SENATE BILL No. 923
December 6, 2001, Introduced by Senators SMITH, DE BEAUSSAERT, EMERSON,
MURPHY, KOIVISTO, BYRUM, SCOTT, CHERRY, HART, PETERS, MILLER, DINGELL, LELAND, HOFFMAN, YOUNG, GOSCHKA and SCHWARZ and
referred to the Committee on Human Resources and Labor.
A bill to amend 1936 (Ex Sess) PA 1, entitled
"Michigan employment security act,"
by amending section 27 (MCL 421.27), as amended by 1995 PA 181.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 Sec. 27. (a)(1) When a determination, redetermination, or
2 decision is made that benefits are due an unemployed individual,
3 the benefits shall immediately become payable from the fund and
4 continue to be payable to the unemployed individual, subject to
5 the limitations imposed by the individual's monetary entitlement,
6 as long as
IF the individual continues to be
unemployed and to
7 file claims for benefits, until the determination, redetermina-
8 tion, or decision is reversed, a determination, redetermination,
9 or decision on a new issue holding the individual disqualified or
10 ineligible is made, or, for benefit years beginning before the
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1 conversion date prescribed in section 75, a new separation issue
2 arises resulting from subsequent work.
3 (2) Benefits shall be paid in person or by mail through
4 employment offices in accordance with rules promulgated by the
5 commission.
6 (b)(1) Subject to subsection (f), the weekly benefit rate
7 for an individual, with respect to benefit years beginning before
8 the conversion date prescribed in section 75, shall be 67% of the
9 individual's average after tax weekly wage, except that the
10 individual's maximum weekly benefit rate shall not exceed
11 $300.00
58% OF THE STATE AVERAGE WEEKLY WAGE.
However, with
12 respect to benefit years beginning after the conversion date as
13 prescribed in section 75, the individual's weekly benefit rate
14 shall be 4.1% of the individual's wages paid in the calendar
15 quarter of the base period in which the individual was paid the
16 highest total wages, plus $6.00 for each dependent as defined in
17 subdivision (3), up to a maximum of 5 dependents, claimed by the
18 individual at the time the individual files a new claim for bene-
19 fits, except that the individual's maximum weekly benefit rate
20 shall not exceed
$300.00 58% OF THE STATE AVERAGE
WEEKLY WAGE.
21 With respect to benefit years beginning on or after October 2,
22 1983, the weekly benefit rate shall be adjusted to the next lower
23 multiple of $1.00.
24 (2) For benefit years beginning before the conversion date
25 prescribed in section 75, the state average weekly wage for a
26 calendar year shall be computed on the basis of the 12 months
27 ending the June 30 immediately preceding that calendar year. The
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1 commission shall prepare a table of weekly benefit rates based on
2 an "average after tax weekly wage" calculated by subtracting,
3 from an individual's average weekly wage as determined in accord-
4 ance with section 51, a reasonable approximation of the weekly
5 amount required to be withheld by the employer from the remunera-
6 tion of the individual based on dependents and exemptions for
7 income taxes under chapter 24 of subtitle C of the internal reve-
8 nue code of 1986, 26 U.S.C. 3401 to 3406, and under section 351
9 of the income tax act of 1967,
Act No. 281 of the
Public Acts of
10 1967, being section
206.351 of the Michigan
Compiled Laws 1967
11 PA 281, MCL 206.351, and for old age and survivor's disability
12 insurance taxes under the federal insurance contributions act,
13 chapter 21 of subtitle C of the internal revenue code of 1986, 26
14 U.S.C. 3128. For purposes of applying the table to an
15 individual's claim, a dependent shall be as defined in
16 subdivision (3). The table applicable to an individual's claim
17 shall be the table reflecting the number of dependents claimed by
18 the individual under subdivision (3). The commission shall
19 adjust the tables based on changes in withholding schedules pub-
20 lished by the United States department of treasury, internal rev-
21 enue service, and by the department of treasury. The number of
22 dependents allowed shall be determined with respect to each week
23 of unemployment for which an individual is claiming benefits.
24 (3) For benefit years beginning before the conversion date
25 prescribed in section 75, a dependent means any of the following
26 persons who is receiving and for at least 90 consecutive days
27 immediately preceding the week for which benefits are claimed,
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1 or, in the case of a dependent husband, wife, or child, for the
2 duration of the marital or parental relationship, if the rela-
3 tionship has existed less than 90 days, has received more than
4 half the cost of his or her support from the individual claiming
5 benefits:
6 (a) A child, including stepchild, adopted child, or grand-
7 child of the individual who is under 18 years of age, or 18 years
8 of age or over if, because of physical or mental infirmity, the
9 child is unable to engage in a gainful occupation, or is a
10 full-time student as defined by the particular educational insti-
11 tution, at a high school, vocational school, community or junior
12 college, or college or university and has not attained the age of
13 22.
14 (b) The husband or wife of the individual.
