Michigan Gov. Rick Snyder does intend to sign the bill that would reduce state-paid unemployment benefits beginning next year,

The bill awaiting his signature does two things: It made a necessary technical change to the state's unemployment insurance program so workers remain eligible for federal extended unemployment benefits. Without this technical fix, 37,000 Michiganders would have lost their benefits beginning April 2. Another 150,000 jobless workers would have been affected by the end of the year.

Republican lawmakers also amended the bill to permanently reduce state-paid unemployment benefits in the state from 26 weeks to 20 weeks beginning in 2012. The amendment, which is being praised by the

and the

, will reportedly save state businesses up to $300 million annually.

In addition to losing six weeks of state benefits, Michigan workers would also lose eligibility for 16 weeks of federal benefits if the federal extended unemployment benefit program is extended into 2012. It currently expires at the end of this year.

"The Governor will sign the bill," said his press secretary Sara Wurfel in an email. "This was a necessary compromise. He had the bigger picture in mind – his priority was to ensure no one receiving unemployment benefits was cut off abruptly. It's a lifeline for Michiganders right now; we simply can't risk tens of thousands of Michigan's families immediately losing their benefits starting next week. That would have left them without a critical safety net."

Democrats say Republicans "hijacked" the bill to make a permanent change in the state's unemployment system. Once Snyder signs the bill, Michigan will be the first state in the nation to reduce unemployment benefits to 20 weeks.

Wurfel also added that the governor continues "to work tirelessly to help turn around Michigan's economy and create more and better jobs so that we can hopefully reduce the need for unemployment in the first place."