LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION April 11, 2021 TO: Honorable Chris Turner, Chair, House Committee on Business & Industry FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB2273 by Gonzlez, Mary (Relating to eligibility for unemployment compensation for employees who leave the workplace due to sexual harassment.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB2273, As Introduced : an impact of $0 through the biennium ending August 31, 2023. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill. General Revenue-Related Funds, Five- Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact toGeneral Revenue Related Funds2022$02023$02024$02025$02026$0All Funds, Five-Year Impact: Fiscal Year Probable (Cost) fromUNEMPLOYMENT TRST FND ACCT9382022($4,684,218)2023($4,843,826)2024($4,949,515)2025($5,062,520)2026($5,196,172) Fiscal AnalysisThe bill would amend the Labor Code relating to eligibility for unemployment compensation for employees who leave the workplace due to sexual harassment. The bill would allow an individual to receive benefits if the sexual harassment was reported to the individual's employer or a law enforcement agency, or a complaint was filed with the Texas Workforce Commission (TWC) or the federal Equal Employment Opportunity Commission.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION
April 11, 2021
TO: Honorable Chris Turner, Chair, House Committee on Business & Industry FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: HB2273 by Gonzlez, Mary (Relating to eligibility for unemployment compensation for employees who leave the workplace due to sexual harassment.), As Introduced
TO: Honorable Chris Turner, Chair, House Committee on Business & Industry
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: HB2273 by Gonzlez, Mary (Relating to eligibility for unemployment compensation for employees who leave the workplace due to sexual harassment.), As Introduced
Honorable Chris Turner, Chair, House Committee on Business & Industry
Honorable Chris Turner, Chair, House Committee on Business & Industry
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
HB2273 by Gonzlez, Mary (Relating to eligibility for unemployment compensation for employees who leave the workplace due to sexual harassment.), As Introduced
HB2273 by Gonzlez, Mary (Relating to eligibility for unemployment compensation for employees who leave the workplace due to sexual harassment.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB2273, As Introduced : an impact of $0 through the biennium ending August 31, 2023. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
Estimated Two-year Net Impact to General Revenue Related Funds for HB2273, As Introduced : an impact of $0 through the biennium ending August 31, 2023. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
General Revenue-Related Funds, Five- Year Impact:
2022 $0
2023 $0
2024 $0
2025 $0
2026 $0
All Funds, Five-Year Impact:
2022 ($4,684,218)
2023 ($4,843,826)
2024 ($4,949,515)
2025 ($5,062,520)
2026 ($5,196,172)
Fiscal Analysis
The bill would amend the Labor Code relating to eligibility for unemployment compensation for employees who leave the workplace due to sexual harassment. The bill would allow an individual to receive benefits if the sexual harassment was reported to the individual's employer or a law enforcement agency, or a complaint was filed with the Texas Workforce Commission (TWC) or the federal Equal Employment Opportunity Commission.
Methodology
Based on information provided by TWC, the agency estimates 759 additional individuals would qualify for unemployment compensation benefits. TWC determined the most recent three-year average of individuals that filed a complaint alleging sexual harassment to be 843 individuals. It is assumed that approximately 10 percent of these individuals result in payment of unemployment benefits under current law. Under the provisions of the bill, the remaining 90 percent of individuals with sexual harassment complaints, or 759 individuals, would result in payment of unemployment benefits. Based on the average weekly duration and amount for unemployment benefit payments, it is estimated that the total five-year impact from the federal Unemployment Compensation (UC) Trust Fund is $24,736,251. This analysis assumes that benefits paid would be recouped through existing tax and charge back provisions. TWC assumes that any administrative and IT programming costs associated with implementing the provisions of the bill could be accomplished by utilizing existing resources.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: b > td > 320 Texas Workforce Commission
320 Texas Workforce Commission
LBB Staff: b > td > JMc, SZ, MB, DFR, WP
JMc, SZ, MB, DFR, WP