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to its "iquidating'amount”, no amount shall be withheld from certification for payment to such State pursuant to this paragraph.

The withholdings from certification directed in each of the foregoing paragraphs of this subsection shall begin with respect to each State when the Social Security Board finds that such State is unable to avail itself of the condition set forth in the proviso contained in such paragraph.

(e) The transfers described in the provisos contained in the several paragraphs of subsection (d) of this section shall not be deemed to constitute a breach of the conditions set forth in sections 303 (a) (5) and 903 (a) (4) of the Social Security Act; nor shall the withdrawal by a State from its account in the unemployment trust fund of amounts, but not to exceed the total amount the Social Security Board shall have withheld from certification with respect to such State pursuant to subsection (d) of this section, be deemed to constitute a breach of the conditions set forth in sections 303 (a) (5) and 903 (a) (4) of the. Social Security Act, provided the moneys so withdrawn are expended solely for expenses which the Social Security Board determines to be necessary for the proper administration of such State's unemployment compensation law.

(f) The Social Security Board is authorized and directed to certify to the Secretary of the Treasury for payment, and the Secretary shall pay, into the railroad unemployment insurance account, such amounts as the Social Security Board withholds from certification pursuant to subsection (d) of this section and the appropriations authorized in section 301 of the Social Security Act shall be available for payments authorized by this subsection. The Secretary shall transfer from the account of a State in the unemployment trust fund to the railroad unemployment insurance account in the unemployment trust fund such amounts as the State authorizes and directs him so to transfer pursuant to subsection (d) of this section.

(g) Section 303 of the Social Security Act is hereby amended by adding thereto the following additional subsection:

"(c) The Board shall make no certification for payment to any State if it finds, after reasonable notice and opportunity for hearing to the State agency charged with the administration of the State law

“(1) That such State does not make its records available to the Railroad Retirement Board, and furnish to the Railroad Retirement Board at the expense of the Railroad Retirement Board such copies thereof as the Railroad Retirement Board deems necessary for its purposes; or

“(2) That such State is failing to afford reasonable cooperation with every agency of the United States charged with the administration of any employment insurance law."

DISTRICT OF COLUMBIA UNEMPLOYMENT COMPENSATION ACT SEC. 14. (a) Effective July 1, 1939, section 1 (b) of the District of Columbia Unemployment Insurance Act is amended by substituting a semicolon for the period at the end thereof and by adding: “(8) service performed in the employ of an employer as defined in the Railroad Unemployment Insurance Act and service performed as an employee representative as defined in said Act.” This amendment

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shall not be construed to affect the payment of unemployment benefits at any time with respect to any period prior to July 1, 1939, based upon employment performed prior to July 1, 1939.

(b) The Secretary of the Treasury is authorized and directed to transfer from the account of the District of Columbia in the unemployment trust fund to the railroad unemployment insurance account in the unemployment trust fund, an amount equal to the “preliminary amount” and an amount equal to the "liquidating amount”, whenever such amounts, respectively, have been determined, with respect to the District of Columbia, pursuant to section 13 of this Act.

TRANSITIONAL PROVISIONS Sec. 15. (a) Notwithstanding the provisions of section 1 (n) of this Act, until July 1, 1940, the term "benefit year” as defined in section 1 (n) of this Act means, with respect to any individual, the twelvemonth period which begins with either the first day with respect to which benefits are first payable to him under this Act or the first day after July 1, 1938, but before July 1, 1939, with respect to which unemployment benefits are received by him under an unemployment compensation law of any State, whichever is the earlier.

(b) For the purposes of section 2 (c) of this Act, all unemployment benefits paid to an employee pursuant to an unemployment compensation law of any State, with respect to any period prior to July 1, 1939, shall be considered as though they were benefits paid under this Act.

(c) Section 8 (b) of this Act shall not be applicable to an otherwise qualified employee with respect to whom there is, pursuant to subsection (a) of this section, current a benefit year beginning before July 1, 1939.

