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ENGROSSED
SUBSTITUTE SENATE BILL 6421
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AS
AMENDED BY THE HOUSE
Passed
Legislature - 1998 Regular Session
State of Washington 55th
Legislature 1998 Regular Session
By
Read first time 02/04/98.
Revising
unemployment compensation for persons with public employment contracts.
AN
ACT Relating to unemployment compensation for persons with public employment
contracts; amending RCW 50.04.320; creating a new section; providing an
effective date; and declaring an emergency.
BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF WASHINGTON:
Sec.
1. RCW
50.04.320 and 1995 c 296 s 1 are each amended to read as follows:
(1)
For the purpose of payment of contributions, "wages" means the
remuneration paid by one employer during any calendar year to an individual in
its employment under this title or the unemployment compensation law of any
other state in the amount specified in RCW 50.24.010. If an employer
(hereinafter referred to as a successor employer) during any calendar year
acquires substantially all the operating assets of another employer
(hereinafter referred to as a predecessor employer) or assets used in a
separate unit of a trade or business of a predecessor employer, and immediately
after the acquisition employs in the individual's trade or business an
individual who immediately before the acquisition was employed in the trade or
business of the predecessor employer, then, for the purposes of determining the
amount of remuneration paid by the successor employer to the individual during
the calendar year which is subject to contributions, any remuneration paid to
the individual by the predecessor employer during that calendar year and before
the acquisition shall be considered as having been paid by the successor
employer.
(2)
For the purpose of payment of benefits, "wages" means the
remuneration paid by one or more employers to an individual for employment
under this title during his base year: PROVIDED, That at the request of a
claimant, wages may be calculated on the basis of remuneration payable. The
department shall notify each claimant that wages are calculated on the basis of
remuneration paid, but at the claimant's request a redetermination may be
performed and based on remuneration payable.
(3)
For the purpose of payment of benefits and payment of contributions, the term
"wages" includes tips which are received after January 1, 1987, while
performing services which constitute employment, and which are reported to the
employer for federal income tax purposes.
(4)(a)
"Remuneration" means all compensation paid for personal services
including commissions and bonuses and the cash value of all compensation paid
in any medium other than cash. The reasonable cash value of compensation paid
in any medium other than cash and the reasonable value of gratuities shall be
estimated and determined in accordance with rules prescribed by the
commissioner. Remuneration does not include payments to members of a reserve
component of the armed forces of the United States, including the organized
militia of the state of Washington, for the performance of duty for periods not
exceeding seventy-two hours at a time.
(b)
Previously accrued compensation, other than severance pay or payments received
pursuant to plant closure agreements, when assigned to a specific period of
time by virtue of a collective bargaining agreement, individual employment
contract, customary trade practice, or request of the individual compensated,
shall be considered remuneration for the period to which it is assigned.
Assignment clearly occurs when the compensation serves to make the individual
eligible for all regular fringe benefits for the period to which the compensation
is assigned.
(c)
Settlements or other proceeds received by an individual as a result of a
negotiated settlement for termination of an individual written
employment contract ((with a public agency)) prior to its expiration
date shall be considered remuneration. The proceeds shall be deemed assigned
in the same intervals and in the same amount for each interval as compensation
was allocated under the contract.
(d)
Except as provided in (c) of this subsection, the provisions of this subsection
(4) pertaining to the assignment of previously accrued compensation shall not
apply to individuals subject to RCW 50.44.050.
NEW
SECTION. Sec. 2. If
any part of this act is found to be in conflict with federal requirements that
are a prescribed condition to the allocation of federal funds to the state or
the eligibility of employers in this state for federal unemployment tax
credits, the conflicting part of this act is inoperative solely to the extent
of the conflict, and the finding or determination does not affect the operation
of the remainder of this act. Rules adopted under this act must meet federal
requirements that are a necessary condition to the receipt of federal funds by
the state or the granting of federal unemployment tax credits to employers in
this state.
NEW
SECTION. Sec. 3. This
act is necessary for the immediate preservation of the public peace, health, or
safety, or support of the state government and its existing public institutions,
and takes effect on the Sunday following the day that the governor signs this
act and is effective for initial claims filed on or after that Sunday.
