90th General Assembly
Summary of HB1820
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House Sponsors:
KENNER.

Short description: 
UNEMP INS-WAGES                                                            

Synopsis of Bill as introduced:
        Amends the  Unemployment  Insurance  Act.   Defines  "wages"  for      
   calendar  year    1998  to  include  only  the remuneration paid to an      
   individual  by  an  employer  during  that  period  with  respect   to      
   employment  that  does not exceed $10,500 (now, $10,000).  Includes in      
   the definition of "wages" for calendar year  1999  and  each  calendar      
   year  thereafter  a  formula  for determining "wages". Redefines "base      
   period".  Sets out the "weekly  benefit  amount"  and  "prior  average      
   weekly wage" for any week beginning on or after January 4, 1998.  Sets      
   out  additional  benefits for individuals to whom benefits are payable      
   and who have a non-working spouse or dependent children  with  respect      
   to  any  week  beginning  on  or  after January 4, 1998.  Sets out the      
   "State 'on' indicator" and "State 'off' indicator".  Provides that the      
   Section concerning ineligibility for benefits  because  an  individual      
   voluntarily  leaves  shall not apply to individuals who leave work due      
   to the loss of child care despite the individual's reasonable  attempt      
   to  make  adequate  child care arrangements. States that no individual      
   shall be denied benefits by reason of a  lockout  subject  to  certain      
   exceptions.  Sets out when an individual is ineligible for benefits on      
   the  basis  of  wages  for  services in an instructional, research, or      
   principal administrative capacity.  Makes other changes.                    
          FISCAL NOTE (Dpt. Employment Security)                               
          Raising the wage base:                                               
           administrative expenses     no significant additional unfunded      
           tax revenue from employers    annual average increase of $82 M      
           benefits to claimants                               unaffected      
          Alternate base period:                                               
           administrative expenses  $12 M to $15 M one-time/$2.5 M annual      
           tax revenue from employers            annual increase of $24 M      
           benefits to claimants                 annual increase of $28 M      
          Increasing weekly benefit:                                           
           administrative expenses           $10,000 to $100,000 one-time      
           tax revenue from employers            annual increase of $83 M      
           benefits to claimants                 annual increase of $27 M      
          Alternate extended benefit trigger:                                  
           administrative expenses                                             
            one-time costs                       relatively insignificant      
            on-going costs   underfunded $4,000 per full-time equivalent/      
            ..............      underfunded $4 per extended benefit claim      
           tax revenue from employers     hundreds of millions of dollars      
           benefits to claimants          hundreds of millions of dollars      
          Waiver of required waiting week, periods of high unemployment:       
           administrative expenses    $10,000 to $100,000/up to 6-figures      
           tax revenue from employers  annual increase of $50 M to $100 M      
           benefits to claimants       annual increase of $50 M to $100 M      
          Expanded eligibility, voluntary leave/child care:                    
           administrative expenses     no significant additional unfunded      
           tax revenue from employers                 not able to predict      
           benefits to claimants                      not able to predict      
          Locked-out employees:                                                
           administrative expenses        unlikely significant additional      
           tax revenue from employers     average annual potential $4.2 M      
           benefits to claimants          average annual potential $4.2 M      
          Repeal of ineligibility:                                             
           administrative expenses        unlikely significant additional      
            (covered through federal UI administrative grants)                 
           tax revenue from employers/benefits to employers estimated at       
            $3,000 per year per claimant, reaching several million dol-        
            lars; these costs would be passed on to ed. institutions in        
            their UI tax bills                                                 
 
Last action on Bill: SESSION SINE DIE

   Last action date: 99-01-12

           Location: House

 Amendments to Bill: AMENDMENTS ADOPTED: HOUSE -   0     SENATE -   0


   END OF INQUIRY 
                                                                               



 Full Text  Bill Status