REVISED
STATEMENT OF PURPOSE
RS31330 / H0558
This legislation modifies the maximum duration of regular unemployment benefits and simplifies the existing
complex benefit duration formula. Current law uses two variables to determine whether an unemployment
claimant is eligible for between 10 and 26 weeks of benefits. This legislation establishes a maximum of
10 weeks of benefits for part-time workers, and 14 weeks of benefits for full-time workers. Additionally,
for full-time workers who are job attached and seasonally unemployed, an additional 2 weeks of benefits is
available (for a total of 16 weeks of benefits for job attached full-time workers waiting to be recalled to work).
The additional 2 weeks of benefits are not available for part-time workers. Reducing the maximum duration
of unemployment benefits will promote faster re-employment for unemployed workers and help address the
ongoing worker shortage in Idaho.
FISCAL NOTE
This legislation should create modest savings for the unemployment trust fun right now, while creating
significant savings during periods of brief economic downturn. Since a claimant can currently stay on benefits
for over 16 weeks and the Idaho Department of Labor reports that 30% of unemployment claimants currently
exhaust benefits before returning to work, establishing a 10-week and 14-week maximum benefit duration
(depending on part-time or full time employment history) will create a cost savings. According to an analysis
by the Idaho Department of Labor, H558 would have saved the unemployment trust fund $363 million during
the Great Recession (2008-2016), an average annual savings of $40 million. During times of economic
expansion (2017-2023), H558 would have provided $20 million in savings, an annual savings of $3 million.
Since unemployment claims are tied to economic conditions the savings created by this legislation will vary
from year to year, but the net impact will be positive for the solvency of the unemployment insurance trust
fund. The department estimates a one time-cost to implement the changes of $236,300 in programming and
outreach costs.
Contact:
Representative Bruce D. Skaug
(208) 332-1000
Representative Julianne Young
(208) 332-1000
DISCLAIMER: This statement of purpose and fiscal note are a mere attachment to this bill and prepared by a proponent
of the bill. It is neither intended as an expression of legislative intent nor intended for any use outside of the legislative
process, including judicial review (Joint Rule 18).
Statement of Purpose / Fiscal Note Bill SOP/FN REVISED: 02/19/2024, 1:14 PM


Statutes affected:
Bill Text: 72-1367