Office of the Revisor of Statutes
Minnesota Session Laws - 1983, Regular Session
Key: (1) language to be deleted (2) new language
Laws of Minnesota 1983
CHAPTER 372--S.F.No. 1011
An act relating to unemployment compensation;
providing for conformity with federal law; imposing an
annual surcharge on employers' calendar year
contributions for the purpose of repayment of interest
charged on federal loans; creating the emergency
interest repayment fund; adding a category to the
extension of base period in the definition of base
period; updating the law to reflect current practice;
making technical changes; removing obsolete language;
regulating administrative practices; providing for the
effect of back pay awards; regulating benefit amounts,
contributions, and benefit eligibility; requiring a
report to the legislature on shared work benefits;
appropriating money; amending Minnesota Statutes 1982,
sections 268.04, subdivisions 2, 12, 17, 25, 26, 29,
and by adding a subdivision; 268.05, subdivision 5;
268.06, subdivisions 1, 2, 3a, 5, 20, 28, and 29;
268.07, subdivisions 2 and 3; 268.071, subdivision 3;
268.08, subdivisions 1, 3, 6, and by adding
subdivisions; 268.09, subdivisions 1 and 2; 268.10,
subdivisions 2, 3, 4, 5, 6, 7, and 9; 268.11,
subdivisions 2 and 3; 268.12, subdivisions 8 and 9;
268.16, subdivision 2; 268.161, subdivisions 1, 4, 5,
7, and 8; 268.18, subdivisions 1 and 2; proposing new
law coded in Minnesota Statutes, chapter 268;
repealing Minnesota Statutes 1982, section 268.06,
subdivision 32.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1. Minnesota Statutes 1982, section 268.04,
subdivision 2, is amended to read:
Subd. 2. "Base period" means the period of fifty-two
calendar weeks immediately preceding the first day of an
individual's benefit year. Provided, However, that if a
claimant received weekly worker's compensation for temporary
total disability under the provisions of chapter 176 or under a
similar law of the United States for more than seven weeks
within the base period, as heretofore defined, his or if a
claimant, whose own serious illness caused a loss of credit
weeks within the base period, received compensation due to the
illness from some other source or under a law of this state
other than chapter 176 or under a similar law of the United
States for more than seven weeks within the base period, the
claimant's base period shall be lengthened by the same number of
such weeks, but not to exceed 52 weeks, for which he the
claimant received such the payments; provided further, that.
No extended base period shall include wage credits upon which
benefits were established and paid with respect to a prior valid
claim.
Sec. 2. Minnesota Statutes 1982, section 268.04,
subdivision 12, is amended to read:
Subd. 12. "Employment" means: (1) Subject to the other
provisions of this subdivision "employment" means service
performed prior to January 1, 1945, which was employment as
defined in this section prior to such date, and any service
performed after December 31, 1944, including service in
interstate commerce, by an individual who is a servant under the
law of master and servant or who performs services for any
employing unit, unless such services are performed by an
independent contractor.
The term "employment" shall include: Any service
performed, including service in interstate commerce, by;
(a) any officer of any corporation; or
(b) any individual other than an individual who is an
employee under clause (1) who performs services for remuneration
for any person as an agent-driver or commission-driver engaged
in distributing meat products, vegetable products, fruit
products, bakery products, beverages (other than milk), or
laundry or dry-cleaning services, for his principal, or as a
traveling or city salesman, other than as an agent-driver or
commission-driver, engaged upon a fulltime basis in the
solicitation on behalf of, and the transmission to, his
principal (except for sideline sales activities on behalf of
some other person) of orders from wholesalers, retailers,
contractors, or operators of hotels, restaurants, or other
similar establishments for merchandise for resale or supplies
for use in their business operations;
Provided, that for purposes of clause (1) (b), the term
"employment" shall include services described above only if the
contract of service contemplates that substantially all of the
services are to be performed personally by such individual, the
individual does not have a substantial investment in facilities
used in connection with the performance of the services (other
than in facilities for transportation), and the services are not
in the nature of a single transaction that is not part of a
continuing relationship with the person for whom the services
are performed.
(2) The term "employment" shall include an individual's
entire service, performed within or both within and without this
state if (a) the service is localized in this state; or (b) the
service is not localized in any state but some of the service is
performed in this state and (1) the base of operations, or, if
there is no base of operations, then the place from which such
service is directed or controlled, is in this state; (2) the
base of operations or place from which such service is directed
or controlled is not in any state in which some part of the
service is performed, but the individual's residence is in this
state.
(3) Service shall be deemed to be localized within a state
if (a) the service is performed entirely within such state; or
(b) the service is performed both within and without such state,
but the service performed without such state is incidental to
the individual's service within the state, for example, is
temporary or transitory in nature or consists of isolated
transactions.
(4) The term "employment" shall include an individual's
service wherever performed within the United States or Canada,
if
(a) Such service is not covered under the unemployment
compensation law of any other state or Canada, and
(b) The place from which the service is directed or
controlled is in this state.
(5) (a) Service covered by an election pursuant to section
268.11, subdivision 3; and
(b) Service covered by an arrangement pursuant to section
268.13 between the commissioner and the agency charged with the
administration of any other state or federal employment security
law, pursuant to which all service performed by an individual
for an employing unit is deemed to be performed entirely within
this state, shall be deemed to be employment if the commissioner
has approved an election of the employing unit for which such
service is performed, pursuant to which the entire service of
such individual during the period covered by such election is
deemed to be employment.
(6) Notwithstanding any inconsistent provisions of
sections 268.03 to 268.24, the term "employment" shall include
any services which are performed by an individual with respect
to which an employing unit is liable for any federal tax against
which credit may be taken for contributions required to be paid
into a state unemployment compensation fund or which as a
condition for full tax credit against the tax imposed by the
federal unemployment tax act is required to be covered under
this law.
(7) Service performed by an individual in the employ of
the state of Minnesota or any instrumentality which is wholly
owned by the state of Minnesota or in the employ of this state
and one or more other states or an instrumentality of this state
and one or more of its political subdivisions or an
instrumentality of this state and another state or an
instrumentality of this state and one or more political
subdivisions of another state if such service is excluded from
"employment" as defined by section 3306(c)(7) of the federal
unemployment tax act and is not excluded from "employment" under
clause (10) of this subdivision.
(8) Service performed by an individual in the employ of
any political subdivision of the state of Minnesota or
instrumentality thereof or an instrumentality of two or more
political subdivisions of this state or any instrumentality of a
political subdivision of this state and another state or
political subdivisions of another state if such service is
excluded from "employment" as defined by section 3306(c)(7) of
the federal unemployment tax act and is not excluded from
"employment" under clause (10) of this subdivision.
(a) The provisions of section 268.08, subdivision 6, shall
apply to service covered by this section.
(b) The amounts required to be paid in lieu of
contributions by any political subdivision shall be billed and
payment made as provided in section 268.06, subdivision 28,
clause (2), with respect to similar payments by nonprofit
organizations.
(9) Service performed by an individual in the employ of a
religious, charitable, educational or other organization but
only if the following conditions are met:
(a) the service is excluded from "employment" as defined
in the federal unemployment tax act solely by reason of section
3306(c) (8) of that act; and
(b) the organization had one or more individuals in
employment for some portion of a day in each of 20 different
weeks, whether or not such weeks were consecutive, within either
the current or preceding calendar year, regardless of whether
they were employed at the same moment of time.
(10) For the purposes of clauses (7), (8), and (9), the
term "employment" does not apply to service performed
(a) in the employ of a church or convention or association
of churches, or an organization which is operated exclusively
primarily for religious purposes and which is operated,
supervised, controlled, or principally supported by a church or
convention or association of churches; or
(b) by a duly ordained, commissioned, or licensed minister
of a church in the exercise of his ministry or by a member of a
religious order in the exercise of duties required by such
order; or
(c) in a facility conducted for the purpose of carrying
out a program of rehabilitation for individuals whose earning
capacity is impaired by age or physical or mental deficiency or
injury or providing remunerative work for individuals who
because of their impaired physical or mental capacity cannot be
readily absorbed in the competitive labor market by an
individual receiving such rehabilitation or remunerative work;
or
(d) as part of an unemployment work relief or work
training program assisted or financed in whole or in part by any
federal agency or an agency of a state or political subdivision
thereof, by an individual receiving such work relief or work
training, excepting public service employment and on the job
training participants under the federal comprehensive employment
and training act, as amended, if the participants are performing
services which are the same or similar to those performed by
other employees of the employer. This exclusion shall not apply
to programs that provide for and require unemployment insurance
coverage for the participants; or
(e) by an inmate of a custodial or penal institution; or
(f) in the employ of governmental entities referred to in
clauses (7) and (8) of this subdivision if such service is
performed by an individual in the exercise of duties
(i) as an elected official,
(ii) as a member of a legislative body, or a member of the
judiciary,
(iii) as a member of the Minnesota national guard or air
national guard,
(iv) as an employee serving only on a temporary basis in
case of fire, storm, snow, earthquake, flood or similar
emergency,
(v) (a) in a position with the state of Minnesota which is
a major nontenured policy making or advisory position in the
unclassified service, or
(b) a policy making position with the state of Minnesota
or a political subdivision the performance of the duties of
which ordinarily does not require more than eight hours per
week; or
(c) in a position with a political subdivision which is a
major nontenured policy making or advisory position.
(11) The term "employment" shall include the service of an
individual who is a citizen of the United States, performed
outside the United States, except in Canada, in the employ of an
American employer (other than service which is deemed
"employment" under the provisions of clauses (2), (3), or (4) or
the parallel provisions of another state's law) if:
(a) The employer's principal place of business in the
United States is located in this state; or
(b) The employer has no place of business in the United
States, but the employer is an individual who is a resident of
this state, or the employer is a corporation which is organized
under the laws of this state, or the employer is a partnership
or a trust and the number of partners or trustees who are
residents of this state is greater than the number who are
residents of any one other state; or
(c) None of the criteria of (a) and (b) of this clause is
met but the employer has elected coverage in this state, or the
employer having failed to elect coverage in any state, the
individual has filed a claim for benefits, based on such
service, under the law of this state.
(d) An "American employer," for the purposes of this
subdivision, means a person who is an individual who is a
resident of the United States, or a partnership if two-thirds or
more of the partners are residents of the United States, or a
trust, if all of the trustees are residents of the United
States, or a corporation organized under the laws of the United
States or of any state;
(e) As used in this subdivision, the term "United States"
includes the states, the District of Columbia, the Commonwealth
of Puerto Rico, and the Virgin Islands.
(12) Notwithstanding clause (1) (2), all service performed
by an officer or member of the crew of an American vessel on or
in connection with such vessel, if the operating office, from
which the operations of such vessel operating on navigable
waters within, or within and without, the United States are
ordinarily and regularly supervised, managed, directed and
controlled is within this state.
(13) Service performed by an individual in agricultural
labor as defined in clause (15)(a) of this subdivision when:
(a) Such service is performed for a person who:
(i) during any calendar quarter in either the current or
the preceding calendar year paid wages of $20,000 or more to
individuals employed in agricultural labor, or
(ii) for some portion of a day in each of 20 different
calendar weeks, whether or not such weeks were consecutive, in
either the current or preceding calendar year employed in
agricultural labor four or more individuals regardless of
whether they were employed at the same time.
(b) For the purpose of this clause (13) any individual who
is a member of a crew furnished by a crew leader to perform
service in agricultural labor for any other person shall be
treated as an employee of the crew leader:
(i) if the crew leader holds a valid certificate of
registration under the farm labor contractor registration act of
1963, as amended; or substantially all of the members of his
crew operate or maintain tractors, mechanized harvesting or crop
dusting equipment, or any other mechanized equipment, which is
provided by the crew leader; and
(ii) if the individual is not an employee of another
person as determined by clause (1) of this subdivision.
(c) For the purpose of this clause (13) in the case of any
individual who is furnished by a crew leader to perform service
in agricultural labor for any other person and who is not
treated as an employee of the crew leader under subclause
(13)(b):
(i) such other person and not the crew leader shall be
treated as the employer of such individual; and
(ii) such other person shall be treated as having paid
wages to such individual in an amount equal to the amount of
wages paid to such individual by the crew leader (either on his
own behalf or on behalf of such other person) for the service in
agricultural labor performed for such other person.
(d) For the purposes of this clause (13) the term "crew
leader" means an individual who:
(i) furnishes individuals to perform service in
agricultural labor for any other person,
(ii) pays (either on his own behalf or on behalf of such
other person) the individuals so furnished by him for the
service in agricultural labor performed by them, and
(iii) has not entered into a written agreement with such
other person under which such furnished individual is designated
as an employee of such other person.
(e) For the purposes of this clause (13) services
performed by an officer or shareholder of a family farm
corporation shall be excluded from agricultural labor and
employment unless said corporation is an employer as defined in
section 3306(a)(2) of the Federal Unemployment Tax Act.
(f) For the purposes of this clause (13), services
performed by an individual 16 years of age or under shall be
excluded from agricultural labor and employment unless the
employer is an employer as defined in section 3306(a)(2) of the
Federal Unemployment Tax Act.
