Issue Position: Labor Insurance
Issue Position
The worker compensation programs in most states are mathematically a tax for working. It is an insurance plan to cover moments of unemployment. The worker surrenders by force a certain percentage of their weekly earnings to cover the possibility of unemployment. The citizen must meet set criteria to receive the money they earned. Although the state under no conditions can force an employer to hire you, the state does force the citizen to pay for the privilege of working in that state. Under no conditions can a citizen legally work in a state without paying the tax to work. Therefore we acknowledge that it is a fee paid by the citizen to work in their respective state. It is a fee by force paid to the state. Under no conditions does an employer pay for unemployment insurance.
Presently these programs are permanent fixtures in our government model. This is going to end. At no time is a government model more efficient than a market device, therefore the worker will compensate themselves by placing an X amount of funds per week into a bank account that is mutual to the employee and employer. The bank that holds it is irrelevant, but the main function is that this account is a form of compensation for the worker. It is not a form of collateral for the employer. The employer has done its duty in social contract by hiring the employee. The employee has done their duty in the social contract by performing each task required of their position. The relationship is in balance. As it should be.
The compensation account with the bank will take money from the paycheck of the employee from January 1 to November 1. On December 1, if the employee has not been unemployed and used the fund, the money is dispersed like a present Christmas account. November 2 to December 31 is a work dead zone. During this time no money is sent into the account, but rather it is paid directly through the paycheck. This account payment is indicated by the words "compensation account" on the pay stub. The employee will know that the increase is not a raise but rather the money that would've gone into the bank account for unemployment insurance.
It is important that the account be understood for what it is intended. Again, the account is not collateral for the employer and the account is not a way station for the employee. Both obviously know of the existence of the account, but its use must be identified before use. Under no conditions can the account be used for anything but unemployment. That means, if the citizen is working even part-time, that is still working. Not working means not working. Period. No need to get a lawyer or judge to decide this one. If you are working then no account access. You are going to get the money in December of each year you work anyway, so waiting might be a problem but those are the rules. You can't count of the money until you get the money. And the account total will equal just what you placed in it. Because the employee is responsible for the chosen amount, if the amount chosen is small, then the December check will be small. Very simple.
The only technical assessment for this model is the confirmation from January 1 to November 1 that the citizen is unemployed. Under no conditions can you piggy back the piggy bank. No citizen can have multiple accounts per year. One citizen can have one account even if they have multiple jobs. You will register using your social security number with your state. The bank will acknowledge the account with the employer. The employer will have a tax number. While in their employment these numbers will coincide. The employer will place funds in the account because it is your account and you are their employee. You will inform the bank of multiple jobs. It is your compensation. It is your insurance. It is your responsibility.
As far as punishment of fraud is concerned, it is not cost effective to place someone who can physically work into prison, so after fines of monetary value decided on by the state, a final suspension of privilege of working is going to take place. Your punishment is that you are out. No access to legal work or anything from the state. As you cheated yourself, you must deal with the burden of the punishment directly.
Because of lean function, there will be no other human contact with this endeavor, just the employer, employee, and bank. The overhead for this exchange will be very low. And of course it will be paid for by the employee, as it should be, due to the fact that it is their insurance policy. If they work hard to keep their position, the employee can see the December check as a bonus for whatever.
Final thoughts on labor and unemployment. The business cycle can become rather complicated quickly. And here, I must say that if the citizen is now in the mindset that unemployment is illegal or immoral, nothing I can do will modify your behavior and keep you sovereign. All things are connected, which means your purchase power and your purchase market is just as important as your raw materials and skill set.
Risk management to the point of denying yourself in present tense is irrational. Games require perfect information, consent, pure sequences and competition, and an obtainable objective. In lean function we learn one truth. We don't need government. We want government, but we want it to work. Being honest about risk management and life will make solutions seem effortless. Being honest about the origin of the shocks to our market will offer a clarity of cause to effect. We need truth about risk as to no longer be afraid of it.
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