Unemployment Insurance (UI) Law

UNEMPLOYMENT INSURANCE (UI) LAW
Prepared by:
Jessica L. Webster, Policy Advocate
Legal Services Advocacy Project
651-222-3749, ext. 102
jlwebster@mnlsap.org


I. APPEALS HEARINGS
Chapter 78, Article 4, Section 34 (HF 2088)
Amends Minn. Stat. § 268.105, subd. 1
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

A. Affidavits
Provides that an affidavit or written statement based on personal knowledge and signed under penalty of perjury is competent evidence of the facts contained in it. Permits the veracity of statements contained within the document or the credibility of the witness making the statement to be disputed with other documents or testimony. Provides that the production of such documents or testimony may be compelled by subpoena.
Amends Minn. Stat. § 268.105, subd. 1(b)

B. Hearings
Requires the unemployment law judge, at the outset of the hearing, to fully explain: (1) how the hearing will be conducted; (2) that the applicant has the right to request that the hearing be rescheduled so that documents or witnesses can be subpoenaed; (3) that the facts will be determined based on a preponderance of the evidence; and (4) in clear and simple language, the meaning of the term "preponderance of the evidence."
Amends Minn. Stat. § 268.105, subd. 1(b)

C. Notices
Requires the Department of Employment and Economic Development (DEED), upon a timely appeal, to send a notice setting forth the parties' rights and responsibilities. Requires the notice to explain: (1) that the facts will be determined by an unemployment law judge based upon a preponderance of the evidence; and (2) in clear and simple language, the meaning of "preponderance of the evidence."
Amends Minn. Stat. § 268.105, subd. 1(a)


II. APPLICATION FOR BENEFITS

A. Backdating
Chapter 78, Article 3, Section 6 (HF 2088)
Amends Minn. Stat. § 268.07, subd. 3(b)
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Allows an application for unemployment benefits to be backdated one calendar week if the applicant requests the backdating at the time the application is filed. Clarifies that an application may be backdated only if the applicant had no employment during the period of the backdating.

B. Provision of Wage Detail
Chapter 15, Section 5 (SF 1197)
Amends Minn. Stat. § 268.07, subd. 1
Effective for applications for unemployment benefits filed effective on or after August 2, 2009

Requires an employer to provide wage detail information on a UI applicant within five calendar days of request by DEED when: (1) the applicant is using an alternate base period; and (2) wage detail was not yet required to have been filed by the employer.


III. BASE PERIOD CALCULATION
Chapter 1, Section 1 (SF 4)
Amends Minn. Stat. § 268.035, subd. 4
Effective for applications for unemployment benefits filed effective on or after July 1, 2009

Changes the base period wage calculation for a UI benefits determination to, depending on the application date, either: (1) the last four completed calendar quarters; or (2) the first four of the last five completed calendar quarters.


IV. BENEFITS EXTENSION
Chapter 1, Section 2 (SF 4)
Effective February 1, 2009, and expires on June 30, 2010

Provides for an emergency UI payment to a significant group of applicants who did not qualify for the federal UI benefits extension solely because they did not have enough wage credits due to the methodology by which "base period" was calculated. Makes benefits payable in the same amount and duration as provided under the federal UI extension. Provides that no benefits shall be paid under this section for a week beginning after the expiration date.

V. ELIGIBILITY REQUIREMENTS

A. Requirement that Applicant be "Able to Work"
Chapter 78, Article 4, Section 51 (HF 2088)
Repeals Minn. Stat. § 268.085, subd. 14
Effective August 1, 2009

Repeals the definition of "able to work."

B. Requirement that Applicant be "Available for Suitable Employment"

1. Criteria for Discontinuance of Classes
Chapter 15, Section 7 (SF 1197)
Amends Minn. Stat. § 268.085, subd. 15
Effective for determinations and appeal decisions issued on or after April 8, 2009

Provides that, to be considered "available for suitable employment," a student who has regularly scheduled classes must be willing to discontinue classes to accept suitable employment when: (1) class attendance restricts the applicant from accepting suitable employment; and (2) the applicant is unable to change the scheduled class or make other arrangements that excuse the applicant from attending class. Provides that this requirement is inapplicable if the applicant is in reemployment assistance training.

2. Location of Suitable Employment
Chapter 78, Article 3, Section 9 (HF 2088)
Amends Minn. Stat. § 268.085, subd. 15
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Removes the requirements that: (a) suitable employment be "in the labor market area"; and (b) an applicant must have transportation "throughout the labor market area" to be considered available for suitable employment.

C. Part-time Hours and Suitable Employment
Chapter 15, Section 4 (SF 1197)
Amends Minn. Stat. § 268.035, subd. 23(a)
Effective August 2, 2009

Clarifies that full-time employment is not considered suitable employment for an applicant if the majority of the applicant's weeks of employment in the base period included part-time hours.

D. For Workers Voluntarily Unemployed
Chapter 78, Article 3, Section 10 (HF 2088)
Adds Minn. Stat. § 268.088
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Provides that an applicant who chooses to become temporarily unemployed in order to avoid the layoff of another employee is eligible for unemployment benefits if: (1) the election is authorized under a collective bargaining agreement or written employer policy; (2) the employer has accepted the applicant's choice; (3) the employer certifies in writing to DEED that the applicant's election prevented another employee from being laid off; and (4) the employer and employee expect the unemployment is temporary. Requires the applicant must meet all other benefit eligibility requirements, including being available for suitable employment with a different employer.


