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title-25•Title 25 — Industrial Relations and Labor
(a) Every employer shall furnish employment which shall be reasonably safe for the employees engaged therein and shall furnish and use safety devices and safeguards and shall adopt and use methods and processes reasonably adequate to render such employment and the places where the employment is performed reasonably safe for his employees and others who are not trespassers, and he shall do everything reasonably necessary to protect the life, health and safety of his employees and others who are not trespassers.
(b) Every employer and every owner of a place of employment, place of public assembly or public building, now or hereafter constructed, shall so construct, repair and maintain the same as to render it reasonably safe; provided, however, that nothing contained in this section shall be construed or applied so as to impose upon any such owner any duties to his tenant, the members of his family, employees, guests or invitees or others entering upon the premises under the tenant’s title, or the public, not now imposed upon him by law.
(c) For the purposes of this section, the following terms shall have the meanings ascribed to them by this subsection:
(1) EMPLOYER. Such term includes every person, firm, corporation, partnership, joint stock association, agent, manager, representative, foreman or other person having control or custody of any employment, place of employment or of any employee, but the terms of this section shall not be construed to cover the employment of agricultural workers or domestic servants.
(2) EMPLOYEE. Such term does not and shall not include agricultural workers or domestic servants.
(3) SAFE and SAFETY. Such terms, applied to any employment or place of employment, place of public assembly or public building, shall mean “reasonably safe” or “reasonable safety” consistent with the lawful purpose of the use and occupancy of the place of employment, place of public assembly or public building and the inherent danger of the employment, the process, operation or situation involved, and, shall include conditions and methods of sanitation and hygiene reasonably necessary for the protection of the life, health and safety of the employees and others who are not trespassers.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §12.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Code 1896, §5512; Code 1907, §6857; Code 1923, §3991; Code 1940, T. 26, §337.)
(a) For purposes of determining eligibility for employee benefits and protections pursuant to this title, relating to employment and unemployment, or determining tax liability for employees and employers pursuant to Title 40, relating to revenue and taxation, an employer or state agency responsible for determining the employment status of an individual shall do both of the following:
(1) Use the test enumerated by the Internal Revenue Service in Rev. Rul. 87-41, 1987-1 C.B. 296, as amended or replaced from time to time, in making its determination.
(2) Apply the safe harbor provided in Section 530 of the Revenue Act of 1978, Public Law 95-600, as amended and extended by subsequent acts of Congress.
(b) Notwithstanding subsection (a), this section shall have no application to, nor shall it have any impact upon, any determination of whether a worker is engaged in employment, or is considered an employee, for purposes of the workers’ compensation laws of this state.
(Act 2021-226, §1.)
(a) For the purposes of this section, the following terms have the following meanings:
(1) MICROCHIP. A device subcutaneously implanted in an individual that is passively or actively capable of transmitting personal information to another device using radio frequency technology.
(2) VOLUNTARILY. Performed consciously as a result of effort or determination and without an incentive, inducement, or coercion. The term shall include, but not be limited to, the receiving by any individual, as a result of a free will decision of that individual, of an implanted device used in the diagnosis, monitoring, treatment, or prevention of a health condition that only transmits information necessary to carry out the diagnosis, monitoring, treatment, or prevention of that health condition.
(b)(1) It is unlawful for an employer, as a condition of employment, to require an employee to be implanted with a microchip or other permanent identification marker.
(2) It is unlawful for any individual including, but not limited to, any of the following individuals to require another individual to be implanted with a microchip or other permanent identification marker:
a. An officer or employee of this state or a political subdivision of this state.
b. An individual licensed to sell or provide insurance pursuant to Title 27
c. An individual licensed to participate in a business related to bail pursuant to the Alabama Bail Bond Regulatory Act, Article 8, commencing with Section 15-13-200 of Chapter 13, Title 15.
(c) This section may not be construed to prohibit an individual from voluntarily electing to be implanted with a microchip or other permanent identification marker.
(d) An individual who violates this section is guilty of a Class D felony.
(Act 2023-396, §1.)
Notwithstanding any other provision of law, whenever any employer in this state sponsors or initiates a program of affirmative action designed to cure or eradicate the effects of discrimination in employment, and the intent of the program is to affect the recruitment, selection, appointment, promotion, or other personnel procedures or functions in a manner so as to insure equal employment opportunity for minorities, the term “minority” shall include, in addition to any specifically identified ethnic group or other classification, a person who is a citizen or lawful permanent resident of the United States and who can establish by information contained on his or her birth certificate, by tribal records or by other reliable records, that he or she is an American Indian or Alaskan native, having origins in any of the original peoples of North America.
(Acts 1992, No. 92-626, p. 1482, §1.)
For the purposes of this article, the following words and phrases shall have the following meanings:
(1) DISCRIMINATORY PRACTICE. Any practice made unlawful by this article.
(2) EMPLOYER. Any person employing 20 or more employees for each working day in each of 20 or more calendar weeks in the current or preceding calendar year, including any agent of that person.
(3) EMPLOYMENT AGENCY. Any person regularly undertaking, with or without compensation, to procure employees for an employer or to procure for employees opportunities to work for an employer, including any agent of that person.
(4) LABOR ORGANIZATION. Any organization which exists for the purpose, in whole or in part, of collective bargaining, of dealing with employers concerning grievances, terms, or conditions of employment, or of other mutual aid or protection in connection with employment.
(Acts 1997, No. 97-723, p. 1495, §1.)
No employer, employment agency, or labor organization shall discriminate in employment against a worker 40 years of age and over in hiring, job retention, compensation, or other terms or conditions of employment.
(Acts 1997, No. 97-723, p. 1495, §2.)
It is an unlawful employment practice for an employer to do any of the following:
(1) Fail or refuse to hire or discharge an individual, or otherwise discriminate against an individual with respect to compensation, terms, or privileges of employment, because of the age of the individual.
(2) Limit, segregate, or classify employees or applicants for employment in any way which would deprive or tend to deprive an individual of employment opportunities or to adversely affect the status of an individual as an employee, because of the age of the individual.
(Acts 1997, No. 97-723, p. 1495, §3.)
It is an unlawful employment practice for an employment agency to fail or refuse to refer for employment, or otherwise to discriminate against an individual because of the age of the individual.
(Acts 1997, No. 97-723, p.1495, §4.)
It is an unlawful employment practice for a labor organization to do any of the following:
(1) Exclude or expel from its membership, or otherwise discriminate against an individual because of the age of the individual.
(2) Limit, segregate, or classify its membership, or to classify or fail or refuse to refer for employment an individual in any way which would deprive or tend to deprive an individual of employment opportunities, or adversely affect the status of an individual as an employee, or as an applicant for employment, because of the age of the individual.
(3) Cause or attempt to cause an employer to discriminate against an individual in violation of this section.
(Acts 1997, No. 97-723, p. 1495, §5.)
It is an unlawful employment practice for an employer, labor organization, or joint labor-management committee controlling apprenticeship or other training or retraining, including on-the-job training programs, to discriminate against an individual because of age in admission to, or employment in, any program established to provide apprenticeship or other training.
(Acts 1997, No. 97-723, p. 1495, §6.)
It is an unlawful employment practice for an employer, employment agency, labor organization, or joint labor-management committee to discriminate against an individual seeking a license, certification, or seeking to take or pass an examination, because of the age of the individual.
(Acts 1997, No. 97-723, p. 1495, §7.)
It is an unlawful employment practice for an employer, labor organization, employment agency, or joint labor-management committee to print, or cause to be printed or published, any notice or advertisement relating to employment, apprenticeship, or other training, indicating any preference, limitation, specification, or discrimination of age.
(Acts 1997, No. 97-723, p. 1495, §8.)
It is an unlawful employment practice for an employer, labor organization, employment agency, or joint labor-management committee to discriminate against an individual because that individual has opposed any practice which is an unlawful employment practice under this article, or because that individual has made a charge, testified, assisted, or participated in any manner in an investigation, proceeding, or hearing under this article.
(Acts 1997, No. 97-723, p. 1495, §9.)
Any person aggrieved may elect to pursue their remedies under Title VII of the Civil Rights Act of 1964 as amended, and the Age Discrimination in Employment Act 29 U.S.C. Section 621 or in the alternative bring a civil action in the circuit court of the county in which the person was or is employed for such legal or equitable relief as will effectuate the purposes of this article. However, if an action is brought in the federal court, any action pending in the state court shall be simultaneously dismissed with prejudice. Further, any party bringing action under this section shall only be entitled to one recovery of damages. Any damages assessed in one court will offset any entitlement to damages in any other state or federal court. In any action, a person shall be entitled to a trial by jury of any issue of fact in any action for recovery of amounts owed as a result of a violation of this article, regardless of whether equitable relief is sought by any party in the action. Any employment practice authorized by the federal Age Discrimination in Employment Act shall also be authorized by this article and the remedies, defenses, and statutes of limitations, under this article shall be the same as those authorized by the federal Age Discrimination in Employment Act except that a plaintiff shall not be required to pursue any administrative action or remedy prior to filing suit under this article.
(Acts 1997, No. 97-723, p. 1495, §10.)
(a) This section shall be known as the Clarke-Figures Equal Pay Act.
(b) An employer, including the state or any of its political subdivisions, including public bodies, may not pay any of its employees at wage rates less than the rates paid to employees of another sex or race for equal work within the same establishment on jobs the performance of which requires equal skill, effort, education, experience, and responsibility, and performance under similar working conditions, except where the payment is made pursuant to any of the following:
(1) A seniority system.
(2) A merit system.
(3) A system that measures earnings by quantity or quality of production.
(4) A differential based on any factor other than sex or race.
(c) An employer shall not refuse to interview, hire, promote, or employ an applicant for employment, or retaliate against an applicant for employment because the applicant does not provide wage history. Wage history means the wages paid to an applicant for employment by the applicant’s current or former employer.
(d) Any employer who violates subsection (b) or (c) is liable to the employee affected in an amount equal to the wages, and interest thereon, of which the employee is deprived by reason of the violation.
(e) An employer shall adopt the rules for record keeping established by the United States Department of Labor for the Fair Labor Standards Act, 29 C.F.R. Part 516.
(f) An employee who files a claim against his or her employer for a violation of subsection (b) must plead with particularity in demonstrating both of the following:
(1) The employee was paid less than someone for equal work despite possessing equal skill, effort, education, experience, and responsibility.
(2) The applicable wage schedule at issue was or is not correlated to any conditions permissible under subsection (b).
(g) If an employee recovers an amount under subsection (d), and also files a complaint or brings an action pursuant to federal law which results in an additional recovery under federal law for the same violation, the employee shall return to the employer the amount recovered under subsection (d), or the amount recovered under federal law, whichever is less.
(h) A civil action brought pursuant to subsection (d) may be commenced no later than two years after the act of discrimination giving rise to a cause of action.
(Act 2019-519, §§1, 2.)
(a) For purposes of this section, the following terms have the following meanings:
(1) CONSUMER REPORTING AGENCY. Any person, entity, or agency which, for monetary fees, dues, or on a cooperative nonprofit basis, regularly engages in whole or in part in the practice of assembling or evaluating consumer credit information or other information on consumers for the purpose of furnishing consumer reports to third parties, and which uses any means or facility of interstate commerce for the purpose of preparing or furnishing consumer reports.
(2) DEPARTMENT. The Department of Labor.
(3) USER. The same meaning as set forth in the federal Fair Credit Reporting Act, 15 U.S.C. §1681 et seq.
(b) Notwithstanding any other provision of law to the contrary, the department may contract with one or more consumer reporting agencies to provide secure electronic access to employer-provided information relating to the quarterly wages report submitted in accordance with the state’s unemployment compensation law. Such access is limited to the wage reports for the preceding 16 calendar quarters.
(c) A user shall receive written consent from the consumer prior to receiving the information pursuant to subsection (b). The written consent from the consumer shall be signed and shall contain all of the following:
(1) Specific notice that the individual’s wage and employment history information will be released to a consumer reporting agency.
(2) Notice that any release is made for the sole purpose of reviewing a specific application made by the individual.
(3) Notice that the files of the department containing wage and employment history information submitted by the individual or his or her employers may be accessed.
(4) A listing of the parties authorized to receive the released information.
(d) Consumer reporting agencies and users accessing information under this section shall safeguard the confidentiality of such information and shall use the information only to support a single transaction for the user to satisfy standard financial underwriting requirements or other requirements imposed upon the user, and to satisfy the obligations of the user under applicable state or federal fair credit reporting laws and rules governing this section.
(e) If any consumer reporting agency or creditor violates any provision of this section, the department shall, upon 30 days’ written notice to the consumer reporting agency, terminate the contract established between the department and the consumer reporting agency pursuant to this section. In no event shall the department be liable for any violation by the consumer reporting agency or creditor of any provision of this section.
(f) The department shall establish minimum audit, security, net worth, and liability insurance standards, technical requirements, and any other terms and conditions considered necessary in the discretion of the department to safeguard the confidentiality of the information released under this section and to otherwise serve the public interest. The department shall also include, in coordination with any necessary audit procedures to ensure that the safeguards are followed.
(g) In contracting with one or more consumer reporting agencies pursuant to this section, any revenues generated by any contract shall be used to pay the entire cost of providing access to the information. In accordance with federal regulations, any additional revenue generated by the department or the state under this section shall be paid into the Employment Security Administration Fund with continuous appropriation for the administration of the unemployment compensation system or as otherwise provided by law.
(h) The department may not provide wage and employment history information to any consumer reporting agency before the consumer reporting agency under contract with the department pays all development and start-up costs incurred by the state in connection with the design, installation, and administration of technological systems and procedures for the electronic access program.
(i) The release of any information under this section shall be for a purpose authorized by and in the manner permitted by the United States Department of Labor and any subsequent rules or regulations adopted by that department.
(Act 2000-265, p. 409, §1.)
This article shall be known and may be cited as the Voluntary Veterans’ Preference Employment Policy Act.
(Act 2015-314, §1.)
As used in this article, the following terms shall have the following meanings:
(1) DD 214. A Department of Defense Report of Separation form or its predecessor or successor forms.
(2) PRIVATE EMPLOYER. An employer who is not the federal or state government, a school district, or a public institution of higher education.
(3) VETERAN. A person who has served on active duty in the United States Armed Forces and was discharged or released with an honorable discharge.
(4) VETERANS’ PREFERENCE EMPLOYMENT POLICY. A private employer’s voluntary preference for hiring, promoting, or retaining a veteran over another qualified applicant or employee.
(Act 2015-314, §2.)
(a) A private employer may have a voluntary veterans’ preference employment policy which shall:
(1) Be in writing.
(2) Be applied uniformly to employment decisions regarding hiring, promotion, or retention during a reduction in force.
(b) An employer may require that a veteran submit a DD 214 to a private employer with a veterans’ preference employment policy to be eligible for the preference.
(c) The granting of the preference may not be construed to be a violation of any local or state equal employment opportunity law.
(d) The Alabama Department of Veterans’ Affairs and the Alabama Department of Labor shall assist a private employer in determining if an applicant is a veteran to the extent permitted by law and in a manner that protects personal privacy consistent with the law.
(Act 2015-314, §3.)
(a) For purposes of this section, the following terms have the following meanings:
(1) ACTIVE DUTY SERVICE MEMBER. An individual that is on active duty as a member of the National Guard or a reserve or active component of the Armed Forces of the United States.
(2) PRIVATE EMPLOYER. A sole proprietorship, corporation, partnership, association, limited liability corporation, or any other entity with one or more employees.
(3) VETERAN. An individual who has ever served in the National Guard or a reserve or active component of the Armed Forces of the United States and has been honorably discharged.
(b) A private employer may adopt a voluntary veterans’ preference employment policy. The policy shall be in writing and applied uniformly to the hiring and promotion decisions of the employer.
(c) A private employer may offer a voluntary veterans’ preference employment policy to all of the following:
(1) A veteran who submits to the employer a copy of the veteran’s Department of Defense Form 214 or its successor form or record.