15 (c) The legal father or mother of the individual if that
16 parent is either more than 65 years of age or is permanently dis-
17 abled from engaging in a gainful occupation.
18 (d) A brother or sister of the individual if the brother or
19 sister is orphaned or the living parents are dependent parents of
20 an individual, and the brother or sister is under 18 years of
21 age, or 18 years of age or over if, because of physical or mental
22 infirmity, the brother or sister is unable to engage in a gainful
23 occupation, or is a full-time student as defined by the particu-
24 lar educational institution, at a high school, vocational school,
25 community or junior college, or college or university and is less
26 than 22 years of age.
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1 (4) For benefit years beginning after the conversion date
2 prescribed in section 75, a dependent means any of the following
3 persons who received for at least 90 consecutive days immediately
4 preceding the first week of the benefit year or, in the case of a
5 dependent husband, wife, or child, for the duration of the mari-
6 tal or parental relationship if the relationship existed less
7 than 90 days before the beginning of the benefit year, has
8 received more than 1/2 the cost of his or her support from the
9 individual claiming the benefits:
10 (a) A child, including stepchild, adopted child, or grand-
11 child of the individual who is under 18 years of age, or 18 years
12 of age and over if, because of physical or mental infirmity, the
13 child is unable to engage in a gainful occupation, or is a
14 full-time student as defined by the particular educational insti-
15 tution, at a high school, vocational school, community or junior
16 college, or college or university and has not attained the age of
17 22.
18 (b) The husband or wife of the individual.
19 (c) The legal father or mother of the individual if that
20 parent is either more than 65 years of age or is permanently dis-
21 abled from engaging in a gainful occupation.
22 (d) A brother or sister of the individual if the brother or
23 sister is orphaned or the living parents are dependent parents of
24 an individual, and the brother or sister is under 18 years of
25 age, or 18 years of age and over if, because of physical or
26 mental infirmity, the brother or sister is unable to engage in a
27 gainful occupation, or is a full-time student as defined by the
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1 particular educational institution, at a high school, vocational
2 school, community or junior college, or college or university and
3 is less than 22 years of age.
4 (5) For benefit years beginning before the conversion date
5 prescribed in section 75, dependency status of a dependent, child
6 or otherwise, once established or fixed in favor of an individual
7 continues during the individual's benefit year until terminated.
8 Dependency status of a dependent terminates at the end of the
9 week in which the dependent ceases to be an individual described
10 in subdivision (3)(a), (b), (c), or (d) because of age, death, or
11 divorce. For benefit years beginning after the conversion date
12 prescribed in section 75, the number of dependents established
13 for an individual at the beginning of the benefit year shall
14 remain in effect during the entire benefit year.
15 (6) For benefit years beginning before the conversion date
16 prescribed in section 75, failure on the part of an individual,
17 due to misinformation or lack of information, to furnish all
18 information material for determination of the number of the
19 individual's dependents when the individual files a claim for
20 benefits with respect to a week shall be considered good cause
21 for the issuance of a redetermination as to the amount of bene-
22 fits based on the number of the individual's dependents as of the
23 beginning date of that week. Dependency status of a dependent,
24 child or otherwise, once established or fixed in favor of a
25 person is not transferable to or usable by another person with
26 respect to the same week.
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1 For benefit years beginning after the conversion date as
2 prescribed in section 75, failure on the part of an individual,
3 due to misinformation or lack of information, to furnish all
4 information material for determination of the number of the
5 individual's dependents shall be considered good cause for the
6 issuance of a redetermination as to the amount of benefits based
7 on the number of the individual's dependents as of the beginning
8 of the benefit year.
9 (c) Subject to subsection (f), all of the following apply to
10 eligible individuals:
11 (1) Each eligible individual shall be paid a weekly benefit
12 rate with respect to the week for which the individual earns or
13 receives no remuneration. Notwithstanding the definition of week
14 as contained in section 50, if within 2 consecutive weeks in
15 which an individual was not unemployed within the meaning of sec-
16 tion 48 there was a period of 7 or more consecutive days for
17 which the individual did not earn or receive remuneration, that
18 period shall be considered a week for benefit purposes under this
19 act if a claim for benefits for that period is filed not later
20 than 30 days subsequent to the end of the period.
21 (2) Each eligible individual shall have his or her weekly
22 benefit rate reduced with respect to each week in which the indi-
23 vidual earns or receives remuneration at the rate of 50 cents for
24 each whole $1.00 of remuneration earned or received during that
25 week.
26 (3) An individual who receives or earns partial remuneration
27 may not receive a total of benefits and earnings that exceeds
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1 1-1/2 times his or her weekly benefit amount. For each dollar of
2 total benefits and earnings that exceeds 1-1/2 times the
3 individual's weekly benefit amount, benefits shall be reduced by
4 $1.00.
5 (4) If the reduction in a claimant's benefit rate for a week
6 in accordance with subparagraph (2) or (3) results in a benefit
7 rate greater than zero for that week, the claimant's balance of
8 weeks of benefit payments will be reduced by 1 week.
