The bill, S.B. No. 543, amends the Texas Labor Code to expand eligibility for unemployment compensation for individuals who leave their jobs due to sexual harassment. Specifically, it adds a new provision stating that individuals will not be disqualified from receiving benefits if they leave their workplace because of sexual harassment, provided they have reported the harassment to either their employer or a law enforcement agency, or have filed a complaint with the Texas Commission or the federal Equal Employment Opportunity Commission. This new provision is inserted as item (5) in Section 207.046(a) of the Labor Code.

Additionally, the bill removes the previous requirement that individuals could only leave their jobs for certain specified reasons, such as family violence or service in the military. The changes will apply only to claims for unemployment compensation filed with the Texas Workforce Commission on or after the effective date of the Act, which is set for September 1, 2025. Claims filed before this date will continue to be governed by the existing law.

Statutes affected:
Introduced: Labor Code 207.046 (Labor Code 207)