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House Co-Sponsorship Memoranda
House of Representatives
Session of 2015 - 2016
Regular Session
MEMORANDUM
| Posted: | January 23, 2015 02:14 PM |
|---|---|
| From: | Representative Marc J. Gergely |
| To: | All House members |
| Subject: | Unemployment Compensation – Eligibility for Seasonal Workers |
| In the very near future, I will be reintroducing legislation (former HB 1862) to provide a solution to an unintended consequence of Act 60 of 2012, the Unemployment Compensation (UC) solvency bill. As you may know, Act 60 required workers to earn at least 49.5% of their total base year wages outside of their “high quarters.” While this change sought to reduce eligibility for workers that are not attached to the workforce, it in fact has had the opposite effect – it penalizes workers who work too much. My bill will ensure that many seasonal workers – particularly trades and construction workers – will not be determined ineligible for benefits because they earned too much in overtime during their busy seasons. Specifically, my legislation will effectively eliminate the 49.5% requirement for workers who meet the maximum base year and high quarter wage requirements needed to receive the maximum weekly benefit rate, and who would have otherwise qualified for benefits. Additionally, my legislation incorporates changes requested by stakeholders last year, including a cost offset by nominally increasing UC taxes paid by employees (last year’s analysis estimated the cost of this adjustment to be about 80¢ per worker annually, based on a $40,000 salary), and a requirement that the Department of Labor & Industry work with stakeholders to complete a study on seasonal workers and make further recommendations for legislation. Unfortunately, while this bill was heavily discussed and negotiated during the last legislative session, it failed to become law. However, I continue to hear from workers affected by Act 60, and I have found that a significant number would be made eligible by my proposal. Moreover, this solution can be implemented quickly by the department so that it can help affected workers almost immediately. I hope you will join me in sponsoring this important bill. Prior co-sponsors include: BIZZARRO, BRIGGS, BROWNLEE, BURNS, CALTAGIRONE, CARROLL, COHEN, P. COSTA , M. DALEY, DAVIS, DEASY, DeLUCA, DERMODY, DONATUCCI, ENGLISH, FRANKEL, GAINEY, GALLOWAY, GIBBONS, GOODMAN, HANNA, HARKINS, W. KELLER, KIM, KORTZ, KOTIK, LONGIETTI, MATZIE, MULLERY, MURT, MUSTIO, O'BRIEN, OBERLANDER, PARKER, PASHINSKI, READSHAW, SABATINA, SAINATO, SANKEY, SCHLOSSBERG, SCHREIBER, SNYDER, THOMAS, WHEATLEY, and YOUNGBLOOD |