Bill Text: MI SB0370 | 2011-2012 | 96th Legislature | Introduced
Bill Title: Employment security; administration; maximum benefit period; modify. Amends sec. 27 of 1936 (Ex Sess) PA 1 (MCL 421.27).
Spectrum: Strong Partisan Bill (Democrat 12-1)
Status: (Introduced - Dead) 2012-02-22 - Discharge Committee Defeated [SB0370 Detail]
Download: Michigan-2011-SB0370-Introduced.html
SENATE BILL No. 370
May 10, 2011, Introduced by Senators HUNTER, GLEASON, WHITMER, HOOD, YOUNG, HOPGOOD, WARREN, BIEDA, ANDERSON, SMITH, ROCCA, GREGORY and JOHNSON and referred to the Committee on Economic Development.
A bill to amend 1936 (Ex Sess) PA 1, entitled
"Michigan employment security act,"
by amending section 27 (MCL 421.27), as amended by 2011 PA 14.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 27. (a)(1) When a determination, redetermination, or
decision is made that benefits are due an unemployed individual,
the benefits shall become payable from the fund and continue to be
payable to the unemployed individual, subject to the limitations
imposed by the individual's monetary entitlement, if the individual
continues to be unemployed and to file claims for benefits, until
the determination, redetermination, or decision is reversed, a
determination, redetermination, or decision on a new issue holding
the individual disqualified or ineligible is made, or, for benefit
years beginning before October 1, 2000, a new separation issue
arises resulting from subsequent work.
(2) Benefits shall be paid in person or by mail through
Employment offices in accordance with rules promulgated by the
commission.
(b)(1) Subject to subsection (f), the weekly benefit rate for
an individual, with respect to benefit years beginning before
October 1, 2000, shall be 67% of the individual's average after tax
weekly wage, except that the individual's maximum weekly benefit
rate shall not exceed $300.00. However, with respect to benefit
years beginning on or after October 1, 2000, the individual's
weekly benefit rate is 4.1% of the individual's wages paid in the
calendar quarter of the base period in which the individual was
paid the highest total wages, plus $6.00 for each dependent as
defined in subdivision (4), up to a maximum of 5 dependents,
claimed by the individual at the time the individual files a new
claim for benefits, except that the individual's maximum weekly
benefit rate shall not exceed $300.00 before April 26, 2002 and
$362.00 for claims filed on and after April 26, 2002. The weekly
benefit rate for an individual claiming benefits on and after April
26, 2002 shall be recalculated subject to the $362.00 maximum
weekly benefit rate. The unemployment agency shall establish the
procedures necessary to verify the number of dependents claimed. If
a person fraudulently claims a dependent, that person is subject to
the penalties set forth in sections 54 and 54c. For benefit years
beginning on or after October 2, 1983, the weekly benefit rate
shall be adjusted to the next lower multiple of $1.00.
(2) For benefit years beginning before October 1, 2000, the
state average weekly wage for a calendar year shall be computed on
the basis of the 12 months ending the June 30 immediately before
that calendar year. The commission shall prepare a table of weekly
benefit rates based on an "average after tax weekly wage"
calculated by subtracting, from an individual's average weekly wage
as determined in accordance with section 51, a reasonable
approximation of the weekly amount required to be withheld by the
employer from the remuneration of the individual based on
dependents and exemptions for income taxes under 26 USC 3401 to
3406, and under section 351 of the income tax act of 1967, 1967 PA
281, MCL 206.351, and for old age and survivor's disability
insurance taxes under the federal insurance contributions act, 26
USC 3101 to 3128. For purposes of applying the table to an
individual's claim, a dependent shall be as defined in subdivision
(3). The table applicable to an individual's claim shall be the
table reflecting the number of dependents claimed by the individual
under subdivision (3). The commission shall adjust the tables based
on changes in withholding schedules published by the United States
department of treasury, internal revenue service, and by the
department of treasury. The number of dependents allowed shall be
determined with respect to each week of unemployment for which an
individual is claiming benefits.
