Increases unemployment insurance benefits; relates to fees and expenses in unemployment insurance proceedings and non-recoverable benefits

Section 2 would amend subdivision 1 of section 518 of the labor law in order to provide for a graduated increase in the taxable wage base of each employee for which each employer is liable to pay unemployment insurance contributions to $9,750 in 2010, $11,500 in 2011, $13,000 in 2012, $15,000 in 2013, and from 2014 forward indexed to inflation.

Section 3 would amend section 593 of the labor law to relating to voluntary separation from employment.

Section 4 would amend subdivision 11 of section 590 of the labor law relating to nonprofessional employment at educational institutions.

Section 5 would clarify that professional employees of educational institutions must have their unemployment claims judged on a case-by- case basis and that offers of employment contingent upon enrollment, funding or programmatic changes would not constitute reasonable assurance of employment.

Section 6 would amend section 599 of the labor law to increase the funding for unemployment retraining programs, to require the department of labor to fund the retraining of unemployed workers authorized by various agencies and acts, and to allow an individual receiving such funding one hundred and four days of unemployment benefits to complete such program.

Section 7 would amend section 3 of chapter 831 of the laws of 1981 to provide for the effect of this section until 2013.

Section 8 would provide unemployment insurance for employees who must leave work due to domestic violence.

Section 9 would increase the amount of remuneration which an employer must pay in order to be liable for unemployment insurance contributions from $300 to $1,000 dollars per quarter.

Section 10 would allow unemployment claims representatives to receive remuneration for their services in certain situations.

Section 11 would provide that claims of representatives for services rendered to an unemployment insurance claimant shall include certain non-recoverable benefits allowed pursuant to law.

Section 12 would extend the SELF Employment Assistance program until December 7, 2012.

Sections 13 and 14 would amend certain unemployment insurance provisions relating to agricultural workers.

Section 15 is the effective date.

Justification

This legislation would make improvements to a wide range of unemployment issues which need to be updated. In light of the current economic situation the unemployment insurance system must be reformed in order to provide adequate benefits and retraining to unemployed workers. This bill allows for a graduated increase in the maximum unemployment insurance benefit in order to provide for the increased expenses an unemployed worker must face and to allow for a reasonable adjustment period for employers over time. This bill would also raise the amount of pay an employer must compensate his workers before becoming liable for unemployment insurance contributions.

This bill would also address problems with professional and non-professional employees of academic institutions. Service employees in schools, including cafeteria workers, bus drivers, and others are generally low wage workers. If they receive no salary during the vacation months they often experience financial hardship waiting for the school year to begin again. Also, under current law, many part-time faculty working in colleges and universities in New York State are unable to receive unemployment insurance when they have become unemployed between semesters because the college or university holds that they have a "reasonable assurance" of continuous employment under the provisions of subdivision 10 of section 590 of the Labor Law. Yet these employees, who generally work 30 weeks a year, are seasonal workers, like actors, construction workers, diamond cutters, and furriers, all of whom are eligible for benefits during periods they are not employed. These employees have no "reasonable assurance" that they will have a job when the next semester starts as that decision rests entirely with the employer and is often based on contingent factors such as enrollment, funding and programmatic changes. In many cases, these employees are not notified by the college or university that there is no position for them until they are very close to the start of the next semester. In fact, current law provides an incentive for colleges and universities to wait as long as possible to officially disclose to part-time facility that they will not be employed for the upcoming semester to avoid paying unemployment insurance costs for those employed between semesters. Part-time faculty are treated unfairly under the current law as they are only eligible for unemployment insurance benefits from the time they are officially notified they are not renewed by the college or university for the next semester. It is only at this time that they can file a claim to be eligible for benefits even though they may have been out of work for months before this notification and have absolutely no control over their employment.

This bill would also clarify various sections of the labor law relating to unemployment insurance in order to remove inconsistencies and allow for survivors of domestic violence to collect unemployment insurance benefits. The cost of domestic violence on individuals, families and society as a whole can be devastating. Physical, emotional, psychological and financial burdens are placed on such victims and this legislation would offer financial protection to those who have lost their jobs or who must flee their homes and jobs in order to secure their safety due to domestic violence. PRIOR LEGISLATIVE HISTORY : Similar to A.11637 of 2008.

Fiscal implications for state and local governments

Undetermined.

Effective date

This act bill shall take effect immediately.