2012 -- S 2689

=======

LC01521

=======

STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2012

____________

A N A C T

RELATING TO LABOR AND LABOR RELATIONS - TEMPORARY DISABILITY

INSURANCE

     Introduced By: Senator Maryellen Goodwin

     Date Introduced: March 01, 2012

     Referred To: Senate Labor

It is enacted by the General Assembly as follows:

1-1

     SECTION 1. Section 28-39-2 of the General Laws in Chapter 28-39 entitled “Temporary

1-2

Disability Insurance – General Provisions” is hereby amended to read as follows:

1-3

     28-39-2. Definitions. – The following words and phrases, as used in chapters 39 – 41 of

1-4

this title, have the following meanings unless the context clearly requires otherwise:

1-5

     (1) "Average weekly wage" means the amount determined by dividing the individual's

1-6

total wages earned for services performed in employment within his or her base period by the

1-7

number of that individual's credit weeks within the base period;

1-8

     (2) "Base period" with respect to an individual's benefit year when the benefit year begins

1-9

on or after October 7, 1990, means the first four (4) of the most recently completed five (5)

1-10

calendar quarters immediately preceding the first day of an individual's benefit year; provided,

1-11

that for any individual's benefit year when the benefit year begins on or after October 4, 1992,

1-12

and for any individual deemed monetarily ineligible for benefits under the "base period" as

1-13

defined in this subdivision, the department shall make a re-determination of entitlement based

1-14

upon an alternate base period which consists of the last four (4) completed calendar quarters

1-15

immediately preceding the first day of the claimant's benefit year. Notwithstanding anything

1-16

contained to the contrary in this subdivision, the base period shall not include any calendar

1-17

quarter previously used to establish a valid claim for benefits; provided, however, that the "base

1-18

period" with respect to members of the United States military service, the Rhode Island National

1-19

Guard, or a United States military reserve force, and who served in a United States declared

2-1

combat operation during their military service, who file a claim for benefits following their

2-2

release from their state or federal active military service and who are deemed to be monetarily

2-3

ineligible for benefits under this section, shall mean the first four (4) of the most recently

2-4

completed five (5) calendar quarters immediately preceding the first day the individual was called

2-5

into that state or federal active military service; provided, that for any individual deemed

2-6

monetarily ineligible for benefits under the "base period" as defined in this section, the

2-7

department shall make a re-determination of entitlement based upon an alternative base period

2-8

which consists of the last four (4) completed calendar quarters immediately preceding the first

2-9

day the claimant was called into that state or federal active military service. Notwithstanding any

2-10

provision of this section of the general or public laws to the contrary, the base period shall not

2-11

include any calendar quarter previously used to establish a valid claim for benefits;

2-12

     (3) "Benefit" means the money payable, as provided in chapters 39 – 41 of this title, to an

2-13

individual as compensation for his or her unemployment caused by sickness;

2-14

     (4) "Benefit credits" means the total amount of money payable to an individual as

2-15

benefits, as provided in section 28-41-7;

2-16

     (5) "Benefit rate" means the money payable to an individual as compensation, as

2-17

provided in chapters 39 – 41 of this title, for his or her wage losses with respect to any week

2-18

during which his or her unemployment is caused by sickness;

2-19

     (6) "Benefit year" with respect to any individual who does not already have a benefit year

2-20

in effect, and who files a valid claim for benefits as of November 16, 1958 or any later date,

2-21

means fifty-two (52) consecutive calendar weeks, the first of which shall be the week containing

2-22

the day as of which he or she first files that valid claim in accordance with regulations adopted as

2-23

subsequently prescribed; provided, that for any benefit year beginning on or after October 7,

2-24

1990, the benefit year shall be fifty-three (53) consecutive calendar weeks if the subsequent filing

2-25

of a new valid claim immediately following the end of a previous benefit year would result in the

2-26

overlapping of any quarter of the base period of the prior new claim. In no event shall a new

