Charging of certain benefits for claimants enrolled in approved training
Under current law, if a claimant who is enrolled in employment-related
training approved by DWD is paid benefits for which the claimant would otherwise
be ineligible because the claimant has terminated his or her work or failed to accept
suitable work or recall to work and is unable to work or unavailable for work or has
failed to meet work search requirements, the costs of the benefits is charged to the
balancing account of the unemployment reserve fund (which is financed from
contributions of all employers that are subject to a requirement to pay contributions)
instead of to the account or accounts of the claimant's employer or employers. This
bill specifically applies this noncharging procedure only with respect to an employer
from which the claimant terminated his or her work or refused to accept a recall to
work.
Study of unemployment reserve fund
This bill directs DWD to study the long-term fiscal stability of the
unemployment reserve fund. The bill directs DWD to report the results of its study
to the Council on Unemployment Insurance no later than July 1, 2007.
Because this bill creates a new crime or revises a penalty for an existing crime,
the Joint Review Committee on Criminal Penalties may be requested to prepare a
report concerning the proposed penalty and the costs or savings that are likely to
result if the bill is enacted.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB867, s. 1
1Section
1. 20.005 (3) (schedule) of the statutes: at the appropriate place, insert
2the following amounts for the purposes indicated:
-
See PDF for table AB867, s. 2
3Section
2. 20.445 (1) (gd) of the statutes is amended to read:
AB867,11,12
120.445
(1) (gd)
Unemployment interest and penalty payments. From the
2moneys received as interest and penalties collected under ss. 108.04 (11) (c) and (cm)
3and 108.22, assessments under s. 108.19 (1m)
, and forfeitures under s. 103.05 (5), all
4moneys not appropriated under pars. (ge), (gf)
and, (gg)
, and (gi), and all moneys
5transferred to this appropriation account from the appropriation account under par.
6(gh) for the payment of benefits specified in s. 108.07 (5) and
1987 Wisconsin Act 38,
7section
132 (1) (c), for the payment of interest to employers under s. 108.17 (3m), for
8the payment of interest due on advances from the federal unemployment account
9under title XII of the social security act to the unemployment reserve fund, and for
10payments made to the unemployment reserve fund to obtain a lower interest rate or
11deferral of interest payments on these advances, except as otherwise provided in s.
12108.20.
AB867, s. 3
13Section
3. 20.445 (1) (gi) of the statutes is created to read:
AB867,11,1714
20.445
(1) (gi)
Unemployment insurance law enforcement. From the moneys
15received as interest and penalties collected under ss. 108.04 (11) (c) and (cm) and (13)
16(c) and 108.22, as a continuing appropriation, the amounts in the schedule for the
17purpose of assisting the department of justice in the enforcement of ch. 108.
AB867, s. 4
18Section
4. 20.445 (1) (nb) of the statutes is amended to read:
AB867,12,519
20.445
(1) (nb)
Unemployment administration; information technology
20systems; federal moneys. From the moneys received from the federal government
21under section 903 (d) of the federal Social Security Act, as amended, as a continuing
22appropriation, the amounts in the schedule, as authorized by the governor under s.
2316.54, for the purpose specified in s. 108.19 (1e) (d). All moneys transferred from par.
24(n) for this purpose shall be credited to this appropriation account.
Notwithstanding
25s. 20.001 (
3) (a), the treasurer of the unemployment reserve fund shall transfer any
1unencumbered balance in this appropriation account that is not needed or available
2to carry out the purpose of this appropriation to the appropriation account under par.
3(n). No moneys may be expended from this appropriation unless the treasurer of the
4unemployment reserve fund determines that such expenditure is currently needed
5for the purpose specified in s. 108.19 (1e) (d).
AB867, s. 5
6Section
5. 20.445 (1) (nc) of the statutes is amended to read:
AB867,12,137
20.445
(1) (nc)
Unemployment insurance administration; special federal
8moneys. All moneys received from the federal government under section 903 of the
9federal Social Security Act, as amended, for federal fiscal years 2000 and 2001 and
10the first
$2,289,107 $3,289,107 of the moneys received from the federal government
11under that act for federal fiscal year 2002, as authorized by the governor under s.
