[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4439 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 4439
To modernize unemployment compensation benefits.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 16, 2025
Mr. Beyer introduced the following bill; which was referred to the
Committee on Ways and Means, and in addition to the Committee on the
Budget, for a period to be subsequently determined by the Speaker, in
each case for consideration of such provisions as fall within the
jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To modernize unemployment compensation benefits.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Unemployment
Insurance Modernization and Recession Readiness Act''.
(b) Table of Contents.--The table of contents of this Act is as
follows:
Sec. 1. Short title; table of contents.
TITLE I--MODERNIZATION OF EXTENDED BENEFITS
Sec. 101. Full Federal funding of extended unemployment compensation.
Sec. 102. Improving the extended benefit triggers.
Sec. 103. Increase in the number of weeks of extended benefits during
high unemployment periods.
Sec. 104. Improved calculation of amounts in an individual's extended
benefit account.
Sec. 105. Transition for amounts remaining in extended benefit accounts
when a State is no longer in an extended
benefit period.
Sec. 106. Coordination of extended benefits with regular compensation.
Sec. 107. Portability of extended benefits.
Sec. 108. Additional extended benefit program improvements.
Sec. 109. Exemption of extended benefits from sequestration.
Sec. 110. Effective date.
TITLE II--MODERNIZATION OF REGULAR UNEMPLOYMENT
Sec. 201. Floor on the number of weeks.
Sec. 202. Floor on the minimum replacement of wages.
Sec. 203. Floor on the maximum benefit.
Sec. 204. Part-time work.
Sec. 205. Base period.
Sec. 206. Expansion of good cause separations.
Sec. 207. Unemployment compensation for victims of a qualifying act of
violence or harassment.
Sec. 208. Elimination of waiting weeks.
Sec. 209. Temporary work assignment.
Sec. 210. Self-employment assistance program.
Sec. 211. Short-time compensation program.
Sec. 212. Minimum level of prior employment.
Sec. 213. Employee status.
Sec. 214. Eligibility of certain student-workers for unemployment
compensation.
Sec. 215. Dependents' allowance.
Sec. 216. Labor disputes.
Sec. 217. Educational employees.
Sec. 218. Emergency enhanced unemployment compensation.
TITLE III--JOBSEEKER ALLOWANCE
Sec. 301. Jobseeker allowance.
TITLE I--MODERNIZATION OF EXTENDED BENEFITS
SEC. 101. FULL FEDERAL FUNDING OF EXTENDED UNEMPLOYMENT COMPENSATION.
(a) In General.--Section 204 of the Federal-State Extended
Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note) is
amended--
(1) in subsection (a)--
(A) by striking ``(1) There shall be paid'' and all
that follows through the period at the end of paragraph
(2) and inserting the following: ``(1) There shall be
paid to each State an amount equal to 100 percent of
the extended compensation (including allowances for
dependents) paid to individuals under State law.
``(2) No payment shall be made to any State under this subsection
with respect to benefits paid if the State--
``(A) assesses payments due in lieu of contributions from
the employer for such benefits; or
``(B) charges the employer for purposes of employer
experience rating for such benefits.''; and
(B) in paragraph (3), by striking ``section
3306(c)(7) of the Internal Revenue'' and all that
follows through ``reduced by an amount'' and inserting
``paragraph (7) or (8) of section 3306(c) of the
Internal Revenue Code of 1986 applies shall be reduced
by an amount equal to 50 percent of the amount'';
(2) by striking subsections (b) and (c); and
(3) by redesignating subsections (d) and (e) as subsections
(b) and (c), respectively.
(b) Conforming Amendment.--Section 202(a)(6) of the Federal-State
Extended Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note) is
amended by striking ``or shareable regular compensation''.
SEC. 102. IMPROVING THE EXTENDED BENEFIT TRIGGERS.
(a) TUR Triggers.--Section 203 of the Federal-State Extended
Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note) is amended
by striking subsection (f) and inserting the following new subsections:
``(f) State TUR Trigger.--
``(1) In general.--For purposes of this section:
``(A) On indicator.--There is a State `on'
indicator for a week if the average rate of total
unemployment in such State (seasonally adjusted) for
the period consisting of the most recent 3 months for
which data for all States are published before the
close of such week equals or exceeds 5.5 percent.
``(B) Off indicator.--There is a State `off'
indicator for a week if the requirement of subparagraph
(A) is not satisfied.
``(2) Application.--Notwithstanding the provision of any
State law, any week for which there would otherwise be a State
`on' indicator shall continue to be such a week and shall not
be determined to be a week for which there is a State `off'
indicator.
``(3) Determinations of the rate of total unemployment.--
For purposes of this subsection, determinations of the rate of
total unemployment in any State for any period (and of any
seasonal adjustment) shall be made by the Secretary.