9 (5) All remuneration for work performed during a shift that
10 terminates on 1 day but that began on the preceding day shall be
11 considered to have been earned by the eligible individual on the
12 preceding day.
13 (d) For benefit years beginning before the conversion date
14 prescribed in section 75, and subject to subsection (f) and this
15 subsection, the amount of benefits to which an individual who is
16 otherwise eligible is entitled during a benefit year from an
17 employer with respect to employment during the base period is the
18 amount obtained by multiplying the weekly benefit rate with
19 respect to that employment by 3/4 of the number of credit weeks
20 earned in the employment. For the purpose of this subsection and
21 section 20(c), if the resultant product is not an even multiple
22 of 1/2 the weekly benefit rate, the product shall be raised to an
23 amount equal to the next higher multiple of 1/2 the weekly bene-
24 fit rate, and, for an individual who was employed by only 1
25 employer in the individual's base period and earned 34 credit
26 weeks with that employer, the product shall be raised to the next
27 higher multiple of the weekly benefit rate. The maximum amount
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1 of benefits payable to an individual within a benefit year, with
2 respect to employment by an employer, shall not exceed 26 times
3 the weekly benefit rate with respect to that employment. The
4 maximum amount of benefits payable to an individual within a ben-
5 efit year shall not exceed the amount to which the individual
6 would be entitled for 26 weeks of unemployment in which remunera-
7 tion was not earned or received. The limitation of total bene-
8 fits set forth in this subsection does not apply to claimants
9 declared eligible for training benefits in accordance with sub-
10 section (g). For benefit years beginning after the conversion
11 date prescribed in section 75, and subject to subsection (f) and
12 this subsection, the maximum benefit amount payable to an indi-
13 vidual in a benefit year for purposes of this section and
14 section 20(c) is the number of weeks of benefits payable to an
15 individual during the benefit year, multiplied by the
16 individual's weekly benefit rate. The number of weeks of bene-
17 fits payable to an individual shall be calculated by taking 40%
18 of the individual's base period wages and dividing the result by
19 the individual's weekly benefit rate. If the quotient is not a
20 whole or half number, the result shall be rounded down to the
21 nearest half number. However, not more than 26 weeks of benefits
22 or less than 14 weeks of benefits shall be payable to an individ-
23 ual in a benefit year. The limitation of total benefits set
24 forth in this subsection shall not apply to claimants declared
25 eligible for training benefits in accordance with
26 subsection (g).
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1 (e) When a claimant dies or is judicially declared insane or
2 mentally incompetent, unemployment compensation benefits accrued
3 and payable to that person for weeks of unemployment before
4 death, insanity, or incompetency, but not paid, shall become due
5 and payable to the person who is the legal heir or guardian of
6 the claimant or to any other person found by the commission to be
7 equitably entitled to the benefits by reason of having incurred
8 expense in behalf of the claimant for the claimant's burial or
9 other necessary expenses.
10 (f)(1) For benefit years beginning before the conversion
11 date prescribed in section 75, and notwithstanding any inconsis-
12 tent provisions of this act, the weekly benefit rate of each
13 individual who is receiving or will receive a "retirement
14 benefit", as defined in subdivision (4), shall be adjusted as
15 provided in subparagraphs (a), (b), and (c). However, an
16 individual's extended benefit account and an individual's weekly
17 extended benefit rate under section 64 shall be established with-
18 out reduction under this subsection unless subdivision (5) is in
19 effect. Except as otherwise provided in this subsection, all
20 other provisions of this act continue to apply in connection with
21 the benefit claims of those retired persons.
22 (a) If and to the extent that unemployment benefits payable
23 under this act would be chargeable to an employer who has con-
24 tributed to the financing of a retirement plan under which the
25 claimant is receiving or will receive a retirement benefit yield-
26 ing a pro rata weekly amount equal to or larger than the
27 claimant's weekly benefit rate as otherwise established under
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1 this act, the claimant shall not receive unemployment benefits
2 that would be chargeable to the employer under this act.
3 (b) If and to the extent that unemployment benefits payable
4 under this act would be chargeable to an employer who has con-
5 tributed to the financing of a retirement plan under which the
6 claimant is receiving or will receive a retirement benefit yield-
7 ing a pro rata weekly amount less than the claimant's weekly ben-
8 efit rate as otherwise established under this act, then the
9 weekly benefit rate otherwise payable to the claimant and charge-
10 able to the employer under this act shall be reduced by an amount
11 equal to the pro rata weekly amount, adjusted to the next lower
12 multiple of $1.00, which the claimant is receiving or will
13 receive as a retirement benefit.
14 (c) If the unemployment benefit payable under this act would
15 be chargeable to an employer who has not contributed to the
16 financing of a retirement plan under which the claimant is
17 receiving or will receive a retirement benefit, then the weekly
18 benefit rate of the claimant as otherwise established under this
19 act shall not be reduced due to receipt of a retirement benefit.
