This bill amends Section 96.5 of the Iowa Code to establish disqualification criteria for unemployment benefits related to short-term employment with a fixed end date of 180 days or less. An individual will be disqualified from receiving benefits if the Department of Workforce Development determines that the separation from employment was due to the conclusion of such a fixed-term contract, provided that specific conditions are met. These conditions include having a written employment contract that specifies the end date, acknowledges the lack of eligibility for benefits upon conclusion, and confirms that the employment was not on federal or state active duty.

Additionally, the bill stipulates that employment under this provision will not be considered taxable wages for unemployment tax purposes, and employers may be eligible for a refund of contributions made for such employment. It clarifies that the contract will not be interpreted as a waiver of rights to benefits under the relevant chapter of the Iowa Code. The provisions of this bill will apply to employment that begins on or after its effective date.

Statutes affected:
Introduced: 96.5