ArkansasSB5982025 Regular SessionSenateWALLET

TO AMEND VARIOUS LAWS RELATED TO THE DIVISION OF WORKFORCE SERVICES; AND TO AMEND THE DEFINITION OF "EMPLOYEE" UNDER THE WORKERS' COMPENSATION LAW RESULTING FROM INITIATED ACT 4 OF 1948.

Sponsored By: Bruce Cozart (Republican), Jane English (Republican)

Enacted

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Bill Overview

Analyzed Economic Effects

6 provisions identified: 2 benefits, 3 costs, 1 mixed.

False unemployment claims require 20 working weeks

Claimants remain disqualified for intentionally lying about or hiding an important fact on an initial or renewed unemployment claim. To regain eligibility, they must complete 20 weeks of qualifying employment under Arkansas law. In each week, wages must be at least equal to the claimant’s weekly benefit amount.

New employee status rules for Arkansas workers

Arkansas uses the Empower Independent Contractors Act of 2019 factors to decide employee status under covered laws. These include workers’ compensation, wage discrimination, and workforce services laws. Employee status affects access to work-related protections and businesses’ duties toward workers. Arkansas Code § 11-1-204 uses federal worker-status factors as they existed on January 1, 2025.

Job-search relief rules for unemployment claimants

The Arkansas workforce director can set rules to reduce or remove job-search requirements for unemployment claimants. The law does not itself excuse any claimant from job searches. Relief depends on the eligibility criteria the director sets by rule.

Penalty relief rules for unemployment overpayments

The Arkansas workforce director can set eligibility rules for waiving penalties and interest when claimants settle unemployment overpayments. The law does not itself grant a waiver. This authority concerns penalties and interest, not forgiveness of the overpaid benefits.

Fewer laid-off workers can skip job searches

The short-layoff exemption from work registration and job searches now requires a planned recall within three weeks, not ten. You must expect to return to a full-time job. Your employer must intend to recall you within three weeks after your initial layoff date. Workers outside this shorter recall window no longer qualify for this exemption.

Workforce special fund supports fewer programs

The Division of Workforce Services cannot use its Special Fund to administer Temporary Assistance for Needy Families. The Arkansas Health and Opportunity for Me Act is also removed from eligible uses. The fund remains available to administer workforce services, workforce innovation and opportunity programs, and programs transferred under the division’s supervision. The director must find that spending is needed to properly administer an eligible program. This change does not itself alter household benefit eligibility.

Sponsors & Cosponsors

Sponsors

  • Bruce Cozart

    Republican • House

  • Jane English

    Republican • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 126 • No: 0

House vote • 4/14/2025

House Vote - Monday, April 14, 2025 7:43:08 PM

Yes: 91 • No: 0

Senate vote • 4/8/2025

Senate Vote - Tuesday, April 8, 2025 3:30:21 PM

Yes: 35 • No: 0

Actions Timeline

  1. Notification that SB598 is now Act 743

    4/18/2025Senate
  2. DELIVERED TO GOVERNOR.

    4/15/2025Senate
  3. Reported correctly enrolled and ordered delivered to the Governor.

    4/15/2025Senate
  4. ORDERED ENROLLED

    4/14/2025Senate
  5. Returned from the House as passed.

    4/14/2025Senate
  6. Returned to the Senate as passed.

    4/14/2025House
  7. Read the third time and passed and ordered transmitted to the Senate.

    4/14/2025House
  8. Returned by the Committee Do Pass

    4/10/2025House
  9. Read the first time, rules suspended, read the second time and referred to the Committee on PUBLIC HEALTH, WELFARE AND LABOR COMMITTEE- HOUSE

    4/8/2025House
  10. RECEIVED FROM THE SENATE

    4/8/2025House
  11. Ordered immediately transmitted to the House.

    4/8/2025Senate
  12. Read the third time and passed.

    4/8/2025Senate
  13. Returned by the Committee, with the recommendation that it Do Pass

    4/7/2025Senate
  14. Read first time, rules suspended, read second time, referred to PUBLIC HEALTH, WELFARE AND LABOR COMMITTEE - SENATE

    4/1/2025Senate
  15. Filed

    4/1/2025Senate

Bill Text

  • SB598 - Introduced

    4/1/2025

  • Act Version

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