20 (d) If the unemployment benefit payable under this act is
21 computed on the basis of multiemployer credit weeks and a portion
22 of the benefit is allocable under section 20(e) to an employer
23 who has contributed to the financing of a retirement plan under
24 which the claimant is receiving or will receive a retirement ben-
25 efit, the adjustments required by subparagraph (a) or (b) apply
26 only to that portion of the weekly benefit rate that would
27 otherwise be allocable and chargeable to the employer.
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1 (2) If an individual's weekly benefit rate under this act
2 was established before the period for which the individual first
3 receives a retirement benefit, any benefits received after a
4 retirement benefit becomes payable shall be determined in accord-
5 ance with the formula stated in this subsection.
6 (3) When necessary to assure prompt payment of benefits, the
7 commission shall determine the pro rata weekly amount yielded by
8 an individual's retirement benefit based on the best information
9 currently available to it. In the absence of fraud, a determina-
10 tion shall not be reconsidered unless it is established that the
11 individual's actual retirement benefit in fact differs from the
12 amount determined by $2.00 or more per week. The reconsideration
13 shall apply only to benefits as may be claimed after the informa-
14 tion on which the reconsideration is based was received by the
15 commission.
16 (4)(a) As used in this subdivision, "retirement benefit"
17 means a benefit, annuity, or pension of any type or that part
18 thereof that is described in subparagraph (b) that is:
19 (i) Provided as an incident of employment under an estab-
20 lished retirement plan, policy, or agreement, including federal
21 social security if subdivision (5) is in effect.
22 (ii) Payable to an individual because the individual has
23 qualified on the basis of attained age, length of service, or
24 disability, whether or not the individual retired or was retired
25 from employment. Amounts paid to individuals in the course of
26 liquidation of a private pension or retirement fund because of
27 termination of the business or of a plant or department of the
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1 business of the employer involved shall not be considered to be
2 retirement benefits.
3 (b) If a benefit as described in subparagraph (a) is payable
4 or paid to the individual under a plan to which the individual
5 has contributed:
6 (i) Less than half of the cost of the benefit, then only
7 half of the benefit shall be treated as a retirement benefit.
8 (ii) Half or more of the cost of the benefit, then none of
9 the benefit shall be treated as a retirement benefit.
10 (c) The burden of establishing the extent of an individual's
11 contribution to the cost of his or her retirement benefit for the
12 purpose of subparagraph (b) is upon the employer who has contrib-
13 uted to the plan under which a benefit is provided.
14 (5) Notwithstanding any other provision of this subsection,
15 for any week that begins after March 31, 1980, and with respect
16 to which an individual is receiving a governmental or other pen-
17 sion and claiming unemployment compensation, the weekly benefit
18 amount payable to the individual for those weeks shall be
19 reduced, but not below zero, by the entire prorated weekly amount
20 of any governmental or other pension, retirement or retired pay,
21 annuity, or any other similar payment that is based on any previ-
22 ous work of the individual. This reduction shall be made only if
23 it is required as a condition for full tax credit against the tax
24 imposed by the federal unemployment tax act, chapter 23 of
25 subtitle C of the internal revenue code of 1986, 26 U.S.C. 3301
26 to 3311.
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1 (6) For benefit years beginning after the conversion date
2 prescribed in section 75, notwithstanding any inconsistent
3 provisions of this act, the weekly benefit rate of each individ-
4 ual who is receiving or will receive a retirement benefit, as
5 defined in subdivision (4), shall be adjusted as provided in
6 subparagraphs (a), (b), and (c). However, an individual's
7 extended benefit account and an individual's weekly extended ben-
8 efit rate under section 64 shall be established without reduction
9 under this subsection, unless subdivision (5) is in effect.
10 Except as otherwise provided in this subsection, all the other
11 provisions of this act shall continue to be applicable in connec-
12 tion with the benefit claims of those retired persons.
13 (a) If any base period or chargeable employer has contrib-
14 uted to the financing of a retirement plan under which the claim-
15 ant is receiving or will receive a retirement benefit yielding a
16 pro rata weekly amount equal to or larger than the claimant's
17 weekly benefit rate as otherwise established under this act, the
18 claimant shall not receive unemployment benefits.
19 (b) If any base period employer or chargeable employer has
20 contributed to the financing of a retirement plan under which the
21 claimant is receiving or will receive a retirement benefit yield-
22 ing a pro rata weekly amount less than the claimant's weekly ben-
23 efit rate as otherwise established under this act, then the
24 weekly benefit rate otherwise payable to the claimant shall be
25 reduced by an amount equal to the pro rata weekly amount,
26 adjusted to the next lower multiple of $1.00, which the claimant
27 is receiving or will receive as a retirement benefit.
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1 (c) If no base period or separating employer has contributed
2 to the financing of a retirement plan under which the claimant is
3 receiving or will receive a retirement benefit, then the weekly
4 benefit rate of the claimant as otherwise established under this
5 act shall not be reduced due to receipt of a retirement benefit.
