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Contractors’ witness urges preserving 26 weeks of unemployment, backs phased employer contribution

June 18, 2025 | Pension, House of Representatives, Committees, Legislative, Ohio


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Contractors’ witness urges preserving 26 weeks of unemployment, backs phased employer contribution
Mandy Gerken, an executive with Gerken Companies and an executive-board member of the Ohio Contractors Association, told the Public Insurance and Pension Committee on Oct. 11 that the construction industry supports contributing more to Ohio’s unemployment insurance trust but wants to keep the 26-week benefit and phase in employer increases.

Gerken said her fourth-generation, Northwest Ohio family business employs about 655 people, with more than 400 of them seasonal, and that the 26 weeks “provide financial stability” for workers between April and November construction seasons. “We support the employee contribution,” she said, and added that contractors are willing to pay more into the fund if increases are phased to allow contractors to bid multi-year projects without sudden cost shocks.

The testimony focused on two main points: preserving 26 weeks of benefits and structuring employer-side increases over time. Gerken told the committee that many surrounding states already provide 26 weeks; she said 39 of the 50 states offer 26 weeks or more and that Michigan recently returned to 26 weeks. She suggested a phased approach, noting one proposal discussed would freeze changes for two years and then gradually increase employer rates, and she said the industry prefers a long-term deal — she mentioned a 10-year stability window — rather than repeated short-term fixes.

Committee members followed with several questions about details Gerken provided. Representative Brennan asked whether employees should pay contributions when they would never qualify for benefits under the negative-employer threshold; Gerken said she was not “well educated on that particular issue” but that Gerkens supports an employee contribution. Representative Byrd asked for evidence linking 26 weeks to workforce retention; Gerken said Gerkens retains about 85% of its seasonal workforce and that she has “little doubt” retention would fall if the 26-week bridge were removed, although she did not cite peer-reviewed studies.

Gerken described the construction employment pattern at Gerkens as concentrated between April and November and noted that some operations (asphalt paving in particular) are constrained by weather and Ohio Department of Transportation specifications. She provided a rough annual pay range for seasonal workers at Gerkens — “between $45,000 and $55,000 a year” — and observed that the construction sector supports many ancillary businesses and that training costs create an incentive to retain workers. She also said some multi-year contracts (often Turnpike projects in her region) make predictable employer costs valuable to bidding accuracy.

No committee motion or vote was recorded during the testimony. The exchange ended with committee members thanking Gerken for testifying and the chair adjourning the hearing.

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