(3) For benefit years beginning before October 1, 2000, a
dependent means any of the following persons who are receiving and
for at least 90 consecutive days immediately before the week for
which benefits are claimed, or, in the case of a dependent husband,
wife, or child, for the duration of the marital or parental
relationship, if the relationship has existed less than 90 days,
has received more than 1/2 the cost of his or her support from the
individual claiming benefits:
(a) A child, including stepchild, adopted child, or grandchild
of the individual who is under 18 years of age, or 18 years of age
or over if, because of physical or mental infirmity, the child is
unable to engage in a gainful occupation, or is a full-time student
as defined by the particular educational institution, at a high
school, vocational school, community or junior college, or college
or university and has not attained the age of 22.
(b) The husband or wife of the individual.
(c) The legal father or mother of the individual if that
parent is either more than 65 years of age or is permanently
disabled from engaging in a gainful occupation.
(d) A brother or sister of the individual if the brother or
sister is orphaned or the living parents are dependent parents of
an individual, and the brother or sister is under 18 years of age,
or 18 years of age or over if, because of physical or mental
infirmity, the brother or sister is unable to engage in a gainful
occupation, or is a full-time student as defined by the particular
educational institution, at a high school, vocational school,
community or junior college, or college or university and is less
than 22 years of age.
(4) For benefit years beginning on or after October 1, 2000, a
dependent means any of the following persons who received for at
least 90 consecutive days immediately before the first week of the
benefit year or, in the case of a dependent husband, wife, or
child, for the duration of the marital or parental relationship if
the relationship existed less than 90 days before the beginning of
the benefit year, has received more than 1/2 the cost of his or her
support from the individual claiming the benefits:
(a) A child, including stepchild, adopted child, or grandchild
of the individual who is under 18 years of age, or 18 years of age
and over if, because of physical or mental infirmity, the child is
unable to engage in a gainful occupation, or is a full-time student
as defined by the particular educational institution, at a high
school, vocational school, community or junior college, or college
or university and has not attained the age of 22.
(b) The husband or wife of the individual.
(c) The legal father or mother of the individual if that
parent is either more than 65 years of age or is permanently
disabled from engaging in a gainful occupation.
(d) A brother or sister of the individual if the brother or
sister is orphaned or the living parents are dependent parents of
an individual, and the brother or sister is under 18 years of age,
or 18 years of age and over if, because of physical or mental
infirmity, the brother or sister is unable to engage in a gainful
occupation, or is a full-time student as defined by the particular
educational institution, at a high school, vocational school,
community or junior college, or college or university and is less
than 22 years of age.
(5) For benefit years beginning before October 1, 2000,
dependency status of a dependent, child or otherwise, once
established or fixed in favor of an individual continues during the
individual's benefit year until terminated. Dependency status of a
dependent terminates at the end of the week in which the dependent
ceases to be an individual described in subdivision (3)(a), (b),
(c), or (d) because of age, death, or divorce. For benefit years
beginning on or after October 1, 2000, the number of dependents
established for an individual at the beginning of the benefit year
shall remain in effect during the entire benefit year.
(6) For benefit years beginning before October 1, 2000,
failure on the part of an individual, due to misinformation or lack
of information, to furnish all information material for
determination of the number of the individual's dependents when the
individual files a claim for benefits with respect to a week is
good cause to issue a redetermination as to the amount of benefits
based on the number of the individual's dependents as of the
beginning date of that week. Dependency status of a dependent,
child or otherwise, once established or fixed in favor of a person
is not transferable to or usable by another person with respect to
the same week.
For benefit years beginning on or after October 1, 2000,
failure on the part of an individual, due to misinformation or lack
of information, to furnish all information material for
determination of the number of the individual's dependents is good
cause to issue a redetermination as to the amount of benefits based
on the number of the individual's dependents as of the beginning of
the benefit year.
(c) Subject to subsection (f), all of the following apply to
eligible individuals:
(1) Each eligible individual shall be paid a weekly benefit
rate with respect to the week for which the individual earns or
receives no remuneration. Notwithstanding the definition of week in
section 50, if within 2 consecutive weeks in which an individual
was not unemployed within the meaning of section 48 there was a
period of 7 or more consecutive days for which the individual did
not earn or receive remuneration, that period shall be considered a
week for benefit purposes under this act if a claim for benefits
for that period is filed not later than 30 days after the end of
the period.
