Without changes in Michigan's unemployment insurance law, the state's unemployment insurance debt will probably reach $3.8 billion by the end of 1985. Currently, Michigan's employers pay unemployment insurance tax rates that vary from 1 to 9 percent, depending upon the amount of benefits charged against their accounts. Beginning with the federal unemployment insurance payroll tax due for 1982 (payable January 1983) Michigan employers will have to pay an additional uniform penalty rate each year. Many employers who provide relatively stable employment opportunities object to sharing equally in the payment of past excess costs of other employers who have generated the debt. In addition, many employers in areas particularly hard-hit by unemployment feel that additional taxes would, at this time, seriously hamper their recovery efforts. A number of changes in the existing state unemployment insurance program have also been suggested, including instituting a new employee tax, stiffening qualifying requirements for benefits, imposing a noncompensable waiting week, and freezing the maximum weekly benefit amount. While the burdens to be faced in dealing with Michigan's insolvency problem are considerable and painful to bear, failure to take some remedial action will probably increase the state's economic problems. (MN)