Report Title:

Unemployment Insurance; Weekly Benefits

Description:

Encourages eligible claimants of unemployment insurance to seek gainful employment by permitting claimants to receive their weekly benefit amount without regard to earnings received from employment. Allows for the use of federal Reed Act funds to offset anticipated increases in unemployment insurance claims. (SD1)

HOUSE OF REPRESENTATIVES

H.B. NO.

1774

TWENTY-SECOND LEGISLATURE, 2004

H.D. 2

STATE OF HAWAII

S.D. 1


 

A BILL FOR AN ACT

 

RELATING TO UNEMPLOYMENT BENEFITS.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature finds that section 383-23, Hawaii Revised Statutes, is not compatible with prevailing wages and serves as a disincentive for those seeking additional employment because the statute imposes a greater restriction on individuals seeking to maximize work opportunity and penalizes those individuals with multiple employers. The legislature further finds that amending section 383-23, Hawaii Revised Statutes, serves the public interest by encouraging individuals to seek gainful employment.

The purpose of this Act is to maximize the weekly benefit amount that an eligible individual who is unemployed is entitled to receive, regardless of the wages earned by the eligible individual.

SECTION 2. Section 383-23, Hawaii Revised Statutes, is amended to read as follows:

"383-23 Weekly benefit for unemployment. [For weeks beginning prior to January 5, 1992, each eligible individual who is unemployed, as defined in section 383-1, in any week shall be paid with respect to that week a benefit in an amount equal to the individual's weekly benefit amount less that part of the wages (if any) payable to the individual with respect to that week which is in excess of $2.] Effective for weeks beginning January 5, 1992, and thereafter, each eligible individual who is unemployed, as defined in section 383-1, in any week shall be paid with respect to that week a benefit in an amount equal to the individual's weekly benefit amount less that part of the wages (if any) payable to the individual with respect to that week which is in excess of $50. Effective for weeks beginning January 1, 2004, and thereafter, each eligible individual who is unemployed, as defined in section 383-1, in any week shall be paid with respect to that week a benefit in an amount equal to the individual's weekly benefit amount. The benefit, if not a multiple of $1, shall be computed to the next higher multiple of $1."

SECTION 3. The funds payable under this Act shall be withdrawn from the unemployment compensation trust fund pursuant to sections 383-121 to 383-123, Hawaii Revised Statutes. If necessary, additional moneys may be allocated from federal Reed Act funds and used for the payment of expenses incurred for the administration of unemployment compensation benefits.

SECTION 4. No provision contained in this Act shall apply to the payment of unemployment insurance benefits if that provision conflicts with federal statutes and jeopardizes the receipt of federal administrative funding under the Reed Act.

In the event any provision in this Act jeopardizes the receipt of federal funds, the governor is authorized to revise any provision of this Act to the extent required to maximize the receipt of federal funds. The governor shall promptly report any such revision and reasons therefor to the legislature at the next legislative session thereafter.

SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 6. This Act shall take effect on July 1, 2004.