SB366: Bill Text

Currently, an employer may transfer its obligations to pay UI contributions or reimbursements to a professional employer organization that meets certain conditions specified by law. Professional employer organizations are separately required to register with the Department of Regulation and Licensing (DRL), pay an annual registration fee, and meet certain financial responsibility requirements.

This bill provides that a professional employer organization does not qualify as such for UI purposes unless it is currently registered with DRL.

For further information see the state and local 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:

SB366, s. 1 Section 1. 108.02 (15) (f) 3. of the statutes is amended to read:

SB366,5,4 108.02 (15) (f) 3. As a member of a legislative body or the judiciary of a state or political subdivision, or as a member of an elective legislative body or the judiciary of an Indian tribe;

SB366, s. 2 Section 2. 108.02 (15) (f) 6. of the statutes is amended to read:

SB366,6,5 108.02 (15) (f) 6. In a position which, under or pursuant to the laws of this state, or of an Indian tribe, is designated as a major nontenured policymaking or advisory position, or is designated as a policymaking or advisory position the performance of the duties of which does not ordinarily require more than 8 hours per week.

SB366, s. 3 Section 3. 108.02 (15) (g) 1. of the statutes is amended to read:

SB366,6,11 108.02 (15) (g) 1. By an individual receiving work relief or work training as part of an unemployment work-relief or work-training program assisted or financed in whole or in part by any federal agency or by an agency of a state or political subdivision thereof or by an Indian tribe, unless otherwise required as a condition for participation by the unit or organization in such program;

SB366, s. 4 Section 4. 108.02 (15s) of the statutes is created to read:

SB366,6,14 108.02 (15s) Full-time work. "Full-time work" means work performed for 32 or more hours per week.

SB366, s. 5 Section 5. 108.02 (20m) of the statutes is created to read:

SB366,6,17 108.02 (20m) Part-time work. "Part-time work" means work performed for less than 32 hours per week.

SB366, s. 6 Section 6. 108.02 (21e) (intro.) of the statutes is amended to read:

SB366,7,2 108.02 (21e) Professional employer organization. (intro.) "Professional employer organization" means any person who is currently registered as a professional employer organization with the department of regulation and licensing in accordance with ch. 461, who contracts to provide the nontemporary, ongoing employee workforce of more than one client under a written leasing contract, the majority of whose clients are not under the same ownership, management, or control as the person other than through the terms of the contract, and who under contract and in fact:

SB366, s. 7 Section 7. 108.04 (7) (k) of the statutes is amended to read:

SB366,7,8 108.04 (7) (k) Paragraph (a) does not apply to an employee who terminates his or her part-time work consisting of not more than 30 hours per week if the employee is otherwise eligible to receive benefits because of the loss of the employee's full-time employment and the loss of the full-time employment makes it economically unfeasible for the employee to continue the part-time work.

SB366, s. 8 Section 8. 108.04 (7) (o) of the statutes is amended to read:

SB366,7,14 108.04 (7) (o) Paragraph (a) does not apply to an employee who terminates his or her work in one of 2 or more concurrently held positions, at least one of which consists of more than 30 hours per week is full-time work, if the employee terminates his or her work before receiving notice of termination from a position which consists of more than 30 hours per week is full-time work.

SB366, s. 9 Section 9. 108.04 (11) (be) (intro.) of the statutes is amended to read:

SB366,7,18 108.04 (11) (be) (intro.) A claimant shall forfeit benefits and be disqualified from receiving benefits for acts of concealment described in pars. (a) and (b) as follows:

SB366, s. 10 Section 10. 108.05 (3) (b) 1. a., b. and c. of the statutes are amended to read:

SB366,7,24 108.05 (3) (b) 1. a. The claimant works full time for that employer at least 35 hours in that week at the same or a greater rate of pay, excluding bonuses, incentives, overtime or any other supplement to the earnings, as the claimant was paid by that employer in that quarter of the claimant's base period in which the claimant was paid his or her highest wages;

SB366,8,4 b. The claimant receives from that employer sick pay, holiday pay, vacation pay or termination pay which, by itself or in combination with wages earned for work performed in that week for that employer, is equivalent to pay for at least 35 hours of full-time work at that same or a greater rate of pay; or

SB366,8,10 c. The amount that the claimant would have earned within that week from that employer in available work under s. 108.04 (1) (a) which is treated as wages under s. 108.04 (1) (bm), by itself or in combination with the wages earned for work performed in that week for that employer and the pay received under subd. 1. b., is equivalent to pay for at least 35 hours of full-time work at that same or a greater rate of pay.