2-27

benefit year begin prior to the Sunday next following the end of the old benefit year;

2-28

     (i) For benefit years that begin on or after July 1, 2012, an individual’s benefit year will

2-29

begin on the Sunday of the calendar week in which an individual first became unemployed due to

2-30

sickness and for which the individual has filed a valid claim for benefits;

2-31

     (7) "Board" means the board of review as created under chapter 19 of title 42;

2-32

     (8) "Calendar quarter" has the same definition as contained in chapter 42 of this title;

2-33

     (9) "Credit week" means any week within an individual's base period in which that

2-34

individual earns wages amounting to at least twenty (20) times the minimum hourly wage as

3-1

defined in chapter 12 of this title, for performing services in employment for one or more

3-2

employers subject to chapters 39 – 41 of this title;

3-3

     (10) "Director" means the director of the department of labor and training;

3-4

     (11) "Employee" means any person who is or has been employed by an employer subject

3-5

to chapters 39 – 41 of this title and in employment subject to those chapters;

3-6

     (12) "Employer" means any employing unit that is an employer under chapters 42 – 44 of

3-7

this title;

3-8

     (13) "Employing unit" has the same definition as contained in chapter 42 of this title and

3-9

includes any governmental entity that elects to become subject to the provisions of chapters 39 –

3-10

41 of this title, in accordance with the provisions of sections 28-39-3.1 and 28-39-3.2;

3-11

     (14) "Employment" has the same definition as contained in chapter 42 of this title;

3-12

     (15) "Employment office" has the same definition as contained in chapter 42 of this title;

3-13

     (16) "Fund" means the Rhode Island temporary disability insurance fund established by

3-14

this chapter;

3-15

     (17) "Partial unemployment due to sickness" For weeks beginning on or after January 1,

3-16

2006 an individual shall be deemed partially unemployed due to sickness in any week of less than

3-17

full-time work if he or she fails to earn in wages for services for that week an amount equal to the

3-18

weekly benefit rate for total unemployment due to sickness to which he or she would be entitled

3-19

if totally unemployed due to sickness and eligible.

3-20

     (i) For the purposes of this subdivision and subdivision (22) of this section, "Wages"

3-21

includes only that part of remuneration for any work, which is in excess of one-fifth (1/5) of the

3-22

weekly benefit rate for total unemployment, rounded to the next lower multiple of one dollar

3-23

($1.00), to which the individual would be entitled if totally unemployed and eligible in any one

3-24

week, and "services" includes only that part of any work for which remuneration in excess of

3-25

one-fifth (1/5) of the weekly benefit rate for total unemployment, rounded to the next lower

3-26

multiple of one dollar ($1.00), to which the individual would be entitled if totally unemployed

3-27

and eligible in any one week is payable; provided, that nothing contained in this paragraph shall

3-28

permit any individual to whom remuneration is payable for any work performed in any week in

3-29

an amount equal to, or greater than, his or her weekly benefit rate to receive benefits under this

3-30

subdivision for that week.

3-31

     (18) "Reserve fund" means the temporary disability insurance reserve fund established by

3-32

section 28-39-7;

3-33

     (19) "Services" means all endeavors undertaken by an individual that are paid for by

3-34

another or with respect to which the individual performing the services expects to receive wages

4-1

or profits;

4-2

     (20) "Sickness". An individual shall be deemed to be sick in any week in which, because

4-3

of his or her physical or mental condition, including pregnancy, he or she is unemployed and

4-4

unable to perform his or her regular or customary work or services;

4-5

     (21) "Taxes" means the money payments required by chapters 39 – 41 of this title, to be

4-6

made to the temporary disability insurance fund or to the temporary disability insurance reserve

4-7

fund.