``(g) National TUR Trigger.--
``(1) In general.--For purposes of this section:
``(A) On indicator.--There is a State `on'
indicator for a week if the average rate of total
unemployment for all States (seasonally adjusted) for
the period consisting of the most recent 3 months for
which data for all States are published before the
close of such week equals or exceeds 5.5 percent.
``(B) Off indicator.--There is a State `off'
indicator for a week if the requirement of subparagraph
(A) is not satisfied.
``(2) Application.--Notwithstanding the provision of any
State law, any week for which there would otherwise be a State
`on' indicator shall continue to be such a week and shall not
be determined to be a week for which there is a State `off'
indicator.
``(3) Determinations of the rate of total unemployment.--
For purposes of this subsection, determinations of the rate of
total unemployment for all States for any period (and of any
seasonal adjustment) shall be made by the Secretary.''.
(b) Elevated National Unemployment Trigger.--
(1) In general.--Section 203 of the Federal-State Extended
Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note), as
amended by subsection (a), is amended by adding at the end the
following new subsection:
``(h) Elevated National Unemployment Trigger.--
``(1) In general.--For purposes of this section:
``(A) On indicator.--There is a State `on'
indicator for a week if the average rate of total
unemployment for all States (seasonally adjusted) for
the period consisting of the most recent 3 months for
which data for all States are published before the
close of such week is at least 0.5 percentage points
higher than the lowest average rate of total
unemployment for all States (seasonally adjusted) for
any continuous 3-month period in the preceding 12
months.
``(B) Off indicator.--There is a State `off'
indicator for a week if the average rate of total
unemployment for all States (seasonally adjusted) for
the period consisting of the most recent 3 months for
which data for all States is published before the close
of such week--
``(i) has decreased for not less than 2
consecutive months;
``(ii) is less than 5.5 percent; and
``(iii) is less than 1.5 percentage points
above the average rate of total unemployment
for all States (seasonally adjusted) for the
period consisting of the most recent 3 months
for which data for all States is published
before the close of the first week for which
there is an `on' indicator under subparagraph
(A).
``(2) Application.--Notwithstanding the provision of any
State law, any week for which there would otherwise be a State
`on' indicator shall continue to be such a week and shall not
be determined to be a week for which there is a State `off'
indicator.
``(3) Determinations of the rate of total unemployment.--
For purposes of this subsection, determinations of the rate of
total unemployment for all States for any period (and of any
seasonal adjustment) shall be made by the Secretary.
``(4) Inclusion of determination in monthly employment
situation reports.--Notwithstanding any other provision of law,
the Secretary, acting through the Commissioner of the Bureau of
Labor Statistics, shall include in each monthly employment
situation report published by the Commissioner a specific
determination of whether or not there is an `on' indicator
under paragraph (1)(A) in the United States.''.
(2) Coordination between elevated national unemployment
trigger and other triggers.--Section 203(b) of the Federal-
State Extended Unemployment Compensation Act of 1970 (26 U.S.C.
3304 note) is amended by adding at the end the following new
paragraph:
``(3)(A) In the case of a State for which there is an `on'
indicator for a week under subsection (h) and an `on' indicator for
such week under subsection (f) or (g), section 202(b)(1) shall be
applied by substituting--
``(i) `100 per centum' for `50 per centum' in subparagraph
(A); and
``(ii) `twenty-six' for `thirteen' in subparagraph (B).
``(B) The increase in amounts in an account by reason of
subparagraph (A) shall be in addition to any increases in amounts in an
account by reason of paragraph (3) of section 202(b).''.
SEC. 103. INCREASE IN THE NUMBER OF WEEKS OF EXTENDED BENEFITS DURING
HIGH UNEMPLOYMENT PERIODS.
Section 202(b) of the Federal-State Extended Unemployment
Compensation Act of 1970 (26 U.S.C. 3304 note) is amended--
(1) in paragraph (1)--
(A) in the matter preceding subparagraph (A), by
striking ``The State law'' and inserting ``Subject to
paragraph (3) and section 203(b)(3), the State law'';
(B) in subparagraph (A), by inserting ``or'' at the
end;
(C) in subparagraph (B), by striking ``, or'' at
the end and inserting a period; and
(D) by striking subparagraph (C); and
(2) by striking paragraph (3) and inserting the following
new paragraph:
``(3) Increase in amount in account during high
unemployment periods.--
``(A) Tiers.--Effective with respect to weeks
beginning in a high unemployment period, paragraph (1)
shall be applied as follows:
``(i) Second tier.--In the case of weeks in
a tier 2 high unemployment period described in
subparagraph (B)(i), by substituting--
``(I) `100 per centum' for `50 per
centum' in subparagraph (A); and
``(II) `twenty-six' for `thirteen'
in subparagraph (B).
