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Regular Session, 2014
SENATE BILL NO. 594
BY SENATOR CROWE
UNEMPLOYMENT COMP. Prohibits an employer benefit account being relieved from
payment when the employer failed to timely respond to request for information. (8/1/14)
AN ACT1
To amend and reenact R.S. 23:1625.1(A) and (B) and to enact R.S. 23:1553.1, relative to2
unemployment compensation; to provide for the determination of claims; to provide3
for payment of benefits; to provide for prohibitions for noncharging under certain4
circumstances; to provide for definitions; to provide for retroactive effect; and to5
provide for related matters.6
Be it enacted by the Legislature of Louisiana:7
Section 1. R.S. 23:1625.1(A) and (B) are hereby amended and reenacted and R.S.8
23:1553.1 is hereby enacted to read as follows:9
§1553.1. Prohibitions of noncharging due to employer fault10
A. As used in this Section, the following words, terms and phrases shall11
have the meaning ascribed to them in this Section:12
(1) "Employer's reserve account" means that account which contains13
the employer's reserve as provided for in R.S. 23:1536(D)(1).14
(2) "Reimbursable employer's account" means that accounting method15
provided for in R.S. 23:1552.16
B. Notwithstanding the provisions of R.S. 23:1601, no contributing17 SB NO. 594
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
employer's reserve account or reimbursable employer's account shall be1
relieved of any charges for benefits relating to an improper benefit payment to2
a claimant established after October 21, 2013, if the improper benefit payment3
was made because the employer, or an agent of the employer, was at fault for4
failing to respond timely or adequately to the request of the administrator for5
information relating to a claim for benefits.6
C. Any determination under this Section shall be transmitted to the last7
known physical or electronic address provided by the employer and may be8
appealed in accordance with the provisions of R.S. 23:1629 et seq.9
D. The provisions of this Section shall be given retroactive effect to10
October 21, 2013.11
* * *12
§1625.1. Prompt determination of claims; duty of employers13
A. In making determinations of claims, the administrator shall require that14
information necessary for the prompt determination of claims be sought from each15
employer. Employers shall adequately and timely provide wage, employment, and16
separation information, and shall complete all forms and reports as requested needed17
by the administrator or his designee to make a proper determination.18
(1) A response to such requests shall be timely if it is received within ten19
days from the date of mailing the time specified in the notice.20
(2) A response shall be adequate if it provides sufficient facts to enable21
the agency to make the correct determination. A response shall not be22
considered inadequate if the agency failed to ask for all necessary information.23
B.(1) If an employer fails to provide information in a an adequate or timely24
manner without good cause, the employer shall be deemed to have abandoned its25
appeal rights as provided for in R.S. 23:1629 through 1634, and a determination to26
that effect shall be issued. Any appeal filed by such an employer, other than with27
regard to the timeliness or adequacy of fulfilling its obligations in Subsection A of28
this Section, shall be dismissed, and such employer shall be liable for any resulting29 SB NO. 594
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benefits paid, except as provided in Subsection C of this Section. If the employer's1
failure to adequately or timely respond results in an improper benefit payment,2
the employer shall also be subject to the provisions of R.S. 23:1553.1.3
* * *4
The original instrument was prepared by Carla S. Roberts. The following
digest, which does not constitute a part of the legislative instrument, was
prepared by J. W. Wiley.
DIGEST
Crowe (SB 594)
Present law provides that a former employee can be disqualified for unemployment benefits
under certain circumstances.
Present law provides that when a former employee is disqualified from receiving
unemployment benefits, the employer's experience rating account shall not be charged under
certain circumstances so long as the employer timely filed notice.
Present law provides that in making determinations of unemployment claims, the
administrator shall require that information necessary for the prompt determination of claims
be sought from each employer. Present law provides that a response to such requests shall
be timely if it is received within 10 days of mailing
Proposed law changes the time in which to respond to the notice from 10 days from the date
of mailing to the time specified in the notice.
Present law provides that the employer must complete all forms and reports that are
requested by the administrator of the office of workers' compensation.
Proposed law changes the requirement that forms be completed by employers from "as
requested" to "as needed".
Proposed law retains present law but provides that a response is adequate if it provides
sufficient facts to enable the agency to make the correct determination.
Proposed law provides that a response may not be considered inadequate if the agency failed
to ask for all necessary information.
Proposed law provides that no contributing employer's reserve account or reimbursable
employer's account shall be relieved of any charges for benefits relating to an improper
benefit payment to a claimant established after October 21, 2013, if the improper benefit
payment was made because the employer, or an agent of the employer, was at fault for failing
to respond timely or adequately to the request of the administrator for information relating
to a claim for benefits.
Proposed law provides the following definitions:
(1)"Employer's reserve account" means that employer's account which contains the
amounts of money held in reserve to pay unemployment benefit claims to covered
individuals who were employed by the employer.
(2)"Reimbursable employer's account" means that accounting method used by the
unemployment administrator to invoice the state, its political subdivisions, nonprofit SB NO. 594
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organizations, and Indian tribes or tribal units for unemployment benefits paid to
covered individuals who were employed by such entities.
Effective August 1, 2014, and given retroactive application to October 21, 2013.
(Amends R.S. 23:1625.1(A) and (B); adds R.S. 23:1553.1)
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Labor and Industrial
Relations to the original bill
1. Changes the time in which to respond to the notice from 10 days from the date
of mailing to the time specified in the notice.
2. Changes the requirement that forms be completed by employers from "as
requested" to "as needed".
Senate Floor Amendments to engrossed bill
1. Makes technical changes.