6 (g) Notwithstanding any other provision of this act, an
7 individual pursuing vocational training or retraining pursuant to
8 section 28(2) who has exhausted all benefits available under sub-
9 section (d) may be paid for each week of approved vocational
10 training pursued beyond the date of exhaustion a benefit amount
11 in accordance with subsection (c), but not in excess of the
12 individual's most recent weekly benefit rate. However, an indi-
13 vidual shall not be paid training benefits totaling more than 18
14 times the individual's most recent weekly benefit rate. The
15 expiration or termination of a benefit year shall not stop or
16 interrupt payment of training benefits if the training for which
17 the benefits were granted began before expiration or termination
18 of the benefit year.
19 (h) A payment of accrued unemployment benefits shall not be
20 made to an eligible individual or in behalf of that individual as
21 provided in subsection (e) more than 6 years after the ending
22 date of the benefit year covering the payment or 2 calendar years
23 after the calendar year in which there is final disposition of a
24 contested case, whichever is later.
25 (i) Benefits based on service in employment described in
26 section 42(8), (9), and (10) are payable in the same amount, on
27 the same terms, and subject to the same conditions as
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1 compensation payable on the basis of other service subject to
2 this act, except that:
3 (1) With respect to service performed in an instructional,
4 research, or principal administrative capacity for an institution
5 of higher education as defined in section 53(2), or for an educa-
6 tional institution other than an institution of higher education
7 as defined in section 53(3), benefits shall not be paid to an
8 individual based on those services for any week of unemployment
9 beginning after December 31, 1977 that commences during the
10 period between 2 successive academic years or during a similar
11 period between 2 regular terms, whether or not successive, or
12 during a period of paid sabbatical leave provided for in the
13 individual's contract, to an individual if the individual per-
14 forms the service in the first of the academic years or terms and
15 if there is a contract or a reasonable assurance that the indi-
16 vidual will perform service in an instructional, research, or
17 principal administrative capacity for an institution of higher
18 education or an educational institution other than an institution
19 of higher education in the second of the academic years or terms,
20 whether or not the terms are successive.
21 (2) With respect to service performed in other than an
22 instructional, research, or principal administrative capacity for
23 an institution of higher education as defined in section 53(2) or
24 for an educational institution other than an institution of
25 higher education as defined in section 53(3), benefits shall not
26 be paid based on those services for any week of unemployment
27 beginning after December 31, 1977 that commences during the
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1 period between 2 successive academic years or terms to any
2 individual if that individual performs the service in the first
3 of the academic years or terms and if there is a reasonable
4 assurance that the individual will perform the service for an
5 institution of higher education or an educational institution
6 other than an institution of higher education in the second of
7 the academic years or terms.
8 (3) With respect to any service described in subdivision (1)
9 or (2), benefits shall not be paid to an individual based upon
10 service for any week of unemployment that commences during an
11 established and customary vacation period or holiday recess if
12 the individual performs the service in the period immediately
13 before the vacation period or holiday recess and there is a con-
14 tract or reasonable assurance that the individual will perform
15 the service in the period immediately following the vacation
16 period or holiday recess.
17 (4) If benefits are denied to an individual for any week
18 solely as a result of subdivision (2) and the individual was not
19 offered an opportunity to perform in the second academic year or
20 term the service for which reasonable assurance had been given,
21 the individual is entitled to a retroactive payment of benefits
22 for each week for which the individual had previously filed a
23 timely claim for benefits. An individual entitled to benefits
24 under this subdivision may apply for those benefits by mail in
25 accordance with R 421.210 as promulgated by the commission.
26 (5) The amendments
to subdivision (2) made by
Act No. 219
27 of the Public Acts of
1983 apply to all claims for
unemployment
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1 compensation that are
filed on and after October
31, 1983.
2 However, the
amendments are retroactive to
September 5, 1982 only
3 if, as a condition for full
tax credit against the
tax imposed by
4 the federal
unemployment tax act, chapter 23 of
subtitle C of the
5 internal revenue code of
1986, 26 U.S.C. 3301 to
3311, the United
6 States secretary of labor
determines that
retroactivity is
7 required by federal law.
8 (5) (6)
Notwithstanding subdivision (2), on
and after April
9 1, 1984 benefits
BENEFITS based upon services in
other than an
10 instructional, research, or principal administrative capacity for
11 an institution of higher education shall not be denied for any
12 week of unemployment commencing during the period between 2 suc-
13 cessive academic years or terms solely because the individual had
14 performed the service in the first of the academic years or terms
15 and there is reasonable assurance that the individual will per-
16 form the service for an institution of higher education or an
17 educational institution other than an institution of higher edu-
18 cation in the second of the academic years or terms, unless a
19 denial is required as a condition for full tax credit against the
20 tax imposed by the federal unemployment tax act, chapter 23 of
21 subtitle C of the internal revenue code of 1986, 26 U.S.C. 3301
22 to 3311.
