H-3955.2          _______________________________________________

 

                                  HOUSE BILL 2777

                  _______________________________________________

 

State of Washington              54th Legislature             1996 Regular Session

 

By Representatives Conway, Patterson, Tokuda, Campbell, Morris, Veloria, Keiser, Chopp, Robertson, Cole, Scheuerman, Dickerson, Smith, Costa, Dellwo and Cody

 

Read first time 01/19/96.  Referred to Committee on Commerce & Labor.

 

Providing unemployment compensation for unemployment resulting from a strike or lockout found to be an unfair labor practice.



     AN ACT Relating to unemployment compensation for unemployment resulting from unfair labor practices; and amending RCW 50.20.090 and 50.20.190.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

 

     Sec. 1.  RCW 50.20.090 and 1988 c 83 s 1 are each amended to read as follows:

     (1) An individual shall be disqualified for benefits for any week with respect to which the commissioner finds that the individual's unemployment is:

     (a) Due to a strike at the factory, establishment, or other premises at which the individual is or was last employed; or

     (b) Due to a lockout by his or her employer who is a member of a multi-employer bargaining unit and who has locked out the employees at the factory, establishment, or other premises at which the individual is or was last employed after one member of the multi-employer bargaining unit has been struck by its employees as a result of the multi-employer bargaining process.

     (2) Subsection (1) of this section shall not apply if it is shown to the satisfaction of the commissioner that:

     (a)(i) The individual is not participating in or financing or directly interested in the strike or lockout that caused the individual's unemployment; and

     (((b))) (ii) The individual does not belong to a grade or class of workers of which, immediately before the commencement of the strike or lockout, there were members employed at the premises at which the strike or lockout occurs, any of whom are participating in or financing or directly interested in the strike or lockout:  PROVIDED, That if in any case separate branches of work which are commonly conducted as separate businesses in separate premises are conducted in separate departments of the same premises, each such department shall, for the purpose of this subdivision, be deemed to be a separate factory, establishment, or other premises; or

     (b) The strike that caused the individual's unemployment is found to be an unfair labor practice strike by an administrative law judge or other official with appropriate jurisdiction who has conducted a hearing on the matter, or the judge or official finds that the lockout that caused the individual's unemployment is an unfair labor practice.  The individual shall not be disqualified for benefits for any week in which the unfair labor practice is found to have been committed or for any subsequent weeks in which the lockout or unfair labor practice strike continues.

     (3) Any disqualification imposed under this section shall end when the strike or lockout is terminated.

 

     Sec. 2.  RCW 50.20.190 and 1995 c 90 s 1 are each amended to read as follows:

     (1) An individual who is paid any amount as benefits under this title to which he or she is not entitled shall, unless otherwise relieved pursuant to this section, be liable for repayment of the amount overpaid.  The department shall issue an overpayment assessment setting forth the reasons for and the amount of the overpayment.  The amount assessed, to the extent not collected, may be deducted from any future benefits payable to the individual:  PROVIDED, That in the absence of a back pay award, a settlement affecting the allowance of benefits, fraud, misrepresentation, or willful nondisclosure, every determination of liability shall be mailed or personally served not later than two years after the close of or final payment made on the individual's applicable benefit year for which the purported overpayment was made, whichever is later, unless the merits of the claim are subjected to administrative or judicial review in which event the period for serving the determination of liability shall be extended to allow service of the determination of liability during the six-month period following the final decision affecting the claim.

     (2)(a) The commissioner may waive an overpayment if the commissioner finds that said overpayment was not the result of fraud, misrepresentation, willful nondisclosure, or fault attributable to the individual and that the recovery thereof would be against equity and good conscience((:  PROVIDED, HOWEVER, That)).  However, the overpayment so waived shall be charged against the individual's applicable entitlement for the eligibility period containing the weeks to which the overpayment was attributed as though such benefits had been properly paid.

     (b) An overpayment may not be assessed if:  (i) The individual received benefits pursuant to a determination under RCW 50.20.090(2)(b); and (ii) the overpayment results from the individual's receipt of a back pay award or settlement arising out of that labor dispute or from a reversal during review or appeal of the original finding of an unfair labor practice.

