SRC-PNG  C.S.S.B. 394 76(R)BILL ANALYSIS


Senate Research CenterC.S.S.B. 394
By: Jackson
Economic Development
3/3/1999
Committee Report (Substituted)


DIGEST 

Currently, under Texas law, an individual is disqualified from unemployment
compensation benefits if the individual is receiving or has received wages
in lieu of notice or certain public compensation for qualified
disabilities.  This bill expands current law by disqualifying individuals
from unemployment compensation benefits if the individual is receiving or
has received severance pay. 

PURPOSE

As proposed, C.S.S.B. 394 disqualifies claimants for unemployment benefits
who have received severance pay. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 207.049, Labor Code, to provide that an
individual is disqualified for benefits for a benefit period for which the
individual is receiving or has received remuneration in the form of
severance among other forms of remuneration, except severance pay that is
explicitly outlined in a group employment contract.  Establishes that if
the remuneration received under Subsection (a)(1), or (3) is less than the
benefits that an individual would otherwise be eligible to receive, an
individual is entitled to receive benefits that are reduced by the amount
of the remuneration, adjusted as provided by Section 207.006,
notwithstanding Subsection (a).  Makes conforming changes. 

SECTION 2. Effective date: September 1, 1999.
  Makes application of this Act prospective.

SECTION 3. Emergency clause.


SUMMARY OF COMMITTEE CHANGES

SECTION 1.

Amends Section 207.049(a), Labor Code, to provide that an individual is
disqualified for benefits for a benefit period for which the individual is
receiving or has received remuneration in the form of severance among other
forms of remuneration, except severance pay that is explicitly outlined in
a group employment contract, rather than severance or other separation pay
or payments of accrued vacation leave, sick leave, or other personal leave.
Makes conforming changes.