The Empowering Striking Workers Act of 2023 proposes that striking workers should be eligible to receive unemployment benefits after a fortnight of striking, as per a preliminary version of the bill seen by The Times. Additionally, in cases such as the commencement of a lockout, the hiring of permanent replacements by the employer, or if a worker becomes unemployed post-strike or lock-out, workers would qualify for unemployment benefits from the earliest of these dates.

The bill has the backing of Democratic U.S. Representatives Donald Norcross of New Jersey and Alexandria Ocasio-Cortez of New York. Prominent labor unions such as SAG-AFTRA, the Writers Guild of America, the Teamsters, and the AFL-CIO have also expressed their support for the legislation, as conveyed by Schiff’s office.

However, passing the bill might prove challenging with the House of Representatives under Republican control. The business community has been vocally against the bill, arguing that it would result in an increase in employer taxes due to the additional contributions required to support the unemployment insurance program.

The consideration of introducing this bill at the federal level follows a setback where California Gov. Gavin Newsom vetoed a state bill aimed at providing unemployment benefits to striking workers due to fiscal reservations. This action faced strong criticism from labor chiefs.

California, already in debt by billions for unemployment benefits borrowed from the federal purse, was anticipated to see its unemployment fund debt soar to nearly $20 billion by year’s end. Opposing businesses argued against the bill, citing that they would bear an additional tax burden annually to settle California’s federal loan.

Advocacy for enhanced benefits by the WGA and SAG-AFTRA underscored the financial support it would offer to workers in managing their expenses during strikes. The prolonged nature of strikes dwindles the financial reserves of workers, often compelling them to rely on inconsistent side jobs and limited strike funds.

In the political arena, Democratic expressions of support for labor unions seem to be gaining momentum as the 2024 elections approach. Schiff has secured endorsements from several labor unions, including the International Brotherhood of Teamsters and the Communication Workers of America, in the Senate race.

During a recent debate in Los Angeles, Schiff, along with other Democratic Senate hopefuls, expressed disagreement with Newsom’s veto, advocating for unemployment benefits for striking workers, and alluded to working on framing this into federal legislation. Schiff emphasized the necessity of unemployment compensation for workers striking in pursuit of improved working conditions and wages, asserting that their action is in the broader interest of all workers.