HB0085 - Wage Insurance Act Summary

• Creates a Wage Insurance Program administered by the Department of Employment Security that provides benefits to unemployed workers who obtain reemployment at lower wages than their previous job.

• Imposes a 0.4% payroll tax on employees beginning January 1, 2022, with benefits payable starting June 1, 2022.

• Benefits equal the difference between wages at time of job separation and wages from new employment, payable for a maximum of 2 years with first payment within 2 weeks of claim filing.

• Establishes the Wage Insurance Fund as a special state treasury fund, with tax collections and penalties deposited to cover benefit payments and program administration costs.

• Amends the Freedom of Information Act to exempt wage insurance records from public inspection and authorizes the Department to adopt rules and contract with other agencies for program administration.