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§ 781.7. Trigger determination

Purdon's Pennsylvania Statutes and Consolidated StatutesTitle 43 P.S. LaborEffective: June 12, 2012

Purdon's Pennsylvania Statutes and Consolidated Statutes
Title 43 P.S. Labor (Refs & Annos)
Chapter 14. Unemployment Compensation Law (Refs & Annos)
Article III. Contributions by Employers and Employes (Refs & Annos)
Effective: June 12, 2012
43 P.S. § 781.7
§ 781.7. Trigger determination
Currentness
(a) On July 1 of every year, the secretary shall calculate the trigger percentage to be used in setting surcharge and contribution rates for the contributions required under sections 301.2, 301.4 and 301.51 and in setting the benefit reduction required under section 404(e)(4)2 for the following calendar year. The secretary shall:
(1) add the principal amount of outstanding bonds under Article XIV3 and the amount of outstanding advances under Title XII of the Social Security Act (58 Stat. 790, 42 U.S.C. § 1321 et seq.) and subtract that sum from the balance in the Unemployment Compensation Fund;
(2) determine the average of the benefit costs for the three immediately preceding fiscal years; and
(3) calculate the percentage that the amount determined under paragraph (1) represents of the average of the benefit costs.
(b) Surcharge and contribution rates shall be announced by the secretary on July 1 of every year in accordance with the following schedule:
(1) When the trigger percentage is one hundred fifty per centum (150%) or higher, the rate of the surcharge assessed under section 301.5 shall be a negative one and one-half per centum (-1.5%).
(2) When the trigger percentage is at least one hundred twenty-five per centum (125%), but less than one hundred fifty per centum (150%), there shall be no surcharge or contribution under section 301.2, 301.4 or 301.5.
(3) When the trigger percentage is at least one hundred ten per centum (110%), but less than one hundred twenty-five per centum (125%):
(i) the rate of the surcharge assessed under section 301.5 shall be four per centum (4%); and
(ii) the rate of contributions assessed under section 301.4 shall be five-hundredths of one per centum (0.05%).
(4) When the trigger percentage is at least ninety-five per centum (95%), but less than one hundred ten per centum (110%):
(i) the rate of the surcharge assessed under section 301.5 shall be eight per centum (8%); and
(ii) the rate of contributions assessed under section 301.4 shall be one-tenth of one per centum (0.1%).
(5) When the trigger percentage is at least seventy-five per centum (75%), but less than ninety-five per centum (95%):
(i) the rate of the surcharge assessed under section 301.5 shall be eight per centum (8%);
(ii) the rate of contributions assessed under section 301.4 shall be fifteen-hundredths of one per centum (0.15%); and
(iii) the rate of additional contributions assessed under section 301.2 shall be twenty-five hundredths of one per centum (0.25%).
(6) When the trigger percentage is at least fifty per centum (50%), but less than seventy-five per centum (75%):
(i) the rate of the surcharge assessed under section 301.5 shall be eight per centum (8%);
(ii) the rate of contributions assessed under section 301.4 shall be two-tenths of one per centum (0.2%); and
(iii) the rate of additional contribution assessed under section 301.2 shall be five-tenths of one per centum (0.5%).
(7) When the trigger percentage is less than fifty per centum (50%):
(i) the rate of the surcharge assessed under section 301.5 shall be eight per centum (8%);
(ii) the rate of additional contribution assessed under section 301.2 shall be seventy-five hundredths of one per centum (0.75%); and
(iii) the rate of contributions assessed under section 301.4 shall be two-tenths of one per centum (0.2%).
(c) Whenever the trigger percentage determined under subsection (a) is less than fifty per centum (50%), the secretary shall announce a reduction in the weekly benefit rate under section 404(e)(4).
(d) Whenever the trigger percentage is less than twenty-five per centum (25%), any balance remaining in the Unemployment Compensation Trigger Reserve Account shall be transferred to the Unemployment Compensation Trust Fund.

Credits

1936, Dec. 5, 2nd Sp.Sess., P.L. (1937) 2897, No. 1, § 301.7, added 1988, Oct. 19, P.L. 818, No. 109, § 2, effective Jan. 1, 1989. Amended 2012, June 12, P.L. 577, No. 60, § 5, imd. effective.

Footnotes

1
43 P.S. §§ 781.2, 781.4, 781.5.
2
43 P.S. § 804(e)(4).
3
43 P.S. § 917.1 et seq.
43 P.S. § 781.7, PA ST 43 P.S. § 781.7
Current through Act 10 of the 2024 Regular Session. Some statute sections may be more current, see credits for details.
End of Document