State of Arizona
House of Representatives
Second Regular Session
HOUSE BILL 2519
Amending sections 23‑353, 23-769, 23-771 and 23-776, Arizona Revised Statutes; Amending Title 23, chapter 4, article 6, Arizona Revised Statutes, by adding section 23-795; relating to Employment security.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 23-353, Arizona Revised Statutes, is amended to read:
23-353. Payment of wages of discharged employee; violation; classification
A. When an employee is discharged from the service of an employer, he shall be paid wages due him within three seven working days or the end of the next regular pay period, whichever is sooner.
B. When an employee quits the service of an employer he shall be paid in the usual manner all wages due him no later than the regular payday for the pay period during which the termination occurred. If requested by the employee, such wages shall be paid by mail.
C. Every employer, including the this state and its political subdivisions, shall pay wages or compensation due an employee under this section in lawful money of the United States by negotiable check, draft, money order or warrant, in the case of the state or any political subdivision, which can be immediately redeemed in cash at a bank or other financial institution, payable on demand or by deposit in a financial institution of employee's choice and dated not later than the day upon which the check, draft, money order or warrant is given, and not otherwise.
D. A person violating this section is guilty of a petty offense.
Sec. 2. Section 23-769, Arizona Revised Statutes, is amended to read:
23-769. Job training employer tax
A. Beginning on January 1, 2001, a tax equal to one‑tenth of one per cent of taxable wages as provided and defined in section 23‑622 and that are paid to an employee each year is imposed on each employer in this state except employers described in subsection B or C of this section.
B. Subsection A of this section does not apply to employers who have elected to become liable for payment in lieu of contributions pursuant to section 23‑750.
C. Until the amount of the excise tax imposed pursuant to 26 United States Code section 3301 is reduced to a percentage that is less than six per cent or less, subsection A of this section does not apply to employers:
1. With a positive reserve ratio of at least thirteen per cent pursuant to section 23‑730.
2. With a positive reserve ratio of at least twelve per cent but less than thirteen per cent.
3. That are assigned the contribution rate of two per cent pursuant to section 23‑729 or two and seven‑tenths per cent pursuant to section 23‑730.
4. With a negative reserve ratio pursuant to section 23‑730.
D. The department of economic security shall collect this tax on a quarterly basis and shall deposit, pursuant to sections 35‑146 and 35‑147, the monies collected pursuant to this section in the Arizona job training fund established by section 41‑1544. Monies collected pursuant to this section shall not be commingled in any manner with monies collected pursuant to articles 4, 5 and 5.1 of this chapter.
E. From and after December 31, 2004, the payment of contributions or job training employer taxes is not required if the quarterly amount of the contributions and taxes is less than ten dollars.
Sec. 3. Section 23-771, Arizona Revised Statutes, is amended to read:
23-771. Eligibility for benefits
A. An unemployed individual shall be eligible to receive benefits with respect to any week only if the department finds that the individual:
1. Has registered for work at and thereafter has continued to report at an employment office in accordance with such regulations as the department prescribes.
2. Has made a claim for benefits in accordance with section 23‑772.
3. Is able to work.
4. Is available for work and both of the following apply:
(a) The individual has engaged in a systematic and sustained effort to obtain work during at least four days of the week.
(b) The individual has made at least three work search contacts during the week.
5. Has been unemployed for a waiting period of one week. A week shall not be counted as a week of unemployment for the purpose of this paragraph:
(a) Unless it occurs within the benefit year that includes the week with respect to which the individual claims payment of benefits.
(b) Unless the individual was eligible for benefits with respect thereto as provided in this section and sections 23‑775, through 23‑776 and 23‑777.
(c) If benefits have been paid in respect thereto.
6. Has met one of the following requirements:
(a) Has been paid wages for insured work during the individual's base period equal to at least one and one‑half times the wages paid to the individual in the calendar quarter of the individual's base period in which such wages were highest, and the individual has been paid wages for insured work in one calendar quarter of the individual's base period equal to at least one thousand five hundred dollars an amount that is equal to at least three hundred ninety times the minimum wage prescribed by section 23‑363 that is in effect when the individual files a claim for benefits.
(b) Has for a benefit year beginning on or after September 2, 1984, been paid wages for insured work during at least two quarters of the individual's base period and the amount of such wages paid in one quarter would be sufficient to qualify the individual for the maximum weekly benefit amount payable under this chapter and the total of the individual's base‑period wages is equal to or greater than the taxable limit as specified in section 23‑622, subsection B, paragraph 1.
7. Following the beginning date of a benefit year established under this chapter or the unemployment compensation law of any other state and prior to the effective date of a subsequent benefit year under this chapter, has performed services whether or not in employment as defined in section 23‑615 for which wages were payable in an amount equal to or in excess of eight times the weekly benefit amount for which the individual is otherwise qualified under section 23‑779. In making a determination under this paragraph the department shall use information available in its records or require the individual to furnish necessary information within thirty days from the date notice is given that such information is required.
B. If an unemployed individual cannot establish a benefit year as defined in section 23‑609 due to receipt during the base period of compensation for a temporary total disability pursuant to chapter 6 of this title, or any similar federal law, the individual's base period shall be the first four of the last five completed calendar quarters immediately preceding the first day of the calendar week in which the disability began. Wages previously used to establish a benefit year may not be reused. This subsection does not apply unless all of the following occur:
1. The individual has filed a claim for benefits not later than the fourth calendar week of unemployment after the end of the period of disability.
2. The claim is filed within two years after the period of disability begins.
3. The individual meets the requirements of subsection A of this section.
4. The individual has attempted to return to the employment where the temporary total disability occurred.
C. If an unemployed individual is a member of the national guard or other reserve component of the United States armed forces, the individual shall not be considered to be either employed or unavailable for work by reason of the individual's participation in drill, training or other national guard or reserve activity that occurs on not more than one weekend per month or in lieu of a weekend drill or the equivalent.
D. The department shall not disqualify an individual from receiving benefits under this chapter on the basis of the individual's separation from employment if the individual is a victim of domestic violence and leaves employment due to a documented case of a involving domestic violence offense as defined in pursuant to section 13‑3601 or 13‑3601.02. Benefits paid to an individual pursuant to this subsection shall not be charged against an employer's account pursuant to section 23‑727, subsection G.
E. For the purposes of subsection A, paragraph 6 of this section, wages shall be counted as "wages for insured work" for benefit purposes with respect to any benefit year only if that benefit year begins subsequent to the date on which the employing unit by which those wages were paid has become an employer subject to this chapter.
Sec. 4. Section 23-776, Arizona Revised Statutes, is amended to read:
23-776. Disqualification from benefits for failure to accept suitable work or actively seek work; exceptions
A. An individual shall be disqualified for benefits if the department finds he the individual has failed without cause either to apply for available, suitable work, when so directed by the employment office or the department, or to actively engage in seeking work, to accept suitable work when offered him, or to return to his the individual's customary self‑employment when so directed by the department. The disqualification shall begin with the week in which the failure occurred and shall continue for the duration of his the individual's unemployment and until he the individual has earned wages in an amount equivalent to eight times his the individual's weekly benefit amount otherwise payable.
B. In determining whether or not work is suitable for an individual, the department shall consider the degree of risk involved to his the individual's health, safety and morals, his the individual's physical fitness and prior training, his the individual's experience and prior earnings, his the individual's length of unemployment and prospects for securing local work in his the individual's customary occupation and the distance of the available work from his the individual's residence.
C. Notwithstanding any other provisions of this chapter, no work shall not be deemed suitable and benefits shall not be denied under this chapter to an otherwise eligible individual for refusing to accept new work under any of the following conditions:
1. If The position offered is vacant due directly to a strike, lockout or other labor dispute.
2. If The wages, hours or other conditions of the work offered are substantially less favorable to the individual than those prevailing for similar work in the locality.
3. If As a condition of being employed the individual would be required to join a company union or to resign from or refrain from joining a bona fide labor organization.
D. An individual is considered to have refused an offer of suitable work under subsection A of this section if an offer of work is withdrawn by an employer after an individual either:
1. Tests positive for drugs after a drug test given pursuant to chapter 2, article 14 of this title by or on behalf of a prospective employer as a condition of an offer of employment.
2. Refuses, without good cause, to submit to a drug test that is required by a prospective employer as a condition of an offer of employment.
Sec. 5. Title 23, chapter 4, article 6, Arizona Revised Statutes, is amended by adding section 23-795, to read:
23-795. Services for a charter school; benefits
A. Notwithstanding any other law, benefits based on service for a charter school, as described in section 15-181, shall not be paid to an individual for any week of unemployment that begins during a period between two successive academic years or terms if the individual performs these services in the first of the successive academic years or terms and there is a reasonable assurance that the individual will perform the same services in the second of the academic years or terms, except that if benefits are denied to any individual under this subsection and that individual was not offered an opportunity to perform these services for the employer for the second successive academic year or term, the individual is entitled to a retroactive payment of benefits for each week the individual filed a timely claim for benefits and the benefits were denied solely by reason of this subsection.
B. Benefits based on service for a charter school, as described in section 15-181, shall not be paid to an individual for any week of unemployment that begins during an established and customary vacation period or holiday recess if the individual performs these services in the period immediately before the vacation period or holiday recess and if there is a reasonable assurance that the individual will perform the services in the period immediately following the vacation period or holiday recess.
APPROVED BY THE GOVERNOR APRIL 3, 2012.
FILED IN THE OFFICE OF THE SECRETARY OF STATE APRIL 3, 2012.