Labor and Public Employees Committee

JOINT FAVORABLE REPORT

Bill No.:

SB-611

Title:

AN ACT CONCERNING THE CHARGING OF UNEMPLOYMENT COMPENSATION BENEFITS TO EMPLOYERS.

Vote Date:

3/2/2017

Vote Action:

Joint Favorable

PH Date:

2/14/2017

File No.:

84

SPONSORS OF BILL:

Labor and Public Employees Committee

REASONS FOR BILL:

This bill is needed to end the requirement of employers paying unemployment compensation benefits when an employee voluntarily terminates their own employment and then their new job is terminated. This would release the original employer from paying the unemployment compensation.

RESPONSE FROM ADMINISTRATION/AGENCY:

Scott Jackson, Commissioner, CT Department of Labor

Although the language in this bill is limited, it appears to exempt an employer from whom an employee has left voluntarily from charges related to the individual's subsequent separation from employment with a different employer. However, this is already being done with taxable employers. Generally, as long as a taxable employer timely and accurately submits a statement as to the facts of the voluntary separation, the employer is relieved of the charges. Also, any proposed that impacts that Unemployment Compensation Act should be reviewed as a comprehensive reform package that looks at both the eligibility for and the financing of unemployment benefits. Finally, additional funding would be necessary to implement the necessary information technological modifications and existing federal grant funds could be jeopardized.

Senator Kevin Witkos

This bill would ensure any employer who has an employee voluntarily leave for another job and who then loses the new job would not have their experience rating altered as a result of that employee collecting unemployment benefits.

NATURE AND SOURCES OF SUPPORT:

None Submitted.

NATURE AND SOURCES OF OPPOSITION:

None Submitted.

Reported by: Marie Knudsen

March 17, 2017