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Help wanted, but only for the employed

Wednesday, November 30, 2011
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By Karen Gentry | MiBiz
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WEST MICHIGAN — It’s the kind of message you won’t likely see in a job posting: “Unemployed need not apply.”

Even so, a growing number of employers quietly admit they are hesitant to hire people who have been collecting unemployment for an extended period of time.

As a result, lawmakers have introduced legislation that would prohibit discrimination against the long-term unemployed. The Fair Employment Act of 2011 would amend the Civil Rights Act of 1964 and add unemployment status to the list of protected classes.

The bill, H.R. 2501, is in the early steps of the legislative process. In part, it would make it illegal to refuse to consider or refuse to offer employment to an individual based on present or past unemployment. It would prohibit the publishing of a job for which the employment status is a qualification. Employment agencies would not be allowed to account for applicants’ employment status when screening or referring candidates.

LamotheStaffing Inc., a division of Axios Inc., is one company that does not accept job candidates for industrial positions who have been on unemployment for the maximum weeks allowed. The company requires job candidates to have worked within the last 18 months with a minimum of six months in an industrial setting, according to Wednesday LaMothe, unemployment coordinator for Staffing Inc. The company places workers for industrial clients in Grand Rapids, Holland, Ionia, Muskegon, Greenville and Hastings.

LaMothe said job candidates on extended unemployment run the risk of losing out on open positions. Staffing Inc. looks for candidates with a good work ethic who are “ready to go and motivated.” This requirement frustrates and upsets some job seekers who can be referred to other West Michigan agencies who do not have the same requirement. The company does not apply the same requirement for clerical positions, LaMothe said.

LaMothe said the requirement makes sense for industrial job seekers without recent work history because they can end up costing companies a lot of money because of injuries and possible workers’ compensation claims.

“Nobody makes them stay on unemployment. They need to make an informed choice,” LaMothe told MiBiz. “I know we definitely have jobs available, (but applicants) might not be making what they were. They need to realize this is the way it is.”

Some West Michigan business leaders see no need for this legislation.

Dave Smith, president of The Employers Association, said it would not be an enforceable piece of legislation because it would be hard to prove that an applicant’s unemployment status was the reason on which a company based its hiring decision.

He said he did not think any West Michigan employers actively discriminate against the unemployed, and he hadn’t heard of any discriminatory ads in West Michigan.

“I have not seen it consciously or unconsciously done,” Smith told MiBiz. “I can’t imagine an employer wanting that attitude to be expressed.”

Kay StaszelKay Staszel, owner of Snelling Staffing Services in Grand Rapids, said she would be shocked to see the ads appear in West Michigan. Her 25-year-old company specializes in contingent and direct-hire recruiting with areas of focus for positions in the skilled trades, industrial, administrative and professional.

“Our clients work with more comprehensive skills sets in our industrial area. It’s not so important when they worked, but (that) they have the overall experience or certification,” Staszel told MiBiz.

Staszel said she doesn’t think the proposed legislation is necessary in part because of the incentives that are in place for employers to hire unemployed or dislocated workers. She works with employers to make them aware of the incentives.

Smith said West Michigan employers are looking for people “skilled, capable and willing to work.” He commended employers for not low-balling pay rates despite a glut of workers.

“They’re still paying a fair wage for a far day’s work. They’re not hiring for two dollars less because of high unemployment,” Smith said.

Drawing unemployment for an extended period of time does have a negative effect if the job candidate hasn’t done anything to keep his skills current, Staszel said.

She noted many unemployed workers are taking temporary assignments or volunteering their services.

“There’s a lot of ways to stay out there as you’re collecting,” Staszel said.

Smith said some people drawing unemployment are honestly trying to find work while some aren’t. He has heard employers complain about a lack of a work ethic — some are taking what they feel is a deserved break from work and not really seeking work.

He said there’s not of shortage of the unemployed but rather a talent shortage.

Staszel said with any type of entitlement, there’s potential for abuse. Many people want to work but are having a difficult time for some reason.

Oftentimes, she said the long-term unemployed also find barriers arise when they do get a job. Because of the economy, workers may not have a car, lack Internet at home and may have issues finding and paying for children’s daycare.

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