THE SENATE	S.B. NO.	1088
TWENTY-SIXTH LEGISLATURE, 2011		S.D. 1
STATE OF HAWAII		Proposed

A BILL FOR AN ACT

RELATING TO UNEMPLOYMENT INSURANCE BENEFITS.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  Section 383-1, Hawaii Revised Statutes, is amended by amending the definition of "attached to a regular employer" to read as follows:

     ""Attached to a regular employer" means:

     (1)  The employee is being offered work each week by the employee's regular employer; or

     (2)  If no work is being offered:

         (A)  The employer is maintaining the individual on the payroll by paying for a medical insurance plan or by maintaining the employee's sick leave or vacation credits; or

         (B)  There is a definite or reasonably imminent return to work date with the same employer [within eight weeks]."

     SECTION 2.  Section 383-29.7, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

     "(b)  [Continued claim certifications for partial benefits shall be filed as follows:

(1)] An individual may file a continued claim certification for partial unemployment benefits in person, by mail, by telephone, or by using other alternative claim filing procedures as instructed or authorized by the department and in the manner prescribed by the department with respect to each week of the individual's partial unemployment.  A continued claim certification shall be filed in the same manner as prescribed in rules of the department for continued claim certifications for total or part-total unemployment benefits and not later than twenty-eight days from the end of the week for which the individual claims benefits; provided that an individual shall not be required to file a continued claim certification earlier than two weeks from the date wages are paid for a claim period.

    [(2) If, after a week of partial unemployment, eight or fewer consecutive weeks of total unemployment follow the week of partial unemployment, the weeks of total unemployment may be deemed weeks of partial unemployment.  However, if total unemployment extends beyond eight consecutive weeks, the individual shall be deemed totally unemployed.

(3) Notwithstanding paragraph (2), the department may extend partial unemployment beyond eight consecutive weeks of total unemployment under conditions including but not limited to:

(A) The individual is retained in an employer-employee relationship;

(B) The individual is under obligation to reserve services for the employer; and

(C) The individual has a definite or reasonably imminent return to work date.]"

     SECTION 3.  Section 383-29.8, Hawaii Revised Statutes, is amended to read as follows:

     "[[]§383-29.8[]]  Partial unemployment; waivers.  (a)  The registration for work requirements under section 383-29(a) [may] shall be waived for individuals who are partially unemployed, as defined in section 383-1.

     (b)  An individual [may] shall be exempted from the work search requirements as determined by rules of the department, or be subject to modified work search requirements as authorized by the department if the individual is waived from the registration for work requirements, as defined in section 383-1."

     SECTION 4.  Section 383-30, Hawaii Revised Statutes, is amended to read as follows:

     "§383-30  Disqualification for benefits. (a)  An individual shall be disqualified for benefits:

     (1)  Voluntary separation.  For any week prior to October 1, 1989, in which the individual has left work voluntarily without good cause, and continuing until the individual has, subsequent to the week in which the voluntary separation occurred, been employed for at least five consecutive weeks of employment.  For the purposes of this paragraph, "weeks of employment" means all those weeks within each of which the individual has performed services in employment for not less than two days or four hours per week, for one or more employers, whether or not such employers are subject to this chapter.  For any week beginning on and after October 1, 1989, in which the individual has left the individual's work voluntarily without good cause, and continuing until the individual has, subsequent to the week in which the voluntary separation occurred, been paid wages in covered employment equal to not less than five times the individual's weekly benefit amount as determined under section 383-22(b).

              An owner-employee of a corporation who brings about the owner-employee's unemployment by divesting ownership, leasing the business interest, terminating the business, or by other similar actions where the owner-employee is the party initiating termination of the employment relationship, has voluntarily left employment.

     (2)  Discharge or suspension for misconduct.  For any week prior to October 1, 1989, in which the individual has been discharged for misconduct connected with work, and continuing until the individual has, subsequent to the week in which the discharge occurred, been employed for at least five consecutive weeks of employment.  For the week in which the individual has been suspended for misconduct connected with work and for not less than one or more than four consecutive weeks of unemployment which immediately follow such week, as determined in each case in accordance with the seriousness of the misconduct.  For the purposes of this paragraph, "weeks of employment" means all those weeks within each of which the individual has performed services in employment for not less than two days or four hours per week, for one or more employers, whether or not such employers are subject to this chapter.  For any week beginning on and after October 1, 1989, in which the individual has been discharged for misconduct connected with work, and until the individual has, subsequent to the week in which the discharge occurred, been paid wages in covered employment equal to not less than five times the individual's weekly benefit amount as determined under section 383-22(b).

