Council puts breaks on changes to jobless benefit appeals process

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A proposal before state officials could have modified the procedures that unemployment claimants must go through to appeal unfavorable decisions to Wisconsin’s circuit courts.

But a panel that advises lawmakers on unemployment policy has decided to table the called-for changes, for the time being at least.

Now, the laws governing those unemployment appeals are found, a bit strangely, in the state’s worker’s compensation statutes. To make things more consistent, the state Department of Workforce Development has proposed transferring them to the chapter containing the state’s unemployment insurance statutes.

But the department’s proposals do not stop at shuffling around some statutory language. Department officials have also proposed some changes, which the Unemployment Insurance Advisory Council gave a preliminary approval on Oct. 29.

One of the proposals calls for requiring the DWD to be named a party in all appeals of unemployment-insurance decisions. Another would ensure that DWD officials do not  have to appear at Labor and Industry Review Commission proceedings in order to appeal an order.

In general, when an unemployment claimant wants to appeal a decision made by an administrative law judge, he or she must start at the Labor and Industry Review Commission, an independent body made up of three lawyers appointed by Gov. Scott Walker. If the claimant is then unhappy with LIRC’s decision and wishes to file another appeal, he or she can turn to a circuit court. Conversely, if the decision goes in the claimant’s favor, DWD may also file an appeal.

At a recent meeting, the council tabled the proposal for further consideration after a LIRC commissioner asked the council to reconsider the proposal and withdraw it from the bill cycle.

“A delay like this does not seem unreasonable since the changes are not sponsored by either the employer or employee members, and there is no compelling urgency to accomplishing the statutory transfer this session,” Bill Jordahl, LIRC commissioner, said at Thursday’s meeting.

He said it was unusual for the DWD not to have consulted LIRC about the proposal.

“LIRC has always been consulted when changes would directly affect it, and in an area like this where we have sole expertise and knowledge, it obviously makes no sense not to involve us,” he said.

Jordahl invited the council members to direct any questions about LIRC’s concerns  to him and Jeff Shampo, LIRC staff attorney.

LIRC has opposed many of the changes the DWD has proposed making to the benefit-appeals process, detailing them in a letter, dated Oct. 29, to the council.

According to the commission, the proposed changes have unintended consequences that could increase the cost of doing business in Wisconsin, confuse employers, courts and employees and create “traps” for those seeking judicial review of commission decision.

The commission has acknowledged it has suggested changes in the unemployment-insurance appeals process, although they were mostly to remove obsolete statutes and drafting errors.

The DWD responded to concern in a memo distributed to the council on Thursday. The council’s next meeting is Dec. 17. Follow @erikastrebel