BILL ANALYSIS

 

 

Senate Research Center                                                                                                     H.B. 1939

                                                                                                                               By: Ritter (Fraser)

                                                                                                                        Business & Commerce

                                                                                                                                            5/13/2005

                                                                                                                                           Engrossed

 

 

AUTHOR'S/SPONSOR'S STATEMENT OF INTENT

 

Existing law does not require that staff leasing service companies provide their employees with documentation that details terms of their employment after being released from a client company, which has lead to numerous employees being ineligible for unemployment benefits after being released from a position with a client company.

 

H.B. 1939 requires that staff leasing service companies provide written notification that states the terms and condition of employment.

 

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 Subchapter D, Chapter 91, Labor Code, by adding Section 91.0445, as follows:

 

Sec. 91.0445. REQUIRED NOTICE. Requires a staff leasing services company to provide written notice under Section 207.045(i)(1) as specified.  Sets forth required specifications regarding the document containing the notice.

 

SECTION 2. Amends Section 207.045(i), Labor Code, as follows:

 

(1) Provides that in order for a staff leasing company to consider that an employee left without good cause, the staff leasing services company must have given written notice, as specified, for the assigned employee to contact the staff leasing company for a new assignment at the time the employee's assignment to a client company concluded.

 

SECTION 3.  Makes application of this Act prospective.

 

SECTION 4. Effective date: September 1, 2005.