S*467 Session 106 (1985-1986)
S*0467(Rat #0126, Act #0083 of 1985) General Bill, By
Senate Labor, Commerce and Industry
A Bill to amend Sections 41-27-380 and 41-35-20, both as amended, Code of Laws
of South Carolina, 1976, relating to the definition of wages, so as to include
income derived from tips and to change the amount the employer pays
compensation on from six thousand dollars to seven thousand dollars, and to
restructure the format of Section 41-35-20.
04/04/85 Senate Introduced, read first time, placed on calendar
without reference SJ-1323
04/09/85 Senate Read second time SJ-1410
04/09/85 Senate Ordered to third reading with notice of
amendments SJ-1410
04/10/85 Senate Read third time and sent to House SJ-1448
04/11/85 House Introduced and read first time HJ-2332
04/11/85 House Referred to Committee on Ways and Means HJ-2333
05/01/85 House Committee report: Favorable Ways and Means HJ-2767
05/02/85 House Read second time HJ-2899
05/03/85 House Read third time and enrolled HJ-2933
05/07/85 Ratified R 126
05/13/85 Signed By Governor
05/13/85 Effective date 05/13/85
05/13/85 Act No. 83
05/21/85 Copies available
(A83, R126, S467)
AN ACT TO AMEND SECTIONS 41-27-380 AND 41-35-20, BOTH AS AMENDED, CODE OF LAWS
OF SOUTH CAROLINA, 1976, RELATING TO THE DEFINITION OF WAGES, SO AS TO INCLUDE
INCOME DERIVED FROM TIPS AND TO CHANGE THE AMOUNT THE EMPLOYER PAYS COMPENSATION
ON FROM SIX THOUSAND DOLLARS TO SEVEN THOUSAND DOLLARS, AND TO RESTRUCTURE THE
FORMAT OF SECTION 41-35-20.
Be it enacted by the General Assembly of the State of South Carolina:
Definitions
SECTION 1. Section 41-27-380 of the 1976 Code, as last amended by Act 62 of
1983, is further amended to read:
"Section 41-27-380. (1) 'Wages' means all remuneration paid for personal
services, including commissions and bonuses, any sums paid to an employee by an
employer pursuant to an order of the National Labor Relations Board or by private
agreement, consent, or arbitration for loss of pay by reason of discharge and
cash value of all remuneration paid in any medium other than cash. The
reasonable cash value of remuneration paid in any medium other than cash is
estimated and determined in accordance with regulations prescribed by the
Commission. 'Wages' includes all tip income (including charged tips) which are
received while performing services which constitute employment and are included
in a written statement furnished to the employer. 'Wages' does not include:
(a) The amount of any payment with respect to services performed in behalf
of an individual in its employ under a plan or system established by an employing
unit which makes provision for individuals in its employ generally or for a class
or classes of individuals (including any amount paid by an employing unit for
insurance or annuities or into a fund to provide for any such payment), on
account of (i) retirement, (ii) sickness or accident disability, (iii) medical
and hospitalization expenses in connection with sickness or accident disability
or (iv) death, provided the individual is in its employ (A) has not the option
to receive, instead of provisions for death benefits, any part of payment or, if
the death benefit is insured, any part of the premiums (or contributions to
premiums) paid by his employing unit and (B) has not the right, under the
provisions of the plan, system, or policy of insurance providing for a death
benefit, to assign the benefit or receive a cash consideration in lieu of the
benefit either upon his withdrawal from the plan or system providing for the
benefit or upon termination of the plan, system, or policy of insurance or of his
services with the employing unit.
(b) Any amounts received from this State or the Federal Government by members
of the South Carolina National Guard, the United States Naval Reserve, the
Officers Reserve Corps, the Enlisted Reserve Corps, and the Reserve Corps of
Marines as drill pay, including longevity pay and allowances.
(c) The payment by an employing unit (without deduction from the remuneration
of the individual in its employ) of the tax imposed upon an individual in its
employ, under Section 3101 of the Federal Internal Revenue Code, only if the
service is agricultural labor or domestic service in a private home of the
employer.
(d) Any payment (other than vacation pay or sick pay) made to an employee
after the month in which he attains the age of sixty-five, if he did not work for
the employer in the period for which payment is made.
(e) Any remuneration paid in a medium other than cash for service performed
in agricultural labor or domestic service.
(2) For the purpose of Chapter 31, Article 1, of this title, 'wages' does not
include that part of remuneration which, after remuneration equal to seven
thousand dollars has been paid in a calendar year to an individual by an employer
or his predecessor or with respect to employment during any calendar year, is
paid to the individual by the employer during the calendar year unless that part
of the remuneration is subject to a tax under a Federal law imposing a tax
against which credit may be taken for contributions required to be paid into a
state unemployment fund. For the purposes of this subsection, employment
includes service constituting employment under any unemployment compensation law
of another state."
Benefits
SECTION 2. Section 41-35-20 of the 1976 Code, as last amended by Act 406 of
1984, is further amended to read:
"Section 41-35-20. (1) Benefits based on service in an instructional,
research, or principal administrative capacity in an institution of higher
education as defined in Section 41-27-290 or educational institution as defined
in Section 41-27-340 must not be paid to an individual for any week of
unemployment which begins during the period between two successive academic
years, or during a similar period between two regular terms, whether or not
successive, or during a period of paid sabbatical leave provided for in the
individual's contract, if the individual has a contract or a reasonable assurance
that the individual will perform services in this capacity for both these
academic years or both these terms.
(2) With respect to services performed after December 31, 1977, in any other
capacity for an educational institution or institution of higher education,
irrespective of whether the institution is a public, private, or nonprofit
organization, benefits are not payable on the basis of these services to any
individual for any week which commences during a period between two successive
academic years or terms if the individual performs these services in the first
of those academic years or terms and there is a reasonable assurance that the
individual will perform these services in the second of those academic years or
terms. However, if compensation is denied to any individual under this
subsection and the individual was not offered an opportunity to perform these
services for the educational institution or institution of higher education for
the second of these academic years or terms, the individual is entitled to a
retroactive payment of compensation for each week for which the individual filed
a timely claim for compensation and for which compensation was denied solely by
reason of this subsection.
(3) The provisions of subsections (1) and (2) apply both to employees of the
educational institution concerned or to persons employed by a governmental agency
or entity which is established and operated exclusively for the purpose of
providing services to one or more educational institutions if these persons
perform these services in the educational institution.
(4) With respect to any services described in subsections (1) and (2) of this
section, benefits are not payable on the basis of services in any such capacities
as specified in subsections (1) and (2) of this section to any individual who
performed these services in an educational institution or institution of higher
education while in the employ of an educational service agency. For purposes of
this section, 'educational service agency' means a governmental agency or
governmental entity which is established and operated exclusively for the purpose
of providing these services to one or more educational institutions.
(5) With respect to any services described in subsections (1) and (2),
benefits are not payable on the basis of services in any such capacities to any
individual for any week which commences during an established and customary
vacation period or holiday recess if the individual performs these services in
the period immediately before the vacation period or holiday recess, and there
is a reasonable assurance that the individual will perform these services in the
period immediately following the vacation period or holiday recess.
(6) In this section 'reasonable assurance' means a written, verbal, or implied
agreement that the employee will perform services in the same capacity during the
ensuing academic year or term."
Time effective
SECTION 3. This act shall take effect upon approval by the Governor. |