(2) Each eligible individual shall have his or her weekly
benefit rate reduced with respect to each week in which the
individual earns or receives remuneration at the rate of 50 cents
for each whole $1.00 of remuneration earned or received during that
week.
(3) An individual who receives or earns partial remuneration
may not receive a total of benefits and earnings that exceeds 1-1/2
times his or her weekly benefit amount. For each dollar of total
benefits and earnings that exceeds 1-1/2 times the individual's
weekly benefit amount, benefits shall be reduced by $1.00.
(4) If the reduction in a claimant's benefit rate for a week
in accordance with subdivision (2) or (3) results in a benefit rate
greater than zero for that week, the claimant's balance of weeks of
benefit payments shall be reduced by 1 week.
(5) All remuneration for work performed during a shift that
terminates on 1 day but that began on the preceding day shall be
considered to have been earned by the eligible individual on the
preceding day.
(d) For benefit years beginning before October 1, 2000, and
subject to subsection (f) and this subsection, the amount of
benefits to which an individual who is otherwise eligible is
entitled during a benefit year from an employer with respect to
employment during the base period is the amount obtained by
multiplying the weekly benefit rate with respect to that employment
by 3/4 of the number of credit weeks earned in the employment. For
the purpose of this subsection and section 20(c), if the resultant
product is not an even multiple of 1/2 the weekly benefit rate, the
product shall be raised to an amount equal to the next higher
multiple of 1/2 the weekly benefit rate, and, for an individual who
was employed by only 1 employer in the individual's base period and
earned 34 credit weeks with that employer, the product shall be
raised to the next higher multiple of the weekly benefit rate. The
maximum amount of benefits payable to an individual within a
benefit year, with respect to employment by an employer, shall not
exceed 26 times the weekly benefit rate with respect to that
employment. The maximum amount of benefits payable to an individual
within a benefit year shall not exceed the amount to which the
individual would be entitled for 26 weeks of unemployment in which
remuneration was not earned or received. The limitation of total
benefits set forth in this subsection does not apply to claimants
declared eligible for training benefits in accordance with
subsection (g). For benefit years beginning on or after October 1,
2000, and subject to subsection (f) and this subsection, the
maximum benefit amount payable to an individual in a benefit year
for purposes of this section and section 20(d) is the number of
weeks of benefits payable to an individual during the benefit year,
multiplied by the individual's weekly benefit rate. The number of
weeks of benefits payable to an individual shall be calculated by
taking 43% of the individual's base period wages and dividing the
result by the individual's weekly benefit rate. If the quotient is
not a whole or half number, the result shall be rounded down to the
nearest
half number. However, for each eligible individual filing
an
initial claim before January 15, 2012, not more than 26 weeks of
benefits or less than 14 weeks of benefits shall be payable to an
individual
in a benefit year. For each eligible individual filing
an
initial claim on or after January 15, 2012, not more than 20
weeks
of benefits or less than 14 weeks of benefits shall be
payable
to an individual in a benefit year. The
limitation of total
benefits set forth in this subsection does not apply to claimants
declared eligible for training benefits in accordance with
subsection (g).
(e) When a claimant dies or is judicially declared insane or
mentally incompetent, unemployment compensation benefits accrued
and payable to that person for weeks of unemployment before death,
insanity, or incompetency, but not paid, shall become due and
payable to the person who is the legal heir or guardian of the
claimant or to any other person found by the commission to be
equitably entitled to the benefits by reason of having incurred
expense in behalf of the claimant for the claimant's burial or
other necessary expenses.
(f)(1) For benefit years beginning before October 1, 2000, and
notwithstanding any inconsistent provisions of this act, the weekly
benefit rate of each individual who is receiving or will receive a
"retirement benefit", as defined in subdivision (4), shall be
adjusted as provided in subparagraphs (a), (b), and (c). However,
an individual's extended benefit account and an individual's weekly
extended benefit rate under section 64 shall be established without
reduction under this subsection unless subdivision (5) is in
effect. Except as otherwise provided in this subsection, all other
provisions of this act continue to apply in connection with the
benefit claims of those retired persons.
(a) If and to the extent that unemployment benefits payable
under this act would be chargeable to an employer who has
contributed to the financing of a retirement plan under which the
claimant is receiving or will receive a retirement benefit yielding
a pro rata weekly amount equal to or larger than the claimant's
weekly benefit rate as otherwise established under this act, the
claimant shall not receive unemployment benefits that would be
chargeable to the employer under this act.