(14) The term "employment" shall include domestic service
in a private home, local college club, or local chapter of a
college fraternity or sorority performed for a person who paid
wages of $1,000 or more in the current calendar year or the
preceding calendar year to individuals employed in domestic
service in any calendar quarter.
"Domestic service" includes all service for an individual
in the operation and maintenance of a private household, for a
local college club, or local chapter of a college fraternity or
sorority as distinguished from service as an employee in the
pursuit of an employer's trade, occupation, profession,
enterprise or vocation.
(15) The term "employment" shall not include:
(a) Agricultural labor. Service performed by an
individual in agricultural labor, except as provided in clause
(13) of this subdivision. The term "agricultural labor"
includes all services performed:
(1) On a farm, in the employ of any person or family farm
corporation, in connection with cultivating the soil, or in
connection with raising or harvesting any agricultural or
horticultural commodity, including the raising, shearing,
feeding, caring for, training, and management of livestock,
bees, poultry, fur-bearing animals and wildlife;
(2) In the employ of the owner or tenant or other operator
of a farm, in connection with the operation, management,
conservation, improvement, or maintenance of such farm and its
tools and equipment, or in salvaging timber or clearing land of
brush and other debris left by a tornadic-like storm, if the
major part of such service is performed on a farm;
(3) In connection with the production or harvesting of any
commodity defined as an agricultural commodity in section 15(g)
of the agricultural marketing act, as amended (46 Stat. 1550,
sec. 3; 12 U.S.C. 1141j) or in connection with the ginning of
cotton, or in connection with the operation or maintenance of
ditches, canals, reservoirs, or waterways, not owned or operated
for profit, used exclusively for supplying and storing water for
farming purposes;
(4) In the employ of the operator of a farm in handling,
planting, drying, packing, packaging, processing, freezing,
grading, storing, or delivering to storage or to market or to a
carrier for transportation to market, in its unmanufactured
state, any agricultural or horticultural commodity; but only if
such operator produced more than one-half of the commodity with
respect to which such service is performed, or in the employ of
a group of operators of farms (or a cooperative organization of
which such operators are members) in the performance of service
described herein, but only if such operators produced more than
one-half of the commodity with respect to which such service is
performed; however, the provisions of this paragraph shall not
be deemed to be applicable with respect to service performed in
connection with commercial canning or commercial freezing or in
connection with any agricultural or horticultural commodity
after its delivery to a terminal market for distribution for
consumption; or
(5) On a farm operated for profit if such service is not
in the course of the employer's trade or business.
As used herein, the term "farm" includes stock, dairy,
poultry, fruit, fur-bearing animal, and truck farms,
plantations, ranches, nurseries, ranges, greenhouses or other
similar structures used primarily for the raising of
agricultural or horticultural commodities, and orchards.
(b) Casual labor not in the course of the employing unit's
trade or business;
(c) Service performed on the navigable waters of the
United States as to which this state is prohibited by the
constitution and laws of the United States of America from
requiring contributions of employers with respect to wages as
provided in sections 268.03 to 268.24;
(d) Service performed by an individual in the employ of
his son, daughter, or spouse, and service performed by a child
under the age of 18 in the employ of his father or mother;
(e) Service performed in the employ of the United States
government, or any instrumentality of the United States exempt
under the constitution of the United States from the
contributions imposed by sections 268.03 to 268.24, except that
with respect to such service and to the extent that the congress
of the United States shall permit states to require any
instrumentalities of the United States to make payments into an
unemployment compensation fund under a state unemployment
compensation act; then, to the extent permitted by congress, and
from and after the date as of which such permission becomes
effective, all of the provisions of these sections shall be
applicable to such instrumentalities and to services performed
for such instrumentalities in the same manner, to the same
extent, and on the same terms as to all other employers,
employing units, individuals, and services; provided, that if
this state shall not be certified for any year by the United
States department of labor under section 3304(c) of the federal
internal revenue code, the payments required of such
instrumentalities with respect to such year shall be refunded by
the commissioner from the fund in the same manner and within the
same period as is provided in section 268.16, subdivision 6,
with respect to contributions erroneously collected;
(f) Service with respect to which unemployment
compensation is payable under an unemployment compensation
system established by an act of congress;
(g) (1) Service performed in any calendar quarter in the
employ of any organization exempt from income tax under section
501(a) (other than an organization described in section 401(a))
or section 521 of the federal internal revenue code, if the
remuneration for such service is less than $50; or
(2) Service performed in the employ of a school, college,
or university, if such service is performed by a student who is
enrolled and is regularly attending classes at such school,
college, or university; or
(3) Service performed by an individual under the age of 22
who is enrolled at a nonprofit or public educational institution
which normally maintains a regular faculty and curriculum and
normally has a regularly organized body of students in
attendance at the place where its educational activities are
carried on as a student in a fulltime program, taken for credit
at such institution, which combines academic instruction with
work experience, if such service is an integral part of such
program, and such institution has so certified to the employer,
except that this paragraph shall not apply to service performed
in a program established for or on behalf of an employer or
group of employers;
(h) Service performed in the employ of a foreign government
(including service as a consular or other officer or employee or
a nondiplomatic representative);
(i) Service performed in the employ of an instrumentality
wholly owned by a foreign government, if
(1) The service is of a character similar to that performed
in foreign countries by employees of the United States
government or of an instrumentality thereof; and
(2) The commissioner finds that the United States
secretary of state has certified to the United States secretary
of the treasury that the foreign government, with respect to
whose instrumentality exemption is claimed, grants an equivalent
exemption with respect to similar service performed in the
foreign country by employees of the United States government and
of instrumentalities thereof.
(j) Service covered by an arrangement between the
commissioner and the agency charged with the administration of
any other state or federal employment security law pursuant to
which all services performed by an individual for an employing
unit during the period covered by such employing unit's duly
approved election, are deemed to be performed entirely within
such agency's state;
(k) Service performed in the employ of a hospital, if such
service is performed by a patient of the hospital, as defined in
clause (17);
(l) Service performed as a student nurse in the employ of
a hospital or a nurses' training school by an individual who is
enrolled and is regularly attending classes in a nurses'
training school chartered and approved pursuant to state law;
and service performed as an intern in the employ of a hospital
by an individual who has completed a four years' course in a
medical school chartered and approved pursuant to state law;
(m) Service performed by an individual for a person as an
insurance agent or as an insurance solicitor, if all such
service performed by such individual for such person is
performed for remuneration solely by way of commission (the word
"insurance" as used in this subdivision shall include an annuity
and an optional annuity);
(n) Service performed by an individual under the age of 18
in the delivery or distribution of newspapers or shopping news,
not including delivery or distribution to any point for
subsequent delivery or distribution;
(o) Service performed by an individual for a person as a
real estate salesman, if all such service performed by such
individual for such person is performed for remuneration solely
by way of commission;
(p) If the service performed during one-half or more of
any pay period by an individual for the person employing him
constitutes employment, all the service of such individual for
such period shall be deemed to be employment; but if the service
performed during more than one-half of any such pay period by an
individual for the person employing him does not constitute
employment, then none of the service of such individual for such
period shall be deemed to be employment. As used in this
subdivision, the term "pay period" means a period (of not more
than 31 consecutive days) for which a payment or remuneration is
ordinarily made to the individual by the person employing him.
(q) Services performed for a state, other than the state
of Minnesota, or an instrumentality wholly owned by such other
state or political subdivision of such other state;
(r) Services performed as a direct seller as defined in
United States Code, title 26, section 3508.
(16) "Institution of higher education," for the purposes of
this chapter, means an educational institution which:
(a) Admits as regular students only individuals having a
certificate of graduation from a high school, or the recognized
equivalent of such a certificate;
(b) Is legally authorized in this state to provide a
program of education beyond high school;
(c) Provides an educational program for which it awards a
bachelor's or higher degree, or provides a program which is
acceptable for credit toward such a degree, a program of
post-graduate or post-doctoral studies, or a program of training
to prepare students for gainful employment in a recognized
occupation; and
(d) Is a public or other nonprofit institution.
(e) Notwithstanding any of the foregoing provisions of this
clause, all colleges and universities in this state are
institutions of higher education for purposes of this section.
(17) "Hospital" means an institution which has been
licensed, certified or approved by the department of health as a
hospital.
Sec. 3. Minnesota Statutes 1982, section 268.04,
subdivision 17, is amended to read:
Subd. 17. "Insured work" means employment for employers as
defined in this section, except that for the purposes of
interstate reciprocal benefit payment arrangements and the
clearing of disqualifications under this law, the term "insured
work" shall mean employment in insured work under this law or a
similar law of any other state. Periods for which an individual
receives back pay are periods of insured work for benefit
purposes, except for the clearing of disqualifications under
this chapter.
Sec. 4. Minnesota Statutes 1982, section 268.04,
subdivision 25, is amended to read:
Subd. 25. [WAGES.] "Wages" means all remuneration for
services, including commissions and bonuses, back pay as of the
date of payment, and tips and gratuities paid to an employee by
a customer of an employer and accounted for by the employee to
the employer, and the cash value of all remuneration in any
medium other than cash, except that such term shall not include:
(a) For the purpose of determining contributions payable
under section 268.06, subdivision 2, that part of the
remuneration which exceeds $8,000 during the calendar years
1979, 1980 and 1981 and, for all each subsequent calendar
years year, the greater of $7,000 or that part of the
remuneration which exceeds 60 percent of the average annual wage
rounded to the nearest $100 computed in accordance with the
provisions of clause (f), paid to an individual by an employer
with respect to covered employment in this state, or with
respect to employment under the unemployment compensation law of
any other state during any calendar year paid to such individual
by such covered employer or his predecessor during such calendar
year; provided, that if the term "wages" as contained in the
federal unemployment tax act is amended to include remuneration
in excess of the amount required to be paid hereunder to an
individual by an employer under the federal act for any calendar
year, wages for the purposes of sections 268.03 to 268.24 shall
include remuneration paid in a calendar year up to an amount
equal to the dollar limitation specified in the federal
unemployment tax act. For the purposes of this clause, the term
"employment" shall include service constituting employment under
any employment security law of another state or of the federal
government;
(b) The amount of any payment made to, or on behalf of, an
employee under a plan or system established by an employer which
makes provision for his employees generally or for a class or
classes of his employees (including any amount paid by an
employer for insurance or annuities, or into a fund, to provide
for any such payment), on account of (1) retirement or (2)
sickness or accident disability or (3) medical and
hospitalization expenses in connection with sickness or accident
disability, or (4) death, provided the employee has not the
option to receive, instead of provision for such death benefit,
any part of such payment, or if such death benefit is insured,
any part of the premium (or contributions to premiums) paid by
his employer and has not the right, under the provisions of the
plan or system or policy of insurance providing for such death
benefit, to assign such benefit, or to receive a cash
consideration in lieu of such benefit either upon his withdrawal
from the plan or system providing for such benefit or upon
termination of such plan or system or policy of insurance or of
his employment with such employer;
(c) The payment by an employer (without deduction from the
remuneration of the employee) (1) of the tax imposed upon an
employee under section 3101 of the federal internal revenue
code, or (2) of any payment required from an employee under a
state unemployment compensation law, with respect to
remuneration paid to an employee for domestic service in a
private home of the employer or for agricultural labor;
(d) Any payments made to a former employee during the
period of active military service in the armed forces of the
United States by such employer, whether legally required or not;
(e) Any payment made to, or on behalf of, an employee or
his beneficiary (1) from or to a trust described in section
401(a) of the federal internal revenue code which is exempt from
tax under section 501(a) of such code at the time of such
payment unless such payment is made to an employee of the trust
as remuneration for services rendered as an employee and not as
a beneficiary of the trust, or (2) under or to an annuity plan
which, at the time of such payment is a plan described in
section 403(a) of the federal internal revenue code, or (c)
under or to a bond purchase plan which, at the time of such
payment, is a qualified bond purchase plan described in section
405(a) of the federal internal revenue code;
(f) On or before July 1 of each year the commissioner shall
determine the average annual wage paid by employers subject to
sections 268.03 to 268.24 in the following manner:
(1) The sum of the total monthly employment reported for
the previous calendar year shall be divided by 12 to determine
the average monthly employment;
(2) The sum of the total wages reported for the previous
calendar year shall be divided by the average monthly employment
to determine the average annual wage.
The average annual wage determined shall be effective for
the calendar year next succeeding the determination.
Sec. 5. Minnesota Statutes 1982, section 268.04,
subdivision 26, is amended to read:
Subd. 26. "Wage credits" mean the amount of wages actually
or constructively paid and, wages due and payable but not
overdue and delayed beyond the usual time of payment and back
pay paid by or from an employer to an employee for insured work
and tips and gratuities paid to an employee by a customer of an
employer and accounted for by the employee to the employer
except that wages earned in part-time employment by a student as
an integral part of an occupational course of study, under a
plan for vocational education accepted by the Minnesota
department of education, shall not result in wage credits
available for benefit purposes.
