01Feb
How Will Changes to Pennsylvania's Unemployment Compensation Law Affect School Bus Contractors
As you know, Pennsylvania school bus drivers working for independent contractors are currently eligible to receive unemployment compensation benefits during the summer break while drivers employed by a school district are not. The reason is because Article IV, Section 402.1 of Pennsylvania’s Unemployment Compensation Law (Pa UC Law) has exceptions that apply to employees of political subdivisions like a school district but that do not apply to employees of independent contractors. On October 14, 2011 six legislators introduced HB 128 that proposes to add additional language to Section 402 of the Pa UC Law that would specifically extend the exceptions to school bus drivers working for independent contractors. Other states have taken similar measures recently. While this proposed legislation has not progressed far, other recent changes to the Pa UC Law have created additional complications for independent school bus contractors and their employees.
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