4-8

     (ii) Wherever and whenever in chapters 39 – 41 of this title, the words "contribution"

4-9

and/or "contributions" appear, those words shall be construed to mean the "taxes," as defined in

4-10

this subdivision, which are the money payments required by those chapters to be made to the

4-11

temporary disability insurance fund or to the temporary disability insurance reserve fund;

4-12

     (22) "Wages" has the same definition as contained in chapter 42 of this title; provided,

4-13

that no individual shall be denied benefits under chapters 39 – 41 of this title because his or her

4-14

employer continues to pay to that individual his or her regular wages, or parts of them, while he

4-15

or she is unemployed due to sickness and unable to perform his or her regular or customary work

4-16

or services. The amount of any payments, whether or not under a plan or system, made to or on

4-17

behalf of an employee by his or her employer after the expiration of six (6) calendar months

4-18

following the last calendar month in which the employee performed actual bona fide personal

4-19

services for his or her employer, shall not be deemed to be wages either for the purpose of paying

4-20

contributions thereon under chapter 40 of this title, or for the purpose of being used as a basis for

4-21

paying benefits under chapter 41 of this title; and

4-22

     (23) "Week" has the same definition as contained in chapter 42 of this title.

4-23

     SECTION 2. Sections 28-41-9 and 28-41-11 of the General Laws in Chapter 28-41

4-24

entitled “Temporary Disability Insurance –Benefits” are hereby amended to read as follows:

4-25

     28-41-9. Lag day benefits. – (a) An individual who, having been unemployed due to

4-26

sickness, has served a waiting period, and who is in receipt of benefits under this chapter, returns

4-27

to work prior to the end of the immediately succeeding week, shall be entitled to one-fifth ( 1/5)

4-28

of his or her benefit rate for each day of unemployment due to sickness in which work is

4-29

ordinarily performed in the occupation in which he or she is employed during the week in which

4-30

he or she returns to work, figured to the highest dollar, including any holiday when the

4-31

performance of services is waived by his or her employer; provided, that in no case shall any

4-32

individual be entitled to more than four-fifths (4/5) of his benefit rate, figured to the highest

4-33

dollar, for that week.

5-34

     (b) An individual who, having been unemployed due to sickness, served a waiting period

5-35

and, at a later date during his or her benefit year, again becomes unemployed due to sickness, and

5-36

refiles his or her claim for benefits, shall, if his or her first day of unemployment begins on a day

5-37

subsequent to the first day of any week, be entitled to one-fifth ( 1/5) of his or her benefit rate for

5-38

each day in that week in which work is ordinarily performed in the occupation in which he or she

5-39

was last employed, including any holiday when the performance of services is waived by his or

5-40

her employer, figured to the highest dollar, if his or her unemployment continues for seven (7)

5-41

consecutive calendar days, including the first day of unemployment due to sickness for which he

5-42

or she has refiled his or her claim. In no case shall any individual be entitled to more than four-

5-43

fifths ( 4/5) of his or her benefit rate, figured to the highest dollar, for the week in which his or

5-44

her unemployment begins on a day subsequent to the first day of that week.

5-45

     28-41-11. Eligibility. – (a) For benefit years beginning on or after July 1, 1981 and prior

5-46

to October 7, 1990, an individual shall be deemed eligible for benefits for any given week of his

5-47

or her unemployment due to sickness only if he or she has, within the base period immediately

5-48

preceding the benefit year in which that week of unemployment occurs, earned wages amounting

5-49

to at least twenty (20) times the minimum hourly wage as defined in chapter 12 of this title, in

5-50

each of at least twenty (20) weeks or, in the alternative, in an amount equal to three (3) times the

5-51

total minimum amount required in this chapter.