23 (6) (7)
For benefit years established before
the conver-
24 sion date prescribed in section 75, and notwithstanding subdivi-
25 sions (1), (2), and (3), the denial of benefits does not prevent
26 an individual from completing requalifying weeks in accordance
27 with section 29(3) nor does the denial prevent an individual from
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1 receiving benefits based on service with an employer other than
2 an educational institution for any week of unemployment occurring
3 between academic years or terms, whether or not successive, or
4 during an established and customary vacation period or holiday
5 recess, even though the employer is not the most recent charge-
6 able employer in the individual's base period. However, in that
7 case section 20(b) applies to the sequence of benefit charging,
8 except for the employment with the educational institution, and
9 section 50(b) applies to the calculation of credit weeks. When a
10 denial of benefits under subdivision (1) no longer applies, bene-
11 fits shall be charged in accordance with the normal sequence of
12 charging as provided in section 20(b).
13 (7) (8)
For benefit years beginning after
the conversion
14 date prescribed in section 75, and notwithstanding subdivisions
15 (1), (2), and (3), the denial of benefits shall not prevent an
16 individual from completing requalifying weeks in accordance with
17 section 29(3) nor shall the denial prevent an individual from
18 receiving benefits based on service with another base period
19 employer other than an educational institution for any week of
20 unemployment occurring between academic years or terms, whether
21 or not successive, or during an established and customary vaca-
22 tion period or holiday recess. However, when benefits are paid
23 based on service with 1 or more base period employers other than
24 an educational institution, the individual's weekly benefit rate
25 shall be calculated in accordance with subsection (b)(1) but
26 during the denial period the individual's weekly benefit payment
27 shall be reduced by the portion of the payment attributable to
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1 base period wages paid by an educational institution and the
2 account or experience account of the educational institution
3 shall not be charged for benefits payable to the individual.
4 When a denial of benefits under subdivision (1) is no longer
5 applicable, benefits shall be paid and charged on the basis of
6 base period wages with each of the base period employers includ-
7 ing the educational institution.
8 (8) (9)
For the purposes of this subsection,
"academic
9 year" means that period, as defined by the educational institu-
10 tion, when classes are in session for that length of time
11 required for students to receive sufficient instruction or earn
12 sufficient credit to complete academic requirements for a partic-
13 ular grade level or to complete instruction in a noncredit
14 course.
15 (9) (10) Benefits
IN ACCORDANCE WITH
SUBDIVISIONS (1),
16 (2), AND (3), BENEFITS FOR ANY WEEK OF UNEMPLOYMENT shall be
17 denied , as provided in
subdivisions (1), (2), and
(3), for any
18 week of unemployment
beginning on and after April
1, 1984, to an
19 individual who performed
those services DESCRIBED
IN
20 SUBDIVISION (1), (2), OR (3) in an educational institution while
21 in the employ of an educational service agency. For the purpose
22 of this subdivision, "educational service agency" means a govern-
23 mental agency or governmental entity that is established and
24 operated exclusively for the purpose of providing the services to
25 1 or more educational institutions.
26 (j) For weeks of
unemployment beginning after
December 31,
27 1977, benefits
BENEFITS shall not be paid to an
individual on
05774'01
21
1 the basis of any base period services, substantially all of which
2 consist of participating in sports or athletic events or training
3 or preparing to so participate, for a week that commences during
4 the period between 2 successive sport seasons or similar periods
5 if the individual performed the services in the first of the sea-
6 sons or similar periods and there is a reasonable assurance that
7 the individual will perform the services in the later of the sea-
8 sons or similar periods.
9 (k)(1) For weeks of
unemployment beginning
after
10 December 31, 1977,
benefits BENEFITS shall not be
payable on the
11 basis of services performed by an alien unless the alien is an
12 individual who was lawfully admitted for permanent residence at
13 the time the services were performed, was lawfully present for
14 the purpose of performing the services, or was permanently resid-
15 ing in the United States under color of law at the time the serv-
16 ices were performed, including an alien who was lawfully present
17 in the United States under
section 203(a)(7) or
section
18 212(d)(5) of the immigration and nationality act, CHAPTER 477, 66
19 STAT. 182, 8 U.S.C.
1153 and 1182.
20 (2) Any data or information required of individuals applying
21 for benefits to determine whether benefits are payable because of
22 their alien status are uniformly required from all applicants for
23 benefits.
24 (3) Where an individual whose application for benefits would
25 otherwise be approved, a determination that benefits to that
26 individual are not payable because of the individual's alien
05774'01
22
1 status shall not be made except upon a preponderance of the
2 evidence.
3 (m)(1) An individual filing a new claim for unemployment
4 compensation under this act,
after September 30,
1982, at the
5 time of filing the claim, shall disclose whether the individual
6 owes child support obligations as defined in this subsection. If
7 an individual discloses that he or she owes child support obliga-
8 tions and is determined to be eligible for unemployment compensa-
9 tion, the commission shall notify the state or local child sup-
10 port enforcement agency enforcing the obligation that the indi-
11 vidual has been determined to be eligible for unemployment
12 compensation.