``(ii) Third tier.--In the case of weeks in
a tier 3 high unemployment period described in
subparagraph (B)(ii), by substituting--
``(I) `150 per centum' for `50 per
centum' in subparagraph (A); and
``(II) `thirty-nine' for `thirteen'
in subparagraph (B).
``(iii) Fourth tier.--In the case of weeks
in a tier 4 high unemployment period described
in subparagraph (B)(iii), by substituting--
``(I) `200 per centum' for `50 per
centum' in subparagraph (A); and
``(II) `fifty-two' for `thirteen'
in subparagraph (B).
``(B) High unemployment periods.--
``(i) Second tier.--For purposes of
subparagraph (A)(i), a second tier high
unemployment period described in this clause is
any period during which an extended benefit
period would be in effect if subsection
(f)(1)(A) or (g)(1)(A) of section 203 were
applied by substituting `6.5 percent but is
less than 7.5 percent' for `5.5 percent'.
``(ii) Third tier.--For purposes of
subparagraph (A)(ii), a third tier high
unemployment period described in this clause is
any period during which an extended benefit
period would be in effect if subsection
(f)(1)(A) or (g)(1)(A) of section 203 were
applied by substituting `7.5 percent but is
less than 8.5 percent' for `5.5 percent'.
``(iii) Fourth tier.--For purposes of
subparagraph (A)(iii), a fourth tier high
unemployment period described in this clause is
any period during which an extended benefit
period would be in effect if subsection
(f)(1)(A) or (g)(1)(A) of section 203 were
applied by substituting `8.5 percent' for `5.5
percent'.
``(C) Individuals remain eligible for augmented
amount even if tier threshold no longer met.--If an
individual's account is augmented under subparagraph
(B) because a State triggers on to a tier described in
clause (i), (ii), or (iii) of subparagraph (B), the
augmented amount shall remain in such account for the
duration of the individual's benefit year even if the
requirements for such tier are no longer met.
``(D) Clarification.--The triggers under
subsections (d) and (h) of section 203 shall not apply
for purposes of determining high unemployment periods
under this paragraph.''.
SEC. 104. IMPROVED CALCULATION OF AMOUNTS IN AN INDIVIDUAL'S EXTENDED
BENEFIT ACCOUNT.
(a) In General.--Section 202(b)(1) of the Federal-State Extended
Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note) is amended,
in the matter preceding subparagraph (A), by striking ``the least'' and
inserting ``the greatest''.
(b) Effective Date.--The amendment made by subsection (a) shall
apply to extended compensation accounts established on or after the
earlier of--
(1) the date the State changes its statutes, regulations,
or policies in order to comply with such amendment; or
(2) January 1, 2027.
SEC. 105. TRANSITION FOR AMOUNTS REMAINING IN EXTENDED BENEFIT ACCOUNTS
WHEN A STATE IS NO LONGER IN AN EXTENDED BENEFIT PERIOD.
Section 203(b) of the Federal-State Extended Unemployment
Compensation Act of 1970 (26 U.S.C. 3304 note), as amended by section
102(b)(2), is amended by adding at the end the following new paragraph:
``(4) In the case of an individual who has amounts remaining in an
account established under section 202(b) as of the date that extended
benefits would otherwise not be payable to the individual because there
is a State `off' indicator, extended compensation shall continue to be
payable to such individual from such amounts for any week--
``(A) that begins on or after such date and ends on or
before 6 months after such date; and
``(B) for which the individual meets the eligibility
requirements under this title.''.
SEC. 106. COORDINATION OF EXTENDED BENEFITS WITH REGULAR COMPENSATION.
Section 202 of the Federal-State Extended Unemployment Compensation
Act of 1970 (26 U.S.C. 3304 note) is amended by adding at the end the
following new subsection:
``(d) Coordination of Extended Compensation With Regular
Compensation.--
``(1) If--
``(A) an individual has been determined to be
entitled to extended compensation with respect to a
benefit year;
``(B) such benefit year has expired;
``(C) such individual has remaining entitlement to
extended compensation with respect to such benefit
year; and
``(D) such individual would qualify for a new
benefit year in which the weekly benefit amount of
regular compensation is at least $25 less than the
individual's weekly benefit amount in the benefit year
referred to in subparagraph (A);
then the State shall determine eligibility for compensation as
provided in paragraph (2).
``(2) For individuals described in paragraph (1), the State
shall determine whether the individual is to be paid extended
compensation or regular compensation for a week of unemployment
using one of the following methods:
``(A) The State shall, if permitted by State law,
est