1216.54, to be used for administration of unemployment insurance.
No moneys may
13be encumbered or expended from this appropriation after September 30, 2007.
AB867, s. 6
14Section
6. 20.445 (1) (nd) of the statutes is amended to read:
AB867,13,215
20.445
(1) (nd)
Unemployment insurance administration; apprenticeship. 16From the moneys received from the federal government under section 903 (d) of the
17federal Social Security Act, as amended, the amounts in the schedule, as authorized
18by the governor under s. 16.54, to be used for administration by the department of
19apprenticeship programs under subch. I of ch. 106. All moneys transferred from par.
20(n) for this purpose shall be credited to this appropriation account.
Notwithstanding
21s. 20.001 (3) (a), the treasurer of the unemployment reserve fund shall transfer any
22unencumbered balance in this appropriation account that is not needed or available
23to carry out the purpose of this appropriation to the appropriation account under par.
24(n). No moneys may be expended from this appropriation unless the treasurer of the
1unemployment reserve fund determines that such expenditure is currently needed
2for the purpose specified in this paragraph.
AB867, s. 7
3Section
7. 20.445 (1) (ne) of the statutes is amended to read:
AB867,13,144
20.445
(1) (ne)
Unemployment administration; bank service costs. From the
5moneys received by this state under section 903 (d) of the federal Social Security Act,
6as amended, all moneys transferred from the appropriation account under par. (n)
7to be used for the payment of the cost of banking services incurred by the
8unemployment reserve fund.
Notwithstanding s. 20.001 (3) (c), the treasurer of the
9unemployment reserve fund shall transfer any unencumbered balance in this
10appropriation account that is not needed or available to carry out the purpose of this
11appropriation to the appropriation account under par. (n). No moneys may be
12expended from this appropriation unless the treasurer of the unemployment reserve
13fund determines that such expenditure is currently needed for the purpose specified
14in this paragraph.
AB867, s. 8
15Section
8. 108.02 (12) (a) of the statutes is amended to read:
AB867,13,1916
108.02
(12) (a) "Employee" means any individual who is or has been performing
17services
for pay for an employing unit,
in an employment, whether or not the
18individual is paid directly by
such the employing unit
;, except as provided in par. (b),
19(bm), (c), (d), (dm) or (dn).
AB867, s. 9
20Section
9. 108.02 (12) (dm) of the statutes is amended to read:
AB867,13,2321
108.02
(12) (dm) Paragraph (a) does not apply to an individual who owns a
22business that operates as a sole proprietorship
with respect to services the individual
23performs for that business.
AB867, s. 10
24Section
10. 108.02 (12) (dn) of the statutes is amended to read:
AB867,14,3
1108.02
(12) (dn) Paragraph (a) does not apply to a partner in a business that
2operates as a partnership
with respect to services the partner performs for that
3business.
AB867, s. 11
4Section
11. 108.02 (15) (j) 5. and 6. of the statutes are amended to read:
AB867,14,95
108.02
(15) (j) 5. In any quarter in the employ of any organization exempt from
6federal income tax under section
501 (a) of the internal revenue code, other than an
7organization described in section 401 (a) or 501 (c) (3) of such code, or under section
8521 of the internal revenue code, if the remuneration for such service is less than $50;
9or
AB867,14,1610
6. By a nonresident alien for the period that he or she is temporarily present
11in the United States as a nonimmigrant under
8 USC 1101 (a) (15) (F), (J), (M), or
12(Q), if the service is performed to carry out the purpose for which the alien is admitted
13to the United States, as provided in
8 USC 1101 (a) (15) (F), (J), (M), or (Q), or by the
14spouse or minor child of such an alien if the spouse or child was also admitted to the
15United States under
8 USC 1101 (a) (15) (F), (J), (M), or (Q) for the same purpose
.;
16or
AB867, s. 12
17Section
12. 108.02 (15) (j) 7. of the statutes is created to read:
AB867,14,2218
108.02
(15) (j) 7. By an individual who is a participant in the AmeriCorps
19program in a program that is funded under
42 USC 12581 (a) or (d) (1) or (2), except
20service performed pursuant to a professional corps program as described in
42 USC
2112572 (a) (8) or service performed pursuant to an innovative education award only
22program under
42 USC 12653 (b).
AB867, s. 13
23Section
13. 108.02 (15) (k) 14. of the statutes is repealed.