Sec. 6. Minnesota Statutes 1982, section 268.04,
subdivision 29, is amended to read:
Subd. 29. "Credit week" is any week for which the wages
which have been or back pay, actually or constructively paid and
, wages which are due and payable but not paid overdue and
delayed beyond the usual time of payment, and back pay by or
from one or more employers to an employee for insured work equal
or exceed 30 percent of the average weekly wage computed to the
nearest whole dollar. On or before June 30 of each year the
commissioner shall determine the average weekly wage paid by
employers subject to sections 268.03 to 268.24 in the following
manner:
(a) The sum of the total monthly employment reported for
the previous calendar year shall be divided by 12 to determine
the average monthly employment;
(b) The sum of the total wages reported for the previous
calendar year shall be divided by the average monthly employment
to determine the average annual wage; and
(c) The average annual wage shall be divided by 52 to
determine the average weekly wage.
The average weekly wage as so determined computed to the
nearest whole dollar shall apply to claims for benefits which
establish a benefit year which begins subsequent to December 31
of the year of the computation.
Sec. 7. Minnesota Statutes 1982, section 268.04, is
amended by adding a subdivision to read:
Subd. 33. [BACK PAY.] "Back pay" means a retroactive
payment of money by an employer to an employee or former
employee for lost wages because of the employer's noncompliance
with a state or federal law or a collective bargaining agreement
as determined in an arbitration award, administrative or
judicial decision, or negotiated settlement. The period to
which the payment shall be applied shall commence immediately
following the last day of work or as specified in the
arbitration award, administrative or judicial decision, or
negotiated settlement.
Sec. 8. Minnesota Statutes 1982, section 268.05,
subdivision 5, is amended to read:
Subd. 5. [PAYMENT OF EXPENSES OF ADMINISTRATION.] (1)
Money credited to the account of this state in the unemployment
trust fund by the secretary of the treasury of the United States
of America pursuant to section 903 of the Social Security Act,
as amended, may be requisitioned and used for the payment of
expenses incurred for the administration of Laws 1957, Chapter
883 pursuant to a specific appropriation by the legislature,
provided that the expenses are incurred and the money is
requisitioned after the enactment of an appropriation law which:
(a) Specifies the purposes for which such money is
appropriated and the amounts appropriated therefor.
(b) Limits the period within which such money may be
obligated to a period ending not more than two years after the
date of the enactment of the appropriation law, and
(c) Limits the amount which may be obligated during any
twelve-month period beginning on July 1 and ending on the next
June 30 to an amount which does not exceed the amount by which
(i) the aggregate of the amounts credited to the account of this
state pursuant to section 903 of the Social Security Act, as
amended, during the same twelve-month period and the 24 34
preceding twelve-month periods, exceeds (ii) the aggregate of
the amounts used pursuant to this subdivision and charged
against the amounts credited to the account of this state during
any of such 25 35 twelve-month periods. For the purposes of
this subdivision, amounts used during any such twelve-month
period shall be charged against equivalent amounts which were
first credited and which are not already so charged; except that
no amount obligated for administration during any such
twelve-month period may be charged against any amount credited
during such a twelve-month period earlier than the 24th
preceding such period.
(2) Money credited to the account of this state pursuant to
section 903 of the Social Security Act, as amended, may not be
withdrawn or used except for the payment of benefits and for the
payment of expenses for the administration of Laws 1957, Chapter
883 and of public employment offices pursuant to this
subdivision. Any moneys used for the payment of benefits may be
restored for appropriation and use for administrative expenses
upon request of the governor, under section 903(c) of the Social
Security Act.
(3) Money requisitioned for the payment of expenses of
administration pursuant to this subdivision shall be deposited
in the employment services administration fund, but, until
expended, shall remain a part of the unemployment fund. The
commissioner shall maintain a separate record of the deposit,
obligation, expenditure, and return of funds so deposited. If
any money so deposited is, for any reason, not to be expended
for the purpose for which it was appropriated, or, if it remains
unexpended at the end of the period specified by the law
appropriating such money, it shall be withdrawn and returned to
the secretary of the treasury of the United States for credit to
this state's account in the unemployment trust fund.
Sec. 9. Minnesota Statutes 1982, section 268.06,
subdivision 1, is amended to read:
Subdivision 1. [PAYMENTS.] (1) Contributions shall accrue
and become payable by each employer for each calendar year in
which he is subject to sections 268.03 to 268.24 with respect to
wages (as defined in section 268.04, subdivision 25) for
employment, except that contributions shall not be payable after
December 31, 1974 upon public service wages. "Public service
wages" are remuneration for services performed in a public
service job to the extent that such remuneration is paid with
funds provided under the comprehensive employment and training
act of 1973 and to the extent that the unemployment compensation
fund is reimbursed for benefits based upon said public service
wages pursuant to section 221 of United States Public Law
94-444. Such contributions shall become due and be paid by each
employer to the department of economic security for the fund in
accordance with such regulations as the commissioner may
prescribe, and shall not be deducted, in whole or in part, from
the wages of individuals in such employer's employ. No rule of
the commissioner shall be put in force which will permit the
payment of such contributions at a time or under conditions
which will not allow the employer to take credit for such
contribution against the tax imposed by section 3301 of the
Internal Revenue Code.
(2) In the payment of any contribution, a fractional part
of a cent shall be disregarded unless it amounts to one-half
cent or more in which case it shall be increased to one cent.
(3) When the contribution rate applied to an employer's
taxable payroll for any given calendar quarter results in a
computed contribution of less than $1, the contribution shall be
disregarded.
Sec. 10. Minnesota Statutes 1982, section 268.06,
subdivision 2, is amended to read:
Subd. 2. [RATES.] Each employer who is not eligible for an
experience ratio or who has an experience ratio of one-tenth of
one percent or more as computed in subdivision 6 shall pay
contributions equal to two and seven-tenths percent for each
calendar year prior to 1985 and 5-4/10 percent for 1985 and each
subsequent calendar year of wages paid and wages overdue and
delayed beyond the usual time of payment from him with respect
to employment occurring during each calendar year, except as may
be otherwise prescribed in subdivisions 3a and 4. Each employer
who has an experience ratio of less than one-tenth of one
percent shall pay contributions on only the first $8,000 in
wages paid and wages overdue and delayed beyond the usual time
of payment to each employee with respect to employment occurring
during each calendar year.
Sec. 11. Minnesota Statutes 1982, section 268.06,
subdivision 3a, is amended to read:
Subd. 3a. [RATE FOR NEW EMPLOYERS.] Notwithstanding the
provisions of subdivision 2, each employer, who becomes subject
to this law, shall pay contributions at a rate:
(a) Not exceeding two and seven-tenths percent, that is the
higher of (1) one percent and (2) the state's three-year benefit
cost rate for the 36 consecutive month period immediately
preceding July 1 of each year for each employer who becomes
subject to this law prior to January 1, 1984. For purposes of
this clause, the state's three-year benefit cost rate shall be
computed annually and shall be derived by dividing the total
dollar amount of benefits paid to claimants under this law
during the 36 consecutive calendar months immediately preceding
July 1 of each year by the total dollar amount of wages subject
to contributions under this law during the same period. The
rate so determined shall be applicable for the calendar year
next succeeding each computation date.
(b) Not exceeding 2-7/10 percent, that is the higher of (1)
one percent and (2) the state's four-year benefit cost rate for
the 48 consecutive month period immediately preceding July 1 of
each year for each employer, except employers in the
construction industry, as determined by the commissioner,
principally employing laborers and construction tradesmen, who
becomes subject to this law subsequent to December 31, 1983 and
prior to January 1, 1985. For purposes of this clause, the
state's four-year benefit cost rate shall be computed and
derived by dividing the total dollar amount of benefits paid to
claimants under this law during the 48 consecutive calendar
months immediately preceding July 1, 1983 by the total dollar
amount of wages subject to contributions under this law during
the same period. The rate so determined shall be applicable for
the calendar year 1984.
Each construction employer described above who becomes
subject to chapter 268 shall pay contributions at a rate, not
exceeding 7.5 percent, that is the higher of (1) one percent, or
(2) the state's four-year benefit cost rate for construction
employers for the 48 consecutive month period immediately
preceding July 1, 1983. For purposes of this clause, the
state's four-year benefit cost rate shall be computed and
derived by dividing the total dollar amount of benefits paid to
claimants of construction employers, as determined by the
commissioner, during the 48 consecutive calendar months
immediately preceding July 1, 1983 by the total dollar amount of
wages of construction employers subject to contributions during
the same period. The rate so determined shall be applicable for
the calendar year 1984.
(c) Not exceeding 2-7/10 5-4/10 percent, that is the higher
of (1) one percent and (2) the state's five-year benefit cost
rate for the 60 consecutive month period immediately preceding
July 1, 1984 and each year thereafter for each employer, except
employers in the construction industry, as determined by the
commissioner, principally employing laborers and construction
tradesmen, who becomes subject to this law on January 1, 1985
and thereafter. For purposes of this clause, the state's
five-year benefit cost rate shall be computed annually and shall
be derived by dividing the total dollar amount of benefits paid
to claimants under this law during the 60 consecutive calendar
months immediately preceding July 1, 1984 and each year
thereafter by the total dollar amount of wages subject to
contributions under this law during the same period. The rate
so determined shall be applicable for the calendar year next
succeeding each computation date.
Each construction employer described above who becomes
subject to this chapter shall pay contributions at a rate, not
exceeding 7.5 percent, that is the higher of (1) one percent, or
(2) the state's five-year benefit cost rate for construction
employers for the 60 consecutive month period immediately
preceding July 1, 1984 and each year thereafter. For purposes
of this clause, the state's five-year benefit cost rate shall be
computed annually and shall be derived by dividing the total
dollar amount of benefits paid to claimants of construction
employers, as determined by the commissioner, during the 60
consecutive calendar months immediately preceding July 1, 1984
and each year thereafter by the total dollar amount of wages of
construction employers subject to contributions during the same
period. The rate so determined shall be applicable for the
calendar year next succeeding each computation date.
Sec. 12. Minnesota Statutes 1982, section 268.06,
subdivision 5, is amended to read:
Subd. 5. [BENEFITS CHARGED AS AND WHEN PAID.] Benefits
paid to an individual pursuant to a valid claim shall be charged
against the account of his employer as and when paid, except
that benefits paid to an individual who earned base period wages
for part time employment shall not be charged to an employer
that is liable for payments in lieu of contributions or to the
experience rating account of an employer if the employer: (1)
provided weekly base period part time employment; (2) continues
to provide weekly employment equal to at least 90 percent of the
part time employment provided in the base period; and (3) is an
interested party because of the individual's loss of other
employment. The amount of benefits so chargeable against each
base period employer's account shall bear the same ratio to the
total benefits paid to an individual as the base period wage
credits of the individual earned from such employer bear to the
total amount of base period wage credits of the individual
earned from all his base period employers.
In making computations under this provision, the amount of
wage credits if not a multiple of $1, shall be computed to the
nearest multiple of $1.
An employer's account shall not be charged with respect to
benefits paid to any individual whose base period wage credits
include wages for previously uncovered services as defined in
section 268.07, subdivision 4 to the extent that the
unemployment compensation fund is reimbursed for such benefits
pursuant to section 121 of United States Public Law 94-566.
Benefits shall not be charged to an employer that is liable
for payments in lieu of contributions or to the experience
rating account of an employer for unemployment that is directly
caused by a major natural disaster declared by the president
pursuant to section 102 (2) of the Disaster Relief Act of 1974
(42 U.S.C. 5122 (2)), if the unemployed individual would have
been eligible for disaster unemployment assistance with respect
to that unemployment but for the individual's receipt of
unemployment insurance benefits.
Sec. 13. Minnesota Statutes 1982, section 268.06,
subdivision 20, is amended to read:
Subd. 20. [PROTEST, REVIEW, REDETERMINATION, APPEAL.] A
review of the charges made to an employer's account as set forth
in the notice of charges referred to in subdivision 18 and a
review of an employer's contribution rate as set forth in the
notice of his rate for any calendar year as provided in
subdivision 19, may be had by such employer if he files with the
commissioner a written protest setting forth his reasons
therefor within 30 days from the date of the mailing of the
notice of charges or contribution rate to him, which date shall
appear on such notice. Upon receipt of such protest the
commissioner shall refer the matter to an official designated by
him to review the charges appearing on such notice appealed from
or the computations of the protesting employer's rate, as the
case may be, to determine whether or not there has been any
clerical error or error in computation in either case, and he
shall either affirm or make a redetermination rectifying said
charges or rate as the case may be, and a notice of such
affirmation or redetermination shall immediately be mailed to
said employer. If the employer is not satisfied with such
affirmation or redetermination, he may appeal therefrom by
filing a notice thereof with the department within ten days
after the date of mailing appearing upon said redetermination.
Upon the receipt of such appeal the commissioner shall refer the
matter to a referee for a hearing and after opportunity for a
fair hearing, the referee shall affirm, modify or set aside the
original determination with its affirmation or the
redetermination, as appears just and proper. The commissioner
may at any time upon his own motion correct any clerical error
of the department resulting in charges against an employer's
account or any error in the computation of an employer's
contribution rate. The referee may order the consolidation of
two or more appeals whenever, in his judgment, such
consolidation will not be prejudicial to any interested party.
At any such hearing a written report of any employee of the
department which has been authenticated shall be admissible in
evidence. Appeals from the decision of the referee shall be
made in the same manner as appeals from the decision of an
appeal tribunal provided by section 268.10, subdivision 5.