(b) If and to the extent that unemployment benefits payable
under this act would be chargeable to an employer who has
contributed to the financing of a retirement plan under which the
claimant is receiving or will receive a retirement benefit yielding
a pro rata weekly amount less than the claimant's weekly benefit
rate as otherwise established under this act, then the weekly
benefit rate otherwise payable to the claimant and chargeable to
the employer under this act shall be reduced by an amount equal to
the pro rata weekly amount, adjusted to the next lower multiple of
$1.00, which the claimant is receiving or will receive as a
retirement benefit.
(c) If the unemployment benefit payable under this act would
be chargeable to an employer who has not contributed to the
financing of a retirement plan under which the claimant is
receiving or will receive a retirement benefit, then the weekly
benefit rate of the claimant as otherwise established under this
act shall not be reduced due to receipt of a retirement benefit.
(d) If the unemployment benefit payable under this act is
computed on the basis of multiemployer credit weeks and a portion
of the benefit is allocable under section 20(e) to an employer who
has contributed to the financing of a retirement plan under which
the claimant is receiving or will receive a retirement benefit, the
adjustments required by subparagraph (a) or (b) apply only to that
portion of the weekly benefit rate that would otherwise be
allocable and chargeable to the employer.
(2) If an individual's weekly benefit rate under this act was
established before the period for which the individual first
receives a retirement benefit, any benefits received after a
retirement benefit becomes payable shall be determined in
accordance with the formula stated in this subsection.
(3) When necessary to assure prompt payment of benefits, the
commission shall determine the pro rata weekly amount yielded by an
individual's retirement benefit based on the best information
currently available to it. In the absence of fraud, a determination
shall not be reconsidered unless it is established that the
individual's actual retirement benefit in fact differs from the
amount determined by $2.00 or more per week. The reconsideration
shall apply only to benefits as may be claimed after the
information on which the reconsideration is based was received by
the commission.
(4)(a) As used in this subsection, "retirement benefit" means
a benefit, annuity, or pension of any type or that part thereof
that is described in subparagraph (b) that is both:
(i) Provided as an incident of employment under an established
retirement plan, policy, or agreement, including federal social
security if subdivision (5) is in effect.
(ii) Payable to an individual because the individual has
qualified on the basis of attained age, length of service, or
disability, whether or not the individual retired or was retired
from employment. Amounts paid to individuals in the course of
liquidation of a private pension or retirement fund because of
termination of the business or of a plant or department of the
business of the employer involved are not retirement benefits.
(b) If a benefit as described in subparagraph (a) is payable
or paid to the individual under a plan to which the individual has
contributed:
(i) Less than 1/2 of the cost of the benefit, then only 1/2 of
the benefit is treated as a retirement benefit.
(ii) One-half or more of the cost of the benefit, then none of
the benefit is treated as a retirement benefit.
(c) The burden of establishing the extent of an individual's
contribution to the cost of his or her retirement benefit for the
purpose of subparagraph (b) is upon the employer who has
contributed to the plan under which a benefit is provided.
(5) Notwithstanding any other provision of this subsection,
for any week that begins after March 31, 1980, and with respect to
which an individual is receiving a governmental or other pension
and claiming unemployment compensation, the weekly benefit amount
payable to the individual for those weeks shall be reduced, but not
below zero, by the entire prorated weekly amount of any
governmental or other pension, retirement or retired pay, annuity,
or any other similar payment that is based on any previous work of
the individual. This reduction shall be made only if it is required
as a condition for full tax credit against the tax imposed by the
federal unemployment tax act, 26 USC 3301 to 3311.
(6) For benefit years beginning on or after October 1, 2000,
notwithstanding any inconsistent provisions of this act, the weekly
benefit rate of each individual who is receiving or will receive a
retirement benefit, as defined in subdivision (4), shall be
adjusted as provided in subparagraphs (a), (b), and (c). However,
an individual's extended benefit account and an individual's weekly
extended benefit rate under section 64 shall be established without
reduction under this subsection, unless subdivision (5) is in
effect. Except as otherwise provided in this subsection, all the
other provisions of this act apply to the benefit claims of those
retired persons. However, if the reduction would impair the full
tax credit against the tax imposed by the federal unemployment tax
act, 26 USC 3301 to 3311, unemployment benefits shall not be
reduced as provided in subparagraphs (a), (b), and (c) for receipt
of any governmental or other pension, retirement or retired pay,
annuity, or other similar payment that was not includable in the
gross income of the individual for the taxable year in which it was
received because it was a part of a rollover distribution.
