HELENA — Governor Greg Gianforte’s office says more than 32,000 businesses are going to see lower rates for unemployment insurance next year, because of a law passed during the 2025 Montana legislative session.
Lawmakers passed House Bill 210, sponsored by House Majority Leader Rep. Steve Fitzpatrick, R-Great Falls. Gianforte signed it into law in April.
Every year, businesses pay a tax that funds unemployment insurance – short-term benefits for people who’ve lost their jobs.
HB 210 reduces how much businesses have to pay into the unemployment relief fund when it’s full.
As of April, state leaders said the fund had a balance of more than $643 million – in part because statewide unemployment rates have been low for several years.
That was enough to trigger an automatic reduction in the unemployment insurance tax rate.
Gianforte’s office said 32,873 employers will see a 0.2% rate reduction in 2026, and more than 7,100 will have a zero-percent rate. They estimated businesses will save a total of more than $23 million.
“By reforming our tax code and cutting back the thicket of red tape tying up job creators, we’re helping Montana businesses grow and attracting investment to the Treasure State,” Gianforte said in a news release. “Montana remains one of the best places in the country to start and own a small business. We’ll continue to make meaningful improvements to support business owners and the good-paying jobs they create.”