     (3) Any assessment herein provided shall constitute a determination of liability from which an appeal may be had in the same manner and to the same extent as provided for appeals relating to determinations in respect to claims for benefits:  PROVIDED, That an appeal from any determination covering overpayment only shall be deemed to be an appeal from the determination which was the basis for establishing the overpayment unless the merits involved in the issue set forth in such determination have already been heard and passed upon by the appeal tribunal.  If no such appeal is taken to the appeal tribunal by the individual within thirty days of the delivery of the notice of determination of liability, or within thirty days of the mailing of the notice of determination, whichever is the earlier, said determination of liability shall be deemed conclusive and final.  Whenever any such notice of determination of liability becomes conclusive and final, the commissioner, upon giving at least twenty days notice by certified mail return receipt requested to the individual's last known address of the intended action, may file with the superior court clerk of any county within the state a warrant in the amount of the notice of determination of liability plus a filing fee of five dollars.  The clerk of the county where the warrant is filed shall immediately designate a superior court cause number for the warrant, and the clerk shall cause to be entered in the judgment docket under the superior court cause number assigned to the warrant, the name of the person(s) mentioned in the warrant, the amount of the notice of determination of liability, and the date when the warrant was filed.  The amount of the warrant as docketed shall become a lien upon the title to, and any interest in, all real and personal property of the person(s) against whom the warrant is issued, the same as a judgment in a civil case duly docketed in the office of such clerk.  A warrant so docketed shall be sufficient to support the issuance of writs of execution and writs of garnishment in favor of the state in the manner provided by law for a civil judgment.  A copy of the warrant shall be mailed to the person(s) mentioned in the warrant by certified mail to the person's last known address within five days of its filing with the clerk.

     (4) On request of any agency which administers an employment security law of another state, the United States, or a foreign government and which has found in accordance with the provisions of such law that a claimant is liable to repay benefits received under such law, the commissioner may collect the amount of such benefits from the claimant to be refunded to the agency.  In any case in which under this section a claimant is liable to repay any amount to the agency of another state, the United States, or a foreign government, such amounts may be collected without interest by civil action in the name of the commissioner acting as agent for such agency if the other state, the United States, or the foreign government extends such collection rights to the employment security department of the state of Washington, and provided that the court costs be paid by the governmental agency benefiting from such collection.

     (5)(a) Any employer who is a party to a back pay award or settlement due to loss of wages shall, within thirty days of the award or settlement, report to the department the amount of the award or settlement, the name and social security number of the recipient of the award or settlement, and the period for which it is awarded.  Unless subsection (2)(b) of this section applies, when an individual has been awarded or receives back pay, for benefit purposes the amount of the back pay shall constitute wages paid in the period for which it was awarded((.  For)), and for contribution purposes, the back pay award or settlement shall constitute wages paid in the period in which it was actually paid.  The following requirements shall also apply:

     (((a))) (i) The employer shall reduce the amount of the back pay award or settlement by an amount determined by the department based upon the amount of unemployment benefits received by the recipient of the award or settlement during the period for which the back pay award or settlement was awarded;

     (((b))) (ii) The employer shall pay to the unemployment compensation fund, in a manner specified by the commissioner, an amount equal to the amount of such reduction;

     (((c))) (iii) The employer shall also pay to the department any taxes due for unemployment insurance purposes on the entire amount of the back pay award or settlement notwithstanding any reduction made pursuant to (a)(i) of this subsection;

     (((d))) (iv) If the employer fails to reduce the amount of the back pay award or settlement as required in (a)(i) of this subsection, the department shall issue an overpayment assessment against the recipient of the award or settlement in the amount that the back pay award or settlement should have been reduced; and

     (((e))) (v) If the employer fails to pay to the department an amount equal to the reduction as required in (((b))) (a)(ii) of this subsection, the department shall issue an assessment of liability against the employer which shall be collected pursuant to the procedures for collection of assessments provided herein and in RCW 50.24.110.

     (b) This subsection (5) does not apply to the employer of a recipient of an award or settlement against whom an overpayment is not assessed pursuant to subsection (2)(b) of this section.

     (6) When an individual fails to repay an overpayment assessment that is due and fails to arrange for satisfactory repayment terms, the commissioner shall impose an interest penalty of one percent per month of the outstanding balance.  Interest shall accrue immediately on overpayments assessed pursuant to RCW 50.20.070 and shall be imposed when the assessment becomes final.  For any other overpayment, interest shall accrue when the individual has missed two or more of their monthly payments either partially or in full.  The interest penalty shall be used to fund detection and recovery of overpayment and collection activities.

 


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