Nov. 07, 2022

HARRISBURG – Rep.  Tim Twardzik (R-Schuylkill) is pleased to announce his legislation to fix the unfair Unemployment Compensation (UC) rate increases placed on small businesses closed during the pandemic shutdowns has been signed into law by Gov. Tom Wolf as Act 156 of 2022.

“During a House Majority Policy Committee hearing in my district, we heard testimony from a local restaurateur who was given a huge rate increase for his Unemployment Compensation insurance,” said Twardzik. “These rate increases are extremely damaging to employers already struggling to overcome the pandemic, and I am confident this law is going to give small business owners the much-needed relief they deserve.”

According to the Pennsylvania Department of Labor and Industry, around 2,700 Pennsylvania employers were assessed a UC tax increase based on two factors – one, they were forced into a prolonged pandemic-related shut down; and two, they had previously earned a lower, experience-based UC tax rate by avoiding layoffs over the years. 

“Businesses that were compelled to shut down during the pandemic should not receive a tax increase and it is particularly unjust that this policy impacts those employers with a history of avoiding layoffs,” Twardzik said. 

His bill was amended into legislation sponsored by Sen. Lisa Baker (R-20), which closes a loophole preventing spouses from collecting unemployment when their husband or wife is deployed. 

Act 156 of 2022 clarifies that a spouse’s move to follow their active-duty husband or wife will not be considered voluntary if it is determined that continued employment would be impractical or unreasonably difficult. Previously, the resignation could have been considered voluntary, and they may not have qualified for unemployment benefits.

Act 156 of 2022 takes effect immediately.

Rep. Tim Twardzik
123rd Legislative District
Pennsylvania House of Representatives

Media Contact: Katie Park
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