AB867, s. 14
24Section
14. 108.02 (21) (b) of the statutes is amended to read:
AB867,15,5
1108.02
(21) (b) Notwithstanding par. (a),
except as provided in s. 108.151 (7)_
2(a), an employer's payroll includes only the first $10,500 of wages paid by an
3employer to an individual during a calendar year, including any wages paid for any
4work covered by the unemployment insurance law of any other state, except as
5authorized in s. 108.17 (5).
AB867, s. 15
6Section
15. 108.02 (21e) (intro.) and (b) of the statutes are amended to read:
AB867,15,127
108.02
(21e) Professional employer organization. (intro.) "Professional
8employer organization" means any person who contracts to provide the
9nontemporary, ongoing employee workforce of
a client
more than one client under
10a written leasing contract
, the majority of whose clients are not under the same
11ownership, management, or control as the person other than through the terms of
12the contract, and who under contract and in fact:
AB867,15,1413
(b) Sets the rate of pay of the employees, whether or not through negotiations
14and whether or not the responsibility to set the rate of pay is shared with the client;
AB867, s. 16
15Section
16. 108.04 (1) (b) 1. of the statutes is amended to read:
AB867,15,2016
108.04
(1) (b) 1. While the employee is unable to work, or unavailable for work,
17if his or her employment with an employer was suspended by the employee or by the
18employer or was terminated by the employer because the employee was unable to do,
19or unavailable for, suitable work otherwise available with the employer
, except as
20provided in par. (c);
AB867, s. 17
21Section
17. 108.04 (1) (b) 3. (intro.) of the statutes is amended to read:
AB867,15,2422
108.04
(1) (b) 3. While the employee is on family or medical leave under the
23federal family and medical leave act of 1993 (P.L.
103-3) or s. 103.10,
and except as
24provided in par. (c), until whichever of the following occurs first:
AB867, s. 18
25Section
18. 108.04 (1) (c) of the statutes is amended to read:
AB867,16,14
1108.04
(1) (c) If a leave of absence
under par. (b) 2. or a family or medical leave
2under par. (b) 3. is granted to an employee for a portion of a week,
if an employee is
3absent for only a portion of the available work in a week due to a suspension under
4par. (b) 1., or if an employee is absent for only a portion of the available work in a week
5in which a termination under par. (b) 1. occurs, the employee's eligibility for benefits
6for that partial week shall be reduced by the amount of wages that the employee
7could have earned in his or her work had the leave not been granted
or had the
8suspension or termination not occurred. For purposes of this paragraph, the
9department shall treat the amount the employee would have earned as wages in that
10work for that week as wages earned by the employee and shall apply the method
11specified in s. 108.05 (3) (a) to compute the benefits payable to the employee. The
12department shall estimate the wages that an employee would have earned for a
13partial week if it is not possible to compute the exact amount of wages that the
14employee would have earned for that partial week.
AB867, s. 19
15Section
19. 108.04 (1) (e) of the statutes is repealed.
AB867, s. 20
16Section
20. 108.04 (5) of the statutes is amended to read:
AB867,17,1117
108.04
(5) Discharge for misconduct.
An Unless sub. (5g) applies, an 18employee whose work is terminated by an employing unit for misconduct connected
19with the employee's work is ineligible to receive benefits until 7 weeks have elapsed
20since the end of the week in which the discharge occurs and the employee earns
21wages after the week in which the discharge occurs equal to at least 14 times the
22employee's weekly benefit rate under s. 108.05 (1) in employment or other work
23covered by the unemployment insurance law of any state or the federal government.
24For purposes of requalification, the employee's weekly benefit rate shall be that rate
25which would have been paid had the discharge not occurred. The wages paid to an
1employee by an employer which terminates employment of the employee for
2misconduct connected with the employee's employment shall be excluded from the
3employee's base period wages under s. 108.06 (1) for purposes of benefit entitlement.
