Wednesday, August 12, 2015

Bill would increase unemployment comp for seasonal, construction workers



More seasonal employees would be eligible for unemployment compensation in Pennsylvania under a bill designed to protect construction workers.

House Bill 1477, introduced in the Pennsylvania House of Representatives Monday by Rep. Gene DiGirolamo (R-Bucks County), would repeal portions of Act 60 of 2012.


Republican-backed Act 60 was designed to eliminate the state’s $3.9 billion unemployment compensation debt to the federal government. One aspect of the plan made it more difficult for seasonal employees to qualify for benefits. 

DiGirolamo said in a co-sponsorship memo that Act 60 had the “unintended” impact of creating eligibility difficulties for employees in building trades and highway and utility construction.

“This bill makes the necessary changes needed to have a positive impact and correct the problems associated with, and now being felt by, the enactment of Act 60 of 2012, particularly for [c]onstruction workers in seasonally impacted occupations,” he wrote.

Unemployment compensation eligibility is based on a formula that compares the total yearly earnings of an employee to his or her highest-earning quarter. Act 60 increased the percentage of income that must be earned outside of the highest-earning quarter from 37 percent to 49.5 percent.

DiGirolamo’s bill would lower that threshold to 28 percent, making it easier to qualify for unemployment compensation. It would pay for the change through a supplemental one-cent-per-hour contribution by employees to the Unemployment Compensation Trust Fund. 

The bill was referred to the House Labor and Industry Committee. It has 21 co-sponsors. 

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