HB 1843
AN ACT relating to requirements regarding an employee's normal weekly
89th Regular Session
Jan 14, 2025 - Jun 2, 2025 • Session ended
Awaiting Committee Assignment
Bill filed, pending referral to House committee
Committee
Not yet assigned
Fiscal Note
Not available
What This Bill Does
This Texas bill modifies the shared work unemployment compensation program, allowing employers to reduce employee work hours between 10-50% (previously 40%) while providing partial unemployment benefits. Employers must apply for a plan that affects at least 10% of employees in a specific work unit, with the goal of avoiding layoffs by spreading reduced hours across multiple workers instead of terminating some employees. The bill aims to provide more flexibility for businesses during economic challenges while helping workers maintain employment and receive partial wage replacement.
Subject Areas
Bill Text
relating to requirements regarding an employee's normal weekly hours of work under the shared work unemployment compensation BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 215.022(a), Labor Code, is amended to (a) The commission may approve a shared work plan if: (A) applies to and identifies a specific affected (B) identifies the employees in the affected unit by name and social security number and describes how the employees will be notified in advance of the plan, if feasible; (C) provides an estimate of the number of employees who would be laid off if the employer does not participate (D) reduces the normal weekly hours of work for an employee in the affected unit by at least 10 percent but not more (E) applies to at least 10 percent of the employees in the affected unit; and (F) permits eligible employees to participate in (2) the employer certifies that the implementation of a shared work plan and the resulting reduction in work hours is in (A) affect at least 10 percent of the employees (B) result in an equivalent reduction in work (3) the employer certifies that: (A) if the employer currently provides fringe benefits, the fringe benefits continue for employees in the affected unit unless those benefits are not continued for employees not participating in the shared work plan; and (B) participation in the shared work plan is consistent with the employer's obligations under state and federal (4) the employer agrees to furnish the commission reports relating to the operation of the plan as requested by the commission and any other information the United States secretary of labor determines is appropriate. SECTION 2. Section 215.041(b), Labor Code, is amended to (b) An individual is eligible to receive shared work (1) the individual is employed as a member of an affected unit subject to a shared work plan that was approved before that week and is in effect for that week; (2) the individual is able to work and is available for additional hours of work or for full-time work with the (3) the individual's normal weekly hours of work have been reduced by at least 10 percent but not more than 50 [40] percent, with a corresponding reduction in wages. SECTION 3. (a) The change in law made by this Act applies only to an initial shared work plan or a shared work plan modification submitted by an employer to the Texas Workforce Commission on or after the effective date of this Act. An initial shared work plan or a shared work plan modification submitted before the effective date of this Act is governed by the law as it existed on the date the plan or modification was submitted, and the former law is continued in effect for that purpose. (b) A shared work plan modification submitted to the Texas Workforce Commission on or after the effective date of this Act that modifies a shared work plan approved by the commission before the effective date and would reduce an individual's normal weekly hours of work more than 50 percent is considered to be a substantial modification under Section 215.025, Labor Code, and the modified plan must be evaluated and approved by the commission as provided by that section before implementation. SECTION 4. This Act takes effect September 1, 2025.
Bill Sponsors
Legislators who authored or co-sponsored this bill.
Bill History
Bill filed: AN ACT relating to requirements regarding an employee's normal weekly
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