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A BILL TO BE ENTITLED
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AN ACT
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relating to the operation of certain staff leasing services |
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arrangements. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Sections 91.031(b) and (c), Labor Code, are |
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amended to read as follows: |
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(b) The license holder shall give [written] notice of the |
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agreement as it affects assigned employees to each employee |
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assigned to a client company worksite. The license holder may give |
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the notice in writing or in a face-to-face meeting with the |
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employee. |
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(c) The [written] notice required by Subsection (b) must be |
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given to each assigned employee not later than the first payday |
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after the date on which that individual becomes an assigned |
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employee. |
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SECTION 2. Section 91.043, Labor Code, is amended by adding |
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Subsection (c) to read as follows: |
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(c) The client companies of a license holder may establish a |
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multiple employer welfare arrangement as provided by Chapter 846, |
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Insurance Code, to provide a health benefit plan for their assigned |
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employees. For purposes of this subsection, "health benefit plan" |
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has the meaning assigned by Section 846.001, Insurance Code. |
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SECTION 3. Section 846.053, Insurance Code, is amended by |
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adding Subsection (e-1) to read as follows: |
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(e-1) Notwithstanding Subsections (b) through (e), the |
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client companies of a license holder under Chapter 91, Labor Code, |
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may form a multiple employer welfare arrangement under this chapter |
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to the extent authorized by the Employee Retirement Income Security |
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Act of 1974 (29 U.S.C. Section 1001 et seq.). |
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SECTION 4. This Act applies only to a contract between a |
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staff leasing services license holder and a client company that is |
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entered into on or after the effective date of this Act. A contract |
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entered into before that date is governed by the law as it existed |
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immediately before the effective date of this Act, and that law is |
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continued in effect for that purpose. |
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SECTION 5. This Act takes effect September 1, 2007. |