Decisions of the commissioner made upon appeal from a decision
of the referee shall be reviewed by the supreme court upon
certiorari in accordance with the procedure outlined therefor
with respect to benefit decisions.
Sec. 14. Minnesota Statutes 1982, section 268.06,
subdivision 28, is amended to read:
Subd. 28. [PAYMENT TO FUND BY NONPROFIT CORPORATION AND
ALLOCATION OF BENEFIT COSTS BY BASE PERIOD REIMBURSERS.] (1)
Benefits paid to employees of nonprofit organizations shall be
financed in accordance with the provisions of this subdivision.
For the purpose of this subdivision, a nonprofit organization is
an organization (or group of organizations) described in section
501(c) (3) of the United States internal revenue code which is
exempt from income tax under section 501(a) of such code. Any
nonprofit organization which, pursuant to section 268.04,
subdivision 10, clause (9) is, or becomes, subject to this law
on or after January 1, 1972, shall pay contributions under the
provisions of section 268.06, subdivision 1, unless it elects,
in accordance with this paragraph, to pay to the commissioner
for the unemployment fund an amount equal to the amount of
regular benefits and the state share of the extended benefits
charged, that is attributable to service in the employ of such
nonprofit organization, to individuals for weeks of unemployment
which begin during the effective period of such election.
(a) Any nonprofit organization which is, or becomes,
subject to this law on January 1, 1972, may elect to become
liable for payments in lieu of contributions for a period of not
less than two calendar years beginning with January 1, 1972;
provided it files with the commissioner a written notice of its
election within the 30 day period immediately following such
date.
(b) Any nonprofit organization which becomes subject to
this law after January 1, 1972, may elect to become liable for
payments in lieu of contributions for a period of not less than
two calendar years beginning with the date on which such
subjectivity begins by filing a written notice of its election
with the commissioner not later than 30 days immediately
following the date of the determination of such subjectivity.
(c) (b) Any nonprofit organization which makes an election
in accordance with clause (a) or clause (b) will continue to be
liable for payments in lieu of contributions until it files with
the commissioner a written notice terminating its election not
later than 30 days prior to the beginning of the calendar year
for which such termination shall first be effective.
(d) (c) Any nonprofit organization which has been paying
contributions under this law for a period subsequent to January
1, 1972, may change to a reimbursable basis by filing with the
commissioner not later than 30 days prior to the beginning of
any calendar year a written notice of election to become liable
for payments in lieu of contributions. Such election shall not
be terminable by the organization for that and the next year.
(e) (d) The commissioner may for good cause extend the
period within which a notice of election, or a notice of
termination, must be filed and may permit an election to be
retroactive but not any earlier than with respect to benefits
paid after December 31, 1971.
(f) (e) The commissioner, in accordance with such
regulations as he may prescribe, shall notify each nonprofit
organization of any determination which he may make of its
status as an employer and of the effective date of any election
which it makes and of any termination of such election. Such
determinations shall be final unless reviewed in accordance with
the provisions of section 268.12, subdivision 13.
(2) Payments in lieu of contributions shall be made at the
end of each calendar quarter, or at the end of any other period
as determined by the commissioner and become due on the last day
of the month next following the month in which the notice of
benefits charged is mailed to the employer. The commissioner
shall bill each nonprofit organization (or group of such
organizations) which has elected to make payments in lieu of
contributions for an amount equal to the full amount of regular
benefits plus one-half of the amount of extended benefits
charged during such quarter or other prescribed period that is
attributable to service in the employ of such organization.
(3) Past due payments of amounts in lieu of contributions
shall be subject to the same interest charges and collection
procedures that apply to past due contributions under sections
268.16 and 268.161.
(4) If any nonprofit organization is delinquent in making
payments in lieu of contributions as required under this
subdivision, the commissioner may terminate such organization's
election to make payments in lieu of contributions as of the
beginning of the next taxable year, and such termination shall
be effective for that and the following taxable year.
Sec. 15. Minnesota Statutes 1982, section 268.06,
subdivision 29, is amended to read:
Subd. 29. [GROUP ACCOUNTS.] Two or more employers that
have become liable for payments in lieu of contributions may
file a joint application to the commissioner for the
establishment of a group account for the purpose of sharing the
cost of benefits paid that are attributable to service in the
employ of such employers. Each such application shall identify
and authorize a group representative to act as the group's agent
for the purposes of this subdivision. Upon his approval of the
application, the commissioner shall establish a group account
for such employers effective as of the beginning of the calendar
year in which the application is received by the commissioner
and shall notify the group's representative of the effective
date of the account. Such account shall remain in effect for
not less than two years and thereafter until terminated at the
discretion of the commissioner or upon application by the group
at least 30 days prior to the end of such two year period or 30
days prior to January 1 of any calendar year subsequent to such
two calendar years. Upon establishment of the account, Each
member of the group shall be jointly and severally liable for
payments in lieu of contributions in the amount that bears the
same ratio to the total benefits paid that are attributable to
service performed in the employ of all members of the group as
the total wage credits for service in employment by such member
bear to the total during the base period for service performed
in the employ of all members of the group for all benefits paid
based upon wage credits earned with a group member during the
period the group account was in effect. The commissioner shall
prescribe such regulations as he deems necessary with respect to
applications for establishment, maintenance and termination of
group accounts that are authorized by this subdivision, for
addition of new members to, and withdrawal of active members
from, such account, and for the determination of the amounts
that are payable under this subdivision by members of the group
and the time and manner of such payments.
Sec. 16. [268.061] [SURCHARGE; EMERGENCY INTEREST
REPAYMENT FUND.]
Subdivision 1. [AMOUNT.] Each employer, except those
making payments in lieu of contributions pursuant to section
268.06, subdivisions 25, 26, 27 and 28, shall pay an annual
surcharge of 10 percent of contributions paid or due and payable
for the calendar years 1982 and 1983. The commissioner shall
notify employers of the contributions upon which the surcharge
is based and the amount of surcharge payable no later than
August 1, 1983, and August 1, 1984. The surcharge for taxable
year 1982 shall be paid no later than August 31, 1983, and the
surcharge for taxable year 1983 shall be paid no later than
August 31, 1984. Payments due under this subdivision are
subject to the collection provisions of sections 268.16 and
268.161. The surcharges paid under this subdivision are not
contributions for the purposes of section 268.06, subdivision
6. The commissioner may temporarily reduce the amount of
surcharge imposed by this section when there are sufficient
funds raised by the surcharge to make the interest payment
required on federal funds advanced to the state under section
1202 of the Social Security Act.
Subd. 2. [EMERGENCY INTEREST REPAYMENT FUND, CREATION.] A
special fund to be known as the emergency interest repayment
fund is created in the state treasury. The special fund is
separate and distinct from any fund or account created for any
other purposes of sections 268.03 to 268.24. All collections
from the surcharge shall be deposited in the special fund. All
money in the special fund is appropriated to the commissioner to
pay interest accruing on funds advanced from the federal
government pursuant to section 1202 of the Social Security Act,
and shall not be used for any other obligation of the state. All
money in this fund shall be deposited, administered, and
disbursed in the same manner and under the same conditions and
requirements as are provided by law for the other special funds
in the state treasury, except that all interest or net income
resulting from the investment or deposit of money in the fund
shall accrue to the emergency fund for the purposes of the fund.
Subd. 3. [REPORT TO LEGISLATURE.] On January 1, 1984, and
on January 1, 1985, the commissioner shall report to the
legislature on the status of the outstanding funds advanced
pursuant to section 1202 of the Social Security Act, including
the interest charged on those funds. When all advanced funds
and the interest charged on those funds have been repaid to the
federal government, the commissioner shall recommend appropriate
action by the legislature relating to the termination of the
emergency interest repayment fund and the disposition of any
money still in the fund.
Sec. 17. Minnesota Statutes 1982, section 268.07,
subdivision 2, is amended to read:
Subd. 2. [WEEKLY BENEFIT AMOUNT AND DURATION.] If the
commissioner finds that an individual has earned 15, or more,
credit weeks within the base period of employment in insured
work with one or more employers, benefits shall be payable to
such individual during his benefit year as follows:
(1) Weekly benefit amount shall be equal to 60 percent of
the first $85, 40 percent of the next $85 and 50 percent of the
remainder of the average weekly wage of such individual,. The
amount so computed to the nearest if not a whole dollar shall be
rounded down to the next lower dollar amount. The maximum
weekly benefit amount of claims for benefits which establish a
benefit year subsequent to July 1, 1979 shall be 66 2/3 percent
of the average weekly wage, except as provided in clause (d).
On or before June 30 of each year the commissioner shall
determine the average weekly wage paid by employers subject to
sections 268.03 to 268.24 in the following manner:
(a) The sum of the total monthly employment reported for
the previous calendar year shall be divided by 12 to determine
the average monthly employment.
(b) The sum of the total wages reported for the previous
calendar year shall be divided by the average monthly employment
to determine the average annual wage.
(c) The average annual wage shall be divided by 52 to
determine the average weekly wage.
The maximum weekly benefit amount as so determined computed
to the nearest whole dollar shall apply to claims for benefits
which establish a benefit year which begins subsequent to June
30 of each year.
(d) The maximum weekly benefit amount for claims for
benefits which establish a benefit year subsequent to June 30,
1982, and prior to July 1, 1983, shall be $184.
The maximum weekly benefit amount for claims for benefits
which establish a benefit year subsequent to June 30, 1983, and
prior to July 1, 1984, shall be $191.
The maximum weekly benefit amount for claims for benefits
which establish a benefit year subsequent to June 30, 1984, and
prior to July 1, 1985, shall be $198.
(2) An individual's maximum amount of regular benefits
payable in a benefit year shall not exceed the lesser of (a) 26
times his weekly benefit amount or (b) 70 percent of the number
of credit weeks earned by such an individual computed to the
nearest whole week times his weekly benefit amount.
(3) Each eligible individual who is unemployed in any week
shall be paid with respect to such week a benefit in an amount
equal to his weekly benefit amount less that part of his
earnings, including holiday pay, payable to him with respect to
such week which is in excess of $25 or $200 for earnings from
service in the national guard or a United States military
reserve unit. Jury duty pay is not considered as earnings and
shall not be deducted from benefits paid. Such benefit, if not
a multiple of $1, whole dollar amount shall be computed rounded
down to the next higher multiple of $1 lower dollar amount.
(4) The provisions of clauses (1) and (2) of this
subdivision shall apply to claims for benefits which establish a
benefit year subsequent to June 30, 1982 1983.
Sec. 18. Minnesota Statutes 1982, section 268.07,
subdivision 3, is amended to read:
Subd. 3. [WHEN WAGE CREDITS ARE NOT AVAILABLE.] (1) No
individual may receive benefits in a benefit year unless,
subsequent to the beginning of the next preceding benefit year
during which he received benefits were received, he the
individual performed service in insured work as defined in
section 268.04, subdivision 17, and earned remuneration for such
the service in an amount equal to not less than the minimum wage
credits required to qualify for benefits.
(2) No employer who provided 90 percent or more of the wage
credits in a claimant's base period shall be charged for
benefits based upon earnings of such the claimant during a
subsequent base period unless he the employer has employed such
the claimant in any part of such the subsequent base period.
(3) Wages paid by an employing unit may not be used for
benefit purposes by any individual who (a) individually or
jointly with a spouse, parent or child owns or controls directly
or indirectly 25 percent or more interest in the employing unit;
or (b) is the spouse, parent or minor child of any individual
who owns or controls directly or indirectly 25 percent or more
interest in the employing unit; and (c) is not permanently
separated from employment.
This clause shall be is effective when the individual has
been paid four times the individual's weekly benefit amount in
the current benefit year.
(4) Wages paid by an employing unit may not be used for
benefit purposes during a benefit year commencing after October
1, 1982, if the total amount of wage credits in the base period
equal or exceed three times the average annual wage, as
determined in subdivision 2, in the second year preceding the
calendar year in which the individual's valid claim was
established.
(5) (4) Wages paid in seasonal employment, as defined in
subdivision 2a, are not available for benefit purposes during
weeks in which there is no seasonal employment available with
the employer.
Sec. 19. Minnesota Statutes 1982, section 268.071,
subdivision 3, is amended to read:
Subd. 3. [ELIGIBILITY REQUIREMENTS FOR EXTENDED BENEFITS.]
An individual shall be eligible to receive extended benefits
with respect to any week of unemployment in his eligibility
period only if the commissioner finds that with respect to such
week:
(1) He is an "exhaustee" as defined in subdivision 1,
clause (9);
(2) He has satisfied the requirements of this law for the
receipt of regular benefits that are applicable to individuals
claiming extended benefits, including not being subject to a
disqualification for the receipt of benefits, except that an
individual disqualified for benefits pursuant to section 268.09,
subdivision 1, clause (6) is not eligible for extended benefits
unless the individual has, subsequent to the disciplinary
suspension, earned at least four times his or her weekly
extended benefit amount; and
(3) He has, during his base period earned wage credits
available for benefit purposes of not less than 40 times his
weekly benefit amount as determined pursuant to section 268.07,
subdivision 2.
