STAND. COM. REP. 3251

Honolulu, Hawaii

, 2004

RE: H.B. No. 1774

H.D. 2

S.D. 2

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 1774, H.D. 2, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO UNEMPLOYMENT BENEFITS,"

begs leave to report as follows:

The purpose of this measure is to grant an unemployed individual the full weekly benefit amount without any offset for wages paid in a week.

Furthermore, this bill authorizes use of the unemployment compensation trust fund, supplemented if possible by federal Reed Act funds, to pay for the unreduced benefits.

Your Committee finds that under current law, weekly unemployment benefits are reduced by that part of the wages payable to the individual with respect to that week that is in excess of $50. However, your Committee finds that the offset creates a disincentive for an individual to secure part-time work while continuing to seek full-time work. Removing this disincentive will encourage individuals to work part-time, which in turn will significantly improve their chances of returning to some form of full-time employment.

Your Committee has amended this measure by making technical nonsubstantive amendments for the purposes of clarity and style. Your Committee has also amended this measure by changing the effective date from July 1, 2004 to July 1, 2040.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1774, H.D. 2, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1774, H.D. 2, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

BRIAN T. TANIGUCHI, Chair