Bill Text: IL HB4733 | 2013-2014 | 98th General Assembly | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Amends the Unemployment Insurance Act. Provides that the term "employment" does not include the delivery or distribution of newspapers or shopping news to the consumer, rather than to the ultimate consumer. Deletes provisions relating to delivery to the ultimate consumer. Effective immediately.

Spectrum: Partisan Bill (Democrat 14-0)

Status: (Engrossed - Dead) 2014-12-04 - Remove Chief Co-Sponsor Rep. David R. Leitch [HB4733 Detail]

Download: Illinois-2013-HB4733-Amended.html

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Sen. Andy Manar

Filed: 5/9/2014

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AMENDMENT TO HOUSE BILL 4733
AMENDMENT NO. ______. Amend House Bill 4733 by replacing
everything after the enacting clause with the following:
"Section 5. The Unemployment Insurance Act is amended by
changing Sections 225 and 245 as follows:
(820 ILCS 405/225) (from Ch. 48, par. 335)
Sec. 225. This Section, and not Section 212 of this Act,
controls the determination of employment status for services
performed by individuals in the delivery or distribution of
newspapers or shopping news.
(A) The term "employment" shall not include services
performed by an individual under the age of eighteen in the
delivery or distribution of newspapers or shopping news.
(B) The term "employment" does not include the performance
of freelance editorial or photographic work for a newspaper.
(B-5) The employment status of individuals engaged in the

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delivery of newspapers or shopping news shall be determined as
provided in this subsection. The term "employment" does not
include the delivery or distribution of newspapers or shopping
news if at least one of the following 5 elements is present:
(1) The individual performing the services gains the
profits and bears the losses of the services.
(2) The person or firm for whom the services are
performed does not represent the individual as an employee
to its customers.
(3) The individual hires his or her own helpers or
employees, without the need for approval from the person or
firm for whom the services are performed, and pays them
without reimbursement from that person or firm.
(4) The individual has the right to perform similar
services for others on whatever basis and whenever he or
she chooses.
(5) Once the individual leaves the premises of the
person or firm for whom the services are performed or the
printing plant, the individual operates free from the
direction and control or the person or firm, except as is
necessary for the person or firm to ensure quality control
of the newspapers or shopping news, including, but not
limited to, the condition of the newspapers or shopping
news upon delivery and the location and timing of delivery
of the newspapers or shopping news.
(C) Notwithstanding subsection (B-5), the The term

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"employment" does not include the delivery or distribution of
newspapers or shopping news to the ultimate consumer if:
(1) substantially all of the remuneration for the
performance of the services is directly related to sales,
"per piece" fees, or other output, rather than to the
number of hours worked; and
(2) the services are performed under a written contract
between the individual and the person or firm for whom the
services are performed, and the contract provides that the
individual will not be treated as an employee for federal
tax purposes.
(3) Delivery or distribution to the ultimate consumer
does not include:
(i) delivery or distribution for sale or resale,
including, but not limited to, distribution to a
newsrack or newsbox, salesperson, newsstand or retail
establishment;
(ii) distribution for further distribution,
regardless of subsequent sale or resale.
(D) Subsections (B-5) and Subsection (C) shall not apply in
the case of any individual who provides delivery or
distribution services for a newspaper pursuant to the terms of
a collective bargaining agreement and shall not be construed to
alter or amend the application or interpretation of any
existing collective bargaining agreement. Further, subsections
(B-5) and subsection (C) shall not be construed as evidence of

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the existence or non-existence of an employment relationship
under any other Sections of this Act or other existing laws.
(E) Subsections (B), (B-5), and (C) shall not apply to
services that are required to be covered as a condition of
approval of this Act by the United States Secretary of Labor
under Section 3304 (a)(6)(A) of the Federal Unemployment Tax
Act.
(Source: P.A. 87-1178.)
(820 ILCS 405/245) (from Ch. 48, par. 370)
Sec. 245. Coordination with Federal Unemployment Tax Act.
Notwithstanding any provisions of this Act to the contrary,
excepting the exemptions from the definition of employment
contained in Sections 212.1, 217.1, 217.2, 226, and 231 and
subsections (B), (B-5), and (C) B and C of Section 225:
A. The term "employer" includes any employing unit which is
an "employer" under the provisions of the Federal Unemployment
Tax Act, or which is required, pursuant to such Act, to be an
"employer" under this Act as a condition for the Federal
approval of this Act requisite to the full tax credit, against
the tax imposed by the Federal Act, for contributions paid by
employers pursuant to this Act.
B. The term "employment" includes any services performed
within the State which constitute "employment" under the
provisions of the Federal Unemployment Tax Act, or which are
required, pursuant to such Act, to be "employment" under this

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Act as a condition for the Federal approval of this Act
requisite to the full tax credit, against the tax imposed by
the Federal Act, for contributions paid by employers pursuant
to this Act.
C. The term "wages" includes any remuneration for services
performed within this State which is subject to the payment of
taxes under the provisions of the Federal Unemployment Tax Act.
(Source: P.A. 89-252, eff. 8-8-95; 89-649, eff. 8-9-96.)".