SB366, s. 11 Section 11. 108.05 (3) (e) of the statutes is created to read:

SB366,8,18 108.05 (3) (e) For purposes of this subsection, a bonus or profit-sharing payment is considered to be earned in the week in which the bonus or payment is paid by the employer. A bonus or profit-sharing payment is considered to be paid on the date of the check if payment is made by check, on the date of direct deposit by the employer at a financial institution if payment is deposited by the employer to an employee's account at a financial institution, or on the date that the bonus or payment is received by the employee if any other method of payment is used.

SB366, s. 12 Section 12. 108.05 (7) (d) 1. (intro.) and a. of the statutes are consolidated, renumbered 108.05 (7) (d) 1. and amended to read:

SB366,9,2 108.05 (7) (d) 1. If a pension payment is not paid on a weekly basis, the department shall allocate and attribute the payment to specific weeks in accordance with subd. 2. if: a. The the payment is actually or constructively received on a periodic basis; or. If a pension payment is actually or constructively received on other than a periodic basis, the department shall allocate the payment to the week in which it is received.

SB366, s. 13 Section 13. 108.05 (7) (d) 1. b. of the statutes is renumbered 108.05 (7) (d) 1m. and amended to read:

SB366,9,9 108.05 (7) (d) 1m. The For purposes of this paragraph, a payment is actually or constructively received on other than a periodic basis and if it has become definitely allocated and payable to the claimant by the close of each such a given week, and the department has provided due notice to the claimant that the payment will be allocated in accordance with subd. 2. b. 1.

SB366, s. 14 Section 14. 108.05 (7) (d) 2. (intro.) and a. of the statutes are consolidated, renumbered 108.05 (7) (d) 2. and amended to read:

SB366,9,15 108.05 (7) (d) 2. The department shall allocate a pension payment as follows: a. If the payment that is is actually or constructively received on a periodic basis, the amount allocated by allocating to each week is the fraction of the payment attributable to that week.

SB366, s. 15 Section 15. 108.05 (7) (d) 2. b. of the statutes is repealed.

SB366, s. 16 Section 16. 108.10 (4) of the statutes is amended to read:

SB366,9,24 108.10 (4) The department or the employing unit may commence action for the judicial review of a commission decision under this section, provided the department, or the employing unit, after exhausting the remedies provided under this section, has commenced such action within 30 days after such decision was mailed to the employing unit's last-known address. The scope of judicial review, and the manner thereof insofar as applicable, shall be the same as that provided in s. 108.09 (7). In an action commenced by an employing unit under this section, the department shall be an adverse party under s. 102.23 (1) (a) and shall be named as a party in the complaint commencing the action.

SB366, s. 17 Section 17. 108.16 (6) (L) and (m) of the statutes are created to read:

SB366,10,8 108.16 (6) (L) The amount of any overpayments that are recovered by the department by setoff pursuant to s. 71.93 or the amount of any overpayments resulting from fraud that are recovered by the department by offset pursuant to section 6402 (f) of the federal Internal Revenue Code in effect on June 1, 2009, or a similar federal program.

SB366,10,12 (m) Any amounts collected from assessments levied under s. 108.19 (1m) exceeding the amounts needed to pay interest due on advances from the federal unemployment account under title XII of the Social Security Act (42 USC 1321 to 1324).

SB366, s. 18 Section 18. 108.16 (6m) (g) of the statutes is created to read:

SB366,10,16 108.16 (6m) (g) Any payments of fees or expenses assessed by the U.S. secretary of the treasury under section 6402 (f) of the federal Internal Revenue Code in effect on June 1, 2009, or a similar federal program.

