Senate File 466 - Introduced SENATE FILE 466 BY COMMITTEE ON WORKFORCE (SUCCESSOR TO SSB 1111) A BILL FOR An Act providing for disqualification for unemployment benefits 1 due to separation from short-term employment with a fixed 2 end date and including applicability provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 2061SV (2) 91 je/js
S.F. 466 Section 1. Section 96.5, Code 2025, is amended by adding the 1 following new subsection: 2 NEW SUBSECTION . 15. Short-term employment with fixed end 3 date. 4 a. If the department finds that the individual became 5 separated from employment due to the conclusion of employment 6 of a fixed period of one hundred eighty days or less, provided 7 the department also finds all of the following: 8 (1) That the individual entered into a written employment 9 contract with the employer prior to the date on which the 10 employment began. 11 (2) That the contract specified the end date of the 12 employment, which was no more than one hundred eighty days 13 after the beginning date. 14 (3) That the contract acknowledged that the individual 15 would not be eligible for benefits upon the conclusion of the 16 employment. 17 (4) That the employment actually concluded no more than one 18 hundred eighty days after the beginning date. 19 (5) That the employer is not entering into such contracts 20 with the individual on an ongoing basis in order to avoid or 21 reduce liability under this chapter. 22 (6) That the employment was not on federal active duty, 23 state active duty, or national guard duty, as defined in 24 section 29A.1. 25 b. Employment subject to this subsection shall not be 26 considered taxable wages as defined in section 96.1A. Any 27 contribution by an employer for such employment shall be 28 eligible for a refund pursuant to section 96.14, subsection 5. 29 c. A contract described in this subsection shall not be 30 construed as an agreement to waive, release, or commute the 31 rights to benefits or any other rights under this chapter as 32 described in section 96.15, subsection 1. 33 Sec. 2. APPLICABILITY. This Act applies to employment 34 beginning on or after the effective date of this Act. 35 -1- LSB 2061SV (2) 91 je/js 1/ 2
S.F. 466 EXPLANATION 1 The inclusion of this explanation does not constitute agreement with 2 the explanations substance by the members of the general assembly. 3 This bill provides that an individual is disqualified 4 for unemployment benefits if the department of workforce 5 development finds that the individual became separated from 6 employment due to the conclusion of employment of a fixed 7 period of 180 days or less, provided the department makes 8 additional findings about the employment specified in the bill. 9 Employment subject to the bill shall not be considered 10 taxable wages for purposes of unemployment taxes, and any 11 tax contribution by an employer for such employment shall be 12 eligible for a refund. 13 The bill provides that a contract described in the bill shall 14 not be construed as an agreement to waive, release, or commute 15 the rights to benefits or any other rights under Code chapter 16 96. 17 The bill applies to employment beginning on or after the 18 effective date of the bill. 19 -2- LSB 2061SV (2) 91 je/js 2/ 2