SRC-TBR H.B. 567 77(R)   BILL ANALYSIS


Senate Research Center   H.B. 567
77R10739 JMM-FBy: Deshotel (Van de Putte)
Business & Commerce
5/10/2001
Engrossed


DIGEST AND PURPOSE 

Under current law, unemployment benefits are calculated using a fixed base
year and the average weekly wage of manufacturing production workers.  The
current process of computing unemployment benefits was enacted over twenty
years ago and has become outdated in an economy which is no longer based on
manufacturing jobs.  H.B. 567 modifies the procedures for the computation
of unemployment benefits. 

RULEMAKING AUTHORITY

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

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Sections 207.002(a)-(d), Labor Code, as follows:

(a)  Prohibits the rate of benefits paid under this section from being more
than the maximum weekly benefit amount computed under Subsection (b) or
less than the minimum weekly benefit amount computed under Subsection (b)
for each benefit period.  

(b)  Provides that the maximum weekly benefit amount is 47.6 percent of the
average weekly wage in covered employment in this state.  Provides that the
minimum weekly benefit amount is 7.6 percent of the average weekly wage in
covered employment in this state. 

(c)  Requires the Texas Workforce Commission (commission) to determine the
average weekly wage in covered employment and compute the maximum and
minimum weekly benefit amount not later than October 1 of each year based
on the annual average weekly wage for the preceding year.  Requires the
commission, if a benefit amount computed under this subsection is not a
multiple of $1, to increase the amount to the next multiple of $1.  

(d)  Provides that an increase in maximum and minimum benefit amounts under
this section takes effect on October 1. 

SECTION 2.  Effective date: September 1, 2001.  Makes application of this
Act prospective.