(a) If any base period or chargeable employer has contributed
to the financing of a retirement plan under which the claimant is
receiving or will receive a retirement benefit yielding a pro rata
weekly amount equal to or larger than the claimant's weekly benefit
rate as otherwise established under this act, the claimant shall
not receive unemployment benefits.
(b) If any base period employer or chargeable employer has
contributed to the financing of a retirement plan under which the
claimant is receiving or will receive a retirement benefit yielding
a pro rata weekly amount less than the claimant's weekly benefit
rate as otherwise established under this act, then the weekly
benefit rate otherwise payable to the claimant shall be reduced by
an amount equal to the pro rata weekly amount, adjusted to the next
lower multiple of $1.00, which the claimant is receiving or will
receive as a retirement benefit.
(c) If no base period or separating employer has contributed
to the financing of a retirement plan under which the claimant is
receiving or will receive a retirement benefit, then the weekly
benefit rate of the claimant as otherwise established under this
act shall not be reduced due to receipt of a retirement benefit.
(g) Notwithstanding any other provision of this act, an
individual pursuing vocational training or retraining pursuant to
section 28(2) who has exhausted all benefits available under
subsection (d) may be paid for each week of approved vocational
training pursued beyond the date of exhaustion a benefit amount in
accordance with subsection (c), but not in excess of the
individual's most recent weekly benefit rate. However, an
individual shall not be paid training benefits totaling more than
18 times the individual's most recent weekly benefit rate. The
expiration or termination of a benefit year shall not stop or
interrupt payment of training benefits if the training for which
the benefits were granted began before expiration or termination of
the benefit year.
(h) A payment of accrued unemployment benefits shall not be
made to an eligible individual or in behalf of that individual as
provided in subsection (e) more than 6 years after the ending date
of the benefit year covering the payment or 2 calendar years after
the calendar year in which there is final disposition of a
contested case, whichever is later.
(i) Benefits based on service in employment described in
section 42(8), (9), and (10) are payable in the same amount, on the
same terms, and subject to the same conditions as compensation
payable on the basis of other service subject to this act, except
that:
(1) With respect to service performed in an instructional,
research, or principal administrative capacity for an institution
of higher education as defined in section 53(2), or for an
educational institution other than an institution of higher
education as defined in section 53(3), benefits shall not be paid
to an individual based on those services for any week of
unemployment beginning after December 31, 1977 that commences
during the period between 2 successive academic years or during a
similar period between 2 regular terms, whether or not successive,
or during a period of paid sabbatical leave provided for in the
individual's contract, to an individual if the individual performs
the service in the first of the academic years or terms and if
there is a contract or a reasonable assurance that the individual
will perform service in an instructional, research, or principal
administrative capacity for an institution of higher education or
an educational institution other than an institution of higher
education in the second of the academic years or terms, whether or
not the terms are successive.
(2) With respect to service performed in other than an
instructional, research, or principal administrative capacity for
an institution of higher education as defined in section 53(2) or
for an educational institution other than an institution of higher
education as defined in section 53(3), benefits shall not be paid
based on those services for any week of unemployment beginning
after December 31, 1977 that commences during the period between 2
successive academic years or terms to any individual if that
individual performs the service in the first of the academic years
or terms and if there is a reasonable assurance that the individual
will perform the service for an institution of higher education or
an educational institution other than an institution of higher
education in the second of the academic years or terms.
(3) With respect to any service described in subdivision (1)
or (2), benefits shall not be paid to an individual based upon
service for any week of unemployment that commences during an
established and customary vacation period or holiday recess if the
individual performs the service in the period immediately before
the vacation period or holiday recess and there is a contract or
reasonable assurance that the individual will perform the service
in the period immediately following the vacation period or holiday
recess.