(2) The spouse of a veteran who submits to the employer:
a. A copy of the veteran’s Department of Defense Form 214 or its successor form or record; and
b. Proof of marriage to the veteran.
(3)a. A spouse of an active duty service member who submits to the employer proof of the service member’s active status and proof of marriage to the service member.
b. Preference provided to a spouse of an active duty service member is limited to the time during which the service member remains on active duty and up to 180 days after the service member’s discharge or separation from service.
(d)(1) A private employer that implements a voluntary veterans’ preference employment policy shall notify the Alabama Department of Workforce of the policy. The department shall use the information to maintain a registry of the private employers that have a voluntary veterans’ preference employment policy in the state, and shall make the registry available on the department’s website.
(2) The department shall establish and maintain a page on the department’s website through which this information may be submitted to the department.
(e) A voluntary veterans’ preference employment policy shall not be considered a violation of any state or local law.
(Act 2026-574, §3.)
This article shall be known and may be cited as the “Adoption Promotion Act.”
(Act 2022-424, §1.)
(a) For purposes of this section, the terms “eligible employee” and “employer” have the same meaning as in 29 U.S.C. § 2611.
(b)(1) An employer shall provide 12 weeks of unpaid family leave, to run concurrently with any other leave provided pursuant to federal law, to an eligible employee for the birth and care of a child born to that employee during the first year after the child’s birth, or for the care of a child placed with the employee in connection with adoption within one year of the placement of the child with the employee. Requests for additional family leave due to the adoption of an ill child or a child with a disability shall be considered on the same basis as comparable cases of complications accompanying the birth of a child of an employee. Nothing in this subsection shall require an employer to provide additional family leave to an eligible employee once the employee has exhausted the leave to which the employee is entitled under federal law.
(2) In any case in which the necessity for leave pursuant to this subsection is foreseeable based on an expected placement of a child with an employee in connection with an adoption, the employee, before the date the leave is to begin, shall provide his or her employer with at least 30 days’ notice of the employee’s intention to take the leave, except that if the date of placement requires leave to begin in less than 30 days, the employee shall provide notice as is practicable.
(c)(1) An employer who provides paid leave to an employee for the birth and care of a child born to that employee shall also provide the lesser of either equivalent paid leave or two-weeks paid leave to an employee for the care of a child placed with the employee in connection with adoption during the first year after the placement of the child with the employee.
(2) An employer is only required to provide paid leave benefits described in subdivision (1) to one of two different eligible employees if both employees would be using the benefits for the care of a child placed for adoption with both employees.
(d) An employer may not penalize an employee for exercising the rights provided by this section.
(e) Leave benefits accrued pursuant to this section may not be taken by an employee intermittently unless the employee and the employer agree otherwise.
(Act 2022-424, §3.)
(a) This article shall be known and may be cited as the “Portable Benefits Act.”
(b) For purposes of this article, the following words have the following meanings:
(1) BANK. A banking corporation or trust company entitled to operate within the State of Alabama under Title 5.
(2) HIRING PARTY. A person or entity who hires or enters into a contract for the performance of work with an independent contractor.
(3) PORTABLE BENEFIT ACCOUNT. An account opened by an independent contractor which is:
a. Administered by a portable benefit account provider; and
b. Owned by an independent contractor for the purpose of funding the purchase of one or more benefit plans, including, but not limited to, plans that provide health benefits, income replacement insurance, life insurance, or retirement benefits.
(4) PORTABLE BENEFIT ACCOUNT PROVIDER. The administrator of a portable benefit account and includes:
a. A bank;
b. An investment management firm; and
c. A technology provider or program manager that offers services through a bank or investment management firm.
(Act 2025-119, §§1, 2.)
(a) Any person or entity, including an Internet or application based entity, may contribute funds to one or more portable benefit accounts.
(b) Where a hiring party contributes to a portable benefit account as a form of compensation, the contribution may not be construed by an Alabama court as any element of an employment relationship, including, but not limited to, for purposes of imposing liability on the hiring party under the Alabama Workers’ Compensation Act, Chapter 5 of Title 25.
(c) A contribution to a portable benefit account may be made using the funds of the hiring party or a percentage of funds withheld from compensation owed to an independent contractor if:
(1) The withholding of compensation is expressly agreed to in writing by both parties;
(2) The written agreement is clear, unambiguous, and prominently displayed either in a services agreement or other contract between the independent contractor and the hiring party or a separate notice;
(3) The withholding of compensation is voluntary and requires an independent contractor to opt in; and
(4) The independent contractor may choose to opt out of the agreement at any time.
(Act 2025-119, §2.)
(a) The following deductions may be made for tax years beginning after December 31, 2025:
(1) A hiring party that contributes its own funds to a portable benefit account as a form of compensation may deduct as a business expense on the Alabama income tax return to compute Alabama taxable income an amount equal to 100 percent of the amount contributed from its own funds during the tax year.
(2) A qualifying independent contractor may deduct, as an adjustment to income on the employee’s Alabama individual income tax return, an amount equal to 100 percent of the amount contributed by a hiring party as a form of compensation to a portable benefit account during the applicable tax year as well as any contributions that the independent contractor made to a portable benefit account during the applicable tax year.
(b) Nothing in this section shall allow any item to be deducted more than once.
(Act 2025-119, §2.)
There shall be a Department of Labor of the State of Alabama, which shall be an executive and administrative department of the state. The Department of Labor shall have a seal, which shall be affixed by the secretary to his or her official acts and deeds and to those of the Department of Labor.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §1; Act 2012-496, p. 1452, §1.)
(a) All powers, duties, and functions and all related records, property, equipment of, employees of, and all contractual rights, obligations of, and unexpended balances of appropriations and other funds or allocations of the Department of Labor shall be transferred to the Department of Industrial Relations which shall be renamed the Department of Labor on October 1, 2012.
(b) Notwithstanding any other provision of law, whenever any act, section of the Code of Alabama 1975, or any other provision of law refers to the Department of Industrial Relations or the Department of Labor or the Director of Industrial Relations, the Commissioner of Labor, or the Secretary of Labor, it shall be deemed a reference to the Department of Labor and the Secretary of Labor created by Act 2012-496.
(Act 2012-496, p. 1452, §§2, 4; Act 2016-203, §1.)
The Alabama Department of Labor is renamed the Alabama Department of Workforce, and the head of the department shall be known and designated as the Secretary of Workforce. Any reference in Alabama law or in any contract, deed, financial instrument or other legal document to the Alabama Department of Labor or Secretary of Labor shall be interpreted to mean the Alabama Department of Workforce or the Secretary of Workforce as necessary to accomplish the purposes of Act 2024-115. The Code Commissioner shall conform references in the Code of Alabama 1975, to existing departments, offices, officers, and other state entities or positions to reflect the changes required by Act 2024-115. Code changes shall be made at a time determined to be appropriate by the Code Commissioner.
(Act 2024-115, §2.)
(a) The general functions and duties of the Department of Workforce shall be as follows:
(1) To administer all labor laws and all laws relating to the relationship between employer and employee, including laws relating to hours of work, and working conditions in places of employment.
(2) To make or cause to be made all necessary inspections to determine whether or not the laws, the administration of which is delegated to the Department of Workforce, and rules issued pursuant thereto, are being complied with by employers and employees, and to take such action as may be necessary to enforce compliance; provided, however, that there shall be no inspection of boilers which have been inspected, approved, and insured by an insurance company authorized to do business in the State of Alabama. Provided, however, that this provision may not prevent compliance verification by the department.
(3) To propose to the board of appeals, provided for in this chapter, such rules or amendments as may be deemed advisable for the prevention of accidents or the prevention of sickness and diseases in mines. The Secretary of Workforce may appoint committees composed of employers, employees, and experts to suggest and assist in the preparation of rules or amendments.
(4) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Chapter 4, and it shall have power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, and to require any reports, and to take any other action, consistent with Chapter 4, necessary or suitable to that end.
(5) To cooperate with all authorities of the United States having powers and duties under the Wagner-Peyser Act, approved June 6, 1933 (48 Stat. 113, United States Code, Title 29, Section 49) entitled “An Act to provide for the establishment of a national employment system and for cooperation with the states in the promotion of such system and for other purposes,” and to do and perform all things necessary to secure for the State of Alabama the benefits of such act and the promotion and maintenance of a system of public employment offices. The Department of Workforce is designated as the state agency and vested with all powers necessary to cooperate with the United States Employment Service or its successor.
(6) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Chapter 5, and it shall have power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, and to require any reports, and to take any other action, consistent with Chapter 5, necessary or suitable to that end.
(7) To make investigations and studies and to collect, collate, and compile statistical information and to make and publish reports concerning the state’s labor force participation rate, unemployment rate, barriers to employment, conditions of labor generally, including living conditions, hours of work, wages paid, and all matters relating to the enforcement and effect of this title coming under the jurisdiction of the Department of Workforce and the rules issued pursuant thereto and other laws relating to the Department of Workforce. The Secretary of Workforce shall deliver a copy of each report to every person making application therefor.
(8) To make an annual report to the Governor covering the activities and accomplishments of the Department of Workforce during the preceding fiscal year, accompanied by the recommendations of the Secretary of Workforce. The report shall be printed and the Secretary of Workforce shall deliver a copy to every person making application therefor.
(9) To make recommendations to the Legislature for the enactment of laws which, on the basis of information and statistics compiled by the Department of Workforce, appear to be desirable for the development and training of the state’s labor force, for protection of laborers, and for promoting and fostering amicable relations between employers and employees.
(10) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Section 25-2-7, and it shall have power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, and to require any reports, and to take any other action, consistent with Section 25-2-7, necessary or suitable to that end.
(11) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Chapter 7 and such other statutes as may be provided by law and to advise the Governor with respect to the provisions thereof, and it shall have power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, and to require any reports, and to take any other action, consistent with Chapter 7, necessary or suitable to that end.
(12) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Chapter 8, and it shall have the power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, and to require any reports, and to take any other action, consistent with Chapter 8, necessary or suitable to that end.
(13) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Chapter 9, and it shall have power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, and to require any reports, and to take any other action, consistent with Chapter 9, necessary or suitable to that end.
(14) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Chapter 10, and it shall have power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, and to require any reports, and to take any other action, consistent with Chapter 10, necessary or suitable to that end.
(15) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Chapter 11, and it shall have power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, and to require any reports, and to take any other action, consistent with Chapter 11, necessary or suitable to that end.
(16) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Chapter 12, and it shall have power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, and to require any reports, and to take any other action, consistent with Chapter 12, necessary or suitable to that end.
(17) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Chapter 13, and to require any reports, and to take any other action, consistent with Chapter 13, necessary or suitable to that end.
(18) To administer and perform, by and under the direction of the Secretary of Workforce, all functions and duties of Chapter 14, and it shall have power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, and to require any reports, and to take any other action, consistent with Chapter 14, necessary or suitable to that end.
(19) To perform the duties set forth in subdivision (a)(5) related to the administration of Title III of the Wagner-Peyser Act and the Employment Service and the Alabama Career Center Systems within the state.
(20) To cooperate with all authorities of the United States concerning the development, management, and delivery of workforce and labor market information funded through the Workforce and Labor Market Information Grants to States (WIGS) to implement the federal Workforce Information Grant.
(21) To cooperate with all authorities of the United States concerning the management and delivery of the Jobs for Veterans State Grants Program.
(22) To cooperate with all authorities of the United States concerning the management and delivery of the federal Work Opportunity Tax Credit.
(23) To cooperate with all authorities of the United States concerning the management and delivery of the Federal Bonding Program.
(24) To administer the Alabama Workforce Board, its executive committee, and the regional workforce boards.
(25) To collaborate with the Alabama Workforce Board, its executive committee, and other state agencies, departments, boards, and commissions to develop cohesive and coordinated workforce development strategies, programs, and budget recommendations.
(26) To administer all workforce development programs currently administered by the Department of Commerce, except for the Alabama Industrial Development Training Institute, including, but not limited to:
a. Programs funded by Title I of the federal Workforce Innovation and Opportunity Act.
b. The Alabama Office of Apprenticeship.
c. The Alabama Committee on Credentialing and Career Pathways.
d. The Alabama Committee on Credential Quality and Transparency.
e. The Alabama STEM Council.
f. The Office of Education and Workforce Statistics.
(b) All state-level staff and state-owned assets assigned to regional workforce councils at the Department of Commerce shall be transferred to the Department of Workforce.
(c) Any employee who is not subject to the Merit System and who is transferred to the Department of Workforce to work for the programs and councils referenced in Section 25-2-2(a)(26) and Section 25-2-2(b) shall serve in the exempt service of the Merit System and maintain his or her salary, benefits, and years of service upon the transfer. All other employees shall remain subject to the Merit System.
(d) Any Merit System employee who is transferred to the Department of Workforce to work for the programs and councils referenced in Section 25-2-2(a)(26) and Section 25-2-2(b) shall be transferred with no decrease in compensation or benefits.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §3; Acts 1943, No. 298, p. 252, §22; Act 2000-706, p. 1479, §1; Act 2012-496, p. 1452, §1; Act 2024-115, §3.)
(a) The Secretary of Workforce, with the approval of the Governor, may establish such division or divisions as, in his or her discretion, may be necessary or desirable for the administration or enforcement of any law or any rule or regulations with which the Department of Workforce is charged or the performance of any of its functions or duties. Each division in the Department of Workforce shall be headed by and be under the direction, supervision, and control of an officer who shall be designated as the chief of such division. All chiefs of divisions shall be appointed by the Secretary of Workforce, subject to the Merit System. Before entering upon the discharge of their duties, the chiefs of divisions shall take the constitutional oath of office. Each of the officers shall devote his or her full time to his or her official duties and shall hold no other lucrative position while serving as such.
(b) In addition to any other exempt positions allowed by law, the department shall have three additional exempt positions. The division employees serving in the exempt service shall not be subject to the Merit System or receive Merit System benefits, and their compensation shall be determined by the secretary.
(c) It is one of the purposes of this chapter to coordinate in a single Unemployment Compensation Division all of the state’s unemployment compensation services. Unemployment compensation services shall be in one division of the Department of Workforce under the direction of the chief of the division. The salary of the division chief may be paid from federal grants and shall be comparable to those paid similar officers in comparable states, notwithstanding any limitation or maximum in any other law. The secretary may employ personnel who shall serve in the classified service of the Merit System to carry out the duties of this division.
(d) It is another purpose of this chapter to coordinate in a single Workforce Pathways Division, all of the department’s workforce development functions and workforce funding mechanisms, including the Alabama Workforce Board; the regional workforce boards; the Employment Service and Alabama Career Center System; the Alabama Office of Apprenticeship; the Alabama STEM Council; the Office of Education and Workforce Statistics; programs funded by Title I of the federal Workforce Innovation and Opportunity Act; the Alabama Committee on Credentialing and Career Pathways; the Alabama Committee on Credential Quality and Transparency; the Workforce and Labor Market Information Grants for states grant program and the Labor Market Division; the Federal Bonding Program; the federal Jobs for Veterans State Grants Program; and the federal Work Opportunity Tax Credit. The secretary may employ a division chief of the Workforce Pathways Division who shall serve in the exempt service. The secretary may employ personnel who shall serve in the classified service of the Merit System to carry out the duties of this division. It is the intent of the Legislature that the Workforce Pathways Division of the Department of Workforce serve as the centralized data and information repository for the workforce development activities of the state.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §25; Acts 1945, No. 348, p. 564; Acts 1947, No. 364, p. 250; Acts 1951, No. 642, p. 1097; Act 2024-115, §4.)
The Secretary of Labor shall, with the approval of the Governor, determine the number of employees needed for the efficient and economical performance of the functions and duties of the Department of Labor. The Secretary of Labor is authorized and empowered to make such agreements as may be necessary or proper with the Secretary of Labor or any other agency, department or bureau of the federal government with respect to the proration of salaries and expenses paid to employees of the Department of Labor whose duties are not exclusively in the performance of the functions of the unemployment compensation division. Before entering upon the duties of their respective offices, the employees of the Department of Labor shall execute to the State of Alabama bonds, to be approved by the Governor, in amounts to be fixed by the Secretary of Labor, for the faithful performance of their duties.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §26; Acts 1943, No. 122, p. 123; Acts 1961, Ex. Sess., No. 208, p. 2190.)
