New Changes to Missouri's Unemployment Law
June 11, 2006
by Employment & Labor Law / Employee Benefits Group
Stinson Morrison Hecker LLP
Copyright © 2006
The Missouri legislature on May 12, 2006 passed a bill (H.B. 1456) that would make several changes to the state’s unemployment benefits law, including making it more difficult for workers who are fired for absenteeism or a positive drug test from receiving jobless pay. The bill also provides for enhanced unemployment benefits for veterans of the “war on terror,” and creates a new $25,000 penalty against employers who are found by a court of taking certain prohibited actions against such veterans. Highlights of the new law include the following:
- Absenteeism – The new law specifies that absenteeism or tardiness alone may constitute a “rebuttable presumption” of misconduct if the discharge was the result of the employer’s attendance policy and the employee was aware of the policy prior to being absent or tardy upon which the discharge was based.
- Positive Drug Test – Several changes were made to the law that will make it more difficult for a worker who tests positive for alcohol or drugs to receive unemployment benefits, including:
- Misconduct – An employer may require a pre-employment test for alcohol or controlled substance use as a condition of employment, and the test results are admissible in an unemployment hearing so long as the worker was informed of the test requirement prior to taking the test. A random, pre-employment, reasonable suspicion, or post-accident test result (conducted under this law) which is positive for alcohol or controlled substance use will be considered misconduct.
- Expands Ways to Notify Employees – The new law expands the ways by which an employer may notify employees that a positive test for alcohol or controlled substances may result in the suspension or termination of employment (to include a policy, public posting, handbook, collective bargaining agreement or other written notice provided to the employee).
- Impairment at Work Not Required – In determining whether misconduct connected with work has occurred, neither the State of Missouri, an agency of the state, nor any court of the State of Missouri shall require a finding of evidence of impairment of work performance. (The intent of the Missouri legislature was to reject and abrogate Baldor Electic Co. v. Reasoner, a 2001 Missouri Court of Appeals decision which required a finding of evidence of impairment in order to disqualify an employee who tested positive for drugs from receiving unemployment benefits).
- Maximum Weekly Benefit – The maximum weekly unemployment benefit in Missouri, which is presently $270 (for up to 26 weeks), will increase to $280 in 2007 and $320 in 2008.
- Maximum Weekly Benefit for "War on Terror" Veteran – Under the new law, "war on terror" veterans may receive up to $1,153.64 (adjusted annually) in weekly unemployment benefits for up to 26 weeks, and will not be considered to have voluntarily quit their employment if they are not offered the same wages, benefits, and similar work schedule upon their return to work.
- $25,000 Penalty Against Employer – Under a new provision, an employer who is found in any Missouri court (or a U.S. District Court located in Missouri) to have "terminated, demoted, or taken adverse employment action against a war on terror veteran due to his or her absence while deployed" will be subject to a $25,000 administrative penalty. The director of the Missouri Division of Employment Security must take judicial notice of judgments in suits brought under USERRA, and such judgment may be considered to have a res judicata effect on the director’s determination. The director is authorized to promulgate rules to enforce this provision.
- Who is a "War on Terror" Veteran? – A "war on terror" veteran is a person who serves or has served in the military and who: (1) is or was a member of the National Guard or a member of the United States Armed Forces Reserves unit; (2) was deployed as part of his or her military unit at any time after September 11, 2001, and such deployment caused the person to be unable to continue working for his or her employer; (3) was employed either part-time or full-time before deployment; and (4) was unemployed in his or her non-military employment either during or within 30 days after the completion of his or her deployment.
- Bottom Line - Missouri Gov. Matt Blunt ® is expected to sign the bill in June, and the new law will take effect on October 1, 2006.
Stinson Morrison Hecker LLP is one of the country's largest law firms with more than 335 attorneys in more than 45-industry-focused areas. If you would like more information regarding this summary, please contact one of our Employment & Labor Law and Employee Benefits attorneys.
Law at Work is designed to give general information and is not intended to be a comprehensive summary or to treat exhaustively the subjects and matters covered. The information appearing herein does not constitute legal advice or opinions. Such advice and opinions are provided only upon engagement with respect to specific factual situations. Nothing contained herein shall be considered as an admission in any matter or controversy.
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