4This subsection does not preclude an employee who has employment with an
5employer other than the employer which terminated the employee for misconduct
6from establishing a benefit year using the base period wages excluded under this
7subsection if the employee qualifies to establish a benefit year under s. 108.06 (2) (a).
8The department shall charge to the fund's balancing account any benefits otherwise
9chargeable to the account of an employer that is subject to the contribution
10requirements under ss. 108.17 and 108.18 from which base period wages are
11excluded under this subsection.
AB867, s. 21
12Section
21. 108.04 (5g) of the statutes is created to read:
AB867,17,2313
108.04
(5g) Discharge for failure to notify employer of absenteeism or
14tardiness. (a) If an employee is discharged for failing to notify his or her employer
15of absenteeism or tardiness that becomes excessive, and the employer has complied
16with the requirements of par. (d) with respect to that employee, the employee is
17ineligible to receive benefits until 6 weeks have elapsed since the end of the week in
18which the discharge occurs and the employee earns wages after the week in which
19the discharge occurs equal to at least 6 times the employee's weekly benefit rate
20under s. 108.05 (1) in employment or other work covered by the unemployment
21insurance law of any state or the federal government. For purposes of
22requalification, the employee's weekly benefit rate shall be the rate that would have
23been paid had the discharge not occurred.
AB867,18,3
1(b) For purposes of this subsection, tardiness becomes excessive if an employee
2is late for 6 or more scheduled workdays in the 12-month period preceding the date
3of the discharge without providing adequate notice to his or her employer.
AB867,18,74
(c) For purposes of this subsection, absenteeism becomes excessive if an
5employee is absent for 5 or more scheduled workdays in the 12-month period
6preceding the date of the discharge without providing adequate notice to his or her
7employer.
AB867,18,98
(d) 1. The requalifying requirements under par. (a) apply only if the employer
9has a written policy on notification of tardiness or absences that:
AB867,18,1010
a. Defines what constitutes a single occurrence of tardiness or absenteeism;
AB867,18,1211
b. Describes the process for providing adequate notice of tardiness or absence;
12and
AB867,18,1413
c. Notifies the employee that failure to provide adequate notice of an absence
14or tardiness may lead to discharge.
AB867,18,1715
2. The employer shall provide a copy of the written policy under subd. 1. to each
16employee and shall have written evidence that the employee received a copy of that
17policy.
AB867,18,2018
3. The employer must have given the employee at least one warning concerning
19the employee's violation of the employer's written policy under subd. 1. within the
2012-month period preceding the date of the discharge.
AB867,18,2221
4. The employer must apply the written policy under subd. 1. uniformly to all
22employees of the employer.
AB867,19,223
(e) The department shall charge to the fund's balancing account the cost of any
24benefits paid to an employee that are otherwise chargeable to the account of an
1employer that is subject to the contribution requirements under ss. 108.17 and
2108.18 if the employee is discharged by that employer and par. (a) applies.
AB867,19,63
(f) This subsection applies only to discharges occurring during the period
4beginning on the first Sunday that follows the 90th day beginning after the effective
5date of this paragraph .... [revisor inserts date], and ending on the last day of the
64-year period that begins on that Sunday.
AB867, s. 22
7Section
22. 108.04 (7) (f) of the statutes is repealed.
AB867, s. 23
8Section
23. 108.04 (13) (c) of the statutes is amended to read:
AB867,20,79
108.04
(13) (c) If an employer, after notice of a benefit claim, fails to file an
10objection to the claim under s. 108.09 (1), any benefits allowable under any resulting
11benefit computation shall, unless the department applies a provision of this chapter
12to disqualify the claimant, be promptly paid. Except as otherwise provided in this
13paragraph, any eligibility question in objection to the claim raised by the employer
14after benefit payments to the claimant are commenced does not affect benefits paid
15prior to the end of the week in which a determination is issued as to the eligibility
16question unless the benefits are erroneously paid without fault on the part of the
17employer.
