New rule: Pass a drug test before receiving unemployment benefits

New rule: Pass a drug test before receiving unemployment benefits (Alberta Times) A ​​state senator proposed that all applicants for unemployment benefits must first pass a drug test. But state officials...

(Alberta Times)

State senators proposed that all applicants for unemployment benefits must first pass a drug test. But state officials say the provision violates federal rules and laws and could cost the state millions in federal funds, ultimately resulting in huge tax hikes for Arizona employers. Republican Senator Steve Smith, the sponsor of the drug testing proposal, said he doesn't think there is anything wrong with the state doing this, at least to make sure taxpayer money is not used to buy drugs for addicts. Senator Smith's proposal coincides with the Republican Party's measures to tighten public welfare. Earlier in February, Republicans pushed for federal legislation in Congress that would require all people applying for unemployment benefits to pass drug tests nationwide. This proposal was not passed by Congress. Several Republican-controlled states, such as Georgia, Iowa, Oklahoma and South Carolina, have proposed similar legislation. Wisconsin and Indiana have already enacted legislation to restrict those who test positive for drugs or refuse drug tests from receiving unemployment benefits starting in January this year. However, the federal Department of Labor clearly told states that under federal regulations and laws, applying for federal unemployment benefits does not require any drug testing. The Labor Department letter said an applicant's eligibility should not lose applied benefits due to factors other than unemployment. The state Department of Economic and Social Security said the federal agency's position means Arizona's federally funded unemployment benefits program cannot be consistent with federal regulations. It would cost the state more than $2.7 million in federal funds each year to implement drug testing, costs that would ultimately be passed on to employers. Employers are expected to pay taxes on unemployment benefits per employee, rising from $42 to $420 per year.