HB6081 99TH GENERAL ASSEMBLY

LRB099 16783 JLS 41129 b

99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB6081

Introduced 2/11/2016, by Rep. Tom Demmer

SYNOPSIS AS INTRODUCED:

820 ILCS 405/211.4	from Ch. 48, par. 321.4
820 ILCS 405/212	from Ch. 48, par. 322

Amends the Unemployment Insurance Act. Provides that services performed for an employing unit shall be deemed to be employment unless proved by judicial precedent or a formal ruling from the Internal Revenue Service that the services do not constitute employment or unless proved in proceeding that the services do not constitute employment under the Federal Unemployment Tax Act. Provides that the changes made by this amendatory Act become operative on the January 1 immediately after certain bond obligations have been reduced to zero. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning employment.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Unemployment Insurance Act is amended by changing Sections 211.4 and 212 as follows:

(820 ILCS 405/211.4) (from Ch. 48, par. 321.4)

Sec. 211.4. A. Notwithstanding any other provision of this Act, the term "employment" shall include service performed after December 31, 1977, by an individual in agricultural labor as defined in Section 214 when:

1. Such service is performed for an employing unit which (a) paid cash wages of $20,000 or more during any calendar quarter in either the current or preceding calendar year to an individual or individuals employed in agricultural labor (not taking into account service in agricultural labor performed before January 1, 1980, by an alien referred to in paragraph 2); or (b) employed in agricultural labor (not taking into account service in agricultural labor performed before January 1, 1980, by an alien referred to in paragraph 2) 10 or more individuals within each of 20 or more calendar weeks (but not necessarily simultaneously and irrespective of whether the same individuals are or were employed in each such week), whether or not such weeks are or were consecutive, within either the current or preceding calendar year.

2. Such service is not performed in agricultural labor if performed before January 1, 1980 or on or after the effective date of this amendatory Act of the 96th General Assembly, by an individual who is an alien admitted to the United States to perform service in agricultural labor pursuant to Sections 214(c) and 101(a)(15)(H) of the Immigration and Nationality Act.

B. For the purposes of this Section, any individual who is a member of a crew furnished by a crew leader to perform service in agricultural labor for any other employing unit shall be treated as performing service in the employ of such crew leader if (1) the leader holds a valid certificate of registration under the Farm Labor Contractor Registration Act of 1963, or substantially all the members of such crew operate or maintain tractors, mechanized harvesting or crop dusting equipment, or any other mechanized equipment, which is provided by the crew leader; and (2) the service of such individual is not in employment for such other employing unit within the meaning of subsections A and C of Section 212, and of Section 213.

C. For the purposes of this Section, any individual who is furnished by a crew leader to perform service in agricultural labor for any other employing unit, and who is not treated as performing service in the employ of such crew leader under subsection B, shall be treated as performing service in the employ of such other employing unit, and such employing unit shall be treated as having paid cash wages to such individual in an amount equal to the amount of cash wages paid to the individual by the crew leader (either on his own behalf or on behalf of such other employing unit) for the service in agricultural labor performed for such other employing unit.

D. For the purposes of this Section, the term "crew leader" means an individual who (1) furnishes individuals to perform service in agricultural labor for any other employing unit; (2) pays (either on his own behalf or on behalf of such other employing unit) the individuals so furnished by him for the service in agricultural labor performed by them; and (3) has not entered into a written agreement with such other employing unit under which an individual so furnished by him is designated as performing services in the employ of such other employing unit.

(Source: P.A. 96-1208, eff. 1-1-11.)

(820 ILCS 405/212) (from Ch. 48, par. 322)

Sec. 212. Service deemed employment. Before the changes made to this Section by this amendatory Act of the 99th General Assembly become operative, service Service performed by an individual for an employing unit, whether or not such individual employs others in connection with the performance of such services, shall be deemed to be employment unless and until it is proven in any proceeding where such issue is involved that--

A. Such individual has been and will continue to be free from control or direction over the performance of such services, both under his contract of service and in fact; and

B. Such service is either outside the usual course of the business for which such service is performed or that such service is performed outside of all the places of business of the enterprise for which such service is performed; and

C. Such individual is engaged in an independently established trade, occupation, profession, or business.

After the changes made to this Section by this amendatory Act of the 99th General Assembly become operative, services performed by an individual for an employing unit shall be deemed to be employment unless and until it is proven in any proceeding where such issue is involved that either:

(1) judicial precedent or a formal revenue ruling from the Internal Revenue Service specifically relating to the employing unit has expressly held the services do not constitute employment under the Federal Unemployment Tax Act if the judicial precedent or revenue ruling has not been reversed of otherwise overturned; or

(2) the services would not be determined to constitute employment under the Federal Unemployment Tax Act.

In applying items (1) and (2), control or direction, or the right to control or direct, that is required because of any provision of law, rule, or regulation governing the organization, trade, or business of the employing unit shall not be considered.

Items (1) and (2) do not apply to services that are required to be covered as a condition of approval of this Act by the United States Secretary of Labor under Section 3304(a)(6)(A) of the Federal Unemployment Tax Act.

The changes to this Section by this amendatory Act of the 99th General Assembly shall become operative on the January 1 immediately following the date on which all bond obligations outstanding as of the effective date of this amendatory Act of the 99th General Assembly have been reduced to zero.

(Source: Laws 1951, p. 32.)

Section 99. Effective date. This Act takes effect upon becoming law.