Sec. 20. Minnesota Statutes 1982, section 268.08,
subdivision 1, is amended to read:
Subdivision 1. [ELIGIBILITY CONDITIONS.] An individual
shall be eligible to receive benefits with respect to any week
of unemployment only if the commissioner finds that the
individual:
(1) He has registered for work at and thereafter has
continued to report to an employment office, or agent of such
the office, in accordance with such regulations as rules the
commissioner may prescribe adopt; except that the commissioner
may by regulation rule waive or alter either or both of the
requirements of this clause as to types of cases or situations
with respect to which he the commissioner finds that compliance
with such the requirements would be oppressive or would be
inconsistent with the purposes of sections 268.03 to 268.24;
(2) He has made a claim for benefits in accordance with
such regulations rules as the commissioner may prescribe adopt;
and
(3) He was able to work and was available for work, and was
actively seeking work, provided that. The individual's weekly
benefit amount shall be reduced one-fifth for each day such the
individual is unable to work or is unavailable for work;
provided further that. Benefits shall not be denied by
application of this clause to an individual who is in training
with the approval of the commissioner or in training approved
pursuant to section 236 of the Trade Act of 1974, as amended;
An individual shall be is deemed unavailable for work with
respect to any week which occurs in a period when he the
individual is a full-time student in attendance at, or on
vacation from an established school, college or university
unless a majority of the credit weeks earned in his the base
period were for services performed during weeks in which he the
student was attending school as a full-time student.
An individual serving as a juror shall be considered as
available for work and actively seeking work on each day the
individual is on jury duty.
(4) He has been unemployed for a waiting period of one week
during which he the individual is otherwise eligible for
benefits under sections 268.03 to 268.24, provided,. However,
payment for the waiting week shall be made to such the
individual after he the individual has qualified for and been
paid benefits for four weeks of unemployment in a benefit year
which period of unemployment is terminated because of such the
individual's return to employment. No individual shall be is
required to serve a waiting period of more than one week within
the one year period subsequent to filing a valid claim and
commencing with the week within which such the valid claim was
filed.
Sec. 21. Minnesota Statutes 1982, section 268.08,
subdivision 3, is amended to read:
Subd. 3. [NOT ELIGIBLE.] An individual shall not be
eligible to receive benefits for any week with respect to which
he is receiving, has received, or has filed a claim for
remuneration in an amount equal to or in excess of his weekly
benefit amount in the form of
(1) termination, severance, or dismissal payment or wages
in lieu of notice whether legally required or not; provided that
if a termination, severance, or dismissal payment is made in a
lump sum, the employer may allocate such lump sum payment over a
period equal to the lump sum divided by the employee's regular
pay while employed by such employer; provided any such payment
shall be applied for a period immediately following the last day
of work but not to exceed 28 calendar days; or
(2) vacation allowance paid directly by the employer for a
period of requested vacation, including vacation periods
assigned by the employer under the provisions of a collective
bargaining agreement, or uniform vacation shutdown; or
(3) compensation for loss of wages under the workers'
compensation law of this state or any other state or under a
similar law of the United States, or under other insurance or
fund established and paid for by the employer; or
(4) 50 percent of the pension payments from any fund,
annuity or insurance maintained or contributed to by a base
period employer including the armed forces of the United States
if the employee contributed to the fund, annuity or insurance
and all of the pension payments if the employee did not
contribute to the fund, annuity or insurance; or
(5) 50 percent of a primary insurance benefit under Title
II of the social security act as amended, or similar old age
benefits under any act of congress or this state or any other
state.
Provided, that if such remuneration is less than the
benefits which would otherwise be due under sections 268.03 to
268.24, he shall be entitled to receive for such week, if
otherwise eligible, benefits reduced by the amount of such
remuneration; provided, further, that if the appropriate agency
of such other state or the federal government finally determines
that he is not entitled to such benefits, this provision shall
not apply. If the computation of reduced benefits, required by
this subdivision, is not a whole dollar amount, it shall be
rounded down to the next lower dollar amount.
Sec. 22. Minnesota Statutes 1982, section 268.08, is
amended by adding a subdivision to read:
Subd. 3a. [RECEIPT OF BACK PAY.] Back pay received by an
individual with respect to any weeks of unemployment occurring
in the 104 weeks immediately preceding the payment of the back
pay shall be deducted from benefits paid for those weeks.
The amount deducted shall not reduce the benefits for which
the individual is otherwise eligible for that week below zero.
If the amount of benefits after the deduction of back pay is not
a whole dollar amount, it shall be rounded to the next lower
dollar.
If a deduction from back pay is paid to the fund for
benefits deductible under this subdivision, the payment: (a)
shall be applied to benefit overpayments resulting from the
payment of the back pay; (b) credited to the individual's
maximum amount of benefits payable in a benefit year which
includes the weeks of unemployment for which back pay was
deducted; and (c) benefit charges for those weeks shall be
removed from the employer's account as of the calendar quarter
in which the fund receives payment.
Payments to the fund under this subdivision are made by the
employer on behalf of the individual and are not voluntary
contributions under section 268.06, subdivision 24.
Sec. 23. Minnesota Statutes 1982, section 268.08,
subdivision 6, is amended to read:
Subd. 6. [SERVICES PERFORMED FOR STATE, MUNICIPALITIES OR
CHARITABLE CORPORATION.] Effective January 1, 1978 Benefits
based on service in employment defined in section 268.04,
subdivision 12, clauses (7), (8) and (9), shall be are payable
in the same amount, on the same terms and subject to the same
conditions as benefits payable on the basis of other service
subject to this chapter; except that
(a) With respect to weeks of unemployment after December
31, 1977, Benefits based upon service performed in an
instructional, research, or principal administrative capacity
for an institution of higher education or a public school, or a
nonpublic school or the Minnesota school for the deaf or
Minnesota braille and sight saving school, or in a public or
nonpublic school for an educational cooperative service unit
established under section 123.58, or any other educational
service agency as defined in section 3304 (a) (6) (A) (IV) of
the federal unemployment tax act, shall not be paid for any week
of unemployment commencing during the period between two
successive academic years or terms, or during a similar period
between two regular but not successive terms, or during a period
of paid sabbatical leave provided for in the individual's
contract, to any individual if the individual performs the
services in the first of the academic years or terms and if
there is a contract or a reasonable assurance that the
individual will perform services in any such capacity for any
institution of higher education, public school, nonpublic
school, state deaf and sight saving schools, an educational
cooperative service unit, or other educational service agency,
or developmental achievement center in the second of the
academic years or terms, and
(b) With respect to service performed after December 31,
1977 in any capacity, other than those capacities described in
clause (a) of this subdivision, for an institution of higher
education, or a public school or nonpublic school, or the
Minnesota school for the deaf or Minnesota braille and sight
saving school, or in a public or nonpublic school or for an
educational cooperative service unit established under section
123.58, or any other educational service agency as defined in
section 3304 (a) (6) (A) (IV) of the federal unemployment tax
act, benefits shall not be paid on the basis of these services
to any individual for any week which commences during a period
between two successive academic years or terms if the individual
performs the services in the first of the academic years or
terms and there is a reasonable assurance that the individual
will perform the services in the second of the academic years or
terms,. If benefits are denied to any individual under this
clause and the individual was not offered an opportunity to
perform the services in the second of the academic years or
term, the individual shall be entitled to a retroactive payment
of benefits for each week in which the individual filed a timely
claim for benefits, but the claim was denied solely because of
this clause; and
(c) With respect to any services described in clause
clauses (a) or (b), benefits payable on the basis of the
services shall not be paid to any individual for any week which
commences during an established and customary vacation period or
holiday recess if the individual performs the services in the
period immediately before the vacation period or holiday recess,
and there is a reasonable assurance that the individual will
perform the services in the period immediately following the
vacation period or holiday recess.
Sec. 24. Minnesota Statutes 1982, section 268.08, is
amended by adding a subdivision to read:
Subd. 9. [SERVICES FOR CERTAIN CONTRACTORS.] Benefits
based upon services performed for an employer are subject to
subdivision 6, clauses (b) and (c) if:
(a) the employment was provided pursuant to a contract
between the employer and a public or private school;
(b) the contract was for services which the public or
private school could have had performed by its employees;
(c) the employment was not as defined in section 268.04,
subdivision 12, clauses (7), (8), and (9); and
(d) the individual is notified in writing of the provisions
of this subdivision while employed in 1983 or prior to or at the
time of commencing the employment.
Sec. 25. [268.081] [SHARED WORK PLAN.]
The commissioner shall prepare a report on the
implementation of a shared work benefit program. The report
shall be given to the senate committee on employment and the
house committee on governmental operations no later than January
15, 1984. The report shall evaluate existing state laws
establishing shared work programs and shall contain
recommendations for statutory changes to implement a program in
Minnesota.
Sec. 26. Minnesota Statutes 1982, section 268.09,
subdivision 1, is amended to read:
Subdivision 1. [DISQUALIFYING CONDITIONS.] An individual
separated from employment under clauses (1), (2) and, or (3)
shall be disqualified for waiting week credit and benefits. For
separations under clauses (1) and (2), the disqualification
shall continue until 4 calendar weeks have elapsed following his
separation and he the individual has earned four times his
weekly benefit amount in insured work.
(1) [VOLUNTARY LEAVE.] The individual voluntarily and
without good cause attributable to the employer discontinued his
employment with such employer. For the purpose of this clause,
a separation from employment by reason of its temporary nature
or for inability to pass a test or for inability to meet
performance standards necessary for continuation of employment
or based solely on a provision in a collective bargaining
agreement by which an individual has vested discretionary
authority in another to act in behalf of the individual shall
not be deemed voluntary.
A separation shall be for good cause attributable to the
employer if it occurs as a consequence of sexual harassment.
Sexual harassment means unwelcome sexual advances, requests for
sexual favors, sexually motivated physical contact or other
conduct or communication of a sexual nature when: (1) the
employee's submission to such conduct or communication is made a
term or condition of the employment, (2) the employee's
submission to or rejection of such conduct or communication is
the basis for decisions affecting employment, or (3) such
conduct or communication has the purpose or effect of
substantially interfering with an individual's work performance
or creating an intimidating, hostile, or offensive working
environment and the employer knows or should know of the
existence of the harassment and fails to take timely and
appropriate action.
(2) [DISCHARGE FOR MISCONDUCT.] The individual was
discharged for misconduct, not amounting to gross misconduct
connected with his work or for misconduct which interferes with
and adversely affects his employment.
An individual shall not be disqualified under clauses (1)
and (2) of this subdivision under any of the following
conditions:
(a) The individual voluntarily discontinued his employment
to accept work offering substantially better conditions of work
or substantially higher wages or both;
(b) The individual is separated from employment due to his
own serious illness provided that such individual has made
reasonable efforts to retain his employment;
An individual who is separated from his employment due to
his illness of chemical dependency which has been professionally
diagnosed or for which he has voluntarily submitted to treatment
and who fails to make consistent efforts to maintain the
treatment he knows or has been professionally advised is
necessary to control that illness has not made reasonable
efforts to retain his employment.
(c) The individual accepts work from a base period employer
which involves a change in his location of work so that said
work would not have been deemed to be suitable work under the
provisions of subdivision 2 and within a period of 13 weeks from
the commencement of said work voluntarily discontinues his
employment due to reasons which would have caused the work to be
unsuitable under the provision of said subdivision 2;
(d) The individual left employment because he had reached
mandatory retirement age and was 65 years of age or older;
(e) The individual is terminated by his employer because he
gave notice of intention to terminate employment within 30
days. This exception shall be effective only through the
calendar week which includes the date of intended termination,
provided that this exception shall not result in the payment of
benefits for any week for which he receives his normal wage or
salary which is equal to or greater than his weekly benefit
amount;
(f) The individual is separated from employment due to the
completion of an apprenticeship program, or segment thereof,
approved pursuant to chapter 178;
(g) The individual voluntarily leaves part-time employment
with a base period employer while continuing full-time
employment if the individual attempted to return to part-time
employment after being separated from the full-time employment,
and if substantially the same part-time employment with the base
period employer was not available for the individual.
(3) [DISCHARGE FOR GROSS MISCONDUCT.] The individual was
discharged for gross misconduct connected with his work or gross
misconduct which interferes with and adversely affects his
employment and provided further that. For a separation under
this clause, the commissioner is empowered to shall impose a
total disqualification for the benefit year and to cancel part
or all of the wage credits from the last employer from whom he
was discharged for gross misconduct connected with his work.
For the purpose of this clause "gross misconduct" shall be
is defined as misconduct involving assault and battery or the
malicious destruction of property or the theft of money or
property of a value of $100 or more or arson or sabotage or
embezzlement or any other act, including theft, the commission
of which amounts to a felony or gross misdemeanor. For an
employee of a health care facility, gross misconduct also
includes misconduct involving an act of patient or resident
abuse as defined in section 626.557, subdivision 2, clause (d).
If an individual is convicted of a felony or gross
misdemeanor for the same act or acts of misconduct for which the
individual was discharged, the misconduct is conclusively
presumed to be gross misconduct if it was connected with his
work.
(4) [LIMITED OR NO CHARGE OF BENEFITS.] Benefits paid
subsequent to an individual's separation under any of the
foregoing clauses, excepting clauses (2)(c) and (2)(e), shall
not be used as a factor in determining the future contribution
rate of the employer from whose employment such individual
separated.
