1999 Summary of Legislation Published by the Iowa General Assembly -- Legislative Service Bureau

LABOR AND EMPLOYMENT

LABOR AND EMPLOYMENT LEGISLATION

SENATE FILE 70 - Unemployment Insurance - Employer Experience Transfer - Unemployment Trust Fund Expenditures(full text of act)

BY COMMITTEE ON BUSINESS AND LABOR RELATIONS. This Act concerns the operation of the state Unemployment Compensation Program.

The Act amends Code Section 96.7, subsection 2, to extend the length of time from 60 to 90 days for a successor employer, which purchases part of a business, to apply for a partial transfer of experience from the predecessor employer. This transfer of experience impacts the contribution rate assessed to the successor employer.

The Act further provides that, for the federal fiscal years beginning in 1999, 2000 and 2001, moneys credited to the Unemployment Trust Fund Account by the Secretary of the Treasury pursuant to Section 903 of the federal Social Security Act shall be used solely for the administration of the Unemployment Compensation Program in this state and can be used without a specific appropriation for that purpose. The Act notwithstands any contrary provision in Code Section 96.9, subsection 4, which otherwise governs the use and expenditure of these federal Social Security Act moneys. This provision conforms to the requirements of the federal Balanced Budget Act of 1997, which deals with these fund transfers.

SENATE FILE 115 - Drug and Alcohol Testing - Private Sector Employment(full text of act)

BY COMMITTEE ON BUSINESS AND LABOR RELATIONS. This Act makes changes governing alcohol testing of private sector employees and prospective employees.

The Act provides that an employer may conduct initial and confirmatory testing for alcohol pursuant to requirements established in the employer's written policy, which shall be consistent with the applicable regulations adopted as of January 1, 1999, by the U.S. Department of Transportation to govern alcohol testing required to be conducted pursuant to the federal Omnibus Transportation Employee Testing Act of 1991. Drug and alcohol testing requirements for confirmatory testing of a positive test result and sample collection, specifically the requirements for split samples and sample documentation, are made inapplicable to alcohol testing conducted as permitted by this Act.

The Act eliminates the requirement that an employer provide employees with lists of employee assistance program providers if the employer does not have such a program.

The Act also provides that an employer shall provide an employee with rehabilitation following a positive alcohol test in violation of the employer's policy if the employer has at least 50 employees, the employee has worked for the employer at least 12 of the previous 18 months, and the employee has not previously violated the employer's substance abuse policy. Prior law required rehabilitation for a first-time positive alcohol test only if the concentration level was lower than the level established in Code Section 321J.2 for operating while under the influence.

The Act takes effect April 26, 1999.

SENATE FILE 146 - Regulation of Worker and Public Safety and Protection(full text of act)

BY COMMITTEE ON BUSINESS AND LABOR RELATIONS. This Act makes the following changes to Code provisions administered by the Labor Services Division of the Department of Workforce Development:

• Code Section 84A.5, subsection 3: Adds, under the section of the Code that identifies the responsibilities of the Department of Workforce Development, references to two Code sections administered by the Labor Services Division: Code Section 30.7, relating to duties the Iowa Emergency Response Commission may allocate to the Department of Workforce Development, and Code Section 85.68, relating to cause of action authority by the Labor Commissioner when acting on behalf of the Second Injury Fund.
• Code Section 88.3, subsection 2; Code Section 90A.1, subsection 2; and Code Section 91.10: Allow the Labor Commissioner's designee to perform tasks related to the administration of the laws of this state relating to occupational health and safety (OSHA), boxing and wrestling, and the division.
• Code Section 88.8, subsections 1 and 2; Code Section 89A.10, subsection 2, unnumbered paragraph 1; and Code Section 91C.8, subsection 4: Allow the Labor Commissioner to provide notice of penalty or action under OSHA, elevator or contractor registration laws, in the same manner as an original notice or by certified mail. The Code currently permits only notice by certified mail.
• Code Chapter 89A, the Iowa State Elevator Code: Includes hydraulic elevators and wheelchair lifts in the definition of dormant facilities; updates the name change from the American National Standard Safety Code to the American Society of Mechanical Engineers Safety Code; moves language that allows the commissioner to adopt rules related to material lift elevators; exempts, if certain conditions are met, the commissioner from buying for the State Law Library a copy of elevator codes referenced in the administrative rules; strikes outdated language in the elevator law and allows the commissioner to electronically collect information, including information relating to facility registrations and inspection reports; and removes redundant language in the elevator law.
• Code Chapter 91, the Labor Services Division chapter: Strikes outdated and unnecessary language from the chapter, and requires the Director of the Department of Workforce Development to include in an annual report to the Governor information relating to duties transferred by agreement from the Iowa Emergency Response Commission to the Department of Workforce Development and information relating to cause of action authority by the Labor Commissioner when acting on behalf of the Second Injury Fund.
• Code Section 91A.3, subsection 7: Eliminates a requirement that farm labor contractors, who contract with persons engaged in the production of seed or feed grains, obtain a minimum bond of $20,000 on the person's behalf. The Act preserves the provision making both the producer and the farm labor contractor liable for the wages to employees.