13 (2) Notwithstanding section 30, the commission shall deduct
14 and withhold from any unemployment compensation payable to an
15 individual who owes child support obligations by using whichever
16 of the following methods results in the greatest amount:
17 (a) The amount, if any, specified by the individual to be
18 deducted and withheld under this subdivision.
19 (b) The amount, if any, determined pursuant to an agreement
20 submitted to the commission under section 454(19)(B)(i) of part D
21 of title IV of the social security act,
chapter
531, 49
22 Stat. 620,
42 U.S.C. 654, by the state or local
child support
23 enforcement agency.
24 (c) Any amount otherwise required to be so deducted and
25 withheld from unemployment compensation pursuant to legal pro-
26 cess, as that term is defined in section 462(e) of part D of
05774'01
23
1 title IV of the social security act,
chapter 531,
49 Stat. 620,
2 42 U.S.C. 662, properly served upon the commission.
3 (3) The amount of unemployment compensation subject to
4 deduction under subdivision (2) is that portion that remains pay-
5 able to the individual after application of the recoupment provi-
6 sions of section 62(a) and the reduction provisions of
7 subsections (c) and (f).
8 (4) Any amount deducted and withheld under subdivision (2)
9 shall be paid by the commission to the appropriate state or local
10 child support enforcement agency.
11 (5) Any amount deducted and withheld under subdivision (2)
12 shall be treated for all purposes as if it were paid to the indi-
13 vidual as unemployment compensation and paid by the individual to
14 the state or local child support enforcement agency in satisfac-
15 tion of the individual's child support obligations.
16 (6) This subsection applies only if the state or local child
17 support enforcement agency agrees in writing to reimburse and
18 does reimburse the commission for the administrative costs
19 incurred by the commission under this subsection that are attrib-
20 utable to child support obligations being enforced by the state
21 or local child support enforcement agency. The administrative
22 costs incurred shall be determined by the commission. The com-
23 mission, in its discretion, may require payment of administrative
24 costs in advance.
25 (7) As used in this subsection:
26 (a) "Unemployment compensation", for purposes of
27 subdivisions (1) through (5), means any compensation payable
05774'01
24
1 under this act, including amounts payable by the commission
2 pursuant to an agreement under any federal law providing for com-
3 pensation, assistance, or allowances with respect to
4 unemployment.
5 (b) "Child support obligations" includes only obligations
6 that are being enforced pursuant to a plan described in
7 section 454 of part D of title IV of the social security act,
8 chapter 531, 49 Stat.
620, 42 U.S.C. 654, that
has been
9 approved by the secretary of health and human services under
10 part D of title IV of the social security act, chapter 531, 49
11 Stat. 620, 42 U.S.C. 651 to
669 655, 656 TO 660,
AND 663 TO
12 669b.
13 (c) "State or local child support enforcement agency" means
14 any agency of this state or a political subdivision of this state
15 operating pursuant to a plan described in subparagraph (b).
16 (n) Subsection (i)(2) applies to services performed by
17 school bus drivers employed by a private contributing employer
18 holding a contractual relationship with an educational institu-
19 tion, but only if at least 75% of the individual's base period
20 wages with that employer are attributable to services performed
21 as a school bus driver.
22 (o)(1) For weeks of unemployment beginning after July 1,
23 1996, unemployment benefits based on services by a seasonal
24 worker performed in seasonal employment shall be payable only for
25 weeks of unemployment that occur during the normal seasonal work
26 period. Benefits shall not be paid based on services performed
27 in seasonal employment for any week of unemployment beginning
05774'01
25
1 after the effective date of this subdivision that begins during
2 the period between 2 successive normal seasonal work periods to
3 any individual if that individual performs the service in the
4 first of the normal seasonal work periods and if there is a rea-
5 sonable assurance that the individual will perform the service
6 for a seasonal employer in the second of the normal seasonal work
7 periods. If benefits are denied to an individual for any week
8 solely as a result of this subsection and the individual is not
9 offered an opportunity to perform in the second normal seasonal
10 work period for which reasonable assurance of employment had been
11 given, the individual is entitled to a retroactive payment of
12 benefits under this subsection for each week that the individual
13 previously filed a timely claim for benefits. An individual may
14 apply for any retroactive benefits under this subsection in
15 accordance with R 421.210 of the Michigan administrative code.
16 (2) Not less than 20 days before the estimated beginning
17 date of a normal seasonal work period, an employer may apply to
18 the commission in writing for designation as a seasonal
19 employer. At the time of application, the employer shall con-
20 spicuously display a copy of the application on the employer's
21 premises. Within 90 days after receipt of the application, the
22 commission shall determine if the employer is a seasonal
23 employer. A determination or redetermination of the commission
24 concerning the status of an employer as a seasonal employer, or a
25 decision of a referee or the board of review, or of the courts of
26 this state concerning the status of an employer as a seasonal
27 employer, which has become final, together with the record
05774'01
26
1 thereof, may be introduced in any proceeding involving a claim
2 for benefits, and the facts found and decision issued in the
3 determination, redetermination, or decision shall be conclusive
4 unless substantial evidence to the contrary is introduced by or
5 on behalf of the claimant.
