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As companies see an unemployment tax hike, lawmakers propose new bill to lower rates

Lawmakers quickly pass a bill to prevent businesses from receiving a surge in taxes

Bill aims to provide unemployment insurance relief to employers | News, Sports, Jobs

The Maui News A bill that aims to provide unemployment insurance relief to Hawaii employers is heading to Gov. David Ige’s desk after unanimously passing both chambers of the state Legislature. If signed by Ige, House Bill 1278 would help to contain the economic fallout from COVID-19 by temporarily reducing the unemployment insurance contribution rates, the Legislature said Wednesday. “This measure is critical in helping to protect employers from facing higher tax rates at a time when they can least afford it,” said Sen. Brian Taniguchi of Oahu’s District 11 and chairman of the Senate Committee on Labor, Culture and the Arts. “Without any legislative intervention, the unemployment tax rate schedule would be set to the highest rate at Schedule H and many businesses would continue to struggle while trying to survive this pandemic.”

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