Benefits paid subsequent to an individual's failure,
without good cause, to accept an offer of suitable re-employment
shall not be used as a factor in determining the future
contribution rate of the employer whose offer of re-employment
he failed to accept or whose offer of re-employment was refused
solely due to the distance of the available work from his
residence, the individual's own serious illness or his other
employment at the time of the offer.
(5) An individual who was employed by an employer shall not
be disqualified for benefits under this subdivision for any acts
or omissions occurring after his separation from employment with
the employer.
(6) [DISCIPLINARY SUSPENSIONS.] An individual shall be
disqualified for waiting week credit and benefits for the
duration of any disciplinary suspension of 30 days or less
resulting from his own misconduct. Disciplinary suspensions of
more than 30 days shall constitute a discharge from employment.
Sec. 27. Minnesota Statutes 1982, section 268.09,
subdivision 2, is amended to read:
Subd. 2. [FAILURE TO APPLY FOR OR ACCEPT SUITABLE WORK OR
RE-EMPLOYMENT.] An individual shall be disqualified for waiting
week credit and benefits during the week of occurrence and until
four calendar weeks have elapsed following his refusal or
failure and he has earned four times his weekly benefit amount
in insured work if the commissioner finds that he has failed,
without good cause, either to apply for available, suitable work
of which he was advised by the employment office, or the
commissioner or to accept suitable work when offered him, or to
return to his customary self-employment (if any) when so
directed by the commissioner, or to accept suitable a base
period employer's offer of re-employment offered by a base
period employer offering substantially the same or better hourly
wages and conditions of work as were previously provided by that
employer in his base period.
(a) In determining whether or not any work is suitable for
an individual, the commissioner shall consider the degree of
risk involved to his health, safety, and morals, his physical
fitness and prior training, his experience, his length of
unemployment and prospects of securing local work in his
customary occupation, and the distance of the available work
from his residence.
(b) Notwithstanding any other provisions of sections 268.03
to 268.24, no work shall be deemed suitable, and benefits shall
not be denied thereunder to any otherwise eligible individual
for refusing to accept new work under any of the following
conditions:
(1) if the position offered is vacant due directly to a
strike, lockout, or other labor dispute;
(2) if the wages, hours, or other conditions of the work
offered are substantially less favorable to the individual than
those prevailing for similar work in the locality;
(3) if as a condition of being employed the individual
would be required to join a union or to resign from or refrain
from joining any bona fide labor organization;
(4) if the individual is in training with the approval of
the commissioner.
Sec. 28. Minnesota Statutes 1982, section 268.10,
subdivision 2, is amended to read:
Subd. 2. [EXAMINATION OF CLAIMS; DETERMINATION; APPEAL.]
(1) An official, designated by the commissioner, shall promptly
examine each claim for benefits filed to establish a benefit
year pursuant to this section, and, on the basis of the facts
found, shall determine whether or not such claims are valid, and
if valid, the weekly benefit amount payable, the maximum benefit
amount payable during the benefit year, and the date the benefit
year terminates, and this determination shall be known as the
determination of validity. Notice of the determination of
validity or any redetermination as provided for in clause (4)
shall be promptly given the claimant and all other interested
parties. If within the time limits for filing a protest an
interested party employer notifies the department that an
individual's weekly benefit amount as determined under section
268.07 exceeds the individual's weekly wages while employed by
the interested party, the earned with the employer, the
individual's weekly benefit amount shall be the lesser of the
amount derived by dividing the total base period wages earned in
all credit weeks by the number of base period credit weeks
computed to the nearest whole dollar or the amount as computed
under section 268.07 (1) the weekly benefit amount as determined
under section 268.07, or (2) the weekly benefit amount which is
50 percent of the quotient derived by dividing the total wage
credits earned in the individual's base period credit weeks from
all employers in insured work by the number of base period
credit weeks. If within the time specified for the filing of
wage and separation information as provided in subdivision 1,
clause (2), the employer makes an allegation of disqualification
or raises an issue of the chargeability to his account of
benefits that may be paid on such claim, if the claim is valid,
the issue thereby raised shall be promptly determined by said
official and a notification of the determination delivered or
mailed to the claimant and the employer. If an initial
determination or an appeal tribunal decision or the
commissioner's decision awards benefits, the benefits shall be
paid promptly regardless of the pendency of any appeal period or
any appeal or other proceeding which may thereafter be taken.
Except as provided in clause (6), if an appeal tribunal decision
modifies or reverses an initial determination awarding benefits,
or if a commissioner's decision modifies or reverses an appeal
decision awarding benefits, any benefits paid under the award of
such initial determination or appeal tribunal decision shall be
deemed erroneous payments.
(2) At any time within 15 24 months from the date of the
filing of a valid claim for benefits by an individual, an
official of the department or any interested party or parties
raises an issue of claimant's eligibility for benefits for any
week or weeks in accordance with the requirements of the
provisions of sections 268.03 to 268.24 or any official of the
department or any interested party or parties or benefit year
employer raises an issue of disqualification in accordance with
the regulations of the commissioner, a determination shall be
made thereon and a written notice thereof shall be given to the
claimant and such other interested party or parties or benefit
year employer. A determination issued under this clause which
denies benefits for weeks for which the claimant has previously
been paid benefits is an overpayment of those benefits subject
to section 268.18.
(3) A determination issued pursuant to clauses (1) and (2)
shall be final unless an appeal therefrom is filed by a claimant
or employer within 15 days after the mailing of the notice of
the determination to his last known address or personal delivery
of the notice. Every notice of determination shall contain a
prominent statement indicating in clear language the method of
appealing the determination, the time within which such an
appeal must be made, and the consequences of not appealing the
determination. A timely appeal from a determination of validity
in which the issue is whether an employing unit is an employer
within the meaning of this chapter or whether services performed
for an employer constitute employment within the meaning of this
chapter shall be subject to the provisions of section 268.12,
subdivision 13.
(4) At any time within 15 24 months from the date of the
filing of a valid claim for benefits by an individual, the
commissioner on his own motion may reconsider a determination of
validity made thereon and make a redetermination thereof if he
finds that an error in computation or identity or the crediting
of wage credits has occurred in connection therewith or if the
determination was made as a result of a nondisclosure or
misrepresentation of a material fact. A determination or
redetermination issued under this clause which denies benefits
for weeks for which the claimant has previously been paid
benefits is an overpayment of those benefits subject to section
268.18.
(5) However, the commissioner may in his discretion refer
any disputed claims directly to the appeal tribunal a referee
for hearing and determination in accordance with the procedure
outlined in subdivision 3 and the effect and status of such
determination in such a case shall be the same as though the
matter had been determined upon an appeal to the tribunal from
an initial determination.
(6) If an appeal tribunal a referee's decision affirms an
initial determination awarding benefits or the commissioner
affirms an appeal tribunal decision awarding benefits, the
decision, if finally reversed, shall not result in a
disqualification and benefits paid shall neither be deemed
overpaid nor shall they be considered in determining any
individual employer's future contribution rate under section
268.06.
Sec. 29. Minnesota Statutes 1982, section 268.10,
subdivision 3, is amended to read:
Subd. 3. [APPEAL; HEARING.] Unless such an appeal is
withdrawn, the date for hearing before an appeal tribunal a
referee shall be set and notice of such the hearing shall be
mailed to the last known address of all interested parties at
least ten days prior to the date set for such the hearing. Such
The hearing may be conducted by means of a conference telephone
call except that the appellant may request that the hearing be
conducted in person. The hearing shall be a trial de novo, and,
upon the evidence presented, the appeal tribunal referee shall
affirm, modify, or set aside the initial determination. The
commissioner may, by regulation, provide for the taking of
evidence or for the admission of sworn statements in case any
interested party is unable to be present at the hearing Where
the same or substantially similar evidence is relevant and
material to the issues in appeals by more than one individual or
in appeals by one individual with respect to two or more weeks
of unemployment, the appeals may be consolidated into one
hearing. The referee shall exclude from any consolidated
hearing the appeal of an individual who may be prejudiced
because of the consolidation. A referee shall not hear any
appeal in which the referee has a direct interest. The parties
shall be duly notified of such tribunal's the referee's decision
, together with its and the reason therefor, for it. which
shall be The referee's decision is deemed to be the final
decision unless a further appeal is initiated pursuant to
subdivision 5.
Sec. 30. Minnesota Statutes 1982, section 268.10,
subdivision 4, is amended to read:
Subd. 4. [APPEAL TRIBUNALS ESTABLISHED REFEREES.] In order
to assure the prompt disposition of all claims for benefits, the
commissioner shall establish appoint one or more impartial
appeal tribunals consisting of a salaried examiner who shall
serve as chairman, and two additional members, one of whom shall
be a representative of employers and the other of whom shall be
a representative of employees; each of the latter two members
shall serve at the pleasure of the commissioner and be paid a
fee of not more than $35 per day of active service on such
tribunal plus necessary expense referees. The commissioner
shall by regulation prescribe the rule adopt a procedure by
which such appeal tribunals shall referees hear and decide
disputed claims, subject to appeal to the commissioner. No
person shall participate on behalf of the commissioner in any
case in which he that person is an interested party. The
commissioner may designate alternates to serve in the absence or
disqualification of any member of any appeal tribunal a
referee. The chairman shall act alone in the absence or
disqualification of any other member and his alternates. In no
case shall a hearing before an appeal tribunal proceed unless
the chairman of such tribunal is present. There shall be no
charges, fees, transcript costs, or other cost imposed upon the
employee in prosecuting his an appeal. All decisions of such
tribunal, complete as to the names of members of such tribunal,
referees shall be made available to the public in accordance
with such regulations as rules the commissioner may prescribe,
except that names of interested parties may be deleted.
Sec. 31. Minnesota Statutes 1982, section 268.10,
subdivision 5, is amended to read:
Subd. 5. [REVIEW BY COMMISSIONER.] Within 30 days after
mailing or personal delivery of the notice of an appeal tribunal
a referee's decision to the claimant or employer at his the last
known address or personal delivery thereof, any such, a party
may appeal from such the decision and obtain a review thereof of
it by the commissioner or his duly an authorized representative,
and. The commissioner within the same period of time may on his
the commissioner's own motion order a review of any such a
decision. Upon review, the commissioner or his duly authorized
representative may affirm, modify, or set aside any finding of
fact or decision, or both, of the appeal tribunal referee on the
basis of the evidence previously submitted in such the case, or
remand such the matter back to the appeal tribunal referee for
the taking of additional evidence and new findings and decision
based on all of the evidence before it the referee. Notice of
all hearings on review shall be given to all interested parties
in the same manner as provided for by subdivision 3. The
commissioner or his authorized representative may remove to
himself or herself or transfer to another appeal tribunal
referee the proceedings on any claim pending before an appeal
tribunal a referee. Any proceedings so removed to the
commissioner or his authorized representative shall be heard
upon notice in accordance with the requirements of subdivision
3. The department of economic security shall mail to all
interested parties a notice of the filing of and a copy of the
findings and decision of the commissioner or his representative.
Sec. 32. Minnesota Statutes 1982, section 268.10,
subdivision 6, is amended to read:
Subd. 6. [COMMISSIONER.] The manner in which disputed
claims shall be are presented, the reports thereon required from
the claimant and from employers, and the conduct of hearings and
appeals shall be in accordance with the regulations prescribed
rules adopted by the commissioner for determining the rights of
the parties, whether or not such the regulations conform to
common law or statutory rules of evidence and other technical
rules of procedure. A full and complete record shall be kept of
all proceedings in connection with a disputed claim. All
testimony at any hearing shall be reduced to writing recorded,
but need not be transcribed unless the disputed claim is further
appealed.
Sec. 33. Minnesota Statutes 1982, section 268.10,
subdivision 7, is amended to read:
Subd. 7. [SUBPOENAED.] Witnesses, other than an interested
party or officers and employees of an interested party,
subpoenaed pursuant to this section shall be allowed fees at a
rate fixed by the commissioner the same as witness fees in a
civil action in district court. Such These fees shall be deemed
a part of the expense of administering sections 268.03 to 268.24.
Sec. 34. Minnesota Statutes 1982, section 268.10,
subdivision 9, is amended to read:
Subd. 9. [REPRESENTATION BY ATTORNEY.] In any proceeding
under these sections before an appeal tribunal a referee or the
commissioner, a party may be represented by an agent or
attorney, but no individual claiming benefits shall be charged
fees of any kind in any a proceeding thereunder by the appeal
tribunal before a referee, the commissioner, or his
commissioner's representatives, or by any court or any officers
thereof. Any individual claiming benefits in any proceedings
before the commissioner or his representatives or a court may be
represented by counsel or other duly authorized agent, except
that said agent in any court proceedings under these sections,
must be an attorney at law; but no such counsel shall either
charge or receive for such the services more than an amount
approved by the commissioner and no fees shall be collected from
an individual claiming benefits by any agent unless he is an
attorney at law.