SB366, s. 19 Section 19. 108.16 (10) of the statutes is amended to read:

SB366,11,2 108.16 (10) All money withdrawn from the fund shall be used solely in the payment of benefits, exclusive of expenses of administration, and for refunds of sums erroneously paid into the fund, for refund of a positive net balance in an employer's reimbursement account under ss. 108.15 (4) and 108.151 (5) on request by the employer, and for expenditures made pursuant to s. 108.161 and consistently with the federal limitations applicable to s. 108.161, and for payment of fees and expenses for collection of overpayments resulting from fraud that are assessed by the U.S. secretary of the treasury under section 6402 (f) of the federal Internal Revenue Code in effect on June 1, 2009, or a similar federal program.

SB366, s. 20 Section 20. 108.18 (7) (d) of the statutes is amended to read:

SB366,11,7 108.18 (7) (d) A payment under this subsection is timely if it is received by the department no later than November 30 following the computation date for the calendar year to which it applies, or if mailed is either postmarked no later than that date or is received by the department no later than 3 days after that date.

SB366, s. 21 Section 21. 108.19 (1m) of the statutes is amended to read:

SB366,11,24 108.19 (1m) Each employer subject to this chapter as of the date a rate is established under this subsection shall pay an assessment to the administrative account at a rate established by the department sufficient to pay interest due on advances from the federal unemployment account under title XII of the social security act (42 USC 1321 to 1324). The rate established by the department for employers who finance benefits under s. 108.15 (2), 108.151 (2), or 108.152 (1) shall be 75% of the rate established for other employers. The amount of any employer's assessment shall be the product of the rate established for that employer multiplied by the employer's payroll of the previous calendar year as taken from quarterly employment and wage reports filed by the employer under s. 108.205 (1) or, in the absence of the filing of such reports, estimates made by the department. Each assessment made under this subsection is due on the 30th day commencing after the date on which notice of the assessment is mailed by the department. If the amounts collected under this subsection are in excess of the amounts needed to pay interest due, the amounts excess shall be retained in the administrative account and utilized for the purposes specified in s. 108.20 (2m) credited to the balancing account.

SB366, s. 22 Section 22. 108.20 (3) of the statutes is amended to read:

SB366,12,4 108.20 (3) There shall be included in the moneys governed by sub. (2m) any amounts collected by the department under ss. 108.04 (11) (c) and (cm) and 108.22 (1) (a), (ac), (ad), and (af) as tardy filing fees, forfeitures, interest on delinquent payments, or other penalties and any excess moneys collected under s. 108.19 (1m).

SB366, s. 23 Section 23. 108.22 (8) (b) 1. of the statutes is renumbered 108.22 (8) (b) 1. (intro.) and amended to read:

SB366,12,9 108.22 (8) (b) 1. (intro.) To recover any overpayment to an individual which is not otherwise repaid or recovery of which has not been waived, the department may recoup the amount of the overpayment by:

SB366,12,11 a. Deducting the amount of the overpayment from benefits the individual would otherwise be eligible to receive, or file;

SB366,12,13 b. Filing a warrant against the liable individual in the same manner as is provided in this section for collecting delinquent payments from employers, or both;

SB366, s. 24 Section 24. 108.22 (8) (b) 1. c. and d. of the statutes are created to read:

SB366,12,16 108.22 (8) (b) 1. c. Setting off the amount of the overpayment against a refund or disbursement due pursuant to s. 71.93; or

SB366,12,19 d. If the overpayment results from fraud, offsetting the amount of the overpayment against a federal tax refund as provided in section 6402 (f) of the federal Internal Revenue Code in effect on June 1, 2009, or a similar federal program.

SB366, s. 25 Section 25. 108.24 (3) of the statutes is renumbered 108.24 (3) (a) (intro.) and amended to read:

SB366,12,24 108.24 (3) (a) (intro.) Any person who makes Whoever does any of the following shall be fined not less than $100 nor more than $1,000 or imprisoned for not more than 90 days or both:

SB366,13,3 1. Makes a deduction from the wages of an employee because of liability for contributions or payments in lieu of contributions under this chapter or because of the employee's potential right to benefits, or who knowingly.

