Emergency Benefits for Independent Workers Program Act
This bill establishes grants for states to provide workers in alternative work arrangements such as independent contractors, domestic workers, temporary workers, or self-employed individuals with portable, work-related benefits. Specifically, states must use such grants to address the state's administration of unemployment compensation and design and implement approaches to provide individuals in alternative work arrangements with benefits that may be maintained upon changing jobs including, but not limited to, paid leave, health insurance, and retirement savings options.
[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6746 Introduced in House (IH)]
<DOC>
116th CONGRESS
2d Session
H. R. 6746
To require the Secretary of Labor to establish a program for providing
portable benefits to eligible workers, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 8, 2020
Ms. DelBene (for herself, Mr. Foster, Mr. Peters, and Mr. Kilmer)
introduced the following bill; which was referred to the Committee on
Education and Labor
_______________________________________________________________________
A BILL
To require the Secretary of Labor to establish a program for providing
portable benefits to eligible workers, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Emergency Benefits for Independent
Workers Program Act''.
SEC. 2. FINDINGS.
Congress finds the following:
(1) Many independent workers and workers in alternative
work arrangements, constituting a sizable percentage of the
workforce in the United States, do not have access to benefits
and protections typically provided through traditional full-
time employment.
(2) Workers in alternative work arrangements include
independent contractors, domestic workers, temporary workers,
the self-employed, and others in contingent work arrangements.
(3) According to a 2017 survey by the Bureau of Labor
Statistics, workers in alternative work arrangements as their
primary form of occupation constitute 10.1 percent of the labor
force, roughly 16,000,000 Americans.
(4) In response to the global pandemic caused by the
coronavirus, Congress created the temporary Pandemic
Unemployment Assistance program under title II of division A of
the Coronavirus Aid, Relief, and Economic Security Act (Public
Law 116-136) to provide access to unemployment insurance to
previously ineligible workers, such as gig workers,
freelancers, and the self-employed.
(5) The people of the United States should not need an Act
of Congress to have access to essential benefits and
protections during the next economic downturn.
SEC. 3. DEFINITIONS.
In this Act:
(1) Coronavirus.--The term ``coronavirus'' has the meaning
given the term in section 506 of the Coronavirus Preparedness
and Response Supplemental Appropriations Act, 2020 (Public Law
116-123).
(2) Eligible work.--The term ``eligible work'' means any
work performed for pay that is not in connection with
traditional full-time employment.
(3) Eligible worker.--The term ``eligible worker'' means--
(A) any worker who is not a permanent full-time
employee of the parent entity hiring the worker for the
eligible work, including any independent contractor,
contract worker, self-employed individual, freelance
worker, or temporary worker; and
(B) any worker not traditionally eligible for
unemployment compensation under the law of the State,
including such a worker who has been affected by the
coronavirus.
(4) Portable benefits.--The term ``portable benefits''--
(A) means work-related benefits that are provided
to eligible workers for eligible work in a manner that
allows the worker to maintain the benefits upon
changing jobs; and
(B) includes--
(i) contributions on behalf of the eligible
worker made by a hiring entity (including
multiple entities, if applicable) in connection
with eligible work performed by the worker for
the entity, including entities that facilitate
the sale of such work;
(ii) contributions made by the eligible
worker;
(iii) contributions on behalf of the
eligible worker made by consumers;
(iv) contributions on behalf of the
eligible worker made by labor organizations or
worker advocate non-profit organizations; or
(v) a combination of 2 or more of the
contributions described in clauses (i), (ii),
(iii), and (iv).
(5) Secretary.--The term ``Secretary'' means the Secretary
of Labor.
(6) State.--The term ``State'' means each of the several
States of the United States, the District of Columbia, Puerto
Rico, American Samoa, the United States Virgin Islands, Guam,
the Northern Mariana Islands, and American Samoa.