Sec. 35. Minnesota Statutes 1982, section 268.11,
subdivision 2, is amended to read:
Subd. 2. [APPLICATION FOR TERMINATION OF COVERAGE.] Except
as otherwise provided in subdivision 3, any employing unit shall
cease to be an employer subject to sections 268.03 to 268.24 as
of the last day of the calendar quarter in which the employing
unit files with the commissioner a written application for
termination of coverage, if the commissioner finds the
employment in the preceding calendar year and during the current
calendar year, up to the last day of the calendar quarter in
which the application was received, was not sufficient to make
the employing unit liable under the provisions of section
268.04, subdivision 10. For the purpose of this subdivision the
two or more employing units mentioned in section 268.04,
subdivision 10, clause (2), (3), (4), or (5), or (6), shall be
treated as a single employing unit.
The commissioner shall waive the requirement for an
application for termination of coverage whenever it shall appear
that the employer was unable to comply with such requirement for
the reason that, at the time when he had qualified for release
from liability under the provisions of this chapter, he was in
good faith not aware of the fact that he was an employer subject
to the provisions of this chapter.
The commissioner at the commissioner's discretion may on
his or her own motion terminate the coverage of any employer who
no longer meets the definition of employer under section 268.04,
subdivision 10.
Sec. 36. Minnesota Statutes 1982, section 268.11,
subdivision 3, is amended to read:
Subd. 3. [ELECTION AGREEMENTS; TERMINATION POWERS OF
COMMISSIONER.] (1) An employing unit, not otherwise subject to
sections 268.03 to 268.24 as an employer, which files with the
commissioner its written election to become an employer subject
thereto for not less than two calendar years, shall, with the
written approval of such election by the commissioner, become an
employer subject hereto to the same extent as all other
employers, as of the date stated in such approval and cease to
be subject hereto as of the first day of January of any calendar
year subsequent to such two calendar years, only, if at least 30
days prior to such first day of January, it has filed with the
commissioner a written notice to that effect;
(2) Any employing unit for which services that do not
constitute employment are performed, may file with the
commissioner a written election that all such service performed
by individuals in its employ in one or more distinct
establishments or places of business shall be deemed to
constitute employment for all the purposes of sections 268.03 to
268.24 for not less than two calendar years. Upon the written
approval of such election by the commissioner, such services
shall be deemed to constitute employment subject to these
sections from and after the date stated in such approval. Such
services shall cease to be deemed employment subject hereto as
of the first day of January of any calendar year subsequent to
such two calendar years only if at least 30 days prior to such
first day of January such employing unit has filed with the
commissioner a written notice to that effect.
(3) The commissioner in his discretion may on his own
motion must terminate any election agreement under this
subdivision upon 30 days notice to the employer, and he may also
in his discretion and on his own motion terminate the coverage
of any employer who has had less than 20 weeks of employment in
a calendar year if the employer fails to pay all contributions
due under section 268.06, subdivision 1, or reimburse the
unemployment fund in accordance with section 268.06,
subdivisions 25, 26, 27, and 28.
Sec. 37. Minnesota Statutes 1982, section 268.12,
subdivision 8, is amended to read:
Subd. 8. [RECORDS; REPORTS.] (1) Each employing unit shall
keep true and accurate work records for such periods of time and
containing such information as the commissioner may prescribe.
Such records shall be open to inspection, audit, and
verification, and be subject to being copied by any authorized
representative of the commissioner at any reasonable time and as
often as may be necessary. The commissioner, appeal referee,
chairman of an appeal tribunal, or any other duly authorized
representative of the commissioner, may require from any
employing unit any sworn or unsworn reports, with respect to
persons employed by it, which the commissioner, appeal referee,
chairman of an appeal tribunal, or any other duly authorized
representative of the commissioner deems necessary for the
effective administration of sections 268.03 to 268.24, provided
that quarterly contribution and wage report forms shall be made
to correspond wherever possible with the reports required from
employers under the federal insurance contributions act, so that
such state forms may be prepared as duplicates of such federal
forms, except that no employer shall be permitted to submit a
duplicate report which is not thoroughly legible include the
employee's name, social security number, and total wages paid to
the employee.
(2) The commissioner may cause to be made such summaries,
compilations, photographs, duplications, or reproductions of any
records, reports, or transcripts thereof as he may deem
advisable for the effective and economical preservation of the
information contained therein, and such summaries, compilations,
photographs, duplications or reproductions, duly authenticated,
shall be admissible in any proceeding under sections 268.03 to
268.24, if the original record or records would have been
admissible therein. Notwithstanding any restrictions contained
in section 16.02, except restrictions as to quantity, the
commissioner is hereby authorized to duplicate, on equipment
furnished by the federal government or purchased with funds
furnished for that purpose by the federal government, records,
reports, summaries, compilations, instructions, determinations,
or any other written matter pertaining to the administration of
the Minnesota Employment Services Law.
(3) Notwithstanding any inconsistent provisions elsewhere,
the commissioner may provide for the destruction or disposition
of any records, reports, transcripts, or reproductions thereof,
or other papers in his custody, which are more than two years
old, the preservation of which is no longer necessary for the
establishment of contribution liability or benefit rights or for
any purpose necessary to the proper administration of sections
268.03 to 268.24, including any required audit thereof,
provided, that the commissioner may provide for the destruction
or disposition of any record, report, or transcript, or other
paper in his custody which has been photographed, duplicated, or
reproduced in the manner provided in clause (2).
(4) Notwithstanding the provisions of the Minnesota State
Archives Act the commissioner shall with the approval of the
legislative auditor destroy all benefit checks and benefit check
authorization cards that are more than two years old and no
person shall make any demand, bring any suit or other proceeding
to recover from the state of Minnesota any sum alleged to be due
him on any claim for benefits after the expiration of two years
from the date of filing such claim.
Sec. 38. Minnesota Statutes 1982, section 268.12,
subdivision 9, is amended to read:
Subd. 9. [TESTIMONIAL POWERS.] (1) In the discharge of the
duties imposed by sections 268.03 to 268.24, the commissioner,
the chairman of the appeal tribunal, appeal referee, or any duly
authorized representative of the commissioner, shall have power
to administer oaths and affirmations, take depositions, certify
to official acts, and issue subpoenas to compel the attendance
of witnesses and the production of books, papers,
correspondence, memoranda, and other records deemed necessary as
evidence in connection with a disputed claim or the
administration of these sections;
(2) Witnesses, other than interested parties or officers
and employees of an employing unit which is an interested party,
subpoenaed pursuant to this subdivision or sections 268.03 to
268.24, shall be allowed fees at a fixed rate prescribed by
regulation by the commissioner the same as witness fees in civil
actions in district court, which fees need not be paid in
advance of the time of giving of testimony, and such fees of
witnesses so subpoenaed shall be deemed part of the expense of
administering these sections;
(3) In case of contumacy by, or refusal to obey, a subpoena
issued to any person, any court of this state within the
jurisdiction of which the inquiry is carried on or within the
jurisdiction of which such person guilty of contumacy or refusal
to obey is found or resides or transacts business, upon
application by the commissioner, chairman of an appeal tribunal,
or referee, or any duly authorized representative of the
commissioner, shall have jurisdiction to issue to such person an
order requiring such person to appear before the commissioner,
the chairman of an appeal tribunal, referee, or any duly
authorized representative of the commissioner, there to produce
evidence if so ordered or there to give testimony relative to
the matter under investigation or in question; and any failure
to obey such order of the court may be punished by the court as
a contempt thereof.
Sec. 39. Minnesota Statutes 1982, section 268.16,
subdivision 2, is amended to read:
Subd. 2. [REPORTS; DELINQUENCIES; PENALTIES.] (1) Any
employer who knowingly fails to make and submit to the
department of economic security any report of wages paid by or
due from him for insured work in the manner and at the time such
report is required by regulations prescribed by the commissioner
shall pay to the department of economic security for the
contingent account a penalty in the amount of one and one-half
percent of contributions accrued during the period for which
such report is required, for each month from and after such date
until such report is properly made and submitted to the
department of economic security. In no case shall the amount of
the penalty imposed hereby be less than $5 per month. The
maximum penalty imposed hereby shall be $25 or the amount
determined at the rate of one and one-half percent per month,
whichever is greater. Any employing unit which fails to make
and submit to the commissioner any report, other than one of
wages paid or payable for insured work, as and when required by
the regulations of the commissioner, shall be subject to a
penalty in the sum of $10 payable to the department of economic
security for the contingent account. All such penalties shall
be in addition to interest and any other penalties provided for
by sections 268.03 to 268.24 and shall be collected by civil
action as hereinafter provided as provided by section 268.161.
(2) If any employing unit required by sections 268.03 to
268.24 to make and submit contribution reports shall fail to do
so within the time prescribed by these sections or by
regulations under the authority thereof, or shall make, wilfully
or otherwise, an incorrect, false or fraudulent contribution
report, he shall, on the written demand of the commissioner,
make such contribution report, or corrected report, within ten
days after the mailing of such written demand and at the same
time pay the whole contribution, or additional contribution, due
on the basis thereof. If such employer shall fail within that
time to make such report, or corrected report, the commissioner
shall make for him a report, or corrected report, from his own
knowledge and from such information as he can obtain through
testimony, or otherwise, and assess a contribution on the basis
thereof, which contribution, plus penalties and interest which
thereafter accrued (less any payments theretofore made) shall be
paid within ten days after the commissioner has mailed to such
employer a written notice of the amount thereof and demand for
its payment. Any such contribution report or assessment made by
the commissioner on account of the failure of the employer to
make a report or corrected report shall be prima facie correct
and valid, and the employer shall have the burden of
establishing its incorrectness or invalidity in any action or
proceeding in respect thereto. Whenever such delinquent
employer shall file a report or corrected report, the
commissioner may, if he finds it substantially correct,
substitute it for the commissioner's report. If an employer has
failed to submit any report of wages paid, or has filed an
incorrect report, and the commissioner finds that such
noncompliance with the terms of sections 268.03 to 268.24 was
not wilful and that such employer was free from fraudulent
intent, the commissioner shall limit the charge against such
employer to the period of the year in which such condition has
been found to exist and for the preceding calendar year.
Sec. 40. Minnesota Statutes 1982, section 268.161,
subdivision 1, is amended to read:
Subdivision 1. [LIEN.] Any contributions or reimbursements
due under sections 268.03 to 268.24 and interest and penalties
imposed with respect thereto, shall become a lien upon all the
property, both real and personal, of the person liable therefor,
within this state, both real and personal, of the person liable
therefor, except his homestead, from and after the filing by the
commissioner of a notice of lien in the office of the county
recorder of the county in which the property is situated, or in
the case of personal property belonging to an individual who is
not a resident of this state, or which is a corporation,
partnership, or other organization, in the office of the
secretary of state.
The lien created under this section shall become effective
with respect to personal property from and after the date of
filing by the commissioner of a notice of the lien describing
the property to which the lien attaches in the office of the
county recorder of the county in which the commissioner believes
the property is located at the time the lien is filed, and with
the secretary of state.
The lien imposed on personal property by this section, even
though properly filed, shall not be valid as against a purchaser
with respect to tangible personal property purchased at retail
or as against the personal property listed as exempt in sections
550.37, 550.38 and 550.39.
The lien imposed by this section shall be enforceable by
levy as authorized in subdivision 8 or by judgment lien
foreclosure as authorized in chapter 550.
Sec. 41. Minnesota Statutes 1982, section 268.161,
subdivision 4, is amended to read:
Subd. 4. [COLLECTION BY CIVIL ACTION.] (1) In addition to
all other collection methods authorized, if, after due notice,
any employer defaults in any payment of contributions or
interest due thereon or penalties for failure to file returns
and other reports as required by sections 268.03 to 268.24 or by
any rule of the commissioner, the amount due shall may be
collected by civil action in the name of the state of Minnesota,
and any money recovered shall be credited to the funds provided
for under those sections. Any employer adjudged in default
shall pay the costs of the action. Civil actions brought under
this section to collect contributions, interest due thereon, or
penalties from an employer shall be heard by the court at the
earliest possible date. No action for the collection of
contributions or interest thereon shall be commenced more than
four six years after the contributions have been reported by the
employer or determined by the commissioner to be due and
payable. In any action, judgment shall be entered against any
defendant in default for the relief demanded in the complaint
without proof, together with costs and disbursements, upon the
filing of an affidavit of default.
(2) Any employing unit which is not a resident of this
state and which exercises the privilege of having one or more
individuals perform service for it within this state, and any
resident employing unit which exercises that privilege and
thereafter removes from this state, shall be deemed thereby to
appoint the secretary of state as its agent and attorney for the
acceptance of process in any civil action under this
subdivision. In instituting an action against any employing
unit, the commissioner shall cause process or notice to be filed
with the secretary of state, together with a payment of a fee of
$15 and that service shall be sufficient service upon the
employing unit, and shall be of the same force and validity as
if served upon it personally within this state. The
commissioner shall forthwith send notice of the service of
process or notice, together with a copy thereof, by certified
mail, return receipt requested, to the employing unit at its
last known address. The return receipt, the commissioner's
affidavit of compliance with the provisions of this section, and
a copy of the notice of service shall be appended to the
original of the process filed in the court in which the civil
action is pending.