SB366,13,6 2. Knowingly refuses or fails to furnish to an employee any notice, report or information duly required under this chapter by the department to be furnished to such employee, or who, directly.

SB366,13,9 3. Directly or indirectly, by promise of reemployment or by threat not to employ, to terminate, or not to reemploy or by any other means, attempts to induce an employee to refrain:

SB366,13,12 a. Refrain from claiming or accepting benefits or to waive, participating in an audit or investigation by the department, or testifying in a hearing held under s, 108.09 or 108.10.

SB366,13,17 b. Waive any other right under this chapter, or whose rehiring policy has discriminated against a former employee by reason of their having claimed benefits, shall be fined not less than $100 nor more than $500 or imprisoned not more than 90 days, or both; and each such deduction from wages, every day of such refusal or failure, and each such attempt to induce.

SB366,13,18 (b) Each violation of this subsection constitutes a separate offense.

SB366, s. 26 Section 26. 108.24 (3) (a) 4. of the statutes is created to read:

SB366,13,23 108.24 (3) (a) 4. Discriminates or retaliates against an individual because the individual claims benefits, participates in an audit or investigation by the department under this chapter, testifies in a hearing under s. 108.09 or 108.10, or exercises any other right under this chapter.

SB366, s. 27 Section 27. Nonstatutory provisions.

SB366,14,6 (1) Within 30 days after the effective date of this subsection, the treasurer of the unemployment reserve fund shall transfer from the administrative account of the fund to the balancing account of the fund any amount of money in the administrative account as of the date of the transfer that is derived from assessments for interest payments made under section 108.19 (1m) of the statutes and is in excess of the amount needed to make those payments.

SB366, s. 28 Section 28. Initial applicability.

SB366,14,14 (1) The treatment of section 108.02 (21) (e) (intro.) of the statutes (with respect to liability for contributions and reimbursements) first applies with respect to determinations issued under section 108.10 of the statutes beginning with the first quarter beginning after the effective date of this subsection or, with respect to determinations that are appealed, to decisions issued under section 108.10 of the statutes beginning with the first quarter beginning after the effective date of this subsection.

SB366,14,18 (2) The treatment of section 108.02 (21) (e) (intro.) of the statutes (with respect to payment of benefits) first applies with respect to benefit years beginning on the first Sunday after the beginning of the the 3rd quarter beginning after the effective date of this subsection.

SB366,14,22 (3) The treatment of sections 108.02 (15s) and (20m) (with respect to benefits for partial unemployment) and 108.05 (3) (b) 1. a., b., and c. of the statutes first applies with respect to weeks of unemployment beginning on the effective date of this subsection.

SB366,14,24 (4) The treatment of section 108.05 (3) (e) of the statutes first applies with respect to weeks of unemployment beginning on the effective date of this subsection.

SB366,15,5 (5) The treatment of section 108.16 (6) (L) and (m), (6m) (g), and (10) of the statutes, the renumbering and amendment of section 108.22 (8) (b) 1. of the statutes, and the creation of section 108.22 (8) (b) 1. c. and d. of the statutes first apply with respect to satisfaction of liabilities outstanding on the effective date of this subsection.

SB366,15,9 (6) The treatment of section 108.05 (7) (d) 1. (intro.), a., and b. and 2. (intro.), a., and b. of the statutes first applies with respect to pension payments that are received on other than a periodic basis in weeks of unemployment beginning on or after the effective date of this subsection.

SB366,15,11 (7) The treatment of section 108.18 (7) (d) of the statutes first applies with respect to voluntary contributions made for calendar year 2011.

SB366,15,15 (8) The treatment of sections 108.02 (15s) and (20m) (with respect to terminations of employment) and 108.04 (7) (k) and (o) of the statutes first applies with respect to voluntary terminations of employment occurring on the effective date of this subsection.

SB366, s. 29 Section 29. Effective date.

SB366,15,17 (1) This act takes effect on the first Sunday after publication.

SB366,15,18 (End)