Defining "benefit year" and "temporary unemployment" in the employment security law, allowing the extension of temporary unemployment; requiring electronic report filing by certain employers, permitting discretion in appointments and terms for the temporary employment security board of review, delaying new account formation after certain business acquisitions, requiring the new unemployment insurance system to allow employer reports regarding claimant compliance and authorizing the legislative coordinating council to extend new system implementation deadlines.
Impact
The bill mandates flexibility in the number of appointments and the length of terms for members on the temporarily expanded employment security board of review. Additionally, it extends the timeline for mandatory combination of rates and the establishment of new accounts following business acquisitions, which allows businesses more operational flexibility during transitions. These changes aim to improve the state's responsiveness to economic conditions affecting employment and unemployment rates, better positioning Kansas to support its workforce.
Summary
House Bill 2401 is a legislative measure aimed at updating and clarifying employment security law within Kansas. It introduces definitions for terms such as 'benefit year' and 'temporary unemployment', which are crucial for determining eligibility and duration of benefits for workers who experience job loss. A significant aspect of this bill is the requirement for employers with 25 or more employees to file wage reports and pay contributions electronically, reflecting a modernization of the reporting process to enhance efficiency and accuracy.
Contention
However, the bill also raises points of contention. Some stakeholders express concern about the implications of mandatory electronic filing, citing potential burdens on smaller businesses that may lack the necessary infrastructure or technical expertise. There may also be debates surrounding the broader impacts of delaying new account formations after business acquisitions, particularly regarding how these measures affect competitors in the labor market and the overall unemployment insurance system.
Notable_points
In its passage, HB2401 received a favorable vote of 119 yeas to 4 nays during a house emergency action on March 27, 2023, indicating strong bipartisan support. The provisions outlined in the bill reflect a proactive approach to reinforce the employment security framework in Kansas while seeking to mitigate the challenges faced by both businesses and employees during periods of economic fluctuation.
House Substitute for SB 229 by Committee on Commerce, Labor and Economic Development - Providing amendments, suspensions or repeals of employment security law provisions should follow specified review procedures by the legislature, authorizing the secretary of labor to recognize and approve employer-sponsored supplemental unemployment benefit plans if such plans meet specific criteria and integrating such plans into the employment security law, updating and reorganizing statutory language, enhancing federal conformity by incorporating references to federal laws and guidelines, updating temporary unemployment provisions and providing for eight weeks of temporary unemployment benefits, eliminating debt relief provisions for negative balance employers and other updates to the employment security law.
Employment security: benefits; low-wage school employees to collect unemployment benefits during the summer months; allow. Amends sec. 27 of 1936 (Ex Sess) PA 1 (MCL 421.27).
Employment Security Act of 1980; authorizing the Oklahoma Employment Security Commission to modify appeal filing requirements under certain circumstances; allowing certain case to be dismissed. Effective date.
Removing the eight-week return to work expectation from the definition of temporary unemployment, excluding payments under compliant employer-sponsored supplemental unemployment benefit plans from the definition of wages and removing the negative debt write-off and forgiveness mechanism that conditionally moved employers to rate groups N11 for three years and the related option to avoid a negative debt write-off through voluntary contributions.
Modifies provisions of the employment security program and establishes the "Employment Security Program Integrity Act of 2025", relating to the administration of unemployment compensation
Prohibiting amendments, suspensions or repeals of employment security law provisions through budget provisos, appropriations bills or temporary fiscal measures without following specified review procedures, authorizing the secretary of labor to recognize and approve employer-sponsored supplemental unemployment benefit plans if such plans meet specific criteria, reorganizing sections for improved readability and compliance, enhancing federal conformity by incorporating references to federal laws and guidelines and updating the criteria for determining suitable work and disqualification conditions for unemployment benefits.
Requires employers to report certain employees' wages for the purposes of unemployment benefits; relates to the payment of unemployment benefits, and employer penalties for non-compliance.