VI. EMPLOYER-AGENT APPEALS
Chapter 78, Article 3, Section 13 (HF 2088)
Amends Minn. Stat. § 268.103
Effective April 1, 2010 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Provides that an appeal filed by an agent on behalf of an employer must be filed online. Provides that any other method will not constitute an appeal.

VII. EXCEPTIONS TO INELIGIBILITY FOR A QUIT
Chapter 15, Section 8 (SF 1197)
Amends Minn. Stat. § 268.095, subd. 1
Adds Minn. Stat. § 268.035, subd. 19a
Effective for determinations made on or after August 2, 2009

A. Quit Exceptions
Provides that an applicant may retain eligibility for UI: (1) when the applicant quits employment to care for an immediate family member who is ill, injured, or disabled; (2) where domestic violence in an applicant's immediate family member necessitated the quit; or (3) where the applicant quit to relocate to accompany a spouse whose job change made it impractical to commute. Requires the applicant to inform the employer of the problem and request accommodation
Amends Minn. Stat. § 268.095, subd. 1

B. Definition of "Immediate Family Member"
Defines "immediate family member" as an applicant's spouse, parent, stepparent, son or daughter, stepson or stepdaughter, or grandson or granddaughter.
Adds Minn. Stat. § 268.035, subd. 19a

VIII. EXCEPTIONS TO MISCONDUCT
Chapter 15, Section 9 (SF 1197)
Amends Minn. Stat. § 268.095, subd. 6
Effective for determinations made on or after August 2, 2009

Provides the following conduct is not misconduct for purposes of determining eligibility for unemployment: (1) conduct that was a consequence of an applicant's mental illness or impairment; (2) absence, without proper notice to the employer, to care for an immediate family member who is ill, injured, or disabled; and (3) conduct necessitated due to domestic abuse experienced by an immediate family member.


IX. IRS FEES
Chapter 78, Article 3, Section 14 (HF 2088)
Amends Minn. Stat. § 268.18, subd. 4a
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Provides that any fee assessed by the IRS to DEED for offsetting a fraud overpayment from a federal tax refund may be added to the total amount due the UI applicant. Requires the offset amount to be placed in the trust fund and credited to the total amount due from the applicant.


X. OATHS AND SUBPOENAS
Chapter 78, Article 4, Section 37 (HF 2088)
Amends Minn. Stat. § 268.105, subd. 4
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Requires an unemployment law judge to give full consideration to - and prohibits a judge from unreasonably denying - a request for a subpoena. Requires a judge initially denying a subpoena request to, on the judge's own motion: (1) reconsider that request during the evidentiary hearing; and (2) rule on whether the request was properly denied. Requires the evidentiary hearing to be continued for issuance of the subpoena if the request was improperly denied.

XI. PENSION OR RETIREMENT LUMP SUMS
Chapter 78, Article 3, Section 7 (HF 2088)
Amends Minn. Stat. § 268.05, subd. 3
Effective retroactively from December 1, 2008

Provides that an applicant is not considered to have received a pension, retirement, or annuity payment if it was: (1) paid in a lump sum; and (2) an early distribution for which the applicant paid an early distribution penalty.

XII. QUIT DUE TO INJURY OR ILLNESS
Chapter 78, Article 3, Section 11 (HF 2088)
Amends Minn. Stat. § 268.095, subd. 1
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Changes the test for gaining an exception when an applicant quits because of a serious illness or injury from whether the person is "able to work" to whether the person is "available for suitable employment."

XIII. QUITTING A TEMPORARY AGENCY
Chapter 78, Article 3, Section 12 (HF 2088)
Amends Minn. Stat. § 268.095, subd. 2
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Provides that an applicant is considered to have quit employment with the staffing service if the applicant accepts employment with the client of the service within the existing five-day statutory period. Provides that quitting under these circumstances meets the requirements for an exception to ineligibility.

XIV. REEMPLOYMENT ASSISTANCE TRAINING
Chapter 15, Section 3 (SF 1197)
Amends Minn. Stat. § 268.035, subd. 21a
Effective for determinations and appeal decisions issued on or after April 8, 2009

Modifies the definition of reemployment assistance training to include situations where a reasonable opportunity for suitable employment for the applicant does not exist in the labor market area and additional training will assist the applicant in obtaining suitable employment. Clarifies that training must be vocational or short-term academic training directed to an occupation or skill that will "substantially enhance" the employment opportunities available in the applicant's labor market area.

XV. STANDARD OF PROOF

A. Burden of Proof Clarified
Chapter 78, Article 3, Section 5 (HF 2088)
Amends Minn. Stat. § 268.069, subd. 2
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Deletes the requirement that an applicant's entitlement to unemployment benefits must be determined "without regard to any burden of proof."

B. Legislative Intent/Statutory Construction Articulated
Chapter 78, Article 4, Section 1 (HF 2088)
Amends Minn. Stat. § 268.031
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Declares that the unemployment benefits chapter: (1) is remedial in nature; and (2) must be applied in favor of awarding benefits. Directs an adjudicator to narrowly construe any statutory provision that would preclude an applicant from receiving benefits. Specifies that any legal conclusion resulting in an applicant being ineligible for unemployment benefits must be fully supported by the facts.


XVI. WITHDRAWAL OF A BENEFIT ACCOUNT
Chapter 78, Article 3, Section 6 (HF 2088)
Amends Minn. Stat. § 268.07, subd. 3b
Effective August 2, 2009 and applies to all department determinations and unemployment law judge decisions issued on or after that date

Clarifies that a benefits account may be withdrawn only if the applicant has not been paid any unemployment benefits on the account. Clarifies that a determination of eligibility or ineligibility that was sent before the withdrawal: (1) remains in effect; and (2) is not voided by the withdrawal.