6 (3) If the employer is determined to be a seasonal employer,
7 the employer shall conspicuously display on its premises a notice
8 of the determination and the beginning and ending dates of the
9 employer's normal seasonal work periods. The notice shall be
10 furnished by the commission. The notice shall additionally spec-
11 ify that an employee must timely apply for unemployment benefits
12 at the end of a first seasonal work period to preserve his or her
13 right to receive retroactive unemployment benefits in the event
14 that he or she is not reemployed by the seasonal employer in the
15 second of the normal seasonal work periods.
16 (4) The commission may issue a determination terminating an
17 employer's status as a seasonal employer on the commission's own
18 motion for good cause, or upon the written request of the
19 employer. A termination determination under this subdivision
20 terminates an employer's status as a seasonal employer, and shall
21 become effective on the beginning date of the normal seasonal
22 work period that would have immediately followed the date the
23 commission issues the determination. A determination under this
24 subdivision is subject to review in the same manner and to the
25 same extent as any other determination under this act.
26 (5) An employer whose status as a seasonal employer is
27 terminated under subdivision (4) may not reapply for a seasonal
05774'01
27
1 employer status determination until after a regularly recurring
2 normal seasonal work period has begun and ended.
3 (6) If a seasonal employer informs an employee who received
4 assurance of being rehired that, despite the assurance, the
5 employee will not be rehired at the beginning of the employer's
6 next normal seasonal work period, this subsection shall not pre-
7 vent the employee from receiving unemployment benefits in the
8 same manner and to the same extent he or she would receive bene-
9 fits under this act from an employer who has not been determined
10 to be a seasonal employer.
11 (7) A successor of a seasonal employer is considered to be a
12 seasonal employer unless the successor provides the commission,
13 within 120 days after the transfer, with a written request for
14 termination of its status as a seasonal employer in accordance
15 with subdivision (4).
16 (8) At the time an employee is hired by a seasonal employer,
17 the employer shall notify the employee in writing whether the
18 employee will be a seasonal worker. The employer shall provide
19 the worker with written notice of any subsequent change in the
20 employee's status as a seasonal worker. If an employee of a sea-
21 sonal employer is denied benefits because that employee is a sea-
22 sonal worker, the employee may contest that designation in
23 accordance with section 32a.
24 (9) As used in this subsection:
25 (a) "Construction industry" means the work activity desig-
26 nated in major groups
15, 16, and 17 of the
standard industrial
27 classification manual,
United States office of
management and
05774'01
28
1 budget, 1987 edition
SECTOR GROUP 23 --
CONSTRUCTION OF THE
2 NORTH AMERICAN CLASSIFICATION SYSTEM -- UNITED STATES OFFICE OF
3 MANAGEMENT AND BUDGET, 1997 EDITION.
4 (b) "Normal seasonal work period" means that period or those
5 periods of time determined pursuant to rules promulgated by the
6 commission during which an individual is employed in seasonal
7 employment.
8 (c) "Seasonal employment" means the employment of 1 or more
9 individuals primarily hired to perform services in an industry,
10 other than the construction industry, that does either of the
11 following:
12 (1) Customarily operates during regularly recurring periods
13 of 26 weeks or less in any 52-consecutive-week period.
14 (2) Customarily employs at least 50% of its employees for
15 regularly recurring periods of 26 weeks or less within a period
16 of 52 consecutive weeks.
17 (d) "Seasonal employer" means an employer, other than an
18 employer in the construction industry, who applies to the commis-
19 sion for designation as a seasonal employer and who the commis-
20 sion determines to be an employer whose operations and business
21 are substantially engaged in seasonal employment.
22 (e) "Seasonal worker" means a worker who has been paid wages
23 by a seasonal employer for work performed only during the normal
24 seasonal work period.
25 (10) If this subsection is found by the United States
26 department of labor to be contrary to the federal unemployment
27 tax act, chapter 23 of the internal revenue code of 1986, 26
05774'01
29
1 U.S.C. 3301 to 3311, or the social security act, chapter 531, 49
2 Stat. 620, and if conformity with the federal law is required as
3 a condition for full tax credit against the tax imposed under the
4 federal unemployment tax act or as a condition for receipt by the
5 commission of federal administrative grant funds under the social
6 security act, this subsection shall be invalid.
7 (p) Benefits shall not be paid to an individual based upon
8 his or her services as a school crossing guard for any week of
9 unemployment that begins between 2 successive academic years or
10 terms, if that individual performs the services of a school
11 crossing guard in the first of the academic years or terms and
12 has a reasonable assurance that he or she will perform those
13 services in the second of the academic years or terms.
05774'01 Final page. FDD