(4) If benefits are denied to an individual for any week
solely as a result of subdivision (2) and the individual was not
offered an opportunity to perform in the second academic year or
term the service for which reasonable assurance had been given, the
individual is entitled to a retroactive payment of benefits for
each week for which the individual had previously filed a timely
claim for benefits. An individual entitled to benefits under this
subdivision may apply for those benefits by mail in accordance with
R 421.210 of the Michigan administrative code as promulgated by the
commission.
(5) Benefits based upon services in other than an
instructional, research, or principal administrative capacity for
an institution of higher education shall not be denied for any week
of unemployment commencing during the period between 2 successive
academic years or terms solely because the individual had performed
the service in the first of the academic years or terms and there
is reasonable assurance that the individual will perform the
service for an institution of higher education or an educational
institution other than an institution of higher education in the
second of the academic years or terms, unless a denial is required
as a condition for full tax credit against the tax imposed by the
federal unemployment tax act, 26 USC 3301 to 3311.
(6) For benefit years established before October 1, 2000, and
notwithstanding subdivisions (1), (2), and (3), the denial of
benefits does not prevent an individual from completing
requalifying weeks in accordance with section 29(3) nor does the
denial prevent an individual from receiving benefits based on
service with an employer other than an educational institution for
any week of unemployment occurring between academic years or terms,
whether or not successive, or during an established and customary
vacation period or holiday recess, even though the employer is not
the most recent chargeable employer in the individual's base
period. However, in that case section 20(b) applies to the sequence
of benefit charging, except for the employment with the educational
institution, and section 50(b) applies to the calculation of credit
weeks. When a denial of benefits under subdivision (1) no longer
applies, benefits shall be charged in accordance with the normal
sequence of charging as provided in section 20(b).
(7) For benefit years beginning on or after October 1, 2000,
and notwithstanding subdivisions (1), (2), and (3), the denial of
benefits shall not prevent an individual from completing
requalifying weeks in accordance with section 29(3) nor shall the
denial prevent an individual from receiving benefits based on
service with another base period employer other than an educational
institution for any week of unemployment occurring between academic
years or terms, whether or not successive, or during an established
and customary vacation period or holiday recess. However, when
benefits are paid based on service with 1 or more base period
employers other than an educational institution, the individual's
weekly benefit rate shall be calculated in accordance with
subsection (b)(1) but during the denial period the individual's
weekly benefit payment shall be reduced by the portion of the
payment attributable to base period wages paid by an educational
institution and the account or experience account of the
educational institution shall not be charged for benefits payable
to the individual. When a denial of benefits under subdivision (1)
is no longer applicable, benefits shall be paid and charged on the
basis of base period wages with each of the base period employers
including the educational institution.
(8) For the purposes of this subsection, "academic year" means
that period, as defined by the educational institution, when
classes are in session for that length of time required for
students to receive sufficient instruction or earn sufficient
credit to complete academic requirements for a particular grade
level or to complete instruction in a noncredit course.
(9) In accordance with subdivisions (1), (2), and (3),
benefits for any week of unemployment shall be denied to an
individual who performed services described in subdivision (1),
(2), or (3) in an educational institution while in the employ of an
educational service agency. For the purpose of this subdivision,
"educational service agency" means a governmental agency or
governmental entity that is established and operated exclusively
for the purpose of providing the services to 1 or more educational
institutions.
(j) Benefits shall not be paid to an individual on the basis
of any base period services, substantially all of which consist of
participating in sports or athletic events or training or preparing
to participate, for a week that commences during the period between
2 successive sport seasons or similar periods if the individual
performed the services in the first of the seasons or similar
periods and there is a reasonable assurance that the individual
will perform the services in the later of the seasons or similar
periods.
(k)(1) Benefits are not payable on the basis of services
performed by an alien unless the alien is an individual who was
lawfully admitted for permanent residence at the time the services
were performed, was lawfully present for the purpose of performing
the services, or was permanently residing in the United States
under color of law at the time the services were performed,
including an alien who was lawfully present in the United States
under section 212(d)(5) of the immigration and nationality act, 8
USC 1182.
(2) Any data or information required of individuals applying
for benefits to determine whether benefits are payable because of
their alien status are uniformly required from all applicants for
benefits.
