STAND

STAND. COM. REP. NO. 317-04

Honolulu, Hawaii

, 2004

RE: H.B. No. 2699

H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Labor and Public Employment, to which was referred H.B. No. 2699 entitled:

"A BILL FOR AN ACT RELATING TO UNEMPLOYMENT BENEFITS,"

begs leave to report as follows:

The purpose of this bill is to clarify disqualification requirements for unemployment benefits. Among other things, this bill:

(1) Establishes a rebuttable presumption that a claimant's unemployment during a labor dispute is not due to an actual, substantial curtailment of work at the employer's establishment, and thus, the claimant is entitled to unemployment benefits; and

(2) Requires clear and convincing evidence to overcome the presumption.

Unity House, Inc. and ILWU, Local 142 testified in support of this measure.

Your Committee finds that work stoppages place a heavy burden on working families. Moreover, if a worker applies for unemployment insurance benefits, the worker currently has the burden of showing that he or she is not out of work due to a labor dispute. This measure seeks to shift this burden to the employer, who is in a better position to provide relevant records.

Although your Committee understands that businesses may have a concern over the implementation of this measure, it is an issue worthy of continued discussion.

Accordingly, your Committee has amended this measure by:

(1) Changing the effective date to February 31, 3003; and

(2) Making technical, nonsubstantive amendments for purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Labor and Public Employment that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2699, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2699, H.D. 1, and be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Labor and Public Employment,

		____________________________ MARCUS R. OSHIRO, Chair