JKM H.B. 1625 75(R)BILL ANALYSIS ECONOMIC DEVELOPMENT H.B. 1625 By: Tillery 4-24-97 Committee Report (Unamended) BACKGROUND Currently, the Texas Workforce Commission interprets the Labor Code as denying benefits to employees who are "locked-out' or placed on "emergency leave,' even if the work stoppage is caused by a labor dispute in another state. It is the purpose of unemployment insurance to assist those who are unemployed through no fault of their own. PURPOSE This bill would ensure that benefits will be paid to individuals who can prove that they are not directly involved in a labor dispute. This interim pay is necessary for employees who are not on strike, but are "locked-out" or placed on "emergency leave," as the result of a work stoppage in another state. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency or institution. SECTION BY SECTION ANALYSIS Section 1: Amends Section 207.048, Labor Code, by amending Subsections (a), (b) and (f) and by adding Subsection (g). Subsection (a) is amended by striking language that dealt with labor disputes at another place, and combining the remaining language into one paragraph. Amends Subsection (b)(1) by striking the word "and." Adds (3) and (4) to Subsection (b), which make an employee eligible for benefits, if "locked out" or placed on "emergency leave." Subsection (f)(1) defines "lock-out." Subsection (f)(2) defines "premises." Adds subsection (g) which states that the payment of union dues does not constitute financing a labor dispute. Section 2: Emergency clause and effective date.