(a) All persons employed by Bishop State Community College, Southern Union State Community College, Bevill State Community College, and the Alabama Community College System who are part of the Alabama Career Center System on July 1, 2015, with no adverse effect as to salary or benefits, shall be transferred, subject to the contingency described in subsection (c), to the Alabama Department of Labor.
(b) All transferred employees shall be placed into Merit System classifications as determined by the State Personnel Department. The State Personnel Department shall credit all transferred employees with his or her years of service while with the Alabama Career Center System. All transferred personnel shall be covered by the Merit System Act and shall be entitled to all privileges and responsibilities as other Merit System employees and their service and removal shall be subject to the Merit System Act and the rules of the State Personnel Department.
(c) Implementation of this section is contingent upon federal Congressional appropriation of adequate funding from the Federal Workforce Investment Act or any successor or similar act for fiscal year 2015 or later, as determined by the Director of Finance.
(d) The Department of Labor shall contribute an amount to the State Employees’ Insurance Fund for each of the retired employees of the Alabama Career Center System equal to any amount appropriated by the state to fund benefits for retired employees as determined by the State Employees’ Insurance Board, contingent upon compliance with federal mandate.
(Act 2015-307, §§1-3.)
Anything in this chapter to the contrary notwithstanding, all employees and officers of the Department of Labor, including the chiefs of divisions but not including the Secretary of Labor, even though he be a chief of a division, shall be subject to the Merit System.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §27.)
(a) The Department of Workforce shall be headed by and shall be under the direction, supervision, and control of an officer who shall be known and designated as the Secretary of Workforce. The Secretary of Workforce shall be the advisor of the Governor and the Legislature in matters relating to workforce development, employer-employee relations, and the welfare of the wage earners of the state. He or she shall be responsible to the Governor for the administration of the Department of Workforce.
(b) The Secretary of Workforce shall be appointed by the Governor and shall hold office at the pleasure of the Governor. To the extent reasonable, the Governor should consider an individual’s experience in workforce development matters, human resources, and the private sector. Vacancies for any reason shall be filled in the same manner as original appointments are made.
(c) Before entering upon the discharge of his or her duties, the Secretary of Workforce shall take the constitutional oath of office. Before entering upon the duties of office, the Secretary of Workforce shall execute to the State of Alabama a bond, to be approved by the Governor, in an amount to be fixed by the Governor, but not less than ten thousand dollars ($10,000), for the faithful performance of the duties of the office. The annual salary of the Secretary of Workforce shall be fixed by the Governor at a sum comparable to salaries paid similar officers in other states, notwithstanding any limitation or maximum in any other law. The salary shall be payable at the same time and in the same manner as the salaries of other state officers. The Secretary of Workforce may make such agreements as may be necessary or proper with the United States of America with respect to the proration of funds from the State of Alabama and funds from the federal government for the salary paid to the Secretary of Workforce by virtue of this section.
(d) The Secretary of Workforce shall devote full time to his or her official duties and shall not hold another office under the government of the United States, or under any other state, or of this state or any political subdivision thereof, during his or her incumbency in the office, and shall not hold any position of trust or profit, or engage in any occupation or business the conduct of which shall interfere or be inconsistent with his or her duties as Secretary of Workforce under this title.
(e) The Secretary of Workforce shall be the state’s primary workforce development officer and shall be responsible for making recommendations to the Governor and the Legislature on state workforce development strategies, which shall be consistent with the Strategic Workforce Plan.
(f)(1) The Secretary of Workforce shall work with the executive committee to develop consolidated state workforce development budget recommendations that are consistent with the Strategic Workforce Plan.
(2) When submitting a budget request pursuant to section 41-4-84, the Secretary of Workforce shall certify that he or she reviewed the WIOA State Plan approved by the board, reviewed the Strategic Workforce Plan developed by the executive committee, solicited feedback from the executive committee at least 30 days prior to submitting the budget request, and presented the budget request to the executive committee at least five days prior to its submission.
(g) The Secretary of Workforce shall solicit annual funding and programmatic recommendations and updates from the Department of Commerce, Alabama Industrial Development Training, the Alabama State Department of Education Career and Technical Education program, the Alabama Community College System, and any other departments or agencies that the secretary requests to submit information.
(h) When submitting a budget request pursuant to Section 41-4-84, the departments and agencies referenced in subsection (g) and any other departments or agencies that request funding for workforce development activities or programs must certify to the Director of Finance that any funding requested for workforce development activities or programs is consistent with the Strategic Workforce Plan.
(i) Within five days of receiving all budget requests required to be submitted pursuant to Section 41-4-84, the Director of Finance shall forward to the Secretary of Workforce and the executive committee all budget requests submitted by the departments and agencies referenced in subsection (g), along with any other budget requests that include funding for workforce development activities or programs.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §2; Acts 1943, No. 122, p. 123; Acts 1947, No. 527, p. 385; Acts 1951, Ex. Sess., No. 11, p. 177; Acts 1961, Ex. Sess., No. 208, p. 2190; Act 2012-496, p. 1452, §1; Act 2016-203, p. 547, §1; Act 2024-115, §6.)
(a) All functions and duties of the Department of Labor shall be exercised by the Secretary of Labor acting personally or by and through such administrative divisions or such officers or employees as he or she may designate. The Secretary of Labor shall have all power and authority necessary or convenient to carry out the functions and duties of the Department of Labor. It shall be the duty of the Secretary of Labor to administer Chapter 4 of this title and he or she shall have power and authority to adopt and enforce all reasonable rules and orders necessary or suitable to that end, require any reports and take any other action consistent with the provisions of Chapter 4 necessary or suitable to that end.
(b) To the end that strikes, lockouts, boycotts, blacklists, and discriminations may be avoided, the secretary shall have authority and it shall be his or her duty to investigate labor disputes and to promote the peaceful and voluntary adjustment and settlement thereof.
(c) It shall be the duty of the secretary to make available to any board of mediation appointed by the Governor pursuant to Section 25-7-4 all data and information in his or her custody or possession relevant or pertinent to any matter which such board of mediation may have been appointed to consider, and to render to any such board of mediation such assistance as it may request of him or her in the discharge of its official duties.
(d) It shall be the duty of the secretary to administer and enforce the Alabama child labor law relating to minimum age of employment, hours of work, places of employment, and prohibited occupations.
(e) It shall be the duty of the secretary to investigate and attempt equitably to adjust controversies in respect to wage claims or alleged wage claims.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §6; Act 2012-496, p. 1452, §1.)
The Secretary of Labor may prescribe such general rules and regulations for the conduct of the Department of Labor as he may deem necessary or expedient to give effect to the provisions of this chapter.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §4.)
The Secretary of Labor or his authorized representative shall have the power and authority to enter any place of employment, place of public assembly or public building for the purpose of collecting facts and statistics relating to the employment of workers or for the purpose of making inspections to determine whether or not the labor law and laws relating to the relationship between employer and employee and the rules and regulations adopted pursuant to the provisions of this chapter are being observed. No employer or owner shall refuse to admit the Secretary of Labor or his authorized representative to his place of employment, public building, or place of public assembly for the purpose of making any reasonable inspection or impede or obstruct him in making any reasonable inspection.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §21.)
The Secretary of Labor shall act as chief and be in immediate charge, supervision and control of the division of the Department of Labor charged with the duties arising under Chapter 4 of this title and the state employment service, thereby coordinating the functions of these two units of the Department of Labor. The Secretary of Labor in assuming these additional duties shall receive no remuneration for such services other than that amount specified as his salary in Section 25-2-6.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §7.)
Nothing in this chapter shall be construed or intended to prevent the Secretary of Labor from conforming, if not in conflict with the provisions of this chapter, to minimum standards heretofore or hereafter adopted or promulgated by the Secretary of Labor or any other agency, department or bureau of the federal government, for the administration of Chapter 4 of this title or employment service. The secretary is hereby empowered and authorized to make such agreements not in conflict with the provisions of this chapter with the Secretary of Labor or any other agency of the federal government, as may be necessary to conform to such minimum standards, or as may be necessary to conform to minimum standards adopted by the Secretary of Labor or any other agency, department or bureau of the federal government in connection with grants to the Department of Labor for the administration of Chapter 4 of this title or employment service.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §29.)
There shall be a Board of Appeals for the Department of Labor. The board shall exercise its own judgment and discretion in all matters entrusted to it, and, to that extent, shall be entirely separate and distinct from and independent of the Department of Labor, but it shall have offices with the Department of Labor, and an employee of the Department of Labor shall act as its clerk. All proper expenses of the board shall be paid from the appropriations to the Department of Labor in the same manner as expenses of the department are paid. There shall be three members of the board, all of whom shall be appointed by the Governor, subject to confirmation by the Senate, for a term of office of six years or until their successors are appointed; except, that the first appointments of members of the board shall be for terms of two, four and six years respectively. One member of the board shall be a person who, on account of his or her previous employment or affiliations, shall be generally classified as a representative of employers. One member of the board shall be a person who, on account of his or her previous employment or affiliations, shall be generally classified as a representative of employees. One member of the board shall represent the interest of the public, shall not be generally classified as a representative of employers or of employees and shall be the chair of the board. Before entering upon the discharge of his or her duties, each member of the board shall take the constitutional oath of office. No member of the board shall be employed by the federal government or the state. Members of the board shall receive no salary but shall be paid for each day or part thereof necessarily spent in the discharge of their official duties, including travel time, an amount to be agreed upon by the Secretary of the Department of Labor and the Governor, the same not to exceed one hundred fifty dollars ($150) per day. The sum total to be paid to each member of the board in any calendar year shall not exceed thirty-six thousand dollars ($36,000) plus travel allowance and expense allowance as provided in Article 2 of Chapter 7 of Title 36. The board may meet as necessary when it has been determined by the Secretary of the Department of Labor that the number of appeals pending before the board shall require that the board meet and hold hearings or review cases. Members of the board shall be subject to impeachment as are other state officers. Vacancies for any reason shall be filled by appointment by the Governor for the unexpired term, and any appointments made while the Senate is not in regular session shall be effective ad interim. No member of the board shall hear or determine an appeal in any case in which he or she is a directly interested party. The board shall not hear or determine any appeal unless each of the three members thereof or their alternates are present. The Governor shall immediately, whenever it is shown to his or her satisfaction that a member of the board is disqualified for any reason or cannot attend a session of the board, appoint an alternate or alternates for the member or members so disqualified or absent.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §8; Acts 1943, No. 410, p. 375; Acts 1949, No. 268, p. 391; Acts 1961, Ex. Sess., No. 274, p. 2298, §1; Acts 1973, No. 1061, p. 1749, Acts 1979, No. 79-708, p. 1260; Acts 1990, No. 90-574, p. 979; Act 2000-674, p. 1341, §1; Act 2014-305, p. 1101, §1.)
(a) The functions and duties of the board of appeals shall be as follows:
(1) To hear and determine appeals under Chapter 4 of this title.
(2) To hold public hearings on proposed safety rules and regulations and amendments and repeals thereof, and to promulgate and publish such rules and regulations and amendments and repeals as provided in this chapter.
(3) To hear and determine appeals from the finding of any officers or employees of the Department of Labor that any machine, tool, equipment or structure is in a dangerous condition or is not properly guarded or is dangerously placed, when the discontinuance of the use thereof has been ordered.
(b) When such appeal is taken by a person affected by such order, no appeal shall be taken from such determination of the board of appeals, except on questions of law or on the ground that the determination is not supported by the preponderance of the evidence; and unless an appeal shall have been taken within 10 days after the determination of the case by the board of appeals and after notice of such determination shall have been mailed by registered or certified mail, postage prepaid, to the person affected by such order at the address furnished by him, or, if none shall have been furnished, at the address of his place of business, such an appeal shall be waived. Such appeals shall be taken to the Court of Civil Appeals.
(c) Any person affected by such order may, however, as an alternative to an appeal to the board of appeals, appeal to the circuit court of the county in which such machine, tool, equipment or structure is located, and the trial in such court shall be de novo, and in such appeal the Secretary of Labor shall be styled as plaintiff and the party appealing as defendant and the burden of proof shall rest upon the secretary. If any such person at the time of taking the appeal shall fail to request a jury, the trial shall be by the court without a jury. If any such person shall request an immediate hearing on such appeal and shall not request a jury trial, such appeal shall be a preferred case and shall be immediately heard and determined by any judge of the circuit court to whom application is made, at any location in the circuit. Either party shall have the right of appeal from the judgment or decree of the circuit court to the Court of Civil Appeals.
(d) Appeals from such finding of the board of appeals or of the circuit court shall be taken within 10 days from the effective date of the same by filing a notice of appeal with the clerk of the board, or clerk of the circuit court, as the case may be, which notice shall describe the finding from which the appeal is taken, and a copy thereof shall forthwith be mailed to the Secretary of Labor by the clerk. An appeal by the defendant from such finding shall operate to supersede the same if at the time of taking said appeal the party taking the same shall file with the notice of appeal a bond in such sum as the board of appeals or judge of the circuit court, as the case may be, may prescribe, with sufficient surety to be approved by the clerk of said board or court, as the case may be, payable to the Secretary of Labor with conditions that the party appealing will prosecute said appeal to effect and if he fail therein will pay all damage which any person may sustain on account of any injury which may be proximately caused by the dangerous condition of the machine, tool, equipment, or structure affected by such finding. All court costs shall be taxed against the party or parties against whom judgment is rendered and against the state when rendered against the Secretary of Labor.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §9.)
The board of appeals shall have power and authority to prescribe its own procedure. A full and complete record shall be kept of all proceedings before the board of appeals by the employee of the Department of Labor designated as its clerk. All testimony in any appeal case before the board of appeals shall be taken down by a stenographer, but need not be transcribed unless an appeal is taken to the court. The testimony in hearings on safety rules and regulations, and amendments and repeals thereof, need not be recorded.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §10.)
The board of appeals shall meet only at such times as the Secretary of Labor or the Governor shall determine a session to be in the public interest and shall notify the members thereof in writing of the time of convening. The board of appeals shall remain in session no longer than is necessary to dispose of matters pending for their consideration and determination or other action.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §11.)
Rules and regulations, or amendments or the repeal thereof, except those affecting the administration of Chapter 4 of this title, may from time to time be proposed to the board of appeals by the Secretary of Labor or any officer or employee of the Department of Labor designated by him or any committee of employers, employees, and experts appointed by him for that purpose. All such rules, regulations, and amendments shall be for the purpose of making more definite and certain the duties of employers as set forth in this chapter, and any rule, regulation or amendment, excepting those affecting administration of Chapter 4 of this title, which does not conform to the standards herein set forth, shall be invalid. The Secretary of Labor shall deliver to any person making application therefor a copy of all rules and regulations as from time to time promulgated under any of the provisions of this chapter.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §14.)
Before any rule or regulation is adopted, amended, or repealed by the board of appeals, there shall be a public hearing thereon, notice of which shall be published at least once, not less than 10 days prior thereto, in a daily newspaper published in Montgomery and in such other newspaper or newspapers as the board of appeals may prescribe. Any person interested shall have a right to be heard at such hearing.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §15.)
All rules and regulations and all amendments and repeals thereof by the board of appeals shall, unless otherwise prescribed by the board of appeals, take effect 30 days after the first publication thereof and after a certified copy thereof shall have been filed in the office of the Secretary of State. Every such rule and regulation adopted and every amendment and repeal thereof by the board of appeals shall be published in such manner as the board of appeals may determine. The Secretary of Labor shall deliver a copy to every person making application therefor, and he shall include the text of each such rule or regulation, and amendment or repeal thereof, in an appendix to the annual report of the Department of Labor next following the adoption, amendment, or repeal of such rule or regulation.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §16.)
