Revision: April 23, 2009, midnight
SB 144-FN – AS AMENDED BY THE SENATE
03/11/09 0384s
04/01/09 1088s
04/01/09 1162s
2009 SESSION
08/09
SENATE BILL 144-FN
AN ACT allowing the unemployment compensation trust fund to be charged for benefits paid for certain employee terminations.
SPONSORS: Sen. Hassan, Dist 23; Sen. DeVries, Dist 18; Sen. Reynolds, Dist 2; Rep. Schlachman, Rock 13; Rep. R. Holden, Hills 7; Rep. Craig, Hills 9
COMMITTEE: Commerce, Labor and Consumer Protection
This bill allows the unemployment compensation trust fund to be charged for benefits paid for certain employee terminations.
This bill is a request of the department of employment security.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
03/11/09 0384s
04/01/09 1088s
04/01/09 1162s
09-0956
08/09
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Nine
AN ACT allowing the unemployment compensation trust fund to be charged for benefits paid for certain employee terminations.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Unemployment Benefit Eligibility. Amend RSA 282-A:32, I(a)(2-(3) to read as follows:
(2) An individual terminates employment in good faith to accept better full-time employment, which is to begin within a reasonable period, and subsequently becomes unemployed from such employment due to unavailability of work before earning the requalifying wages set forth in this section. Notwithstanding any other provision of this chapter, such subsequent employer shall be deemed to be that individual's most recent employer; [or]
(3) The leaving of employment was necessary to protect the individual from domestic abuse, as defined in RSA 173-B:1 and in accordance with rules adopted by the commissioner, and the individual made all reasonable efforts to preserve the employment, and in addition:
(A) The individual relocated to escape the abuse; or
(B) The individual, due to changed circumstances, is able to return to the individual's employment, but the employer is unable to return the individual to the individual's job, or to comparable work, due solely to:
(i) A reduction in work force; or
(ii) Other economic conditions, and the individual did all things that a reasonably prudent person would have done to continue the employer-employee relationship or the possibility of reemployment during the period the individual was unable to work due to the domestic abuse;
(4) The individual is separated from employment because he or she has become unable to perform some or all of his or her job duties due to an illness or injury that is not work-related or due to pregnancy, provided that a physician has attested to the individual’s inability to perform work duties in a written notice. Nothing in this section shall relieve an employer of the duty to provide reasonable accommodation as that term is defined by state or federal law;
(5) The leaving of employment was necessary to allow the individual to accompany his or her spouse to a place from which it is impractical for the individual to commute due to a change in location of the spouse's employment; or
(6) The leaving of employment was due to the illness or disability of a member of the individual's immediate family as those terms are defined by the Secretary of the United States Department of Labor.
2 Unemployment Compensation Trust Fund. RSA 282-A:75 is repealed and reenacted to read as follows:
282-A:75 Fund Chargeable. In assigning the charges for benefits to the account of the most recent employer under this subdivision, no benefits shall be charged to the account of an individual employer but shall be charged by the commissioner against the fund where:
I. Benefits are paid and are not chargeable against any employer's account in accordance with the provisions of RSA 282-A:42 and RSA 282-A:44-52;
II. Benefits are paid to a claimant solely through error or inadvertence of the commissioner or his or her authorized representative as provided in RSA 282-A:165;
III. Benefits are paid to an individual by reason of RSA 282-A:31, III,
IV. Benefits are paid to an individual by reason of RSA 282-A:32, I(a)(3); or
V. Benefits are paid to an individual by reason of RSA 282-A:32, I(a)(4).
3 Effective Date. This act shall take effect 60 days after its passage.
LBAO
09-0956
Amended 04/23/09
SB 144 FISCAL NOTE
AN ACT allowing the unemployment compensation trust fund to be charged for benefits paid for certain employee terminations.
FISCAL IMPACT:
The Department of Employment Security states this bill, as amended by the Senate (Amendment #2009-1088s and #2009-1162s), increases unemployment compensation trust fund expenditures by $438,750, state expenditures by $14,040, local expenditures by $38,610, and county expenditures by $3,510 in FY 2010 and each year thereafter. This bill increases unemployment compensation trust fund revenue by $56,160 in FY 2010 and each year thereafter. This bill has no fiscal impact on county and local revenues.
METHODOLOGY:
The Department of Employment Security states this bill allows the unemployment compensation trust fund to be charged for benefits paid to individuals whose separation from employment is caused by the individual’s inability to continue to perform some or all of his job duties due to pregnancy, a non-job related illness or injury, must leave work to relocate with their spouse, or leave employment due to disability or illness of a member the individual’s immediate family. The Department states there will be approximately 125 claimants will now be deemed payable under this bill. The average compensation per claimant was $3,510 in FY 2008 (average of $270 a week for 13 weeks). State, county, and municipality employers are obligated to reimburse the unemployment compensation trust fund dollar for dollar for monies paid from the trust fund. According to statistics developed by the NH Economic Labor and Market Bureau the Department anticipates of the 125 claimants now deemed payable under this bill 4 will be in a state position, 1 will be in a county position, and 11 will be in a municipality position. Using the average compensation per claimant of $3,510 the Department states this bill will increase unemployment compensation trust fund expenditures by $438,750 (125 * $3,510), state expenditures by $14,040 (4 *$3,510), county expenditures by $3,510 (1 * $3,510), and local expenditures by $38,610 (11 * $3,510). The Department states this bill will increase state restricted revenue by $56,160.
This bill does not appropriate funds or establish positions.