BILL ANALYSIS

C.S.H.B. 1580

By: Reynolds

Economic & Small Business Development

Committee Report (Substituted)

BACKGROUND AND PURPOSE

Interested parties contend that an individual receiving unemployment compensation benefits is often interested in returning to work as quickly as possible. Such an individual may accept a position knowing that the position is not suitable for the individual. The parties assert that an individual who accepts such a position, then voluntarily leaves that employment at any time without good cause connected to work, will be disqualified from receiving unemployment compensation benefits. The goal of C.S.H.B. 1580 is to allow an individual to leave employment under certain circumstances and receive unemployment compensation benefits.

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.

ANALYSIS

C.S.H.B. 1580 amends the Labor Code to prohibit unemployment compensation benefits computed on benefit wage credits of an employee or former employee from being charged to the account of an employer if the employment did not constitute suitable work for the employee and if the employee worked for the employer for less than four weeks.

C.S.H.B. 1580 establishes that an individual who voluntarily leaves the individual's last work is not disqualified for unemployment compensation benefits if the individual was receiving unemployment compensation benefits at the time the last work began, if the work did not constitute suitable work for the individual, and if the individual was employed at the last work for less than four weeks.

EFFECTIVE DATE

September 1, 2013.

COMPARISON OF ORIGINAL AND SUBSTITUTE

While C.S.H.B. 1580 may differ from the original in minor or nonsubstantive ways, the following comparison is organized and highlighted in a manner that indicates the substantial differences between the introduced and committee substitute versions of the bill.

INTRODUCED	HOUSE COMMITTEE SUBSTITUTE
SECTION 1.  Section 204.022, Labor Code, is amended by adding Subsection (a-1) to read as follows: (a-1)  Benefits computed on benefit wage credits of an employee or former employee may not be charged to the account of an employer if: (1)  on the initial date of employment, the employee was receiving benefits under this subtitle; (2)  the employment did not constitute suitable work for the employee, as determined under Section 207.008; and (3)  the employee worked for the employer for less than four weeks.	SECTION 1.  Section 204.022, Labor Code, is amended by adding Subsection (a-1) to read as follows: (a-1)  Benefits computed on benefit wage credits of an employee or former employee may not be charged to the account of an employer if: (1)  the employment did not constitute suitable work for the employee, as determined under Section 207.008; and (2)  the employee worked for the employer for less than four weeks.
SECTION 2.  Section 207.045, Labor Code, is amended.	SECTION 2. Same as introduced version.
SECTION 3.  The changes in law made by this Act apply only to a claim for unemployment compensation benefits filed with the Texas Workforce Commission on or after the effective date of this Act.  A claim filed before the effective date of this Act is governed by the law in effect on the date the claim was filed, and the former law is continued in effect for that purpose.	SECTION 3. Same as introduced version.
SECTION 4.  This Act takes effect September 1, 2013.	SECTION 4. Same as introduced version.