If there shall be practical difficulties or unnecessary hardships in carrying out a rule or regulation of the board of appeals, the board may, after a public hearing, make a variation from such requirements if the spirit of the rule and laws shall be observed. Any person affected by such rules, or his agent or attorney, may petition the board for such variations, stating the ground therefor. The board shall fix a date for hearing on such petition and give reasonable notice thereof to the petitioner. A properly indexed record of all variations made shall be kept by the clerk of the board of appeals in the office of the Department of Labor and shall be open to public inspection.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §17.)
Any person in interest, his authorized agent or attorney may petition the board of appeals for a review of the validity or reasonableness of any rule or regulation adopted, amended, or repealed by the board of appeals under the provisions of this chapter. The petition shall be verified, shall be filed with the board of appeals and shall state the rule or regulation proposed to be reviewed and in what respect it is claimed to be invalid or unreasonable. The board may join in one proceeding all petitions alleging the invalidity or unreasonableness of substantially similar rules or regulations. The filing of such petition shall operate to stay all proceedings under such rule or regulation until the determination of such review. The board of appeals shall order a hearing if necessary to determine the issue raised or, if the issues have been considered in a prior proceeding, the board of appeals may, without a hearing, confirm its previous determination. Notice of the time and place of hearing shall be given to the petitioner and such other person as the board of appeals may determine. If the board of appeals finds that the rule or regulation is invalid or unreasonable, it shall revoke or amend it.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §18.)
Any employer, owner or other person in interest, being dissatisfied with any rule or regulation of the board of appeals, may commence an action in the circuit court of the county wherein such employer, owner, or other person in interest resides, or has his or its principal place of business against the Secretary of Labor as defendant to enjoin and set aside any such rule or regulation on the ground that it is invalid or unreasonable. The defendant shall be served with a copy of the complaint. Service of the complaint may be made by serving a copy or second original by the sheriff or any deputy sheriff of any county wherein the Secretary of Labor may be found, or by filing a copy in the office of the Secretary of Labor.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §19.)
Every employer or owner shall furnish to the Department of Labor or the board of appeals any information which the Department of Labor or the board of appeals is authorized to require, and shall make true and specific answers to all reasonable questions, whether submitted orally or in writing, authorized to be put to him. The Secretary of Labor and any authorized representative of the Department of Labor shall, for the purpose of examination, have access to and the right to copy from any book, account, record, payroll, paper, or documents relating to the employment of workers in such manner as may be reasonable and at reasonable times. Information secured under the provisions of this section shall not be published or be open to public inspection in any manner revealing the employer’s or owner’s identity; and any officer, member, or employee of the Department of Labor or the board of appeals guilty of violating this provision shall be subject to the penalties provided in this chapter.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §20.)
The Secretary of Labor, any officer of the Department of Labor designated by the secretary and the members of the board of appeals, in the performance of any function or duty or the execution of any power prescribed by law, shall have the power to administer oaths, certify to official acts, take and cause to be taken depositions of witnesses, issue subpoenas, compel the attendance of witnesses and the production of papers, books, accounts, payrolls, documents, records and testimony. In the event of failure of any person to comply with any subpoena lawfully issued, or on the refusal of any witness to produce evidence or to testify as to any matter regarding which he may be lawfully interrogated, it shall be the duty of any court of competent jurisdiction or of the judge thereof, upon the application of the Secretary of Labor or any officer of the Department of Labor designated by the secretary or any member of the board of appeals, to compel obedience by attachment proceedings for contempt, as in the case of disobedience of the requirements of a subpoena issued for such court or a refusal to testify therein. Witness fees and other expenses involved in proceedings under this section shall be paid to the extent necessary, at rates specified by the Secretary of Labor, from the Unemployment Administration Fund, when such expenses are in connection with the administration of Chapter 4 of this title.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §22.)
It shall be the duty of the qualified attorneys regularly employed by the Department of Labor, or the Attorney General of the state and any district attorney, upon the request of the Secretary of Labor or of any of his authorized representatives, to prosecute any violation of any law, the administration or enforcement of which has been made a duty or function of the Department of Labor, or any rule or regulation adopted pursuant thereto. A district attorney’s fee of $5.00 shall be taxed as costs against any defendant convicted.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §23.)
Any person who violates or fails or refuses to comply with any requirement of this chapter or any lawful rule or regulation of the board of appeals adopted pursuant thereto, for which no penalty has been otherwise provided, shall be guilty of a misdemeanor, and upon conviction thereof shall be fined not less than $10.00 nor more than $100.00 or shall be imprisoned for not more than six months, or both so fined and imprisoned, for each such offense. Each day such violation, omission, failure, or refusal continues shall be deemed a separate offense. Any person who shall knowingly testify falsely, under oath, or shall knowingly make, give, or produce any false statement or false evidence under oath to the Secretary of Labor, or an officer of the Department of Labor designated by him or to any member of the board of appeals, shall be guilty of perjury.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §24.)
All appropriations heretofore and hereafter to be made for the administration of Chapter 4 of this title and all moneys heretofore or hereafter to be allotted or apportioned by the federal government or the Secretary of Labor or his successor or any other federal agency, department, or bureau or received from any other source to or for the State of Alabama for the administration of Chapter 4 of this title shall be held and deposited in and credited to the Unemployment Compensation Fund and expended solely for such administration. All appropriations heretofore or hereafter to be made for the promotion or maintenance of a system of public employment offices and all moneys heretofore or hereafter to be allotted or apportioned by the federal government or the United States Employment Service or its successor, or any other federal agency pursuant to the provisions of the Wagner-Peyser Act or other act of Congress for the purpose of promoting or maintaining a system of public employment offices, shall be held or deposited in and credited to the Employment Service Fund and expended solely for the purpose of promoting and maintaining such assistance.
(Acts 1939, No. 161, p. 232; Code 1940, T. 26, §5.)
(a) In order to assist employees who become unemployed or underemployed as the result of a substantial layoff at or the closing of any plant or industry in Alabama, the Secretary of Labor is hereby directed to provide written material which deals with these problems and offers appropriate suggestions to such workers and to meet with management at such plants or industries and with labor organizations or other organizations including such employees in an attempt to minimize the financial burden on such employees.
(b) The Secretary of Labor is authorized to assist and organize cooperative efforts of such employees or groups to which such employees belong in an effort to minimize the adverse impact of such plant or industry layoff or closing upon such employees and the Secretary of Labor is further directed and authorized, to the extent he or she deems advisable, to engage in whatever other acts or agreements which are appropriate to assist financially such employees and groups made up of such employees, provided that the Secretary of Labor is not authorized to require any employer or employee group to involuntarily contribute to a fund or involuntarily take any other action towards such a goal.
(c) If deemed advisable by the Secretary of Labor, the Secretary of Labor shall assist a plant or industry which closes or has a substantial layoff in endeavoring to communicate with the creditors of its unemployed workers concerning the financial difficulty caused to its ex-employees by such layoff or closing. If there is a substantial layoff at a plant or industry or if there is a closing of a plant or industry and if a state chartered credit union includes within its field of membership the employees of such plant or industry, then the board of directors of such state chartered credit union shall determine whether such layoff or closing has adversely affected the credit union. If the board of directors determines that such layoff or closing has adversely affected the credit union, then such credit union may include within its field of membership persons residing in the general geographic areas surrounding the plants or industries served by such credit union. Any such expansion of the field of membership of such credit union shall not be denied or restricted by any provisions of the law of Alabama heretofore enacted. Any such credit union shall endeavor to assist all such unemployed members by granting them extended periods within which to pay indebtedness owed to the credit union, to the extent deemed advisable by its board of directors.
(d) In order to stabilize the share and deposit base of credit unions which may or could be affected by plant or industry closings or by substantial layoffs, any credit union which includes in its field of membership employees of any particular company or companies shall be authorized to accept shares and deposits from such company or companies, subject to such terms and conditions as the board of directors of the credit union may establish, and such company or companies may become a member of the credit union, subject to such terms and conditions as the board of directors of the credit union may establish.
(e) The Secretary of Labor is further directed and authorized to issue rules, to the extent he or she deems advisable, concerning the instances in which employees at plants or industries which have been closed or have been the subject of substantial layoffs and organizations which include employees of such plants or industries may make appropriate disclosures of the financial situation of such employees and may assist the creditors of such workers in locating them and in arranging voluntary payment plans for their debts; provided however that nothing contained in this section shall be construed so as to authorize any activity which violates any federal act or regulation.
(Act 2012-496, p. 1452, §3.)
[Repealed]
Repealed by Act 2012-496, §5, effective October 1, 2012.
(Acts 1943, No. 298, p. 252, §3.)
[Repealed]
Repealed by Act 2012-496, §5, effective October 1, 2012.
(Acts 1943, No. 298, p. 252, §4; Acts 1951, Ex. Sess., No. 12, p. 178.)
[Repealed]
Repealed by Act 2012-496, §5, effective October 1, 2012.
(Acts 1943, No. 298, p. 252, §5; Act 2000-706, p. 1479, §1.)
[Repealed]
Repealed by Act 2012-496, §5, effective October 1, 2012.
(Acts 1945, No. 519, p. 760.)
[Repealed]
Repealed by Act 2012-496, §5, effective October 1, 2012.
(Acts 1983, No. 83-590, p. 922.)
“Base period,” as used in this chapter, means the first four of the last five completed calendar quarters immediately preceding the first day of an individual benefit year.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §193.)
“Benefits,” as used in this chapter, means the money payable to an individual with respect to his unemployment as provided in this chapter.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §180.)
“Benefit year,” as used in this chapter with respect to any individual, means the one-year period beginning with the first day of the first week with respect to which an individual who is unemployed first files a valid claim for benefits or a claim is filed by an employer on behalf of an employee working less than full time, and thereafter the one-year period beginning with the first day of the first week with respect to which such individual next files a valid claim for benefits or such claim is filed by an employer on behalf of an employee working less than full time, after the termination of his last preceding benefit year. A claim by any such unemployed individual, or a claim filed by an employer on behalf of an employee working less than full time, made in accordance with Section 25-4-90 shall be deemed to be a “valid claim” for the purposes of this section if the individual or such employee working less than full time for whom a claim is filed by an employer, has earned the wages for insured work required under subdivision (a)(5) of Section 25-4-77. Notwithstanding the provisions of this section, if, by reason of a disqualification imposed under subdivision (3) of Section 25-4-78, the individual is not entitled to benefits on account of the wages paid to him in what normally would be his base period, no benefit year shall be established. No other disqualification under Section 25-4-78 and no holding of ineligibility under subdivision (a)(3) of Section 25-4-77 shall make a claim invalid or prevent the establishment of a benefit year.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §194; Acts 1949, No. 525, p. 806, §1; Acts 1955, No. 352, p. 851, §1; Acts 1975, No. 801, §4.)
(a) “Calendar quarter,” as used in this chapter, means the period of three consecutive calendar months ending on March 31, June 30, September 30 or December 31, except as the secretary shall by regulation otherwise prescribe.
(b) “Fiscal year,” as used in this chapter, shall mean the 12 consecutive month period beginning October 1 of each calendar year for employers who make payments in lieu of contributions to the fund. For contributory employers, “fiscal year,” as used in this chapter, shall mean the 12 consecutive month period beginning July 1 of each calendar year beginning January 1, 1996 and thereafter.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §195; Acts 1975, No. 801, §6; Acts 1995, No. 95-311, p. 582, §2.)
(a) “Contributions,” as used in this chapter, means the money payments to the State Unemployment Compensation Fund, required by this chapter, on the basis of a percentage of wages.
(b) “Payments in lieu of contributions,” as used in this chapter, means the money payments to the State Unemployment Compensation Fund, required by this chapter, from employers who reimburse the fund for the amount of regular benefits and extended benefits paid that is attributable to service in the employ of such employers as is required by this chapter.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §182; Acts 1971, No. 166, p. 440, §1; Acts 1980, No. 80-756, p. 1561, §1.)
“Secretary,” as used in this chapter, means the Secretary of Labor or his authorized representatives; except, that during any interim in which there is no duly appointed and qualified Secretary of Labor, the same shall mean the Director of Unemployment Compensation, provided for in Section 25-2-3.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §182; Acts 1961, Ex. Sess., No. 274, p. 2298, §2.)
Except as modified by the provisions of Section 25-4-10 defining “employment,” “employee,” as used in this chapter, means any individual employed by an employer subject to this chapter, in which employment the relationship of master and servant exists between the employee and the person employing him.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §184; Acts 1971, No. 166, p. 440, §2.)
(a) Employer, as used in this chapter, prior to January 1, 1978, shall mean any employing unit which was so defined in this chapter prior to such date.
After December 31, 1977, except as otherwise provided in this chapter, employer, as used in this chapter shall mean:
(1) Any employing unit which, after December 31, 1977:
a. In any calendar quarter in either the current or preceding calendar year paid, for service in employment, wages of one thousand five hundred dollars ($1,500) or more; or
b. For some portion of a day in each of 20 different calendar weeks, whether or not such weeks were consecutive, in either the current or the preceding calendar year, had in employment at least one individual (irrespective of whether the same individual was in employment in each such day).
(2) Any employing unit which, having become an employer under this chapter, has not under Sections 25-4-130 and 25-4-131 ceased to be an employer subject to this chapter.
(3) For the effective period of its election pursuant to Section 25-4-131, any other employing unit which has elected to become fully subject to this chapter.
(4) Any employing unit (whether or not an employing unit at the time of acquisition) which:
a. Acquired at least 65 percent of the organization, trade, employees, or business located in the State of Alabama, or substantially all the assets thereof, of another employing unit which at the time of such acquisition was an employer subject to this chapter; or
b. Acquired a segregable part of the organization, trade, or business of another employing unit which at the time of such acquisition was an employer subject to this chapter; provided, that such segregable part would have been an employer subject to this chapter if such part had constituted its entire organization, trade, or business.
(5) Any employing unit which acquires at least 65 percent of the organization, trade, employees, or business located in the State of Alabama, or substantially all of the assets thereof of another employing unit (not an employer subject to this chapter) and which, if the employment record of such employing unit subsequent to such acquisition, together with the employment record of the acquired unit prior to such acquisition, both within the same calendar year, would be sufficient to constitute an employing unit an employer subject to this chapter.
(6) Any employing unit not an employer by reason of any other paragraph of this section:
a. For which, within either the current or preceding calendar year, service is or was performed with respect to which such employing unit is held liable by the federal government for any federal tax against which credit may be taken for contributions required to be paid into a state unemployment fund; or
b. Which, as a condition for approval of this chapter for full tax credit against the tax imposed by the Federal Unemployment Tax Act, is required, pursuant to such Federal Unemployment Tax Act, to be an employer under this chapter.
(7) Any employing unit for which service in employment as defined in paragraph (a)(2)a. of Section 25-4-10 is performed after December 31, 1971, or for which service in employment as defined in paragraph (a)(2)b. of Section 25-4-10 is performed after December 31, 1977; provided, however, that such service is not excluded from the definition of employment by subsection (b) of Section 25-4-10.
(8) Any employing unit for which service in employment as defined in subdivision (a)(3) of Section 25-4-10 is performed after December 31, 1971.
(9) Any employing unit for which agricultural labor as defined in subdivision (b)(1) of Section 25-4-10 is performed after December 31, 1977, but only if the provisions of paragraph (a)(4)a. of Section 25-4-10 are met.
(10) Any employing unit for which domestic service in employment as defined in paragraph (a)(4)b. of Section 25-4-10 is performed after December 31, 1977.
(11)a. In determining whether or not an employing unit for which service other than domestic service is also performed is an employer under this section other than under subdivision (10) of this subsection, the wages paid to, or the employment of, an employee performing domestic service after December 31, 1977, shall not be taken into account.
b. In determining whether or not an employing unit for which service other than agricultural labor is also performed is an employer under this section other than under subdivisions (7) and (8) of this subsection, the wages paid to, or the employment of, an employee performing service in agricultural labor after December 31, 1977, shall not be taken into account. If an employing unit is determined an employer of agricultural labor, such employing unit shall be determined an employer for the purposes of subdivision (1) of this subsection.
c. The provisions of paragraphs a. and b. of this subdivision notwithstanding, for the purposes of Sections 25-4-51, 25-4-52, 25-4-53, and 25-4-54, any employing unit which is or becomes subject to any subdivision of this subsection other than subdivisions (9) or (10) shall, upon becoming subject to subdivisions (9) or (10) or if, at the time of becoming subject to any other subdivision is already subject to subdivisions (9) or (10), be a single employing unit.