(7) Worker advocate non-profit organization.--The term
``worker advocate non-profit organization'' means an entity--
(A) that is an organization described in section
501(c) of the Internal Revenue Code of 1986 and exempt
from tax under section 501(a) of such Code;
(B) for which all actions taken by the organization
regarding providing benefits to workers are for the
sole purpose of maximizing benefits to the workers;
(C) that is independent from all business entities,
organizations, corporations, or individuals that would
pursue any financial interest in conflict with that of
the workers; and
(D) that has a board of directors that holds a
fiduciary duty to the workers with respect to provision
of the benefits.
(8) Work-related benefits.--The term ``work-related
benefits'' means benefits of a type that are commonly provided
to traditional full-time employees, such as workers'
compensation, paid leave, skills training, disability coverage,
health insurance coverage, retirement saving, income security,
and short-term saving.
SEC. 4. ESTABLISHMENT OF PORTABLE BENEFITS PROGRAM.
(a) Emergency Portable Benefits Program Established.--
(1) In general.--By not later than June 1, 2020, the
Secretary, in consultation with the head of any other relevant
Federal agency, shall award grants through allotments described
in subsection (b), to States to--
(A) assist in the technology modernization
necessary for the expansion of unemployment insurance;
and
(B) support broad innovation and experimentation
with respect to portable benefits.
(2) Duration of grant.--A grant awarded under this
paragraph shall be for not less than a 2-year period.
(3) Partnerships authorized.--A State receiving an
allotment under this Act may carry out the activities under the
grant in partnership with a local government, labor
organization, or worker advocate non-profit organization.
(b) Formula.--Each State's allotment under this section shall bear
the same relation to the amount available to carry out this section as
the population of the State bears to the population of all States.
(c) State Requirements.--
(1) Plan and implementation requirements.--A State that
accepts an allotment under subsection (a) shall agree to--
(A) submit a plan for the use of the allotment, in
accordance with the requirements of subsection (d), by
not later than 90 days after receiving the allotment;
and
(B) fully implement the plan submitted under
subparagraph (A) by not later than 2 years after
receiving the allotment.
(2) Return of funds.--A State that does not wish to receive
an allotment under this Act or does not submit a plan described
in paragraph (1)(A) by the deadline required under such
paragraph shall return the State's allotment to the Secretary
of Labor.
(3) Use of returned funds.--The Secretary of Labor shall
use any funds returned under paragraph (2) to provide
supplemental allotments to the States that did submit a plan
under paragraph (1), in the same manner as under subsection
(b).
(d) Uses of Funds.--
(1) Use of funds to improve unemployment compensation
administration.--A State receiving an allotment under this
section shall use 50 percent of the amount of such allotment
for improving the administration systems of its unemployment
compensation law, including by taking such steps as may be
necessary to ensure adequate resources in periods of high
demand and by modernizing the information technology
infrastructure used for such administration.
(2) Use of funds to establish experimental portable benefit
programs.--A State receiving an allotment under this section
shall use 50 percent of the amount of such allotment for the
design, implementation, and evaluation of new models or
approaches for providing portable benefits to eligible workers,
including--
(A) innovative proposals for paid leave;
(B) providing a job seeker's allowance;
(C) qualified health plans offered on the Exchanges
established under section 1311 or 1321 of the Patient
Protection and Affordable Care Act (42 U.S.C. 18031);
(D) retirement-related benefits;
(E) the long-term expansion of eligibility for
unemployment compensation; and
(F) other programs specific to local economies in
the State.
SEC. 5. REPORT TO CONGRESS.
Not later than September 30, 2022, the Comptroller General of the
United States shall evaluate the outcome of the allotments provided
under section 4(a) and provide a report on such evaluation to Congress.
Such report shall include an assessment of the impact of such
allotments on the compensation of workers receiving portable benefits
under section 4.
SEC. 6. AUTHORIZATION OF APPROPRIATIONS.
(a) In General.--There is authorized to be appropriated to carry
out this section $500,000,000 for fiscal year 2021.
(b) Availability.--Amounts appropriated under subsection (a) shall
remain available until expended.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Education and Labor.
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