless flo
I'm coverage. At the same time, 81
aries of those admin eff aripor tha a