(12) The term employer shall also include any Indian tribe, as herein defined, for which service in employment is performed.
(b) For the purposes of this section, if any week includes both December 31 and January 1, the days of that week up to January 1 shall be deemed one calendar week and the days beginning January 1 another such week.
(c) Notwithstanding any other provision of law, the following shall apply regarding assignment of rates and transfers of experience:
(1) If an employer transfers its trade or business, or a portion thereof, to another employer and, at the time of the transfer, there is substantially common ownership, management, or control of the two employers, then the unemployment experience attributable to the transferred trade or business shall be transferred to the employer to whom such trade or business is so transferred. The rates of both employers shall be recalculated and made effective in accordance with the date such transfer or transfers occurred.
(2) Whenever a person who is not an employer under this section at the time it acquires the trade or business of an employer, the unemployment experience of the acquired trade or business shall not be transferred to such person if the secretary finds that such person acquired the trade or business solely or primarily for the purpose of obtaining a lower rate of contributions. Instead, such person shall be assigned the applicable new employer rate under Section 25-4-51(a)(2). In determining whether the trade or business was acquired solely or primarily for the purpose of obtaining a lower rate of contributions, the secretary shall use objective factors which may include the cost of acquiring the trade or business, whether the person continued the business enterprise of the acquired trade or business, how long such business enterprise was continued, or whether a substantial number of new employees were hired for the performance of duties unrelated to the business activity conducted prior to acquisition.
(3) a. If a person knowingly violates or attempts to violate subdivisions (1) and (2) or any other provision of this section related to determining the assignment of a contribution rate, or if a person knowingly advises another person in a way that results in a violation of such provision, the person shall be subject to the following penalties:
If the person is an employer, then such employer shall be assigned the highest rate assignable under this section for the tax rate year during which such violation or attempted violation occurred and the three tax rate years immediately following the rate year. Notwithstanding the foregoing, if the person’s business is already at such highest tax rate for any year, then a penalty rate of contributions of two percent above the maximum tax rate shall be imposed for such year and the immediately following three tax rate years.
If the person is not an employer, such person shall be subject to a civil monetary penalty of not more than ten thousand dollars ($10,000) or 10 percent of any under reported amount, whichever is greater. All fines shall be deposited in the penalty and interest account established under Section 25-4-142(b).
b. For purposes of this section, the following terms shall have the following meanings:
Knowingly means having actual knowledge of or acting with deliberate ignorance or reckless disregard for the prohibition involved.
Violates or attempts to violate includes, but is not limited to, intent to evade, misrepresentation, or willful nondisclosure.
Person has the meaning given the term by §7701 (a)(1) of the Internal Revenue Code of 1986.
Trade or business includes the employer’s workforce.
In addition to the penalty imposed herein, any violation of this section may be prosecuted as a Class C felony. The secretary shall establish procedures to identify the transfer or acquisition of a trade or business for purposes of this section.
This section shall be interpreted and applied in such a manner as to meet the minimum requirements contained in any guidelines or regulations issued by the United States Department of Labor.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §185; Acts 1943, No. 310, p. 281, §1; Acts 1945, No. 283, p. 449, §7; Acts 1951, No. 644, p. 1098, §1; Acts 1955, No. 29, p. 247; Acts 1971, No. 166, p. 440, §3; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §1; Acts 1996, No. 96-665, p. 1093, §1; Act 2002-94, p. 275, §1; Act 2005-324, 1st Sp. Sess., p. 787, §1; Act 2008-396, p. 766, §1; Act 2014-436, p. 1613, §1.)
“Employing unit,” as used in this chapter, means any individual or type of organization, including any partnership, association, trust estate, joint stock company or corporation, whether domestic or foreign, or the receiver, trustee in bankruptcy, trustee or successor thereof, or the legal representative of a deceased person, which has, or subsequent to January 1, 1935, had in its employ one or more individuals performing services for it within this state. All individuals performing services within this state for any employing unit which maintains two or more separate establishments within this state shall be deemed to be employed by a single employing unit for all the purposes of this chapter.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §183.)
(a) Subject to other provisions of this chapter, “employment” means any of the following:
(1) Any service performed prior to January 1, 1978, which was employment as defined in this section prior to such date and, subject to the other provisions of this section, or services performed for remuneration after December 31, 1977, including service in interstate commerce, by any of the following:
a. Any officer of a corporation.
b. Any individual who, under the usual common law rules applicable in determining the employer-employee relationship, has the status of an employee.
c. Any individual other than an individual who is an employee under paragraphs a. or b. who performs services for remuneration for any person:
As an agent-driver or commission-driver engaged in distributing meat products, bakery products, beverages (other than milk), or laundry or dry cleaning services for a principal; or
As a traveling or city salesperson engaged upon a full-time basis in the solicitation on behalf of, and the transmission to, his or her principal (except for sideline sales activities on behalf of some other person) of orders from wholesalers, retailers, contractors, or operators of hotels, restaurants, or other similar establishments for merchandise for resale or supplies for use in their business operations.
For purposes of this paragraph c., the term “employment” shall include services described in subparagraphs 1. and 2. performed after December 31, 1971, only if all of the following apply:
(i) The contract of service contemplates that substantially all of the services are to be performed personally by such individual.
(ii) The individual does not have a substantial investment in facilities used in connection with the performance of the services (other than in facilities for transportation).
(iii) The services are not in the nature of a single transaction that is not part of a continuing relationship with the person for whom the services are rendered.
(2) Service performed:
a. After December 31, 1971, but prior to January 1, 1978, by an individual in the employ of this state or any of its instrumentalities or political subdivisions or their instrumentalities (or in the employ of any of the foregoing and one or more other states or their instrumentalities or political subdivisions) for a hospital or institution of higher education located in this state; provided, however, that such service is excluded from “employment” as defined in the Federal Unemployment Tax Act solely by reason of Section 3306(c)(7) of that act, and is not excluded from “employment” under subsection (b); provided further, that such service in the employ of a political subdivision or any of its instrumentalities shall be deemed to be “employment” within the meaning of this chapter only if the political subdivision or its instrumentalities has elected to become an employer subject to this chapter pursuant to Section 25-4-131 for all such service in the employ of the political subdivision and its instrumentalities and has not ceased to be an employer subject to Section 25-4-130 or Section 25-4-131; and
b. After December 31, 1977, in the employ of this state or any of its instrumentalities or of any political subdivision thereof or any of its instrumentalities or any instrumentality of more than one of the foregoing or any instrumentality of any one of the foregoing and one or more other states or political subdivisions, provided, however, that such service is excluded from “employment” as defined in the Federal Unemployment Tax Act by Section 3306(c)(7) of that act and is not excluded from “employment” under subsection (b).
c. For the purposes of this chapter, the term “governmental entity” in reference to this state is defined as the entirety of state government, but for the purposes of reporting, accounting, or other administrative procedures, such entity shall be divided into each department, agency, board, commission, and any other separately organized division or instrumentality of this state. The state Comptroller shall make payments to the secretary as are required by the other provisions of this chapter as they pertain to the various organizational components of the state. The state Comptroller may require of such components such payments as are necessary to discharge his or her responsibilities and shall enforce such payments under the provisions of subsection (b) of Section 25-4-51.
d. The term “governmental entity” in reference to any political subdivision is defined as each county and its instrumentalities and each municipality and its instrumentalities, except that each instrumentality of a political subdivision which is separately incorporated or otherwise removed from the control of the governing body of the political subdivision shall be a separate governmental entity. Instrumentalities organized and operated jointly by any combination of two or more of the aforementioned entities shall be considered as constituting a separate governmental entity. The foregoing notwithstanding, each separate public school system shall constitute a separate governmental entity.
(3) Service performed after December 31, 1971, by an individual in the employ of a religious, charitable, educational, or other organization but only if all of the following conditions are met:
a. The service is excluded from “employment” as defined in the Federal Unemployment Tax Act solely by reason of Section 3306(c)(8) of that act, and is not excluded from “employment” under subdivisions (b)(8) and (b)(21).
b. The organization had four or more individuals in employment for some portion of a day in each of 20 different weeks, whether or not such weeks were consecutive, within either the current or preceding calendar year, regardless of whether they were employed at the same moment of time.
(4)a. Service performed after December 31, 1977, by an individual in agricultural labor, as defined in subdivision (b)(1), when:
(i) During any calendar quarter in either the current or the preceding calendar year paid remuneration in cash of $20,000 or more to individuals employed in agricultural labor (not taking into account service in agricultural labor performed before January 1, 1984, by an alien referred to in subparagraph 2.).
(ii) For some portion of a day in each of 20 different calendar weeks, whether or not such weeks were consecutive, in either the current or the preceding calendar year, employed in agricultural labor (not taking into account service in agricultural labor performed before January 1, 1984, by an alien referred to in subparagraph 2.), 10 or more individuals, regardless of whether they were employed at the same moment of time.
For the purposes of this paragraph a., such service is not considered to be performed in agricultural labor if performed before January 1, 1984, by an individual who is an alien admitted to the United States to perform service in agricultural labor pursuant to Sections 214(c) and 101(a)(15)(H) of the Immigration and Nationality Act.
For the purposes of this paragraph a., any individual who is a member of a crew furnished by a crew leader to perform service in agricultural labor for any other person shall be treated as an employee of such crew leader.
(i) If such crew leader holds a valid certificate of registration under the Farm Labor Contractor Registration Act of 1963, or substantially all the members of such crew operate or maintain tractors, mechanized harvesting or crop dusting equipment, or any other mechanized equipment, which is provided by such crew leader; and
(ii) If such individual is not an employee of any other person within the meaning of subdivision (1) of this subsection.
(i) Such other person and not the crew leader shall be treated as the employer of such individual; and
(ii) Such other person shall be treated as having paid cash remuneration to such individual in an amount equal to the amount of cash remuneration paid to such individual by the crew leader (either on his or her own behalf or on the behalf of such other person) for the service in agricultural labor performed for such other person.
(i) Furnishes individuals to perform service in agricultural labor for any other persons;
(ii) Pays (either on his or her own behalf or on behalf of such other person) the individuals so furnished by him or her for the service in agricultural labor performed by them; and
(iii) Has not entered into a written agreement with the farm operator under which such crew leader is designated as an employee of such farm operator.
b. Domestic service after December 31, 1977, in a private home, local college club, or local chapter of a college fraternity or sorority performed for a person, his or her spouse, or estate who paid cash remuneration of one thousand dollars ($1,000) or more in any calendar quarter in the current calendar year or the preceding calendar year to individuals employed in such domestic service.
For the purposes of this paragraph b. the term “domestic service” includes all service for a person in the operation and maintenance of a private household, local college club, or local chapter of a college fraternity or sorority as distinguished from service as an employee in the pursuit of an employer’s trade, occupation, profession, enterprise, or vocation.
(5) The service of an individual who is a citizen of the United States, performed outside the United States after December 31, 1971, (except in Canada or in the case of the Virgin Islands after December 31, 1971, and prior to January 1 of the year following the year in which the U.S. Secretary of Labor approves the Unemployment Compensation Law of the Virgin Islands under Section 3304(a) of the Internal Revenue Code of 1954) in the employ of an American employer (other than service which is deemed “employment” under the provisions of subdivision (8) or (9) or the parallel provisions of another state’s law), if:
a. The employer’s principal place of business in the United States is located in this state; or
b. The employer has no place of business in the United States, but:
The employer is an individual who is a resident of this state; or
The employer is a corporation that is organized under the laws of this state; or
The employer is a partnership or a trust and the number of the partners or trustees who are residents of this state is greater than the number who are residents of any other state; or
c. None of the criteria of paragraphs a. and b. of this subdivision (5) is met but the employer has elected coverage in this state, or the employer having failed to elect coverage in any state, the individual has filed a claim for benefits, based on such service, under the law of this state.
d. An “American employer,” for the purpose of this subsection, means a person who is:
An individual who is a resident of the United States; or
A partnership, if two-thirds or more of the partners are residents of the United States; or
A trust, if all of the trustees are residents of the United States; or
A corporation organized under the laws of the United States or of any state.
e. For the purposes of this subdivision (5), the term “United States” includes the states of the United States, the District of Columbia, the Commonwealth of Puerto Rico, and in the case of the Virgin Islands, after December 31 of the year in which the U.S. Secretary of Labor approves the Virgin Islands’ Unemployment Insurance Law for the first time.
(6) Notwithstanding subdivision (8), all service performed by an officer or a member of the crew of an American vessel on or in connection with such vessel, if the operating office from which the operations of such vessel operating on navigable waters within, or within and without, the United States are ordinarily and regularly supervised, managed, directed, and controlled, is within this state.
(7) Notwithstanding any other provisions of this section, service with respect to which a tax is required to be paid under any federal law imposing a tax against which credit may be taken for contributions required to be paid into a state unemployment fund or which as a condition for full tax credit against the tax imposed by the Federal Unemployment Tax Act is required to be covered under this chapter.
(8) Subject to the other provisions of this section, an employee’s entire service, performed within or both within and without this state if:
a.1. The service is localized in this state; or
b. Service shall be deemed to be localized within a state if the service is performed entirely within such state, or the service is performed both within and without such state, but the service performed without such state is incidental to the employee’s service within the state; for example, service that is temporary or transitory in nature or consists of isolated transactions.
c. The service shall be deemed to be localized in this state wherever such service is performed within the United States, as defined in paragraph (5)e., if such service is not covered under the unemployment compensation law of any other state, as defined in Section 25-4-14, and the place from which such service is directed or controlled is in this state.
(9) Services not covered under subdivision (8) and performed entirely without the state, with respect to no part of which contributions are required and paid under an unemployment compensation law of any other state or of the federal government, shall be deemed to be employment subject to this chapter if the employee performing such service is a resident of this state and the secretary approves the election of the employing unit for whom such services are performed. The entire service of such employee shall be deemed to be “employment” subject to this chapter.
(10) A person’s entire services if such service is deemed performed in this state by virtue of reciprocal agreements pursuant to the provisions of Section 25-4-120 and does not include any service which by virtue of such agreement is deemed performed in another state.
(11) Services in the employ of an Indian tribe. The term “Indian tribe” has the meaning given the term by Section 4(e) of the Indian Self-Determination and Education Assistance Act, 25 U.S.C. § 5304, and includes any subdivision, subsidiary, or business enterprise wholly owned by the Indian tribe.
(b) The term “employment” shall not include:
(1) Except as provided in paragraph (a)(4)a., service performed by an individual in agricultural labor. For purposes of this chapter, the term “agricultural labor” means any service performed prior to January 1, 1978, which was agricultural labor as defined in this section prior to such date, and remunerated service performed after December 31, 1977, if such service was performed:
a. On a farm, in the employ of any employing unit, in connection with cultivating the soil, or in connection with raising or harvesting any agricultural or horticultural commodity, including the raising, shearing, feeding, caring for, training, and management of livestock, bees, poultry, and fur-bearing animals and wildlife.
b. In the employ of the owner or tenant or other operator of a farm, in connection with the operation, management, conservation, improvement, or maintenance of such farm and its tools and equipment, or in salvaging timber or clearing land of brush and other debris left by a hurricane, if the major part of such service is performed on a farm.
c. In connection with the production or harvesting of any commodity defined as an agricultural commodity in Section 15(g) of the Agricultural Marketing Act, as amended (46 Stat. 1550, Sec. 3; 12 U.S.C. § 1141j), or in connection with the ginning of cotton, or in connection with the operation or maintenance of ditches, canals, reservoirs, or waterways, not owned or operated for profit, used exclusively for supplying and storing water for farming purposes.
d. In the employ of the operator of a farm, a group of operators of farms (or a cooperative organization of which such operators are members) in handling, planting, drying, packing, packaging, processing, freezing, grading, storing, or delivering to storage or to market or to a carrier for transportation to market, in its unmanufactured state, any agricultural or horticultural commodities, but only if such operator or group of operators (or a cooperative organization of which such operators are members) produced more than one half of the commodity with respect to which service is performed; provided, however, the provisions of this paragraph shall not be deemed to be applicable with respect to service performed in connection with commercial canning or commercial freezing or in connection with any agricultural or horticultural commodity after its delivery to a terminal market for distribution for consumption.
e. On a farm operated for profit if such service is not in the course of the employer’s trade or business.
