Summary of the Introduced Bill

HB 623 -- Employment Security

Sponsor:  Hilgemann

This bill makes several changes to the unemployment compensation
law.  The bill:

(1)  Changes the calculation of the state taxable wage base for
determining contribution rates to 45% of the state's average
annual wage, rounded down to the nearest $500, for calendar year
2004 and later;

(2)  Changes the maximum weekly benefit amount to 40% of the
state's average weekly wage, rounded up or down to the nearest $5
increment, for calendar year 2004 and later;

(3)  Prohibits employers that are taxed at the maximum rate from
applying to extend the eight-week period of temporary
unemployment with a definite recall date;

(4)  Makes the one-week waiting period non-compensable at any
time;

(5)  Requires that a claimant's total weekly benefit amount be
reduced by the number of weeks the claimant is disqualified
multiplied by the claimant's weekly benefit amount if the
claimant is disqualified because he or she was discharged for
misconduct connected with work;

(6)  Revises the calculation of partial unemployment benefits so
that partial benefits are equal to the weekly benefit amount
minus any wages for the week in excess of $20 or 20% of the
weekly benefit amount, whichever is greater, and considers
termination pay and severance pay as wages for purposes of
calculating partial benefits;

(7)  Requires the Division of Employment Security to use the
industrial classification system established by the federal
government instead of the Standard Industrial Classification
Manual;

(8)  Requires the division to recalculate the contribution rate
of a newly acquired business on the first day of the next
calendar quarter after acquisition instead of as of the date of
acquisition;

(9)  Increases the contribution rate of employers that is based
on employers' experience rating; and

(10)  Revises the basis for the calculation used to adjust
employers' contribution rates from a dollar amount of the average
balance of the Unemployment Compensation Trust Fund to a reserve
ratio.

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Last Updated July 25, 2003 at 10:12 am