Texas Senate Bill SB637

Texas 2015 - 84th Regular

Caption

Relating to the disqualification of certain temporary employees for unemployment compensation benefits.

Impact

The proposed changes to the Labor Code primarily affect individuals employed through temporary help firms, which have become an increasingly significant portion of the labor market. By formally instituting the requirement for temporary employees to reach out for reassignment, the bill seeks to mitigate issues of unemployment claims that arise when such employees neglect to seek further work. Consequently, this could lead to a reduction in unemployment benefits granted to temporary workers who fail to fulfill this obligation, potentially resulting in increased pressure on these workers to actively pursue further employment with the firm.

Summary

SB637 addresses the disqualification of certain temporary employees for unemployment compensation benefits in the context of their interactions with temporary help firms. The bill amends Section 207.045(h) of the Labor Code, stating that a temporary employee will be deemed to have voluntarily left their last job if they do not contact the temporary help firm for reassignment upon completing their assignment, unless they have been properly informed of this obligation. This change aims to clarify the conditions under which temporary employees can access unemployment benefits, establishing a clear expectation for maintaining communication with their employers.

Contention

One notable point of contention regarding SB637 revolves around the potential hardships it may impose on vulnerable workers. Critics of the bill argue that the requirement to contact temporary help firms might disproportionately impact those who are already facing challenges such as lack of transportation, unstable housing, or other barriers preventing consistent employment. Additionally, there may be concerns about the adequacy of communication from temporary help firms regarding these obligations; insufficient notice or understanding could lead to unjust disqualifications for unemployment benefits, heightening economic insecurity for affected individuals.