As used in this subdivision, the term “farm” includes stock, dairy, poultry, fruit, fur-bearing animal and truck farms, plantations, ranches, nurseries, ranges, greenhouses, or other similar structures used primarily for the raising of agricultural or horticultural commodities, and orchards.
(2) Prior to January 1, 1978, domestic services in a private home, local college club, or local chapter of a college fraternity or sorority and after December 31, 1977, if the provisions of paragraph (a)(4)b. are not met.
(3) Casual labor not in the usual course of the employer’s trade or business performed after December 31, 1971, in any calendar quarter by an individual, unless the cash remuneration paid for such service is fifty dollars ($50) or more and such service is performed by an individual who is regularly employed by such employing unit to perform such service. For the purposes of this subdivision, an individual shall be deemed to be regularly employed to perform service not in the course of an employing unit’s trade or business during a calendar quarter only if either of the following apply:
a. On each of some 24 days during such quarter such individual performs such service for some portion of the day.
b. Such individual was regularly employed, as determined under paragraph a., by such employing unit in the performance of such service during the preceding calendar quarter.
(4) Service performed by an individual in the employ of his or her son, daughter, or spouse, and service performed by an individual under the age of 21 in the employ of his or her father or mother.
(5) Prior to January 1, 1978, except to the extent set forth in subdivision (a)(2), service performed in the employ of this state, or any political subdivision thereof, or of any instrumentality of this state or its political subdivisions.
(6) Prior to January 1, 1978, except as provided in subdivision (a)(2), service performed in the employ of any other state or any political subdivisions thereof, or any instrumentality of any one or more of the foregoing which is wholly owned by one or more such states or political subdivisions, and any service performed in the employ of any instrumentality of any one or more other states or their political subdivisions to the extent that the instrumentality is, with respect to such service, immune, under the Constitution of the United States from the tax imposed by 26 U.S.C. § 3301.
(7) Service performed in the employ of the United States government or of any instrumentality wholly owned by the United States, except that if the Congress of the United States shall permit states to require any instrumentalities of the United States to make payments into an unemployment fund under this chapter, then to the extent permitted by Congress and from and after the date as of which such permission becomes effective, this chapter shall be applicable to such instrumentalities and to services performed by employees for such instrumentalities in the same manner, to the same extent, and on the same terms as to all other employers and employing units; provided, however, if this state should not be certified by the Secretary of Labor under 26 U.S.C. § 3304(c) for any year, then the payment required of such instrumentality with respect to such year shall be deemed to have been erroneously collected within the meaning of Article 3 of this chapter and shall be refunded by the secretary from the fund in accordance with Section 25-4-137.
(8) Except to the extent set forth in subdivision (a)(3), service performed in the employ of a corporation, community chest, fund, or foundation organized and operated exclusively for religious, charitable, scientific, literary, or educational purposes, or for the prevention of cruelty to children or animals, no part of the net earnings of which inures to the benefit of any private shareholder or individual, and no substantial part of the activities of which is carrying on propaganda, or otherwise attempting to influence legislation.
(9) Service performed after June 30, 1939, with respect to which unemployment compensation is payable under the Railroad Unemployment Insurance Act of Congress (52 Stat. 1094, as amended) and services with respect to which unemployment compensation is payable under any other unemployment compensation system established by an act of Congress; provided, however, that the secretary is hereby authorized and directed to enter into agreements with the proper agencies under such act or acts of Congress, which agreements shall become effective 10 days after publication thereof in the manner provided in Section 25-4-111 for general rules to provide reciprocal treatment to individuals who have, after acquiring potential rights to benefits under this chapter, acquired rights to unemployment compensation under such act or acts of Congress, or who have, after acquiring potential rights to unemployment compensation under such act or acts of Congress, acquired rights to benefits under this chapter.
(10) Service performed by an individual as an insurance agent or as an insurance solicitor, if all such service performed by such individual is performed for remuneration solely by way of commission.
(11) Service performed, in the employ of a school, college, or university, if such service is performed by either of the following:
a. By a student who is enrolled and is regularly attending classes at such school, college, or university.
b. By the spouse of such a student, if such spouse is advised at the time such spouse commences to perform such service, that:
The employment of such spouse to perform such service is provided under a program to provide financial assistance to such student by such school, college, or university; and
Such employment will not be covered by any program of unemployment insurance.
(12) Service performed by an individual who is enrolled at a nonprofit or public educational institution that normally maintains a regular faculty and curriculum and normally has a regularly organized body of students in attendance at the place where its educational activities are carried on, as a student in a full-time program, taken for credit at such institution, which combines academic instruction with work experience, if such service is an integral part of such program, and such institution has so certified to the employer, except this subdivision shall not apply to service performed in a program established for or on behalf of an employer or group of employers.
(13) Service performed in the employ of a hospital, if such service is performed by a patient of the hospital, as defined in subsection (e), or service performed as a student nurse in the employ of a hospital or a nurses’ training school by an individual who is enrolled and is regularly attending classes in a nurses’ training school chartered or approved pursuant to state laws, and service performed as an intern in the employ of a hospital by an individual who has completed a four-year course in a medical school chartered or approved pursuant to state law.
(14) Service performed by an individual under the age of 18 in the delivery or distribution of newspapers or shopping news, not including delivery or distribution to any point for subsequent delivery or distribution.
(15) Except as provided in subdivisions (2) and (3) of subsection (a), any employment or service that is excluded by the express statutory provisions of 26 U.S.C. § 3306.
(16) Service performed by an officer or member of the crew of a vessel that is not an American vessel. The term “American vessel” means any vessel documented or numbered under the law of the United States, and includes any vessel that is neither documented nor numbered under the laws of the United States nor documented under the laws of any foreign country, if its crew is employed solely by one or more citizens or residents of the United States or corporations organized under the laws of the United States or of any state.
(17) Service performed by an individual in (or as an officer or member of the crew of a vessel while it is engaged in) the catching, taking, harvesting, cultivating, or farming of any kind of fish, shellfish, crustacea, sponges, seaweeds, or other aquatic forms of animal and vegetable life (including service performed by any such individual as an ordinary incident to any such activity), except:
a. Service performed in connection with the catching or taking of salmon or halibut for commercial purposes; and
b. Service performed on or in connection with a vessel of more than 10 net tons (determined in the manner provided for determining the register tonnage of merchant vessels under the laws of the United States).
(18) Service performed in the employ of a foreign government (including service as a consular or other officer or employee or a nondiplomatic representative).
(19) Service performed in the employ of an instrumentality wholly owned by a foreign government if both of the following apply:
a. The service is of a character similar to that performed in foreign countries by employees of the United States government or of an instrumentality thereof.
b. The secretary finds that the United States Secretary of State has certified to the United States Secretary of the Treasury that the foreign government, with respect to whose instrumentality exemption is claimed, grants an equivalent exemption with respect to similar service performed in the foreign country by employees of the United States government and of instrumentalities thereof.
(20) Except to the extent set forth in subdivision (a)(3), service performed in any calendar quarter in the employ of any organization exempt from income tax under 26 U.S.C. § 501(a) (other than organizations described in 26 U.S.C. § 401(a)) or under 26 U.S.C. § 521, if the remuneration for such service is less than fifty dollars ($50).
(21) Services performed for any governmental entity, institution, or organization described in subdivisions (a)(2) and (a)(3):
a. In the employ of either of the following:
A church or convention or association of churches.
An organization that is operated primarily for religious purposes and which is either operated, supervised, controlled, or principally supported by a church or convention or association of churches; or
b. By a duly ordained, commissioned, or licensed minister of a church in the exercise of his or her ministry or by a member of a religious order in the exercise of duties required by such order; or
c. Except as provided in subdivision (a)(7) of Section 25-4-8:
Prior to January 1, 1978, in the employ of a school that is not an institution of higher education;
After December 31, 1977, in the employ of a governmental entity referred to in paragraph (a)(2)b., if such service is performed by an individual in the exercise of any of the following duties:
(i) As an elected official.
(ii) As a member of a legislative body, or a member of the judiciary of this state or any of its political subdivisions, or of an Indian tribe.
(iii) As a member of the State National Guard or Air National Guard.
(iv) As an employee serving on a temporary basis in case of fire, storm, snow, earthquake, flood, or similar emergency (this exclusion does not apply to permanent employees whose usual responsibilities include emergency situations).
(v) In a position that, under or pursuant to the laws of this state or of an Indian tribe, is designated as a major nontenured policymaking or advisory position or a policymaking or advisory position the performance of the duties of which ordinarily does not require more than eight hours per week.
d. In a facility conducted for the purpose of carrying out a program of rehabilitation for individuals whose earning capacity is impaired by age or physical or mental deficiency or injury or providing remunerative work for individuals who because of their impaired physical or mental capacity cannot be readily absorbed in the competitive labor market by an individual receiving such rehabilitation or remunerative work; provided, however, if an individual’s employment is otherwise characterized as employment under subsection (a) and the individual is performing work under the Javits Wagner O’Day Act or a similar set-aside program under the laws of the United States, the individual’s employment shall be considered employment under subsection (a) as of the date of such written election.
e. As part of an unemployment work relief or work training program assisted or financed in whole or in part by any federal agency or an agency of a state or political subdivision thereof or of an Indian tribe, by an individual receiving such work relief or work training; or
f. For a hospital in a state prison or other state correctional institution prior to January 1, 1978, by an inmate of the prison or correctional institution and, after December 31, 1977, by an inmate of a custodial or penal institution.
(22) Services performed by an individual as a qualified real estate agent. For the purposes of this chapter the term “qualified real estate agent” shall mean an individual who is a sales person if all of the following apply:
a. Such individual is a licensed real estate agent.
b. Substantially all of the remuneration for services performed as a real estate agent (whether or not paid in cash) is directly related to sales or other output (including the performance of services), rather than the number of hours worked.
c. The services performed by the individual are performed pursuant to a written contract between such individual and the person for whom the services are performed and such contract provides that the individual will not be treated as an employee with respect to such services for federal tax purposes.
(23) Services performed by an individual as a direct seller. For the purposes of this chapter, the term “direct seller” shall mean any individual who:
a. Is engaged in the trade or business of selling (or soliciting the sale of) consumer products to any buyer on a:
Buy-sell basis, or
Deposit-commission basis, or
Any similar basis which the U.S. Secretary of the Treasury prescribes by regulations, for resale (by the buyer or any other individual), in the home or otherwise than in a permanent retail establishment; or
b. Is engaged in the trade or business of selling (or soliciting the sale of) consumer products to a consumer in the home or otherwise than in a permanent retail establishment; and
c. Substantially all of the remuneration for the services performed by such individual as a direct seller (whether or not paid in cash) is directly related to sales or output (including the performance of services) rather than to the number of hours worked; and
d. The services performed by such individual are performed pursuant to a written contract between such individual and the person for whom the services are performed and such contract provides that the individual will not be treated as an employee with respect to such services for federal tax purposes.
(24) Services performed by an individual as a product demonstrator. For the purposes of this chapter, the term “product demonstrator” shall mean any individual who satisfies both of the following requirements:
a. Is engaged in the trade or business of demonstrating, exhibiting, or soliciting the purchase of food, food-related products offered for sale, or other consumer products offered for sale to any buyer on the premises of a grocery store, dry good store, or similar retail establishment, or trade show.
b. Performs those services pursuant to a written contract between the individual and a person whose principal business is providing demonstrators to third parties for such purposes and the contract provides that the individual will not be treated as an employee with respect to the services for federal tax purposes.
(25) Services performed by an individual committed to a penal institution.
(26) A marketplace contractor that interfaces with a marketplace platform in the provision of some service to the public.
a. For the purposes of this chapter, “marketplace contractor” means an individual or entity that enters into an agreement with a marketplace platform to use its digital network or mobile application to receive connections to third-party individuals or entities seeking services.
b. For purposes of this chapter, “marketplace platform” means an individual or entity that does either of the following:
Offers a digital network or mobile application that connects marketplace contractors to third-party individuals or entities seeking the type of services offered by a marketplace contractor.
Accepts service requests from the public exclusively through its digital network or mobile application and does not accept service requests by telephone, facsimile, or in person at a physical retail location.
c. A marketplace contractor shall not be deemed to be an employee of a marketplace platform for any purpose under this chapter so long as all of the following apply:
The marketplace contractor and the marketplace platform agree in writing that the marketplace contractor is an independent contractor with respect to the marketplace platform.
The marketplace platform does not unilaterally prescribe specific hours during which the marketplace contractor must be available to accept service requests from third-party individuals or entities submitted solely through the online-enabled application, software, website, or system of the marketplace platform.
The marketplace platform does not contractually prohibit the marketplace contractor from using any online-enabled application, software, website, or system offered by another marketplace platform, except while performing services through the marketplace platform’s online-enabled application or platform.
The marketplace platform does not restrict the marketplace contractor from engaging in another occupation or business.
The marketplace contractor bears all or substantially all of the expenses incurred by the marketplace contractor in performing the services. Automobile liability insurance premiums shall not be considered an expense to be evaluated under this subparagraph.
The marketplace platform does not mandate furnished equipment or tools essential for the performance of the work, unless otherwise required by law or for safety purposes.
d. For services performed by a marketplace contractor prior to August 1, 2022, the marketplace contractor shall be treated as an independent contractor of the marketplace platform and not an employee of the marketplace platform if the requirements set forth in paragraph c. were met at the time the services were performed.
e. This subdivision shall not apply to services performed for state and local government entities, or federally recognized Indian tribes provided such services are excluded from employment as defined in 26 U.S.C. §§ 3301 to 3311, or services performed in the employment of a religious, charitable, educational, or other 26 U.S.C. § 501(c)(3) organization, all as described in 26 U.S.C. § 3306 (c)(7) or (8).
(c) “Institution of higher education,” for the purposes of this chapter, means an educational institution to which all of the following apply:
(1) Admits as regular students only individuals having a certificate of graduation from a high school, or the recognized equivalent of such a certificate.
(2) Is legally authorized in this state to provide a program of education beyond high school.
(3) Provides an educational program for which it awards a bachelor’s or higher degree, or provides a program which is acceptable for full credit toward such a degree, or a program of postgraduate or postdoctoral studies, or a program of training to prepare students for gainful employment in a recognized occupation.
(d) For the purposes of this chapter, the term “educational institution” means an educational institution, including an institution of higher education as defined in subsection (c), in which all of the following apply:
(1) Participants, trainees, or students are offered an organized course of study or training designed to transfer to them knowledge, skills, information, doctrines, attitudes, or abilities from, by, or under the guidance of one or more instructors or teachers.
(2) It is approved, licensed, or issued a permit to operate as a school by the State Department of Education or other government agency that is authorized within the state to approve, license, or issue a permit for the operation of a school.
(3) The courses of study or training which it offers may be academic, technical, trade, or preparation for gainful employment in a recognized occupation, as opposed to study or training in the social graces or skills or whose primary purpose is to provide baby-sitting or day care services although some learning activities may be included.
In any particular case, the question of whether or not an institution is an educational institution (other than an institution of higher education) within the meaning of the criteria described above will depend on what that particular institution actually does.
(e) “Hospital” means an institution that has been licensed, certified, or approved by the State Board of Health or the State Department of Mental Health as a hospital or a similar institution operated by the state or any of its political subdivisions or by an instrumentality of either of the foregoing.