(d) Any employee for whom there is, pursuant to subsection (a) of this section, current a benefit year beginning before July 1, 1939, and who, solely by reason of the enactment of this Act, becomes ineligible to continue to receive benefits under the unemployment compensation law of any State with respect to unemployment occurring after July 1, 1939, shall, for the purposes of section 3 (a) of this Act, be deemed to have earned compensation with respect to employment in his base year of not less than $150: Provided, That, notwithstanding the provisions of section 2 (c) of this Act, the maximum benefits payable to such employee for unemployment within such benefit year shall not exceed the maximum amount to which he would otherwise have been entitled under the unemployment com. pensation law of such State.

SEPARABILITY SEC. 16. If any provision of this Act or the application thereof to any person or circumstance is held invalid, the application of such provision to other persons or circumstances, and the remainder of this Act, shall not be affected thereby.

SHORT TITLE SEC. 17. This Act may be cited as the "Railroad Unemployment Insurance Act”.

Approved, June 25, 1938.

(PUBLIC_No. 141—76TH CONGRESS)
(CHAPTER 227—1st SESSION)

(H. R. 5474)

AN ACT To amend the Raflroad Unemployment Insurance Act, approved June 25, 1938

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the second paragraph of subsection (d) of section 1 of the Railroad Unemployment Insurance Act, approved June 25, 1938 (52 Stat. 1094), is hereby amended by inserting “(e)” at the beginning thereof, and by changing the period at the end thereof to a colon and adding the following: "Provided further, That an individual not a citizen or resident of the United States shall not be deemed to be in the service of an employer when rendering service outside the United States to an employer who is required under the laws applicable in the place where the service is rendered to employ therein, in whole or in part, citizens or residents thereof."

Sec. 2. Subsection (e) of section 1 of said Act is hereby amended by striking out “(e)” at the beginning thereof and substituting “(f)” therefor.

SEC. 3. Subsection (f) of section 1 of said Act is hereby stricken out.

Sec. 4. Subsection (h) of section 1 of said Act is hereby amended to read as follows:

“(h) The term 'half-month' means such period of any fifteen consecutive days as the Board may by regulation prescribe.”

Sec. 5. Subsection (i) of section 1 of said Act is hereby amended by striking out the comma following the word "money”.

Sec. 6. Subsection (k) of section 1 of said Act is hereby amended to read as follows:

“(k) Subject to the provisions of section 4 of this Act, a day of unemployment, with respect to any employee, means a calendar day on which he is able to work and is available for work and with respect to which (i) no remuneration is payable to him, and (ii) he has, in accordance with such regulations as the Board may prescribe, registered at an employment office: Provided, however, That, with respect to any employee whose normal work shift includes a part of each of two consecutive calendar days, the term 'calendar day', as heretofore used in this subsection, shall mean such equivalent period of twentyfour hours as the Board may by regulation prescribe."

SEO. 7. The first paragraph of subsection (a) of section 2 of said Act is hereby amended to read as follows:

"SEC. 2. (a) A qualified employee shall be paid benefits for each day of unemployment in excess of seven during any half-month which begins after June 30, 1939.”

SEO. 8. Subsection (d) of section 2 of said Act is hereby stricken out.

Sec. 9. Subsections (e), (f), and (g) of section 2 of said Act are hereby amended by striking out the designations “(e)”, “(f)”, and "(g)' and substituting therefor “(d)”, “(e)”, and “(f)", respectively; and said subsection (g) is further amended by striking out from the last sentence thereof the words "subsections (a) and", and substituting therefor the word “subsection”.

Sec. 10. Subsection (b) of section 3 of said Act is hereby amended by striking out the words "fifteen consecutive days of unemployment, or two half-months”, by inserting in place thereof the words “one half-month", and by striking out the words "each of".