If, during the period beginning on January 1, 2006, and ending on June
1828, 2008, an employer fails to provide correct and complete information requested by
19the department during a fact-finding investigation, but later provides the requested
20information, charges to the employer's account for benefits paid prior to the end of
21the week in which a redetermination is issued regarding the matter or, if no
22redetermination is issued, prior to the end of the week in which an appeal tribunal
23decision is issued regarding the matter, are not affected by the redetermination or
24decision, except as provided in par. (g). If benefits are erroneously paid because the
25employer and the employee are at fault, the department shall charge the employer
1for the benefits and proceed to create an overpayment under s. 108.22 (8) (a). If
2benefits are erroneously paid without fault on the part of the employer, regardless
3of whether the employee is at fault, the department shall charge the benefits as
4provided in par. (d), unless par. (e) applies, and proceed to create an overpayment
5under s. 108.22 (8) (a). If benefits are erroneously paid because an employer is at
6fault and the department recovers the benefits erroneously paid under s. 108.22 (8),
7the recovery does not affect benefit charges made under this paragraph.
AB867, s. 24
8Section
24. 108.04 (13) (e) of the statutes is amended to read:
AB867,20,259
108.04
(13) (e) If the department erroneously pays benefits from one
10employer's account and a 2nd employer is at fault, the department shall credit the
11benefits paid to the first employer's account and charge the benefits paid to the 2nd
12employer's account. Filing of a tardy or corrected report or objection does not affect
13the 2nd employer's liability for benefits paid prior to the end of the week in which the
14department makes a recomputation of the benefits allowable or prior to the end of
15the week in which the department issues a determination concerning any eligibility
16question raised by the report or by the 2nd employer.
If, during the period beginning
17on January 1, 2006, and ending on June 28, 2008, the 2nd employer fails to provide
18correct and complete information requested by the department during a fact-finding
19investigation, but later provides the requested information, the department shall
20charge to the account of the 2nd employer the cost of benefits paid prior to the end
21of the week in which a redetermination is issued regarding the matter or, if no
22redetermination is issued, prior to the end of the week in which an appeal tribunal
23decision is issued regarding the matter, except as provided in par. (g). If the
24department recovers the benefits erroneously paid under s. 108.22 (8), the recovery
25does not affect benefit charges made under this paragraph.
AB867, s. 25
1Section
25. 108.04 (13) (g) of the statutes is created to read:
AB867,21,72
108.04
(13) (g) During the period beginning on January 1, 2006, and ending on
3June 28, 2008, if benefits are erroneously paid because an employer fails to provide
4correct and complete information requested by the department during a fact-finding
5investigation, the employer is at fault unless an appeal tribunal, the commission, or
6a court of competent jurisdiction finds that the employer had good cause for the
7failure to provide the information.
AB867, s. 26
8Section
26. 108.04 (16) (b) of the statutes is amended to read:
AB867,21,129
108.04
(16) (b) The department shall not apply any benefit disqualification
10under sub. (1) (b) 1.,
(2) (a) or (d), (7) (c), or (8) (e) or s. 108.141 (3g) that is not the
11result of training or basic education under par. (a) while an individual is enrolled in
12a course of training or education that meets the standards specified in par. (a).
AB867, s. 27
13Section
27. 108.04 (16) (c) 2. of the statutes is amended to read:
AB867,21,1614
108.04
(16) (c) 2. The department shall not apply benefit disqualifications
15under sub. (1) (b) 1.,
(2) (a) or (d), (7) (c), or (8) (e) or s. 108.141 (3g) that are not the
16result of the training while the individual is enrolled in the training.
AB867, s. 28
17Section
28. 108.05 (1) (j) to (m) of the statutes are repealed.
AB867, s. 29
18Section
29. 108.05 (1) (n) (intro.) of the statutes is amended to read:
AB867,22,719
108.05
(1) (n) (intro.) Each eligible employee shall be paid benefits for each
20week of total unemployment which commences on or after December 29, 2002,
and
21before January 1, 2006, at the weekly benefit rate specified in this paragraph.
