State of Illinois
90th General Assembly
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90_HB3097

      New Act
          Creates   the   Unemployment   Compensation   Gap    Act.
      Establishes   an   Unemployment   Compensation  Gap  Program,
      operated by the Department of Employment Security, to provide
      unemployment benefits to  persons  who  do  not  qualify  for
      unemployment insurance but meet specified criteria.
                                                     LRB9011096WHmg
                                               LRB9011096WHmg
 1        AN ACT in relation to unemployment benefits.
 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:
 4        Section 1.  Short title.  This Act may be  cited  as  the
 5    Unemployment Compensation Gap Act.
 6        Section 5.  Findings and Purpose.
 7        (a)    The   unemployment  insurance  program  is  highly
 8    successful at  supporting  workers  when  they  lose  a  job,
 9    facilitating prompt re-employment, and keeping workers out of
10    poverty after a job loss.
11        (b)   The  unemployment  insurance  program,  due  to its
12    structure and technical eligibility  rules,  does  not  cover
13    many workers when they lose their jobs for reasons other than
14    misconduct connected with work.
15        (c)   The  working  poor,  workers  recently entering the
16    workforce after  a  period  of  unemployment,  part-time  and
17    temporary  workers,  and  workers  with external demands that
18    interfere with work, such as single parents or caretakers  of
19    disabled  family  members, are among those most likely not to
20    qualify for unemployment insurance when they lose a  job  for
21    reasons other than misconduct connected with the work.  These
22    are  the  groups most likely to fall into poverty after a job
23    loss,  placing  them  at  risk  of  needing  welfare  and  of
24    encountering mounting barriers to staying in the workforce.
25        (d)  Women workers are far less  likely  to  qualify  for
26    unemployment  insurance  benefits  when  they  lose a job for
27    reasons other than misconduct connected to the work than male
28    workers.  This is because women are more likely to  hold  the
29    types  of  jobs,  exhibit  the  types  of  work patterns, and
30    experience the types of job loss that result in ineligibility
31    for unemployment insurance.
                            -2-                LRB9011096WHmg
 1        (e)  Employers fund the  unemployment  insurance  program
 2    through  a  special  tax.   While  the unemployment insurance
 3    program is the preferred  method  of  providing  unemployment
 4    insurance, it cannot be expanded sufficiently at this time to
 5    address the gaps addressed by this Act.
 6        (f)  The purpose of this Act is to make the re-employment
 7    strategy  of  the unemployment insurance program available to
 8    more  poor  and  female  workers  by  providing  unemployment
 9    compensation even though they fail to qualify for the regular
10    unemployment insurance program, thereby helping more  working
11    poor  and  working  women who lose jobs avoid poverty and the
12    need for welfare, retain their attachment to  the  workforce,
13    and become quickly re-employed.
14        Section   10.   Unemployment  Compensation  Gap  Program.
15    There  is  established  an  Unemployment   Compensation   Gap
16    Program,  to  be  operated  by  the  Department of Employment
17    Security as a part of the unemployment insurance program, and
18    funded with appropriations from the general revenues  of  the
19    State.    The   Department  shall  operate  the  Unemployment
20    Compensation Gap Program using  all  rules,  procedures,  and
21    practices  used  under  the  unemployment  insurance  program
22    except as provided in this Act.
23        Section 15.  Coordination with Unemployment Insurance.
24        (a)   The  Unemployment Compensation Gap Program provides
25    expanded  eligibility  for   unemployment   compensation   to
26    eligible   persons  who  fail  to  qualify  for  unemployment
27    insurance under  the  rules  of  the  unemployment  insurance
28    program.   The  Department  shall  operate  the  Unemployment
29    Compensation   Gap   Program   in  the  same  manner  as  the
30    unemployment insurance  program,  applying  all  definitions,
31    rules,  procedures,  and  practices  provided  for  under the
32    Unemployment Insurance Act and implementing  rules  that  are
                            -3-                LRB9011096WHmg
 1    not inconsistent with this Act.  To the extent the provisions
 2    of  the  Unemployment Insurance Act are not inconsistent with
 3    this Act, they are incorporated in  this  Act  by  reference.
 4    The  Department  shall  adopt by rule further definitions and
 5    procedures necessary for implementation of  the  Unemployment
 6    Compensation   Gap   Program.    Base   period  employers  of
 7    beneficiaries under the Unemployment Compensation Gap Program
 8    shall not have their status with respect to the  unemployment
 9    insurance   program,   or   their  tax  liability  under  the
10    unemployment  insurance  program,  affected   by   a   former
11    employee's   receipt   of  benefits  under  the  Unemployment
12    Compensation Gap  Program.   The  Department  shall  pay  for
13    Unemployment  Compensation  Gap  Program benefits and related
14    administrative costs with  appropriations  from  the  general
15    revenues  of the State rather than moneys in the Unemployment
16    Insurance Trust Fund.
17        (b)   Any  person  eligible  for   regular   unemployment
18    insurance  under  current  or  future  rules,  regardless  of
19    amount,  is  not  eligible  for Unemployment Compensation Gap
20    benefits.
21        Section 20.  Eligibility.  An  applicant  must  meet  all
22    eligibility   and   procedural   rules   applicable   to  the
23    unemployment insurance program,  except  that  the  following
24    eligibility  rules apply to the Unemployment Compensation Gap
25    Program:
26        (a)  The minimum base period earnings requirement may  be
27    satisfied  by  aggregate earnings in the base period, without
28    any requirement that  the  earnings  be  distributed  in  any
29    particular way among the base period quarters.
30        (b)   The  base  period  shall  consist  of  the  first 4
31    quarters preceding the date  of  application,  including  the
32    incomplete  quarter  in which the application is filed, as to
33    which there is a complete record of the applicant's  earnings
                            -4-                LRB9011096WHmg
 1    as proven by the State's records, the applicant's records, or
 2    the applicant's employer's records.
 3        (c)  The disqualification from unemployment insurance for
 4    voluntary  leaving of employment for reasons not attributable
 5    to the employer shall not apply if the applicant proves  that
 6    the  reason for leaving employment was the loss of child care
 7    arrangements necessitating the  applicant  personally  caring
 8    for  the  children  rather than working.  "Loss of child care
 9    arrangements" includes loss for any reason not the  fault  of
10    the  applicant  in  spite  of  a  good  faith  effort to find
11    replacement care on time to enable continuing employment.
12        Section 25.  Benefits.  Based upon base  period  earnings
13    as  specified in subsections (a) and (b) Section 20, benefits
14    shall be calculated the in  the  same  manner  as  under  the
15    unemployment insurance program and paid on the same basis and
16    schedule,  subject  to  the same conditions and other ongoing
17    eligibility  rules  as  under  the   unemployment   insurance
18    program.

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