Layoff Prevention Act of 2021

Bill: 117-s-242
Sponsor: full_name: Sen. Reed, Jack [D-RI]
Introduced: 2021-02-04
Policy area: Labor and Employment
Subjects: State and local government operations

Temporary and part-time employment

Unemployment
Latest action: action_date: 2021-02-04
text: Read twice and referred to the Committee on Finance. (Sponsor introductory remarks on measure: CR S477)

Summaries:
action_date: 2021-02-04
action_desc: Introduced in Senate
text: <p><b>Layoff Prevention Act of 2021 </b></p> <p>This bill extends temporary funding to reimburse states for making short-time compensation (STC) payments under existing or new STC programs for weeks of unemployment ending on or before five years and six months after enactment of this bill. (STC, also known as work sharing, is a program that provides prorated unemployment compensation to workers whose hours have been reduced in lieu of a layoff.) Under current law, this reimbursement is available for weeks of unemployment ending on or before September 6, 2021. </p> <p> The bill also extends funding to support STC payments by states that do not have STC programs under state law through 2 years and 13 weeks after enactment of this bill. Under current law, this assistance applies to weeks of unemployment ending on or before September 6, 2021.</p> <p>Finally, the bill increases funding to the Department of Labor for awarding grants to states to (1) implement, or improve administration of, STC programs; or (2) promote, and enroll employers in, STC programs. In addition, the bill modifies the formula used to allocate such grants. Labor may not award a grant with respect to an application submitted after December 31, 2026. Such changes are retroactive to March 27, 2020.</p>

tv_txt: II 117th CONGRESS 1st Session S. 242 IN THE SENATE OF THE UNITED STATES February 4, 2021 Mr. Reed introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To provide for an extension of temporary financing of short-time compensation programs.

1. Short title This Act may be cited as the Layoff Prevention Act of 2021 . 2. Extension of temporary financing of short-time compensation payments in States with programs in law Section 2108(b)(2) of the CARES Act ( 15 U.S.C. 9026(b)(2) ) is amended by striking March 14, 2021 and inserting the date that is 5 years and 6 months after the date of enactment of the Layoff Prevention Act of 2021 . 3. Extension of temporary financing of short-time compensation agreements Section 2109(d)(2) of the CARES Act ( 15 U.S.C. 9027(d)(2) ) is amended by striking March 14, 2021 and inserting the date that is 2 years and 13 weeks after the date of enactment of the Layoff Prevention Act of 2021 . 4. Extension of grants for short-time compensation programs (a) Extension; additional funding Section 2110 of the CARES Act ( 15 U.S.C. 9028 ) is amended— (1) in subsection (b)(1), by striking $100,000,000 and inserting $200,000,000 ; (2) in subsection (c)(1), by striking December 31, 2023 and inserting December 31, 2026 ; and (3) in subsection (g), by striking $100,000,000 and inserting $200,000,000 . (b) Effective date The amendments made by subsection (a) shall take effect as if included in the enactment of the CARES Act ( Public Law 116–136 ).