(3) If an individual's application for benefits would
otherwise be approved, a determination that benefits to that
individual are not payable because of the individual's alien status
shall not be made except upon a preponderance of the evidence.
(m)(1) An individual filing a new claim for unemployment
compensation under this act, at the time of filing the claim, shall
disclose whether the individual owes child support obligations as
defined in this subsection. If an individual discloses that he or
she owes child support obligations and is determined to be eligible
for unemployment compensation, the commission shall notify the
state or local child support enforcement agency enforcing the
obligation that the individual has been determined to be eligible
for unemployment compensation.
(2) Notwithstanding section 30, the commission shall deduct
and withhold from any unemployment compensation payable to an
individual who owes child support obligations by using whichever of
the following methods results in the greatest amount:
(a) The amount, if any, specified by the individual to be
deducted and withheld under this subdivision.
(b) The amount, if any, determined pursuant to an agreement
submitted to the commission under 42 USC 654(19)(b)(i), by the
state or local child support enforcement agency.
(c) Any amount otherwise required to be deducted and withheld
from unemployment compensation by legal process, as that term is
defined in 42 USC 659(i)(5), properly served upon the commission.
(3) The amount of unemployment compensation subject to
deduction under subdivision (2) is that portion that remains
payable to the individual after application of the recoupment
provisions of section 62(a) and the reduction provisions of
subsections (c) and (f).
(4) Any amount deducted and withheld under subdivision (2)
shall be paid by the commission to the appropriate state or local
child support enforcement agency.
(5) Any amount deducted and withheld under subdivision (2)
shall be treated for all purposes as if it were paid to the
individual as unemployment compensation and paid by the individual
to the state or local child support enforcement agency in
satisfaction of the individual's child support obligations.
(6) Provisions concerning deductions under this subsection
apply only if the state or local child support enforcement agency
agrees in writing to reimburse and does reimburse the commission
for the administrative costs incurred by the commission under this
subsection that are attributable to child support obligations being
enforced by the state or local child support enforcement agency.
The administrative costs incurred shall be determined by the
commission. The commission, in its discretion, may require payment
of administrative costs in advance.
(7) As used in this subsection:
(a) "Unemployment compensation", for purposes of subdivisions
(1) to (5), means any compensation payable under this act,
including amounts payable by the commission pursuant to an
agreement under any federal law providing for compensation,
assistance, or allowances with respect to unemployment.
(b) "Child support obligations" includes only obligations that
are being enforced pursuant to a plan described in 42 USC 654 that
has been approved by the secretary of health and human services
under 42 USC 651 to 669b.
(c) "State or local child support enforcement agency" means
any agency of this state or a political subdivision of this state
operating pursuant to a plan described in subparagraph (b).
(n) Subsection (i)(2) applies to services performed by school
bus drivers employed by a private contributing employer holding a
contractual relationship with an educational institution, but only
if at least 75% of the individual's base period wages with that
employer are attributable to services performed as a school bus
driver.
(o)(1) For weeks of unemployment beginning after July 1, 1996,
unemployment benefits based on services by a seasonal worker
performed in seasonal employment are payable only for weeks of
unemployment that occur during the normal seasonal work period.
Benefits shall not be paid based on services performed in seasonal
employment for any week of unemployment beginning after March 28,
1996 that begins during the period between 2 successive normal
seasonal work periods to any individual if that individual performs
the service in the first of the normal seasonal work periods and if
there is a reasonable assurance that the individual will perform
the service for a seasonal employer in the second of the normal
seasonal work periods. If benefits are denied to an individual for
any week solely as a result of this subsection and the individual
is not offered an opportunity to perform in the second normal
seasonal work period for which reasonable assurance of employment
had been given, the individual is entitled to a retroactive payment
of benefits under this subsection for each week that the individual
previously filed a timely claim for benefits. An individual may
apply for any retroactive benefits under this subsection in
accordance with R 421.210 of the Michigan administrative code.