(f) If the services performed during one half or more of any pay period by an employee for the employing unit employing him or her constitute employment, all of the services of such employee for such period shall be deemed to be employment, but if the services performed during more than one half of any such pay period by an employee for the employing unit employing him or her do not constitute employment, then none of the services of such employee for such period shall be deemed to be employment. As used in this subsection the term “pay period” means a period of not more than 31 consecutive days for which a payment or remuneration is ordinarily made to the employee by the employing unit employing the employee.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §186; Acts 1945, No. 283, p. 449, §1; Acts 1971, No. 166, p. 440, §4; Acts 1975, No. 801, p. 1604, §§1, 2; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §2; Acts 1980, No. 80-756, p. 1561, §2; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §1; Acts 1993, No. 93-751, §1; Acts 1996, No. 96-260, p. 289, §1; Acts 1996, No. 96-665, p. 1093, §1; Act 98-364, p. 634, §1; Act 2002-94, p. 275, §1; Act 2002-493, p. 1247, §1; Act 2022-197, §1.)
“Employment office,” as used in this chapter, means a free public employment office or a branch thereof operated by this or any other state as a part of a state controlled system of public employment offices or by a federal agency charged with the administration of an unemployment compensation program or free public employment offices.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §187; Acts 1943, No. 310, p. 281, §2.)
“Fund,” as used in this chapter, means the Unemployment Compensation Fund established by this chapter, to which all contributions and payments in lieu of contributions and from which all benefits required under this chapter shall be paid. All interest earned on the fund shall be credited to said fund.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §189; Acts 1971, No. 166, p. 440, §5.)
“Insured work,” as used in this chapter, means “employment” for “employers.”
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §196.)
“State,” as used in this chapter, includes, in addition to the states of the United States, the District of Columbia, the Virgin Islands, Puerto Rico, and Canada.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §188; Acts 1967, No. 167, p. 499, §1; Acts 1971, No. 88, p. 349, §1.)
“Unemployment Administration Fund,” as used in this chapter, means the Unemployment Compensation Administration Fund established by this chapter.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §190.)
(a) Prior to January 1, 1983, “wages,” as used in this chapter, shall mean such remuneration as was defined in this section prior to such date.
(b) On and after January 1, 1983, “wages,” as used in this chapter, shall mean every form of remuneration paid or received for personal services, including the cash value of any remuneration paid in any medium other than cash. The reasonable cash value of remuneration paid in any medium other than cash shall be determined in accordance with rules prescribed by the director; except that effective on May 28, 1980, and for the purposes of reporting and computing the amount of contributions due, back pay awarded as the result of an agreement, arbitration, or order of a court of competent jurisdiction on a retroactive basis shall be considered “wages” during the calendar quarter in which such retroactive payments are made. The term “wages,” however, shall not include:
(1) That part of remuneration, which after remuneration equal to $8,000.00 (or such greater amount as may be or become 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) has been paid in a calendar year to an individual by an employer or his predecessor employer or by a combination of both the employer and his predecessor employer with respect to employment during any calendar year, is paid to such individual by such employer during such calendar year except with respect to subdivisions (1) and (2) of subsection (a), subdivision (4) of subsection (b) and subsection (c) of Section 25-4-54 and Sections 25-4-71 through 25-4-75. For the purpose of this subdivision (1), the term “employment” shall include service constituting employment under any unemployment compensation law of another state or of this state.
(2) The amount of any payments (including any amount paid by an employer for insurance or annuities, or into a fund to provide for any such payment) made to, or on behalf of an employee or any of his dependents under a plan or system established by an employer which makes provisions for his employees generally (or for his employees generally and their dependents) or for a class or classes of his employees (or for a class or classes of his employees and their dependents), on account of:
a. Retirement; or
b. Sickness or accident disability; or
c. Medical or hospitalization expenses in connection with sickness or accident disability; or
d. Death; or
e. Effective January 1, 1996, sick pay wages made by an employer to, or on behalf of, an employee after the expiration of six calendar months following the last calendar month in which the employee worked for such employer.
(3) Any payment made to an employee (including any amount paid by an employer for insurance or annuities, or into a fund to provide for any such payment) on account of retirement.
(4) Any payment made by an employer to, or on behalf of, any employee or his beneficiary:
a. From or to a trust which meets the requirements of Section 401(k) of the federal Internal Revenue Code and which is exempt from tax under Section 501(a) of the federal Internal Revenue Code at the time of such payment unless such payment is made to an employee of the trust as remuneration for services rendered as such employee and not as a beneficiary of the trust; or
b. Under or to an annuity plan which, at the time of such payment, meets the requirements of Section 401(a) (3), (4), (5), and (6) of the federal Internal Revenue Code.
(5) The payment by an employer (without deduction from the remuneration of the employee) of the tax imposed upon an employee under Article 3 of this chapter, or of the tax imposed upon an employee by Section 3101 of the federal Internal Revenue Code, as amended, with respect only to remuneration paid to an employee for domestic service in a private home or for agricultural labor.
(6) Remuneration paid in any medium other than cash to an employee for agricultural or domestic services or for services not in the course of the employer’s trade or business.
(7) Any payment (other than vacation or sick pay) made to an employee after the month in which he attains the age of 65, if he did not work for the employer in the period for which such payment is made.
(8) Dismissal or severance payments.
(9) Payments made into a fund by an employer to provide for supplemental unemployment benefits under a plan established to provide such benefits to employees in general, or a group or class of employees, of such employer.
(10) Payments made, or benefits furnished, to or for the benefit of an employee if, at the time of the payment or the furnishing of the benefit, it is reasonable to believe that the employee will be able to exclude the payment or benefit from income under Section 127 of the Internal Revenue Code.
(11) Payments made in connection with services excluded from the definition of employment in Section 25-4-10(b)(21)c.2.(iii).
(12) Earnings for weekend or equivalent individual drill training services for National Guard and United States Armed Forces reservists.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §191; Acts 1943, No. 310, p. 281, §3; Acts 1949, No. 286, p. 412; Acts 1951, No. 644, p. 1098; Acts 1961, Ex. Sess., No. 274, p. 2298, §3; Acts 1971, No. 166, p. 440, §6; Acts 1975, No. 801, p. 1604, §3; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §3; Acts 1980, No. 80-807, p. 1651, §1; Acts 1982, No. 82-372, p. 533, §1; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §2; Acts 1995, No. 95-311, p. 582, §2; Acts 1996, No. 96-665, p. 1093, §1; Act 98-364, p. 634, §1; Act 2001-694, p. 1453, §1.)
“Week,” as used in this chapter, means such period of seven consecutive days, as the secretary may by regulation prescribe. The secretary may by regulation prescribe that a week shall be deemed to be in, within or during that benefit year which includes the greater part of such week, or that benefit year within which such week ends.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §192.)
There shall be as a special fund, separate and apart from all public moneys or funds of this state, an Unemployment Compensation Trust Fund, which shall be administered by the secretary exclusively for the purposes of this chapter without liability on the part of the state beyond the amounts paid into and earned by the fund. This fund shall consist of:
(1) All contributions paid in or collected under this chapter;
(2) Interest earned upon any moneys in the fund;
(3) Any property or securities acquired through the use of moneys belonging to the fund;
(4) All earnings of such property or securities;
(5) Any money received from the federal unemployment account in the unemployment trust fund in accordance with Title XII of the Social Security Act;
(6) All money credited to this state’s account in the unemployment trust fund pursuant to Section 903 of the Social Security Act, as amended; and
(7) All money received for the fund from any other source.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §197; Acts 1945, No. 283, p. 449, §2; Acts 1957, No. 303, p. 395, §1; Acts 1963, 2nd Ex. Sess., No. 151, p. 340, §1.)
(a) The secretary shall designate an employee of the unemployment compensation agency as treasurer of the fund who shall pay all vouchers or checks duly drawn upon the fund, in such manner as the secretary may prescribe. The secretary shall also designate an employee of the unemployment compensation agency as alternate treasurer who, in case of extended absence of the treasurer shall, upon written notice from the secretary, perform all duties of the treasurer. The treasurer shall maintain within the fund the following separate accounts: A clearing account; an unemployment trust fund account; an unemployment benefit payment account; a fraud interest penalty account; and such other account or accounts as may be necessary for the payment of any federal unemployment benefits. All moneys payable to the fund, upon receipt thereof by the secretary, shall be forwarded to the treasurer who shall immediately deposit them in the clearing account. Refunds payable pursuant to Section 25-4-137 (with the exception of refunds of interest and penalties collected pursuant to Sections 25-4-132, 25-4-133, and 25-4-134) may be paid from the clearing account upon warrants issued by the treasurer, as aforesaid, under the direction of the secretary. After clearance thereof, all other moneys in the clearing account (with the exception of interest and penalties collected pursuant to Sections 25-4-132, 25-4-133, and 25-4-134, and any other collections required by this chapter to be transferred to the State Treasury) shall be deposited by warrants issued as aforesaid, with the Secretary of the Treasury of the United States of America to the credit of the account of this state in the unemployment trust fund established and maintained pursuant to Section 904 of the Social Security Act, any provisions of law in this state relating to the deposit, administration, release, or disbursement of moneys in the possession or custody of this state to the contrary notwithstanding. The benefit payment account shall consist of all moneys requisitioned from the state’s account in the unemployment trust fund. Except as otherwise provided in this section, moneys in the clearing and benefit accounts may be deposited by the treasurer, under the direction of the secretary, in any bank or public depository in which general funds of the state may be deposited but no public deposit insurance charge or premium shall be paid out of the fund. The treasurer shall give bond conditioned upon the faithful performance of his or her duties as treasurer of the fund in a form prescribed by statute or approved by the Attorney General, and in an amount specified by the secretary and approved by the Governor. All premiums upon bonds required pursuant to this section when furnished by an authorized surety company or by a duly constituted governmental bonding firm shall be paid from the Unemployment Administration Fund.
(b) Interest and penalties collected pursuant to Sections 25-4-132, 25-4-133, and 25-4-134 shall be deposited in the clearing account only for the purpose of transfer to the Special Employment Security Administration Fund provided for in Section 25-4-142, and shall be spent in accordance with the provisions of Section 25-4-142.
(c) Funds collected pursuant to the assessment made against wages paid by employers by Section 25-4-55 and Section 25-4-40.1 shall be deposited in the clearing account only for the purpose of transfer to the Special Interest Payment Fund and the Employment Security Enhancement Fund and shall be expended in accordance with the provisions.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §198; Acts 1945, No. 283, p. 449, §3; Acts 1963, 2nd Ex. Sess., No. 151, p. 340, §2; Acts 1973, No. 1057, p. 1716, §1; Acts 1988, 1st Ex. Sess., No. 88-783, p. 195, §3; Acts 1992, No. 92-174, p. 285, §3; Act 2012-292, §1.)
(a) Money shall be requisitioned from the state’s account in the Unemployment Compensation Trust Fund solely for the payment of benefits and in accordance with regulations prescribed by the secretary; except, that money credited to this state’s account pursuant to Section 903 of the Social Security Act, as amended, shall be used exclusively as provided in this section. The secretary shall from time to time requisition from the Unemployment Compensation Trust Fund such amounts, not exceeding the amounts standing to this state’s account therein, as he deems necessary for the payment of benefits for a reasonable future period. Upon receipt thereof the treasurer of the fund shall deposit such moneys in the benefit payment account and shall issue his checks for the payment of benefits solely from such benefit account. Expenditures of such moneys in the benefit payment account and refunds for the clearing account shall not be subject to any provisions of law (and shall be in lieu of all provisions of law) requiring specific appropriations or other formal release by state officers of moneys in their custody. All checks issued by the treasurer of the fund for the payment of benefits shall bear the signature of said treasurer, and the countersignature of the secretary or his or her duly authorized agent, both in such manner as the secretary may prescribe. Any balance of moneys requisitioned from the Unemployment Compensation Trust Fund which remains unclaimed or unexpended in the benefit payment account after the expiration of the period for which such sums were requisitioned shall either be deducted from estimates for, and may be utilized for the payment of benefits during succeeding periods, or, in the discretion of the secretary, shall be redeposited with the Secretary of the Treasury of the United States to the credit of this state’s account in the Unemployment Compensation Trust Fund as provided in Section 25-4-31.
(b) Money credited to the account of this state in the Unemployment Compensation Trust Fund by the Secretary of the Treasury of the United States of America pursuant to Section 903 of the Social Security Act, as amended, may be requisitioned and used for the payment of expenses incurred for the administration of this chapter pursuant to a specific appropriation by the Legislature; provided, that the expenses are incurred and the money is requisitioned after the enactment of an appropriation law which:
(1) Specifies the purposes for which such money is appropriated and the amounts appropriated therefor;
(2) Limits the period within which such money may be expended to a period ending not more than two years after the date of the enactment of the appropriation law; and
(3) Limits the amount which may be used during a 12-month period beginning on July 1, and ending on the next June 30, to an amount which does not exceed the amount by which the aggregate of the amounts credited to the account of this state pursuant to Section 903 of the Social Security Act, as amended, exceeds the aggregate of the amounts used pursuant to this section and charged against the amount credited to the account of this state.
(c) Money requisitioned for the payment of expenses of administration pursuant to this section shall be deposited in the Employment Security Administration Fund, but, until expended, shall remain a part of the Unemployment Compensation Trust Fund. The secretary shall maintain a separate record of the deposit, obligation, expenditure, and return of funds so deposited. If any money so deposited is, for any reason, not to be expended for the purpose for which it was appropriated, or, if it remains unexpended at the end of the period specified by the law appropriating such money, it shall be withdrawn and returned to the Secretary of the Treasury of the United States for credit to this state’s account in the Unemployment Compensation Trust Fund.
(d) Money credited to the account of this state pursuant to Section 903 of the Social Security Act, as amended, may not be withdrawn or used except for the payment of benefits and for the payment of expenses for the administration of this chapter and of public employment offices pursuant to this chapter. Notwithstanding the foregoing, money credited with respect to federal fiscal years 1999, 2000, and 2001 shall be used solely for the administration of the Unemployment Compensation Program.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §199; Acts 1957, No. 303, p. 395, §2; Acts 1983, 2nd Ex. Sess., No, 83-155, p. 264, §3; Acts 1992, No. 92-174, p. 285, §4; Act 98-606, p. 1333, §1.)
All unemployment compensation overpayment monies collected under the provisions of Sections 25-4-72 and 40-18-100 shall be deposited into the Unemployment Compensation Trust Fund.
(Acts 1997, No. 97-246, p. 426, §2.)
(a) Retroactive to April 1, 1992, there is hereby placed upon all wages so defined in Section 25-4-16, paid to employees by employers subject to pay contributions as provided in Sections 25-4-51 and 25-4-54, except as is hereinafter provided in this section, a special assessment of 0.06 percent (six one-hundredths of one percent) of such wages. This assessment shall not apply to wages paid during any calendar quarter of any calendar year by any employer whose rate of contribution has been computed under the provisions of Section 25-4-54 to be at least 5.40 percent but not more than 5.45 percent for such calendar year, to any employer who for such calendar year has elected to make payments in lieu of contributions pursuant to Section 25-4-51, nor to any employer who has not had sufficient unemployment experience to qualify for a rate determination under Section 25-4-54 for such calendar year.
(1) Assessments under this section shall become due and payable at the end of each calendar quarter which begins after March 31, 1992, and shall be paid in accordance with regulations as may be prescribed by the secretary at the same time and in the same manner as employers are required by this chapter to file reports and pay contributions and shall not be deducted, in whole or in part, from any remuneration of individuals in the employ of the employer.
(2) The provisions of Sections 25-4-132 and 25-4-133, relating to the assessment of interest and penalties for delinquent reporting or payments and the procedures for the collection of delinquent reports and payments shall apply to the assessment prescribed by this section. Any interest or penalty so assessed and collected shall be deposited or transferred to the Special Employment Security Administration Fund provided for in subsection (b) of Section 25-4-142.
(3) All moneys collected as assessments pursuant to this section shall be promptly deposited in the clearing account of the Unemployment Compensation Fund only for the purpose of transfer and, as soon as practicable to do so, shall be transferred into the Employment Security Enhancement Fund in the State Treasury.
