Alabama House of Representatives passed unemployment eligibility reform bill

February 11, 2025 - MONTGOMERY, AL - The Alabama House of Representatives passed House Bill 29, which introduces significant changes to unemployment eligibility standards. Sponsored by Representative Ed Oliver, R-Dadeville, the bill aims to increase the number of potential employers a person must contact weekly to qualify for unemployment benefits1.

Under the new legislation, individuals seeking unemployment benefits will need to reach out to five potential employers each week, up from the current requirement of three. This change is intended to encourage job seekers to actively pursue employment opportunities1. However, an amendment was added to exempt individuals living in rural counties from this increase. People residing in counties with fewer than 20,000 residents will still need to contact only three potential employers weekly1.

The bill also defines what constitutes "failure to seek or accept suitable work." According to HB29, individuals who do not attend scheduled interviews or skills tests without notifying the employer, or who do not respond to a job offer within 72 hours, will be considered as rejecting suitable employment. This provision aims to ensure that job seekers are genuinely committed to finding work1.

Several Democratic representatives expressed concerns about the legislation, particularly its impact on people in rural communities. Representative A.J. McCampbell, D-Livingston, highlighted the limited number of employers in rural areas and questioned the feasibility of the new requirement for these communities1. In response, Representative Kelvin Lawrence, D-Hayneville, proposed the amendment to exempt rural counties, which was accepted.

The bill also outlines the criteria for determining suitable work, including factors such as the degree of risk involved, an individual's prior earnings, length of unemployment, prospects for securing local work in their normal occupation, and the distance of available work from the individual's residence. These criteria are designed to ensure that job seekers are not forced into unsuitable or unsafe employment1.

Overall, House Bill 29 represents a significant shift in Alabama's unemployment benefits policy, with the goal of promoting greater engagement in the job search process. The exemption for rural counties acknowledges the unique challenges faced by individuals in these areas and aims to provide a more balanced approach to unemployment benefits eligibility.