22Unless sub. (1m) applies, the weekly benefit rate shall equal 4% of the employee's
23base period wages which were paid during that quarter of the employee's base period
24in which the employee was paid the highest total wages, rounded down to the nearest
25whole dollar, except that, if that amount is less than the minimum amount shown
1in the following schedule, no benefits are payable to the employee and, if that amount
2is more than the maximum amount shown in the following schedule, the employee's
3weekly benefit rate shall be the maximum amount shown in the following schedule
4and except that, if the employee's benefits are exhausted during any week under s.
5108.06 (1), the employee shall be paid the remaining amount of benefits payable to
6the employee in lieu of the amount shown in the following schedule: [See Figure
7108.05 (1) (n) following]
AB867, s. 30
8Section
30. 108.05 (1) (o) and (p) of the statutes are created to read:
AB867,23,29
108.05
(1) (o) Each eligible employee shall be paid benefits for each week of
10total unemployment that commences on or after January 1, 2006, and before
11January 7, 2007, at the weekly benefit rate specified in this paragraph. Unless sub.
12(1m) applies, the weekly benefit rate shall equal 4 percent of the employee's base
13period wages that were paid during that quarter of the employee's base period in
14which the employee was paid the highest total wages, rounded down to the nearest
15whole dollar, except that, if that amount is less than the minimum amount shown
16in the following schedule, no benefits are payable to the employee and, if that amount
17is more than the maximum amount shown in the following schedule, the employee's
18weekly benefit rate shall be the maximum amount shown in the following schedule
19and except that, if the employee's benefits are exhausted during any week under s.
20108.06 (1), the employee shall be paid the remaining amount of benefits payable to
1the employee in lieu of the amount shown in the following schedule: [See Figure
2108.05 (1) (o) following]
AB867,23,4
4Figure 108.05 (1) (o):
AB867,36,21
(p) Each eligible employee shall be paid benefits for each week of total
2unemployment that commences on or after January 7, 2007, at the weekly benefit
3rate specified in this paragraph. Unless sub. (1m) applies, the weekly benefit rate
4shall equal 4 percent of the employee's base period wages that were paid during that
5quarter of the employee's base period in which the employee was paid the highest
6total wages, rounded down to the nearest whole dollar, except that, if that amount
7is less than the minimum amount shown in the following schedule, no benefits are
8payable to the employee and, if that amount is more than the maximum amount
9shown in the following schedule, the employee's weekly benefit rate shall be the
10maximum amount shown in the following schedule and except that, if the employee's
11benefits are exhausted during any week under s. 108.06 (1), the employee shall be
1paid the remaining amount of benefits payable to the employee in lieu of the amount
2shown in the following schedule: [See Figure 108.05 (1) (p) following]
AB867,36,4
4Figure 108.05 (1) (p):
AB867, s. 31
1Section
31. 108.05 (3) (a) of the statutes is amended to read:
AB867,49,14
1108.05
(3) (a) Except as provided in pars. (b) and (c), if an eligible employee
2earns wages in a given week, the first $30 of the wages shall be disregarded and the
3employee's applicable weekly benefit payment shall be reduced by 67% of the
4remaining amount, except that no such employee is eligible for benefits if the
5employee's benefit payment would be less than $5 for any week. For purposes of this
6paragraph, "wages" includes any salary reduction amounts earned that are not
7wages and that are deducted from the salary of a claimant by an employer pursuant
8to a salary reduction agreement under a cafeteria plan, within the meaning of
26
9USC 125, and any amount that a claimant would have earned in available work
10which is treated as wages under s. 108.04 (1) (a)
, but excludes any amount that a
11claimant earns for services performed as a volunteer fire fighter, volunteer
12emergency medical technician or volunteer `first responder. In applying this
13paragraph, the department shall disregard discrepancies of less than $2 between
14wages reported by employees and employers.
AB867, s. 32
15Section
32. 108.05 (10) (b) of the statutes is amended to read:
AB867,49,1616
108.05
(10) (b) Second, to recover overpayments under s. 108.22 (8) (b)
1.
AB867, s. 33
17Section
33. 108.068 (2) of the statutes is amended to read: