HBA-EDN, SEP H.B. 567 77(R)BILL ANALYSIS


Office of House Bill AnalysisH.B. 567
By: Deshotel
Economic Development
7/16/2001
Enrolled



BACKGROUND AND PURPOSE 

Prior to the 77th Legislature, unemployment benefits were calculated using
a fixed base year and the average weekly wage of manufacturing production
workers.  This process of computing unemployment benefits was enacted three
decades ago and had become outdated in an economy no longer based on
manufacturing jobs.  House Bill 567 modifies the procedures for the
computation of unemployment benefits.        
RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 567 amends the Labor Code to modify the method of computation of
the maximum and minimum benefit amounts for total unemployment under the
unemployment compensation system.  The bill provides that the maximum
weekly benefit amount for an eligible individual is 47.6 percent of the
average weekly wage in covered employment and the minimum weekly benefit
amount is 7.6 percent of the average weekly wage in covered employment.
The bill requires the Texas Workforce Commission to determine the average
weekly wage in covered employment and to compute the maximum and minimum
weekly benefit amount not later than October 1 of each year based on the
annual average weekly wage for the preceding year. 
 
EFFECTIVE DATE

September 1, 2001.  The Act applies beginning October 1, 2001.