HBA-TYH H.B. 3436 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3436 By: Isett Economic Development 4/12/1999 Introduced BACKGROUND AND PURPOSE According to Section 204.021, Labor Code, when an individual becomes unemployed, unemployment benefits are charged to the accounts of each employer for whom the employee worked during the claimed base period. This includes businesses who still employ the claimant on a periodic basis, so businesses are sometimes charged for unemployment benefits when individuals still remain in their employment. For example, if an individual holding a full-time job and a part-time periodic job is terminated from the full-time job and the individual claims unemployment benefits, then both the full-time and the part-time periodic employers would be charged for the benefits, even though the claimant has the part-time periodic job and still receives periodic paychecks from that business. H.B. 3436 prevents a business from being charged for unemployment benefits when an employee remains in its employment, even if it is periodic employment. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 204.021, Labor Code, to require the amount of benefits paid to a claimant for a benefit year to be charged to the account of each employer of the claimant for whom the claimant worked, rather than the accounts of each of the claimant's employers, during the claimant's base period. Prohibits benefits from being charged to the account of an employer for a claimant who remains in that employer's employment. Makes a conforming change. SECTION 2.Effective date: September 1, 1999. Makes application of this Act prospective. SECTION 3. Emergency clause.