Sen. Andy Manar

Filed: 5/9/2014

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 4733

2    AMENDMENT NO. ______. Amend House Bill 4733 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Unemployment Insurance Act is amended by
5changing Sections 225 and 245 as follows:
 
6    (820 ILCS 405/225)  (from Ch. 48, par. 335)
7    Sec. 225. This Section, and not Section 212 of this Act,
8controls the determination of employment status for services
9performed by individuals in the delivery or distribution of
10newspapers or shopping news.
11    (A) The term "employment" shall not include services
12performed by an individual under the age of eighteen in the
13delivery or distribution of newspapers or shopping news.
14    (B) The term "employment" does not include the performance
15of freelance editorial or photographic work for a newspaper.
16    (B-5) The employment status of individuals engaged in the

 

 

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1delivery of newspapers or shopping news shall be determined as
2provided in this subsection. The term "employment" does not
3include the delivery or distribution of newspapers or shopping
4news if at least one of the following 5 elements is present:
5        (1) The individual performing the services gains the
6    profits and bears the losses of the services.
7        (2) The person or firm for whom the services are
8    performed does not represent the individual as an employee
9    to its customers.
10        (3) The individual hires his or her own helpers or
11    employees, without the need for approval from the person or
12    firm for whom the services are performed, and pays them
13    without reimbursement from that person or firm.
14        (4) The individual has the right to perform similar
15    services for others on whatever basis and whenever he or
16    she chooses.
17        (5) Once the individual leaves the premises of the
18    person or firm for whom the services are performed or the
19    printing plant, the individual operates free from the
20    direction and control or the person or firm, except as is
21    necessary for the person or firm to ensure quality control
22    of the newspapers or shopping news, including, but not
23    limited to, the condition of the newspapers or shopping
24    news upon delivery and the location and timing of delivery
25    of the newspapers or shopping news.
26    (C) Notwithstanding subsection (B-5), the The term

 

 

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1"employment" does not include the delivery or distribution of
2newspapers or shopping news to the ultimate consumer if:
3        (1) substantially all of the remuneration for the
4    performance of the services is directly related to sales,
5    "per piece" fees, or other output, rather than to the
6    number of hours worked; and
7        (2) the services are performed under a written contract
8    between the individual and the person or firm for whom the
9    services are performed, and the contract provides that the
10    individual will not be treated as an employee for federal
11    tax purposes.
12        (3) Delivery or distribution to the ultimate consumer
13    does not include:
14            (i) delivery or distribution for sale or resale,
15        including, but not limited to, distribution to a
16        newsrack or newsbox, salesperson, newsstand or retail
17        establishment;
18            (ii) distribution for further distribution,
19        regardless of subsequent sale or resale.
20    (D) Subsections (B-5) and Subsection (C) shall not apply in
21the case of any individual who provides delivery or
22distribution services for a newspaper pursuant to the terms of
23a collective bargaining agreement and shall not be construed to
24alter or amend the application or interpretation of any
25existing collective bargaining agreement. Further, subsections
26(B-5) and subsection (C) shall not be construed as evidence of

 

 

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1the existence or non-existence of an employment relationship
2under any other Sections of this Act or other existing laws.
3    (E) Subsections (B), (B-5), and (C) shall not apply to
4services that are required to be covered as a condition of
5approval of this Act by the United States Secretary of Labor
6under Section 3304 (a)(6)(A) of the Federal Unemployment Tax
7Act.
8(Source: P.A. 87-1178.)
 
9    (820 ILCS 405/245)  (from Ch. 48, par. 370)
10    Sec. 245. Coordination with Federal Unemployment Tax Act.
11Notwithstanding any provisions of this Act to the contrary,
12excepting the exemptions from the definition of employment
13contained in Sections 212.1, 217.1, 217.2, 226, and 231 and
14subsections (B), (B-5), and (C) B and C of Section 225:
15    A. The term "employer" includes any employing unit which is
16an "employer" under the provisions of the Federal Unemployment
17Tax Act, or which is required, pursuant to such Act, to be an
18"employer" under this Act as a condition for the Federal
19approval of this Act requisite to the full tax credit, against
20the tax imposed by the Federal Act, for contributions paid by
21employers pursuant to this Act.
22    B. The term "employment" includes any services performed
23within the State which constitute "employment" under the
24provisions of the Federal Unemployment Tax Act, or which are
25required, pursuant to such Act, to be "employment" under this

 

 

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1Act as a condition for the Federal approval of this Act
2requisite to the full tax credit, against the tax imposed by
3the Federal Act, for contributions paid by employers pursuant
4to this Act.
5    C. The term "wages" includes any remuneration for services
6performed within this State which is subject to the payment of
7taxes under the provisions of the Federal Unemployment Tax Act.
8(Source: P.A. 89-252, eff. 8-8-95; 89-649, eff. 8-9-96.)".