Oregon SB 916 Change Notification
This act provides that an individual otherwise eligible for unemployment insurance benefits is not disqualified for any week the individual’s unemployment is due to a labor dispute in active progress at the individual’s place of employment.
Effective Date
Immediately
Oregon Senate Bill 916 Implication to Stakeholders
This change is bad news for employers who have union employees in this state. Historically, most states have disqualified claimants because there are two basic requirements claimants must meet in order to qualify for weekly benefits;
- Must be out of work through not fault of their own
- Must be able, available and actively seeking work (AAA)
If the individual is on strike, they are the moving party so they fail the first test. Then, if they are on a picket line, they fail the second test. The AAA test is a federal requirement by the U.S. Department of Labor, so how they plan to get past this is still in question.
Recommended Action
Employers with union employees in this state should stay aware of how this progresses as it could have a major impact on the amount of benefits charged to their tax accounts when a strike or trade dispute occurs.