HOUSE FILE 521 - Employment Agency Licensure and Operation(full text of act)

BY RANTS. This Act repeals Code Chapters 94 and 95, relating to the state free employment service and employment agencies. The Act creates new Code Chapter 94A, relating to the licensure and operation of employment agencies.

The Act defines an "employment agency" as a person who brings together those desiring to employ and those desiring employment and who receives a fee, directly or indirectly, from an employee for the service. As a result of this definition, the requirements of new Code Chapter 94A do not apply to an employment agency that receives a fee from the employer for its services. The Act requires an employment agency to be licensed by the Labor Commissioner and provides a general application process for an employment agency. The Act also provides recordkeeping requirements for an employment agency and provides notification requirements regarding fees to be paid by an employee.

The Act provides that a person shall not require an employee to pay a fee as a condition of application with an employer or an employment agency, an employee shall not be required to pay a fee to an employer as a condition of hire, and an employer shall not require an employee to reimburse the employer for a fee the employer paid to an employment agency when the employee was hired. The Act provides several prohibitions regarding the charging and division of fees, fraudulent promises and deception, and making a referral to an employer who has not applied to the employment agency.

The Act provides that the commissioner may examine the records, books and any papers relating to the conduct and operation of an employment agency. A person violating a provision of new Code Chapter 94A, or refusing the commissioner access to the records, books and papers of an employment agency, shall be guilty of a simple misdemeanor, and the commissioner shall assess a civil penalty against the person in an amount not greater than $2,000.

RELATED LEGISLATION

SENATE FILE 281 -- Workforce Development Department - Miscellaneous Provisions (Complete summary under STATE GOVERNMENT.)

This Act deals with the Department of Workforce Development by providing for the establishment of a Workforce Development Corporation, allowable expenses for members of the regional advisory boards to the Workforce Development Board, authority to charge fees for certain services provided by the department, and Iowa Conservation Corps employee rights.

SENATE FILE 465 -- Accelerated Career Education Program (Complete summary under ECONOMIC DEVELOPMENT.)

This Act provides that a community college may enter into an agreement with certain employers to establish an Accelerated Career Education Program. The Act takes effect May 24, 1999.

HOUSE FILE 242 -- Substantive Code Corrections (Complete summary under STATE GOVERNMENT.)

This Act contains statutory corrections that adjust language to reflect current practices, insert earlier omissions, delete redundancies and inaccuracies, delete temporary language, resolve inconsistencies and conflicts, update ongoing provisions, or remove ambiguities. Language in the Department of Economic Development chapter relating to coordination of the Job Training Partnership Program with the Self-Employment Program is deleted. The Job Training Partnership Program is no longer under the Department of Economic Development. The Workers' Compensation Liability Insurance chapter is amended to specify that financial statements are to be provided to and are subject to examination and rules of the Commissioner of Insurance. Child abuse record check provisions are amended to specify that if the Department of Human Services determines that an applicant for employment with a health care facility has a record of founded child abuse, the department is also to notify the licensee that an evaluation will be conducted to determine whether the person's employment is warranted.

HOUSE FILE 745 -- Appropriations - Economic Development (Complete summary under APPROPRIATIONS.)

This Act makes an appropriation from the General Fund of the State to the Department of Workforce Development for the administration of the department and for specific programs.

© 1998 Cornell College and League of Women Voters of Iowa

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Last update: SAT July 10 1999
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