Sec. 42. Minnesota Statutes 1982, section 268.161,
subdivision 5, is amended to read:
Subd. 5. [RIGHT OF SETOFF.] Upon certification by the
commissioner to the commissioner of finance or to any state
agency which disburses its own funds, that an employer has an
uncontested delinquent contribution or reimbursement liability
owed to the department, and that the state has purchased
personal services, supplies, contract services, or property from
said employer, the commissioner of finance or the state agency
shall apply to the delinquent contribution or reimbursement
liability funds sufficient to satisfy the unpaid liability from
funds appropriated for payment of said obligation of the state
or any of its agencies that are due and owing the employer. The
credit shall not be made against any funds exempt under section
550.37 or those funds owed the an individual employer who
receives assistance under chapter 256 or 256B.
All funds, whether general or dedicated, shall be subject
to setoff in the manner provided in this subdivision. Transfer
of funds in payment of the obligations of the state or any of
its agencies to an employer and any actions for the funds shall
be had against the commissioner on the issue of the contribution
or reimbursement liability. Nothing in this section shall be
construed to limit the previously existing right of the state or
any of its agencies to setoff.
Sec. 43. Minnesota Statutes 1982, section 268.161,
subdivision 7, is amended to read:
Subd. 7. [CONFESSION OF JUDGMENT.] (a) Any contribution
report or form that is required to be filed with the
commissioner concerning contributions or reimbursements due,
shall contain a written declaration that it is made under the
penalties of section 268.18, subdivision 3 for wilfully making a
false report and shall contain a confession of judgment for the
amount of the contribution or reimbursement shown due thereon to
the extent not timely paid together with any interest and
penalty due under this chapter.
(b) The commissioner may, within four six years after a
report or form is filed, notwithstanding section 541.09, enter
judgment on any confession of judgment contained in the
contribution report or form after 20 days notice served upon the
employer by mail at the address shown in the employer's report.
The judgment shall be entered by the clerk of court of any
county upon the filing of a photocopy or similar reproduction of
that part of the contribution report or form containing the
confession of judgment along with a statement of the
commissioner or his agent that the contribution or reimbursement
has not been paid.
Sec. 44. Minnesota Statutes 1982, section 268.161,
subdivision 8, is amended to read:
Subd. 8. [LEVY.] (a) If any contribution or reimbursement
payable to the department is not paid when due, the amount may
be collected by the commissioner, his duly authorized
representative, or by the sheriff of any county to whom the
commissioner has issued his warrant, who may levy upon all
property and rights of property of the person liable for the
contribution or reimbursement, (except that which is exempt from
execution pursuant to section 550.37), or property on which
there is a lien provided by subdivision 1 of this section. The
terms "contribution or reimbursement" shall include any penalty,
interest, and costs. The term "levy" includes the power of
distraint and seizure by any means. Before a levy is made or
warrant issued, notice and demand for payment of the amount due
shall be given to the person liable for the contribution or
reimbursement at least ten days prior to the levy or issuing of
a warrant.
(b) Upon the commissioner issuing a warrant, the sheriff
shall proceed within 60 days to levy upon the rights to property
of the employer within his county, except the homestead and
household goods of the employer and property of the employer not
liable to attachment, garnishment, or sale on any final process
issued from any court under the provisions of section 550.37,
and shall sell so much thereof as is required to satisfy the
contribution, reimbursement, interest, and penalties, together
with his costs. The sales shall, as to their manner, be
governed by the law applicable to sales of like property on
execution issued against property upon a judgment of a court of
record. The proceeds of the sales, less the sheriff's costs,
shall be turned over to the commissioner, who shall retain a
part thereof as is required to satisfy the contribution,
reimbursement, interest, penalties, and costs, and pay over any
balance to the employer.
(c) If the commissioner has reason to believe that
collection of the contribution or reimbursement is in jeopardy,
notice and demand for immediate payment of the amount may be
made by the commissioner. If the contribution or reimbursement
is not paid, the commissioner may proceed to collect by levy or
issue his warrant without regard to the ten day period provided
herein.
(d) In making the execution of the levy and in collecting
the contribution or reimbursement due, the commissioner shall
have all of the powers provided in chapter 550 and in any other
law for purposes of effecting an execution against property in
this state. The sale of property levied upon and the time and
manner of redemption therefrom shall be as provided in chapter
550. The seal of the court, subscribed by the clerk, as
provided in section 550.04, shall not be required. The levy for
collection of contributions or reimbursements may be made
whether or not the commissioner has commenced a legal action for
collection of the amount.
(e) Where a jeopardy assessment or any other assessment has
been made by the commissioner, the property seized for
collection of the contribution or reimbursement shall not be
sold until any determination of liability, rate or benefit
charges has become final. No sale shall be made unless the
contribution or reimbursement remain unpaid for a period of more
than 30 days after the determination becomes final. Seized
property may be sold at any time if:
(1) the employer consents in writing to the sale; or
(2) the commissioner determines that the property is
perishable or may become greatly reduced in price or value by
keeping, or that the property cannot be kept without great
expense.
(f) Where a levy has been made to collect contributions or
reimbursements pursuant to this subdivision and the property
seized is properly included in a formal proceeding commenced
under sections 524.3-401 to 524.3-505 and maintained under full
supervision of the court, the property shall not be sold until
the probate proceedings are completed or until the court so
orders.
(g) The property seized shall be returned by the
commissioner if the owner gives a surety bond equal to the
appraised value of his interest in the property, as determined
by the commissioner, or deposits with the commissioner security
in a form and amount as he deems necessary to insure payment of
the liability, but not more than twice the liability.
(h) Notwithstanding any other law to the contrary, if a
levy or sale pursuant to this section would irreparably injure
rights in property which the court determines to be superior to
rights of the state in the property, the district court may
grant an injunction to prohibit the enforcement of the levy or
to prohibit the sale.
(i) Any person who fails or refuses to surrender without
reasonable cause any property or rights to property subject to
levy upon demand by the commissioner shall be personally liable
to the department in an amount equal to the value of the
property or rights not so surrendered, but not exceeding the
amount of contribution or reimbursement for the collection of
which the levy has been made. Any amount recovered under this
subdivision shall be credited against the contribution or
reimbursement liability for the collection of which the levy was
made. The term "person" includes an officer or employee of a
corporation or a member or employee of a partnership who, as an
officer, employee, or member is under a duty to surrender the
property or rights to property or to discharge the obligation.
(j) Any action taken by the commissioner pursuant to this
subdivision shall not constitute an election by the department
to pursue a remedy to the exclusion of any other remedy.
(k) After the commissioner has seized the property of any
person, that person may, upon giving 48 hours notice to the
commissioner and to the court, bring a claim for equitable
relief before the district court for the release of the property
to the employer upon terms and conditions as the court may deem
equitable.
(l) Any person in possession of (or obligated with respect
to) property or rights to property subject to levy upon which a
levy has been made who, upon demand by the commissioner,
surrenders the property or rights to property or who pays a
liability under this subdivision shall be discharged from any
obligation or liability to the person liable for the payment of
the delinquent contribution or reimbursement with respect to the
property or rights to property so surrendered or paid.
(m) Notwithstanding any other provisions of law to the
contrary, the notice of any levy authorized by this section may
be served by certified or registered mail or by delivery by an
employee or agent of the department of economic security.
(n) It shall be lawful for the commissioner to release the
levy upon all or part of the property or rights to property
levied upon if the commissioner determines that the release will
facilitate the collection of the liability, but the release
shall not operate to prevent any subsequent levy. If the
commmissioner determines that property has been wrongfully
levied upon, it shall be lawful for the commissioner to return:
(1) the specific property levied upon, at any time; or
(2) an amount of money equal to the amount of money levied
upon, at any time before the expiration of nine months from the
date of levy.
(o) A levy by the commissioner made pursuant to the
provisions of this section upon an employer's funds on deposit
in a financial institution located in this state, shall have
priority over any unexercised right of setoff of the financial
institution to apply the levied funds toward the balance of an
outstanding loan or loans owed by the employer to the financial
institution. A claim by the financial institution that it
exercised its right to setoff prior to the levy by the
commissioner must be substantiated by evidence of the date of
the setoff, and shall be verified by the sworn statement of a
responsible corporate officer of the financial institution.
Furthermore, for purposes of determining the priority of any
levy made under this section, the levy shall be treated as if it
were an execution made pursuant to chapter 550.
Sec. 45. Minnesota Statutes 1982, section 268.18,
subdivision 1, is amended to read:
Subdivision 1. [ERRONEOUS PAYMENTS.] Any claimant for
benefits who, by reason of his own mistake or through the error
of any individual engaged in the administration of sections
268.03 to 268.24 or because of a determination or
redetermination issued pursuant to section 268.10, subdivision
2, has received any sum as benefits to which he was not entitled
under these sections, shall promptly return such benefits in
cash to the nearest office of the Minnesota department of
economic security. If such claimant fails to return such
benefits, the department of economic security shall, as soon as
it discovers such erroneous payment, determine the amount
thereof and notify said individual to return the same. Unless
the claimant files a written appeal with the department of
economic security within 15 days after the mailing of the notice
of determination to his last known address or personal delivery
of the notice, the determination shall become final. If the
claimant files an appeal with the department in writing within
the time aforesaid the matter shall be set for hearing before an
appeal tribunal a referee of the department and heard as other
benefit matters are heard in accordance with section 268.10 with
the same rights of review as outlined for benefit cases in that
section. The commissioner of the department of economic
security is hereby authorized to deduct from any future benefits
payable to the claimant under these sections in either the
current or any subsequent benefit year an amount equivalent to
the overpayment determined or the overpayment may be collected
without interest by civil action in the name of the
commissioner. If a claimant has been overpaid benefits under
the law of another state and that state certifies to the
department the facts involved and that the individual is liable
under its law to repay the benefits and requests the department
to recover the overpayment, the commissioner is authorized to
deduct from future benefits payable to the claimant in either
the current or any subsequent benefit year an amount equivalent
to the amount of overpayment determined by that state. Benefits
paid for weeks more than three years prior to the discovery of
error are not erroneous payments.
Sec. 46. Minnesota Statutes 1982, section 268.18,
subdivision 2, is amended to read:
Subd. 2. [FRAUD.] Any claimant who files a claim for or
receives benefits by knowingly and wilfully misrepresenting or
misstating any material fact or by knowingly and wilfully
failing to disclose any material fact which would make him
ineligible for benefits under sections 268.03 to 268.24 is
guilty of fraud. After the discovery of facts by the
commissioner indicating fraud in claiming or obtaining benefits
under sections 268.03 to 268.24, he is hereby authorized to make
a determination that the claimant was ineligible for each week
with reference to which benefits were claimed or obtained by
fraud for the amount as was in excess of what the claimant would
have been entitled to had he not made the fraudulent statements
or failed to disclose any material facts. The commissioner also
may disqualify an individual from benefits for one to 52 weeks
in which the claimant is otherwise eligible for benefits
following the week in which the fraud was determined. A
disqualification imposed for fraud shall not be removed by
subsequent insured work or the expiration of a benefit year but
shall not apply to any week more than 104 weeks after the week
in which the fraud was determined. Said The claimant shall
within 20 days from the date of mailing the notice of said
determination to him promptly repay in cash to the department of
economic security any benefits so fraudulently obtained. Unless
the claimant files a written appeal with the department of
economic security within 15 days after the mailing of the notice
of determination to his last known address or personal delivery
of the notice. The determination shall become final. If the
claimant shall appeal appeals from such the determination within
the time above specified said the matter shall be referred to an
appeal tribunal a referee for a hearing as in other benefit
cases and thereafter the procedure for review shall be the same
as set forth in section 268.10. The commissioner is hereby
authorized to deduct from future benefits payable to the
claimant in either the current or any subsequent benefit year an
amount equivalent to the amount of overpayment determined or the
overpayment may be collected without interest by civil action in
the name of the commissioner. If a claimant has been overpaid
benefits under the law of another state and that state certifies
to the department the facts involved and that the individual is
liable to repay the benefits and requests the department to
recover the overpayment, the commissioner is authorized to
deduct from future benefits payable to the claimant in either
the current or any subsequent benefit year an amount equivalent
to the amount of overpayment determined by that state. A
determination of fraud may be made at any time.
Sec. 47. [PERSONNEL NAME CHANGE.]
Those individuals serving as salaried examiners of an
appeal tribunal shall be referees as of the effective date of
section 30 without change in the terms and conditions of their
employment. They have the same authority to decide matters
pending before them as did an appeal tribunal chairman.
Sec. 48. [REPEALER.]
Minnesota Statutes 1982, section 268.06, subdivision 32 is
repealed.
Sec. 49. [EFFECTIVE DATE.]
Section 19 is effective retroactively to July 4, 1982.
Section 18 is effective retroactively to October 1, 1982. Any
wage credits disallowed for benefit purposes due to the
operation of the stricken clause (4) shall be reinstated and
eligibility for regular benefits shall be extended from October
1, 1982, until the claimant is reemployed or the final approval
of this act whichever is earlier. Section 2 is effective
retroactively to January 1, 1983. Sections 3, 4, 5, 6, 7, 8, 9,
10, 11, 12, 14, 15, 16, 17, 20, 21, 22, 23, 24, 26, 27, 28, 32,
35, 36, 39, 40, 41, 42, 43, 44, and 48 are effective the day
following final enactment. Sections 1, 13, 25, 28, 30, 31, 33,
34, 37, 38, 45, 46, and 47 are effective August 1, 1983.
Approved June 14, 1983
Official Publication of the State of Minnesota
Revisor of Statutes