MaineLD 706132nd Maine Legislature (2025-2026)HouseWALLET

An Act Regarding the Laws Relating to Unemployment Insurance

Sponsored By: Marshall Archer (Democratic)

Signed by Governor

EMPLOYMENT SECURITYEMPLOYMENT SECURITY - UNEMPLOYMENT INSURANCE

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Bill Overview

Analyzed Economic Effects

9 provisions identified: 2 benefits, 0 costs, 7 mixed.

Extra unemployment weeks for dislocated workers

Dislocated workers in commissioner‑approved training can get extra unemployment after they use up other state or federal benefits. The law pays your most recent weekly benefit for each training week, up to 26 weeks. You qualify if you exhausted your benefit year within 30 months of enrolling. If you had fewer than 26 Trade Act weeks, you can get the difference. These payments come from the State General Fund and do not raise any employer’s rate.

Faster unemployment during short layoffs, emergencies

If your employer gives you a definite recall date, you can get benefits for up to six weeks near that date. You must stay able and available and keep contact; more than six weeks needs Department approval. During a declared state of emergency, people in temporary quarantine or laid off by a temporary closure are treated as eligible if they expect to return and stay in touch. The waiting week is waived for people dislocated or temporarily laid off by the emergency.

Fairer unemployment checks, appeals, and reemployment

If you fail the normal wage test, the Department recalculates using the last four completed quarters and gathers missing wage data. Wages used to qualify this way cannot be reused, and past payments are not overpayments unless you knowingly lied. Benefits cannot be denied for alien status unless there is a preponderance of evidence, and the same information is required from everyone. The agency cannot stop payments for an ID check without credible evidence of possible fraud. It must give clear notice, time, and document options. You have 30 days to appeal a decision, with one good‑cause extension up to 30 more days. The agency cannot redo payments more than one year after they were paid. If the Department refers you to reemployment services, you must take part or benefits stop until you do.

Tougher fraud penalties, fairer repayment rules

Fraud penalties are tougher: 50% of the improper amount for a first offense, 75% for a second, and 100% for a third. A first or second offense also blocks benefits for at least six months and up to one year; a third brings a longer disqualification. Using stolen identities is treated as a third offense. 15% of recovered overpayments goes to the fund. It is also fraud to ask someone else to lie or hide facts. When you repay, money goes first to penalties, then interest, then principal; offsets of future benefits can pay only principal. If the Department orders withholding, your employer withholds 10% of gross wages but cannot cut take‑home pay below 40 times the state minimum wage for a week.

New unemployment reporting for leased workers

Through December 31, 2025, employee‑leasing companies report and pay unemployment under their own account and rate. Starting January 1, 2026, they must file and pay under each client’s state employer ID and that client’s rate. Leasing firms must keep separate records and quarterly wage reports for each client. The law confirms that leasing‑company unemployment duties are governed by state section 1221‑A.

Some disability payments not counted as wages

Payments for sickness or accident disability, or related medical costs, that are made more than six months after you last worked for an employer are not counted as wages for unemployment law. This only applies when the payment is from the employer or a third party. It may lower the wages counted for benefits and employer unemployment records.

Old unemployment law sections repealed

The law repeals former unemployment sections 1192 and 1197 and removes paragraph B of section 1043(5). These repeals reorganize unemployment rules and cross‑references as part of adopting new eligibility section 1192‑A.

Tighter checks and cleanup at unemployment agency

Unemployment bureau staff who access federal tax information must have a federal background check no older than five years. The Commissioner continues to run the bureau and set operations, and some older rulemaking language is removed, including self‑employment assistance program rules.

Update to interstate unemployment reimbursements

The state reimburses another state, the Virgin Islands, or Canada for benefits only when wages moved there are less than the insured‑work amount in section 1192‑A(2)(F). This updates how interstate reimbursements are decided.

Sponsors & Cosponsors

Sponsor

  • Marshall Archer

    Democratic • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

No roll call votes available for this bill.

Actions Timeline

  1. Signed by Governor, ACTPUB Chapter 235

    6/10/2025
  2. PASSED TO BE ENACTED, in concurrence.

    6/3/2025Senate
  3. PASSED TO BE ENACTED. Sent for concurrence. ORDERED SENT FORTHWITH.

    6/3/2025House
  4. Report READ and ACCEPTED, in concurrence.READ ONCE.Committee Amendment "A" (H-379) READ and ADOPTED, in concurrence.Under suspension of the Rules, READ A SECOND TIME and PASSED TO BE ENGROSSED AS AMENDED BY Committee Amendment "A" (H-379), in concurrence.Ordered sent down forthwith.

    6/2/2025Senate
  5. CONSENT CALENDAR - FIRST DAYUnder suspension of the rules CONSENT CALENDAR - SECOND DAY.The Bill was PASSED TO BE ENGROSSED as Amended by Committee Amendment "A" (H-379).Sent for concurrence. ORDERED SENT FORTHWITH.

    6/2/2025House
  6. Carried over, in the same posture, to the next special or regular session of the 132nd Legislature, pursuant to Joint Order SP 519.

    3/21/2025House
  7. Received by the Clerk of the House on February 20, 2025.The Bill was REFERRED to the Committee on LABOR pursuant to Joint Rule 308.2 and ordered printed pursuant to Joint Rule 401.

    2/20/2025House

Bill Text

  • Amendment C-A (H-379), adopted by House & Senate

  • Enacted

  • Introduced

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