     (3)  Failure to apply for work, etc.  For any week prior to October 1, 1989, in which the individual failed, without good cause, either to apply for available, suitable work when so directed by the employment office or any duly authorized representative of the department of labor and industrial relations, or to accept suitable work when offered and continuing until the individual has, subsequent to the week in which the failure occurred, been employed for at least five consecutive weeks of employment.  For the purposes of this paragraph, "weeks of employment" means all those weeks within each of which the individual has performed services in employment for not less than two days or four hours per week, for one or more employers, whether or not such employers are subject to this chapter.  For any week beginning on and after October 1, 1989, in which the individual failed, without good cause, either to apply for available, suitable work when so directed by the employment office or any duly authorized representative of the department of labor and industrial relations, or to accept suitable work when offered until the individual has, subsequent to the week in which the failure occurred, been paid wages in covered employment equal to not less than five times the individual's weekly benefit amount as determined under section 383-22(b).

         (A)  In determining whether or not any work is suitable for an individual there shall be considered among other factors and in addition to those enumerated in paragraph (3)(B), the degree of risk involved to the individual's health, safety, and morals, the individual's physical fitness and prior training, the individual's experience and prior earnings, the length of unemployment, the individual's prospects for obtaining work in the individual's customary occupation, the distance of available work from the individual's residence, and prospects for obtaining local work.  The same factors so far as applicable shall be considered in determining the existence of good cause for an individual's voluntarily leaving work under paragraph (1).

         (B)  Notwithstanding any other provisions of this chapter, no work shall be deemed suitable and benefits shall not be denied under this chapter to any otherwise eligible individual for refusing to accept new work under any of the following conditions:

              (i)  If the position offered is vacant due directly to a strike, lockout, or other labor dispute;

             (ii)  If the wages, hours, or other conditions of the work offered are substantially less favorable to the individual than those prevailing for similar work in the locality;

            (iii)  If as a condition of being employed the individual would be required to join a company union or to resign from or refrain from joining any bona fide labor organization.

     (4)  Labor dispute.  For any week with respect to which it is found that unemployment is due to a stoppage of work which exists because of a labor dispute at the factory, establishment, or other premises at which the individual is or was last employed; provided that this paragraph shall not apply if it is shown that:

         (A)  The individual is not participating in or directly interested in the labor dispute which caused the stoppage of work; and

         (B)  The individual does not belong to a grade or class of workers of which, immediately before the commencement of the stoppage, there were members employed at the premises at which the stoppage occurs, any of whom are participating in or directly interested in the dispute; provided that if in any case separate branches of work, which are commonly conducted as separate businesses in separate premises, are conducted in separate departments of the same premises, each such department shall, for the purpose of this paragraph, be deemed to be a separate factory, establishment, or other premises.

     (5)  If the department finds that the individual has within the twenty-four calendar months immediately preceding any week of unemployment made a false statement or representation of a material fact knowing it to be false or knowingly failed to disclose a material fact to obtain any benefits not due under this chapter, the individual shall be disqualified for benefits beginning with the week in which the department makes the determination and for each consecutive week during the current and subsequent twenty-four calendar months immediately following such determination, and such individual shall not be entitled to any benefit under this chapter for the duration of such period; provided that no disqualification shall be imposed if proceedings have been undertaken against the individual under section 383-141.

     (6)  Other unemployment benefits.  For any week or part of a week with respect to which the individual has received or is seeking unemployment benefits under any other employment security law, but this paragraph shall not apply (A) if the appropriate agency finally determines that the individual is not entitled to benefits under such other law, or (B) if benefits are payable to the individual under an act of Congress which has as its purpose the supplementation of unemployment benefits under a state law.

(b)  Effective July 1, 2011, notwithstanding any law or rule to the contrary, an individual shall not be disqualified for benefits for any week in which the individual separates involuntarily or voluntarily, with or without good cause, from a secondary employer offering part-time employment, if the individual is:

(1) Receiving benefits while attached to a regular employer that is not offering work;

(2) Receiving partial unemployment benefits; and

(3) Exempt from work search and registration for work requirements."

Section 5.  Act 170, Session Laws of Hawaii 2009, section 7, as amended by Act 76, Session Laws of Hawaii 2010, section 3, is amended to read as follows:

     "SECTION 7.  This Act shall take effect on July 1, 2009[, and shall be repealed on July 1, 2012; provided that on July 1, 2012, sections 383-1 and 383-29(a), Hawaii Revised Statutes, shall be reenacted in the same form in which they read on June 30, 2009; provided further that the definition of "registered for work" shall not be repealed when this Act is repealed and section 383-1 is reenacted pursuant to this section]."

     SECTION 6.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 7.  This Act shall take effect on July 1, 2050.

Report Title:

Unemployment Benefits; Disqualification; Part-Time Work

Description:

Repeals the June 30, 2012 sunset date of provisions related to partial unemployment benefits.  Removes the eight-week limitation on partial unemployment benefit status.  Makes mandatory, rather than discretionary, the waiver of registration and work search requirements for individuals who are partially employed.  Authorizes an individual that is attached to a regular employer that is not offering work to continue to be eligible to receive unemployment insurance benefits even if that individual voluntarily or involuntarily separates from part-time employment, with or without good cause from a secondary employer during that week.  Effective 7/1/2050.  (Proposed SD1)

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