5-52

     (b) In order to be deemed eligible for benefits, an individual whose benefit year begins on

5-53

or after October 7, 1990: must have been paid wages in:

5-54

     (1) Any one calendar quarter of the base period which are at least two hundred (200)

5-55

times the minimum hourly wage, as defined in chapter 12 of this title, and must have been paid

5-56

wages in the base period amounting to at least one and one-half (1 1/2) times the wages paid to

5-57

the individual in that calendar quarter of the base period in which the individual's wages were

5-58

highest; provided, that the minimum amount of total base period wages paid to the individual

5-59

must be at least four hundred (400) times the minimum hourly wage, as defined in chapter 12 of

5-60

this title. The base period wages must have been paid to the individual for performing services in

5-61

employment for one or more employers subject to chapters 39 – 41 of this title; or, in the

5-62

alternative,

5-63

     (2) The base period for performing services in employment for one or more employers

5-64

subject to chapters 39 – 41 of this title amounting to at least three (3) times the total minimum

5-65

amount required in subdivision (1) of this subsection.

5-66

     (c) In addition to the provisions of subsection (b) of this section, for benefit years that

5-67

begin on or after July 1, 2012, an individual must have been unemployed due to sickness for at

5-68

least seven (7) consecutive days in order to be eligible for benefits.

6-1

     SECTION 3. Section 28-41-12 of the General Laws in Chapter 28-41 entitled

6-2

“Temporary Disability Insurance –Benefits” is hereby repealed.

6-3

     28-41-12 Waiting period. – (a) For benefit years beginning on or after July 6, 2008 the

6-4

waiting period of any individual shall be either:

6-5

     (1) Seven (7) consecutive days commencing with the Sunday of the week in which the

6-6

claimant filed a claim for benefits, during which that individual is unemployed due to sickness

6-7

and during which the individual earned remuneration in an amount less than his or her weekly

6-8

benefit rate for work performed during that week prior to his or her unemployment due to

6-9

sickness; or

6-10

     (2) Seven (7) consecutive days, commencing with the Sunday of the week following the

6-11

week in which the individual filed a claim for benefits, during which the individual is

6-12

unemployed due to sickness and the individual earned remuneration in an amount greater than or

6-13

equal to his or her weekly benefit rate for work performed during that week prior to filing a claim

6-14

for benefits.

6-15

     (b) No waiting period shall be credited to any individual unless he or she has filed a valid

6-16

claim in accordance with regulations adopted as prescribed in this title.

6-17

     (c) Benefits shall be payable to an eligible individual only for those weeks of his or her

6-18

unemployment due to sickness within a benefit year which occur subsequent to one waiting

6-19

period, which shall be served at any time during the benefit year. If the first week of an

6-20

individual's unemployment due to sickness which occurs within his or her new benefit year is

6-21

immediately preceded by a week for which he or she is in receipt of benefits (including lag day

6-22

payments as provided in section 28-41-9) for total or partial unemployment due to sickness under

6-23

chapters 39 – 41 of this title, or under similar federal provisions, he or she shall not be required to

6-24

serve a waiting period for that new benefit year.

6-25

     (d) Except as provided in subsection (c), no period of unemployment due to sickness

6-26

shall be counted towards an individual's required waiting period if with respect to any portion of

6-27

that period of unemployment due to sickness, benefits have been paid under the employment

6-28

security or temporary disability insurance acts of any other state or of any similar acts of the

6-29

United States or of any foreign government.

6-30

     (e) If an individual is unemployed due to sickness for the seven (7) consecutive days, as

6-31

provided for in subsection (a), and his or her sickness continues for at least an additional twenty-

6-32

one (21) consecutive days, he or she shall be eligible to receive benefits for the waiting period of

6-33

seven (7) consecutive days.

7-34

     SECTION 4. This act shall take effect on July 1, 2012.

=======

LC01521

========

EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO LABOR AND LABOR RELATIONS - TEMPORARY DISABILITY

INSURANCE

***

8-1

     This act would eliminate the seven day waiting period that an individual must currently

8-2

serve prior to receiving temporary disability insurance benefits. Individuals would be eligible for

8-3

temporary disability insurance benefits beginning with the first day of their unemployment due to

8-4

sickness if they are unemployed due to sickness for at least seven consecutive days.

8-5

     This act shall take effect on July 1, 2012.

=======

LC01521

=======