JKM C.S.H.B. 1720 75(R)    BILL ANALYSIS


ECONOMIC DEVELOPMENT
C.S.H.B. 1720
By: Siebert
3-21-97
Committee Report (Substituted)



BACKGROUND 

Under certain circumstances, the Texas Unemployment Compensation Act,
Subtitle A, Title 4, Labor Code, allows an individual who is partially
unemployed to draw unemployment benefits.  The Act  currently defines
partial unemployment without reference to the reason for the partial
unemployment. 

PURPOSE
HB 1720 amends Section 201.091, Labor Code, Total and Partial
Unemployment, to provide that an individual is not partially unemployed if
the individual's work hours are reduced by the individual's employer as a
result of misconduct on the part of the individual. 


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 201.091,  Labor Code, by adding Subsection (d)
providing that an individual is not partially unemployed for a benefit
period in which the individual's working hours are reduced by the
individual's employer as a result of misconduct connected with the work on
the part of the individual.  Requires that the maximum amount of time for
such limitation is four weeks from the effective date of such a reduction
in hours. 

Section 2. Effective September 1, 1997, and applicable to a claim filed on
or after that date.   

Section 3.   Emergency Clause.


COMPARISON OF ORIGINAL TO SUBSTITUTE

HB 1720 relates to a disqualification of eligibility for unemployment
compensation benefits for periods of partial unemployment caused by a
disciplinary reduction in hours.  CSHB 1720 relates to the same topic, but
modifies the cause for partial unemployment to be "a reduction in hours as
a result of misconduct." 

Section 1.  Amends Section 201.091, Labor Code, by adding Subsection (d).
HB 1720 Subsection (d) states that an employee is not partially unemployed
for the purposes of this subtitle if the individual's hours are reduced by
the individual's employer as a result of  a disciplinary action.  In  CSHB
1720, Subsection (d), language concerning disciplinary action is left out.
CSHB 1720 states that an individual is not partially unemployed if the
individual's hours are reduced by the employer as a result of misconduct
connected with the work on the part of the individual.  CSHB also places a
maximum limit of four weeks on the amount of time such a limitation can be
effective.