(2) Not less than 20 days before the estimated beginning date
of a normal seasonal work period, an employer may apply to the
commission in writing for designation as a seasonal employer. At
the time of application, the employer shall conspicuously display a
copy of the application on the employer's premises. Within 90 days
after receipt of the application, the commission shall determine if
the employer is a seasonal employer. A determination or
redetermination of the commission concerning the status of an
employer as a seasonal employer, or a decision of a referee or the
board of review, or of the courts of this state concerning the
status of an employer as a seasonal employer, which has become
final, together with the record thereof, may be introduced in any
proceeding involving a claim for benefits, and the facts found and
decision issued in the determination, redetermination, or decision
shall be conclusive unless substantial evidence to the contrary is
introduced by or on behalf of the claimant.
(3) If the employer is determined to be a seasonal employer,
the employer shall conspicuously display on its premises a notice
of the determination and the beginning and ending dates of the
employer's normal seasonal work periods. The notice shall be
furnished by the commission. The notice shall additionally specify
that an employee must timely apply for unemployment benefits at the
end of a first seasonal work period to preserve his or her right to
receive retroactive unemployment benefits if he or she is not
reemployed by the seasonal employer in the second of the normal
seasonal work periods.
(4) The commission may issue a determination terminating an
employer's status as a seasonal employer on the commission's own
motion for good cause, or upon the written request of the employer.
A termination determination under this subdivision terminates an
employer's status as a seasonal employer, and becomes effective on
the beginning date of the normal seasonal work period that would
have immediately followed the date the commission issues the
determination. A determination under this subdivision is subject to
review in the same manner and to the same extent as any other
determination under this act.
(5) An employer whose status as a seasonal employer is
terminated under subdivision (4) may not reapply for a seasonal
employer status determination until after a regularly recurring
normal seasonal work period has begun and ended.
(6) If a seasonal employer informs an employee who received
assurance of being rehired that, despite the assurance, the
employee will not be rehired at the beginning of the employer's
next normal seasonal work period, this subsection does not prevent
the employee from receiving unemployment benefits in the same
manner and to the same extent he or she would receive benefits
under this act from an employer who has not been determined to be a
seasonal employer.
(7) A successor of a seasonal employer is considered to be a
seasonal employer unless the successor provides the commission,
within 120 days after the transfer, with a written request for
termination of its status as a seasonal employer in accordance with
subdivision (4).
(8) At the time an employee is hired by a seasonal employer,
the employer shall notify the employee in writing if the employee
will be a seasonal worker. The employer shall provide the worker
with written notice of any subsequent change in the employee's
status as a seasonal worker. If an employee of a seasonal employer
is denied benefits because that employee is a seasonal worker, the
employee may contest that designation in accordance with section
32a.
(9) As used in this subsection:
(a) "Construction industry" means the work activity designated
in sector group 23 - construction of the North American
classification system - United States office of management and
budget, 1997 edition.
(b) "Normal seasonal work period" means that period or those
periods of time determined under rules promulgated by the
commission during which an individual is employed in seasonal
employment.
(c) "Seasonal employment" means the employment of 1 or more
individuals primarily hired to perform services in an industry,
other than the construction industry, that does either of the
following:
(1) Customarily operates during regularly recurring periods of
26 weeks or less in any 52-consecutive-week period.
(2) Customarily employs at least 50% of its employees for
regularly recurring periods of 26 weeks or less within a period of
52 consecutive weeks.
(d) "Seasonal employer" means an employer, other than an
employer in the construction industry, who applies to the
commission for designation as a seasonal employer and who the
commission determines to be an employer whose operations and
business are substantially engaged in seasonal employment.
(e) "Seasonal worker" means a worker who has been paid wages
by a seasonal employer for work performed only during the normal
seasonal work period.
(10) This subsection does not apply if the United States
department of labor finds it to be contrary to the federal
unemployment tax act, 26 USC 3301 to 3311, or the social security
act, chapter 531, 49 Stat. 620, and if conformity with the federal
law is required as a condition for full tax credit against the tax
imposed under the federal unemployment tax act, 26 USC 3301 to
3311, or as a condition for receipt by the commission of federal
administrative grant funds under the social security act, chapter
531, 49 Stat. 620.
(p) Benefits shall not be paid to an individual based upon his
or her services as a school crossing guard for any week of
unemployment that begins between 2 successive academic years or
terms, if that individual performs the services of a school
crossing guard in the first of the academic years or terms and has
a reasonable assurance that he or she will perform those services
in the second of the academic years or terms.
