Today's Law As Amended


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AB-1441 Unemployment compensation: employers: contribution rates.(2019-2020)



As Amends the Law Today


SECTION 1.

 Section 977 of the Unemployment Insurance Code is amended to read:

977.
 (a) Except as provided in subdivision (c),  subdivisions (c) and (d),  if, as of the computation date, the employer’s net balance of reserve equals or exceeds that percentage of his or her  their  average base payroll which that  appears on any line in column 1 of the following table, but is less than that percentage of his or her  their  average base payroll which that  appears on the same line in column 2 of that table, his or her  their  contribution rate shall be the figure appearing on that same line in the appropriate schedule, as defined in subdivision (b), which shall be a percentage of the wages specified in Section 930.
 Reserve Ratio
Column  Column
Contribution Rate
Schedules
Line
1  2
AA
A
B
C
D
E
F
01
02
03
04
05
06
07
08
09
10
less than –20
–20 to –18
–18 to –16
–16 to –14
–14 to –12
–12 to –11
–11 to –10
–10 to –09
–09 to –08
–08 to –07
5.4
5.2
5.1
5.0
4.9
4.8
4.7
4.6
4.5
4.4
5.4
5.3
5.2
5.1
5.0
4.9
4.8
4.7
4.6
4.5
5.4
5.4
5.4
5.3
5.3
5.2
5.1
5.1
4.9
4.8
5.4
5.4
5.4
5.4
5.4
5.4
5.3
5.3
5.2
5.1
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.3
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
5.4
11
12
13
14
15
–07 to –06
–06 to –05
–05 to –04
–04 to –03
–03 to –02
4.3
4.2
4.1
4.0
3.9
4.4
4.3
4.2
4.1
4.0
4.7
4.6
4.5
4.4
4.3
5.0
4.9
4.8
4.7
4.6
5.3
5.2
5.1
5.0
4.9
5.4
5.4
5.3
5.3
5.2
5.4
5.4
5.4
5.4
5.4
16
17
18
19
20
–02 to –01
–01 to 00
 00 to 01
 01 to 02
 02 to 03
3.8
3.7
3.4
3.2
3.0
3.9
3.8
3.6
3.4
3.2
4.2
4.1
3.9
3.7
3.5
4.5
4.4
4.2
4.0
3.8
4.8
4.7
4.5
4.3
4.1
5.1
5.0
4.8
4.6
4.4
5.4
5.4
5.1
4.9
4.7
21
22
23
24
25
 03 to 04
 04 to 05
 05 to 06
 06 to 07
 07 to 08
2.8
2.6
2.4
2.2
2.0
3.0
2.8
2.6
2.4
2.2
3.3
3.1
2.9
2.7
2.5
3.6
3.4
3.2
3.0
2.8
3.9
3.7
3.5
3.3
3.1
4.2
4.0
3.8
3.6
3.4
4.5
4.3
4.1
3.9
3.7
26
27
28
29
30
 08 to 09
 09 to 10
 10 to 11
 11 to 12
 12 to 13
1.8
1.6
1.4
1.2
1.0
2.0
1.8
1.6
1.4
1.2
2.3
2.1
1.9
1.7
1.5
2.6
2.4
2.2
2.0
1.8
2.9
2.7
2.5
2.3
2.1
3.2
3.0
2.8
2.6
2.4
3.5
3.3
3.1
2.9
2.7
31
32
33
34
 13 to 14
 14 to 15
 15 to 16
 16 to 17
0.8
0.7
0.6
0.5
1.0
0.9
0.8
0.7
1.3
1.1
1.0
0.9
1.6
1.4
1.2
1.1
1.9
1.7
1.5
1.3
2.2
2.0
1.8
1.6
2.5
2.3
2.1
1.9
35
36
37
38
 17 to 18
 18 to 19
 19 to 20
 20 or more
0.4
0.3
0.2
0.1
0.6
0.5
0.4
0.3
0.8
0.7
0.6
0.5
1.0
0.9
0.8
0.7
1.2
1.1
1.0
0.9
1.4
1.3
1.2
1.1
1.7
1.5
1.4
1.3
(b) (1) Whenever the balance in the Unemployment Fund on September 30 of any calendar year is greater than 1.8 percent of the wages (as wages, as  defined by Section 940) 940,  in employment subject to this part paid during the 12-month period ending upon the computation date, employers shall pay into the Unemployment Fund contributions for the succeeding calendar year upon all wages with respect to employment at the rates specified in Schedule AA.
(2) Whenever the balance in the Unemployment Fund on September 30 of any calendar year is equal to or less than 1.8 percent and greater than 1.6 percent of the wages (as wages, as  defined by Section 940) 940,  in employment subject to this part paid during the 12-month period ending upon the computation date, employers shall pay into the Unemployment Fund contributions for the succeeding calendar year upon all wages with respect to employment at the rates specified in Schedule A.
(3) Whenever the balance in the Unemployment Fund on September 30 of any calendar year is equal to or less than 1.6 percent and greater than 1.4 percent of the wages (as wages, as  defined by Section 940) 940,  in employment subject to this part paid during the 12-month period ending upon the computation date, employers shall pay into the Unemployment Fund contributions for the succeeding calendar year upon all wages with respect to employment at the rates specified in Schedule B.
(4) Whenever the balance in the Unemployment Fund on September 30 of any calendar year is equal to or less than 1.4 percent and greater than 1.2 percent of the wages (as wages, as  defined by Section 940) 940,  in employment subject to this part paid during the 12-month period ending upon the computation date, employers shall pay into the Unemployment Fund contributions for the succeeding calendar year upon all wages with respect to employment at the rates specified in Schedule C.
(5) Whenever the balance in the Unemployment Fund on September 30 of any calendar year is equal to or less than 1.2 percent and greater than 1.0 percent of the wages (as wages, as  defined by Section 940) 940,  in employment subject to this part paid during the 12-month period ending upon the computation date, employers shall pay into the Unemployment Fund contributions for the succeeding calendar year upon all wages with respect to employment at the rates specified in Schedule D.
(6) Whenever the balance in the Unemployment Fund on September 30 of any calendar year is equal to or less than 1.0 percent and greater than or equal to 0.8 percent of the wages (as wages, as  defined by Section 940) 940,  in employment subject to this part paid during the 12-month period ending upon the computation date, employers shall pay into the Unemployment Fund contributions for the succeeding calendar year upon all wages with respect to employment at the rates specified in Schedule E.
(7) Whenever the balance in the Unemployment Fund on September 30 of any calendar year is less than 0.8 percent and greater than or equal to 0.6 percent of the wages (as wages, as  defined by Section 940) 940,  in employment subject to this part paid during the 12-month period ending upon the computation date, employers shall pay into the Unemployment Fund contributions for the succeeding calendar year upon all wages with respect to employment at the rates specified in Schedule F.
(c) For each rating period beginning on or after January 1, 2005, in which an employer obtains or attempts to obtain a more favorable rate of contributions under this section due to deliberate ignorance, reckless disregard, fraud, intent to evade, misrepresentation, or willful nondisclosure, the director shall assign the maximum contribution rate plus 2 percent for each applicable rating period, the current rating period, and the subsequent rating period.
(d) Notwithstanding subdivisions (a) and (b) and Section 977.5, for calendar years 2021 and 2022, except for employers subject to subdivision (c), the contribution rate of an employer shall not exceed the rate that was in effect for that employer in calendar year 2020.
SEC. 2.
 This act provides for a tax levy within the meaning of Article IV of the California Constitution and shall go into immediate effect.