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Title 5 — Government Organization and EmployeesRelease 119-73not60

§8502 Compensation Under State Agreement

Title 5 › Part III— EMPLOYEES › Subpart G— Insurance and Annuities › Chapter 85— UNEMPLOYMENT COMPENSATION › Subchapter I— EMPLOYEES GENERALLY › § 8502

Last updated Apr 3, 2026|Official source

Summary

The Secretary of Labor can make an agreement with a State or its unemployment agency so the State will handle unemployment payments for Federal workers. Under the deal, the State must pay those workers as if their Federal service and the wages assigned under section 8504 had counted under the State’s own law. State eligibility decisions follow the same review rules as other State unemployment decisions. The agreement must say how it can be changed or ended.

Full Legal Text

Title 5, §8502

Government Organization and Employees — Source: USLM XML via OLRC

(a)The Secretary of Labor, on behalf of the United States, may enter into an agreement with a State, or with an agency administering the unemployment compensation law of a State, under which the State agency shall—
(1)pay, as agent of the United States, compensation under this subchapter to Federal employees; and
(2)otherwise cooperate with the Secretary and with other State agencies in paying compensation under this subchapter.
(b)The agreement shall provide that compensation will be paid by the State to a Federal employee in the same amount, on the same terms, and subject to the same conditions as the compensation which would be payable to him under the unemployment compensation law of the State if his Federal service and Federal wages assigned under section 8504 of this title to the State had been included as employment and wages under that State law.
[(c)Repealed. Pub. L. 90–83, § 1(86)(B), Sept. 11, 1967, 81 Stat. 218.]
(d)A determination by a State agency with respect to entitlement to compensation under an agreement is subject to review in the same manner and to the same extent as determinations under the State unemployment compensation law, and only in that manner and to that extent.
(e)Each agreement shall provide the terms and conditions on which it may be amended or terminated.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

1966 Act DerivationU.S. CodeRevised Statutes andStatutes at Large 42 U.S.C. 1362.Sept. 1, 1954, ch. 1212, § 4(a) “Sec. 1502”, 68 Stat. 1131. Sept. 13, 1960, Pub. L. 86–778, § 542(b)(1)(A), 74 Stat. 985. In subsection (a), the words “under this subchapter” are substituted for “on the basis provided in subsection (b) of this section”. In subsection (b), the words “with respect to unemployment after
December 31, 1954” are omitted as obsolete. In subsection (c), the words “with respect to unemployment after
December 31, 1960” are omitted as obsolete. In the last sentence, the application to section 8503(b) is omitted and carried into that section. Standard changes are made to conform with the definitions applicable and the style of this title as outlined in the preface to the report. 1967 ActThis section amends 5 U.S.C. 8502 to eliminate certain provisions that are now obsolete. The obsolete provisions were based on section 542(b)(1)(A) of the act of
September 13, 1960, 74 Stat. 985, that amended section 1502(b) of the Social Security Act effective
January 1, 1961, but only in the case of weeks of unemployment beginning before
January 1, 1966. Any existing rights are preserved by section 7 of this bill.

Reference

Citations & Metadata

Citation

5 U.S.C. § 8502

Title 5 — Government Organization and Employees

Last Updated

Apr 3, 2026

Release point: 119-73not60