Sec. 11. Section 4 of said Act is hereby amended to read as follows:

"SEO. 4. (a) There shall not be considered as a day of unemployment, with respect to any employee

"(i) any of the thirty days beginning with the day with respect to which the Board finds that he left work voluntarily without good cause;

“(ii) any of the thirty days beginning with the day with respect to which the Board finds that he failed, without good cause, to accept suitable work available on such day and offered to him;

“(iii) subject to the provisions of subsection (b) of this section, any day with respect to which the Board finds that his unemploy. ment was due to a stoppage of work because of a strike in the establishment, premises, or enterprise at which he was last employed, and the Board finds that such strike was commenced in violation of the provisions of the Railway Labor Act or in violation of the established rules and practices of a bona fide labor organization of which he was a member;

“(iv) any of the seventy-five days beginning with the first day of any half-month with respect to which the Board finds that he knowingly made or aided in making or caused to be made any false or fraudulent statement or claim for the purpose of causing benefits to be paid;

“(v) any day in any period with respect to which the Board finds that he is receiving, has received, or has a right to receive compensation or other wages in lieu of notice, annuity payments or pensions under the Railroad Retirement Act of 1935 or the Railroad Retirement Act of 1937, or old-age benefits under title II of the Social Security Act or payments for similar purposes under any other Act of Congress; or he is receiving or has received unemployment benefits under an unemployment-compensation law of any State or of the United States other than this Act;

“(vi) any day in any half-month with respect to which the Board finds that, pursuant to a contract of employment provid. ing for the determination of his compensation, wholly or partially, on a mileage basis, he earned at least the equivalent of eight times the schedule daily rate of compensation for the

service in which he was last employed during that half-month. “(b) The disqualification provided in section 4 (a) (iii) of this Act shall not apply if the Board finds that,

“(i) the employee is not participating in or financing or directly interested in the strike which causes the stoppage of work: Provided, That payment of regular union dues shall not be construed to constitute financing a strike or direct interest in a strike within the meaning of this and the following paragraphs; and

“(ii) he does not belong to a grade or class of workers of which, immediately before the commencement of the stoppage, there were members employed in the establishment, premises, or enterprise at which the stoppage occurs, any of whom are participating in or financing or directly interested in the dispute : Provided, That if separate types of work are commonly conducted in separate departments of a single enterprise, each such department shall, for the purposes of this subsection, be deemed

to be a separate establishment, enterprise, or other premises. "(c) No work shall be deemed suitable for the purposes of section 4 (a) (ii) of this Act, and benefits shall not be denied under this Act to any otherwise qualified employee for refusing to accept work if

“(i) the position offered is vacant due directly to a strike, lockout, or other labor dispute;

“(ii) the remuneration, hours, or other conditions of work offered are substantially less favorable to the employee than those prevailing for similar work in the locality, or the rate of remu. neration is less than the union wage rate, if any, for similar work in the locality;

“(iii) as a condition of being employed he would be required to join a company union or to resign from or refrain from joining any bøna fide labor organization;

*(ivacceptance of the work would require him to engage in activities in violation of law or which, by reason of their being in violation of reasonable requirements of the constitution, bylaws, or similar regulations of a bona fide labor organization of which he is a member, would subject him to expulsion from such labor organization; or

“(v) acceptance of the work would subject him to loss of substantial seniority rights under any collective bargaining agreement between a railway labor organization, organized in acordance with the provisions of the Railway Labor Act, and

any other employer. (d) In determining, within the limitations of section 4 (c) of this Act, whether or not any work is suitable for an employee for the purposes of section 4 (a) (ii) of this Act, the Board shall consider, in addition to such other factors as it deems relevant, (i) the current practices recognized by management and labor with respect to such work; (ii) the degree of risk involved to such employee's health, safety, and morals; (iii) his physical fitness and prior training; (iv) his experience and prior earnings; (v) his length of unemployment and prospects for securing work in his customary occupation; and (vi) the distance of the available work from his residence and from his most recent work.

“(e) For the purposes of section 4 (a) (i) of this Act, no voluntary leaving of work shall be deemed to have been without good cause if the Board finds that such work would not have been suitable for the purposes of section 4 (a) (ii) of this Act."

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