(b) There is hereby created in the State Treasury a special fund, to be known as the Employment Security Enhancement Fund, into which shall be deposited or transferred all funds collected retroactive to April 1, 1992, pursuant to the assessment made by Section 25-4-32. All moneys in this fund shall be deposited, administered, and disbursed in the same manner and under the same conditions and requirements as is provided by law for other special funds in the State Treasury. All moneys in this fund shall be continuously available to the secretary for expenditure in accordance with this chapter, and shall not lapse at any time. These funds shall not be expended or made available for expenditure in any manner which would permit their substitution for federal funds, which would, in the absence of the moneys, be available to finance expenditures for the administration of the state unemployment compensation and employment service laws.
(c) The moneys in the Employment Security Enhancement Fund are authorized and are hereby appropriated for use by the secretary as follows:
(1) Special claimant assistance program.
a. Moneys in this fund may be expended to supplement basic employment security services with special job search and job placement assistance designed to assist unemployment compensation claimants obtain employment.
b. The secretary shall appoint an overview committee consisting of five members and composed of the Director of Employment Service, the Director of Unemployment Compensation, and the Director of the Labor Market Information Division of the department, one member representing employers and selected by the Business Council of Alabama (or successor organization), and one member selected to represent employees by the Alabama Labor Council (or successor organization). The committee members shall be selected as soon after approval of this amendment as is practicable.
c. The duties of the overview committee shall include the initial planning of the claimant assistance program as to content and procedures, the determination of standards, criteria, statistical requirements, and reporting needs, monitoring the progress of the program, and measuring the results and making recommendations to the secretary.
d. All members of this committee shall serve without remuneration, however, shall be reimbursed for any and all necessary expenses incurred during the performance of their duties in the same manner and under the same regulations as apply to state employees. Such expenses are to be paid from the Employment Security Enhancement Fund.
(2) General administration and enhancement of employment security. Necessary and appropriate costs of employment security enhancements, not in conflict with the foregoing or state or federal laws, rules, or regulations, may be paid from this fund at the discretion of the secretary.
(3) The costs of the collection of revenues, for the maintenance of the fund and the repayment of advances to the fund from other sources shall be paid from this fund.
(4) The secretary shall submit a special report at the end of each calendar year to the Governor, Lieutenant Governor, and the Speaker of the House of Representatives giving an accounting of collections and expenditures, and an assessment of the success of programs funded from this source.
(d) Any interest earned on money in this special fund shall accrue to the Employment Security Enhancement Fund.
(e) In the event there is a cessation of the activities and purposes of the programs to be funded by moneys from this fund, all remaining moneys in the Employment Security Enhancement Fund, within 90 calendar days after all outstanding obligations of the secretary related to this fund have been fulfilled, shall be transferred into the state’s Unemployment Compensation Trust Fund on deposit with the U.S. Treasury.
(Acts 1992, No. 92-174, §2; Acts 1995, No. 95-764, p. 1792, §1; Act 2000-456, p. 842, §1; Act 2004-110, p. 164, §1; Act 2006-519, p. 1194, §1; Act 2008-501, p. 1091, §1; Act 2010-505, p. 811, §1; Act 2011-558, p. 1047, §1; Act 2013-208, p. 446, §1.)
Contributions or payments in lieu of contributions shall accrue and become payable by each employer subject to this chapter. Contributions or payments in lieu of contributions shall accrue and become payable by any new employer on and after the date on which he becomes newly subject to this chapter. The contributions or payments in lieu of contributions required under this chapter shall be paid by each employer in such manner and at such times as the secretary may prescribe.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §200; Acts 1971, No. 166, p. 440, §7.)
(a) Contributions. Except as hereinafter provided and subject to the provisions of Section 25-4-54, every employer shall pay contributions, or payments in lieu of contributions, equal to the percentages of wages payable or paid as hereinafter set out, with respect to employment by him.
(1) With respect to employment during calendar years after December 31, 1975, every employer who has been liable to the provisions of this chapter during a period of time sufficient to have his rate of contribution determined under the experience rating provisions of Section 25-4-54 shall pay contributions at the rate prescribed thereby.
(2) With respect to employment after December 31, 1975, every employer who has not been liable to the provisions of this chapter for a sufficient length of time to have his rate determined under the experience rating provisions of Section 25-4-54 shall pay contributions at the rate of 2.70 percent of such wages paid by him with respect to such employment.
(3) With respect to employment after December 31, 1971, any nonprofit organization which, pursuant to the provisions of subdivision (8) of subsection (a) of Section 25-4-8, is or becomes subject to this chapter after December 31, 1971, shall pay contributions under the provisions of subdivisions (1) and (2) of this subsection (a) of this section and Section 25-4-54, unless it elects in accordance with paragraph a. of this subdivision to pay to the secretary for the fund an amount equal to the amount of regular benefits and one half of the extended benefits paid, that is attributable to service in the employ of such employer, to individuals for weeks of unemployment which begin during the effective period of such election.
a. Any nonprofit organization which becomes subject to this chapter on January 1, 1972, by virtue of its employment during calendar year 1971, may elect to become liable for payments in lieu of contributions for a period of not less than nine consecutive calendar quarters beginning with January 1, 1972, provided it files with the secretary a written notice of its election within the 30-day period immediately following such date. Any nonprofit organization which becomes subject to this chapter by virtue of its employment subsequent to calendar year 1971, may elect to become liable for payments in lieu of contributions for a period of not less than six consecutive calendar quarters, ending on the thirtieth day of September, by filing a written notice of its election with the secretary not later than 30 days immediately following the date on which the conditions rendering such organization subject were fulfilled.
b. Any nonprofit organization which makes an election in accordance with paragraph a. of this subdivision will continue to be liable for payments in lieu of contributions until it files with the secretary a written notice terminating its election. Any such termination shall be effective at the end of a calendar year. Said notice shall be filed not later than the first day of December preceding the effective date of such termination.
c. Any nonprofit organization which has been paying contributions under this chapter for a period of at least one calendar year subsequent to January 1, 1972, may change to a reimbursable basis by filing with the secretary not later than the first day of December preceding the beginning of any calendar year a written notice of election to become liable for payments in lieu of contributions. Such election shall not be terminable by the organization during that and the next calendar year and may be terminated only at the end of a calendar year.
d. The secretary may for good cause extend the period within which a notice of election, or a notice of termination, must be filed and may permit an election to be retroactive but not any earlier than with respect to benefits paid after December 31, 1971.
e. The secretary shall notify each nonprofit organization of any determination which he makes of its status as an employer and of the effective date of any election which it makes and of any termination of such election and of benefits paid in accordance with such regulations as he may prescribe. Such notice and determination shall be subject to the provisions for review and finality as set out in subdivision (4) of subsection (c) of Section 25-4-54.
f. Any nonprofit organization which elects to make payments in lieu of contributions shall pay to the secretary for the fund such amounts and in such manner and at such time as is set out in subsection (b) of this section.
g. When two or more nonprofit organizations, as defined in subdivision (3) of subsection (a) of Section 25-4-10, merge or one nonprofit organization is acquired by another such organization, the method of payment for the surviving entity shall be that method elected by such surviving entity under the provisions of this section and in effect at the time of the merger or acquisition. Such method shall remain in effect until such time as it is changed as provided in paragraphs b. and c. of this subdivision.
h.1. Notices of payment and reporting delinquency to Indian tribes or their tribal units shall include information that failure to make full payment within the prescribed time frame will cause any of the following:
(i) The Indian tribe to be liable for taxes under FUTA.
(ii) The Indian tribe to lose the option to make payment in lieu of contributions.
(iii) The Indian tribe to be excepted from the definition of “employer,” as provided herein, and services in the employ of the Indian tribe, as herein excepted from the definition of “employment.”
(4)a. With respect to employment after December 31, 1971, and prior to January 1, 1978, any hospital or institution of higher education operated by this state or any of its instrumentalities which, pursuant to the provisions of subdivision (a)(7) of Section 25-4-8, is or becomes subject to this chapter after December 31, 1971, and prior to January 1, 1978, shall pay to the secretary for the fund an amount equal to the amount of regular benefits and one-half of the extended benefits paid, that is attributable to service in the employ of such employer to individuals for weeks of unemployment which begin after December 31, 1971, at the rate and in such manner and at such time as was prescribed in subdivision (2) of subsection (b) of this section prior to January 1, 1978. For the purpose of this subdivision, the governing body of any state hospital or institution of higher education may, with the approval of the secretary, determine the number of individual accounts for the institutions under its authority.
b. With respect to employment after December 31, 1977, any governmental entity as defined in paragraph (a)(2)b. of Section 25-4-10, electing or required to make payments in lieu of contributions, shall, pursuant to the provisions of subdivision (2) of subsection (b) of this section, pay to the secretary for the fund an amount which:
Prior to January 1, 1979, is equal to the amount of regular benefits and one-half of the extended benefits paid, and
After December 31, 1978, is equal to the amount of regular and extended benefits paid and that is attributable to services after December 31, 1977, in the employ of such entity to individuals for weeks of unemployment which begin on or after January 1, 1979.
(5)a. With respect to employment after December 31, 1971, and prior to January 1, 1978, any political subdivision of this state (or any two or more political subdivisions) which elects, under the provisions of Section 25-4-131, to become subject to this chapter, shall pay to the secretary for the fund an amount equal to the amount of regular benefits and prior to January 1, 1979, one-half, and thereafter all, of the extended benefits paid, that is attributable to service in the employ of such employer, to individuals for weeks of unemployment which begin after December 31, 1971, at the rate and in such manner and at such time as was set out in subdivision (2) of subsection (b) of this section prior to January 1, 1978.
b. With respect to employment after December 31, 1977, any governmental entity, other than the state, defined in paragraph (a)(2)b. of Section 25-4-10, shall pay contributions as provided in subdivision (2) of this subsection and Section 25-4-54, unless the governing body of such entity elects under the provisions of subparagraph 1 of this paragraph b. to pay to the secretary for the fund an amount equal to the amount as is prescribed in subdivision (4) of this subsection, and at the rate and in such manner and at such time as set out in subdivision (2) of subsection (b) of this section.
Any governmental entity, other than the state, as defined in paragraph (a)(2)b of Section 25-4-10, which becomes subject to this chapter on January 1, 1978, may elect to become liable for payments in lieu of contributions for a period of not less than eight consecutive calendar quarters beginning with January 1, 1978, provided it files with the secretary a written notice of its election, officially adopted by the governing body of such entity, within the 30-day period immediately following such date. Any such entity which becomes subject to this chapter subsequent to January 1, 1978, may elect to become liable for payments in lieu of contributions for a period of not less than six, ending on the thirtieth day of September, consecutive quarters by filing with the secretary a written notice by the governing body of such entity of its election not later than 30 days immediately following the date on which it becomes such an entity. Such election shall remain in effect until the governing body files with the secretary a written notice terminating its election. Any such termination shall be effective at the end of the calendar year during which such notice is made and its acceptance by the secretary occurs. Said notice shall be filed not later than the first day of December preceding the effective date of such termination.
Any governmental entity which has been paying contributions under this chapter for a period of at least one calendar year subsequent to January 1, 1978, may, effective as of the beginning of any calendar year thereafter, change to a reimbursing basis by filing with the secretary not later than the first day of December preceding the beginning of such calendar year a written notice by the governing body thereof of its election to become liable for payments in lieu of contributions. Such election shall not be terminable by the governmental entity during that and the next calendar year and may be terminated only at the end of a calendar year.
The written notice of election or termination of election of method of payment shall be accompanied by a certified copy of the minutes of the meeting of the appropriate governing body during which the action to elect or terminate was taken.
(6)a. Any contributions or payments in lieu of contributions which are or may become due to be paid as required by this chapter which are attributable to wages paid by any governmental entity described in paragraph c. of subdivision (a)(2) of Section 25-4-10 shall, upon termination in any manner or cessation of employment by such entity, be paid by the state Comptroller as provided for in paragraph c. of subdivision (a)(2) of Section 25-4-10.
b. Any contributions or payments in lieu of contributions which are or may become due to be paid as required by this chapter which are attributable to wages paid by any governmental entity described in paragraph d. of subdivision (a)(2) of Section 25-4-10 shall, upon termination or cessation of employment by such entity, be paid by the political subdivision or subdivisions that allowed or caused the creation of such entity.
(b) Payments in lieu of contributions. Payments in lieu of contributions shall be made in accordance with the provisions of subdivisions (1) and (2) of this subsection.
(1) Each nonprofit organization or group of such organizations which has elected to make payments in lieu of contributions shall at the end of each calendar quarter, or at the end of any other period as the secretary shall prescribe, pay to the secretary an amount equal to the full amount of regular benefits plus one-half of the extended benefits paid during such quarter or other prescribed period that is attributable to services in the employ of such organization. Such payments shall be made within 20 calendar days after notice of the amount due is mailed by the secretary.
(2) Each governmental entity which has elected to make payments in lieu of contributions shall make such payments to the secretary in an amount representing one of the following:
a. Any entity becoming subject to this chapter effective January 1, 1972, shall pay:
For the calendar quarter beginning July 1, 1972, and each succeeding calendar quarter thereafter through and including the quarter ending September 30, 1973, such amount as such employer may estimate to be equal to the amount determined pursuant to paragraph (4)b. of subsection (a) of this section but the amount shall not be less than 0.25 percent of its average quarterly payroll (without regard to the limitations specified in Section 25-4-16) paid to all employees covered by this chapter in its employ during the calendar year 1971, said payments to be made not later than the tenth day of the first month of each quarter, and
For each calendar quarter during fiscal years beginning on and after October 1, 1973, such percentage of its average quarterly covered payroll for the four-quarter period ending on the immediately preceding June 30, as the secretary shall determine. Such determination, except as hereinafter provided, shall be based each year on the average quarterly benefit cost during the four-calendar-quarter period ending on the immediately preceding June 30, which is attributable to service in the employ of such entity; provided, however, that for each calendar quarter beginning on or after October 1, 1978, the rate shall be determined on the basis of its average quarterly payroll and benefit costs for the four-calendar-quarter period ending on the immediately preceding December 31.
b. Any entity becoming subject effective January 1, 1978, shall pay:
For the calendar quarter beginning July 1, 1978, and each succeeding calendar quarter thereafter through and including the quarter ending September 30, 1979, such amount as such employer may estimate to be equal to the amount determined pursuant to paragraph (a)(4)b. of this section but the amount shall not be less than 0.25 percent of its average quarterly payroll (without regard to the limitations specified in Section 25-4-16) paid to all employees covered by this chapter in its employ during the calendar year 1977, said payments to be made not later than the tenth day of the first month of each quarter, and
In each calendar quarter during fiscal years beginning on and after October 1, 1979, such percentage of its average quarterly covered payroll for the four-quarter period ending on the immediately preceding December 31 as the secretary shall determine. Such determinations, except as hereinafter provided, shall be based each year on the average quarterly benefit cost during the four-calendar-quarter period ending on the immediately preceding December 31 which is attributable to service in the employ of such entity including benefits paid under the provisions of paragraph (b) of Section 25-4-74.
The secretary shall notify each governmental entity of its rate for the next fiscal year not later than the first day of April preceding such fiscal year.
c. Any governmental entity becoming subject to this chapter, and/or electing to make payments under this subsection, subsequent to January 1, 1978, will make the advance payment as provided in paragraph b. of subdivision (2) of this subsection (b) in such amount as is therein provided within the first 10 days of the first month of the second quarter following the quarter during which the coverage and/or election becomes effective and during the first 10 days of each calendar quarter thereafter until the first day of October of the calendar year next following the calendar year during which such election became effective. Thereafter, the rate of such payment shall be computed as provided in subparagraph b.2 of this subdivision.
d. For any governmental entity which did not pay wages throughout the periods specified in paragraphs a. and b., respectively, of this subdivision (2), the average quarterly covered payroll shall be as determined by the secretary based on that portion of such periods during which wages were paid.
(3) When a rate of payments in lieu of contributions has been set by the secretary for any one-year period as is provided by this subsection (b) nothing herein shall be construed as preventing the secretary from modifying the percentage thereafter payable by a government entity, for such entity, from the rate set in order to minimize excess or insufficient payments. In making such modification the secretary shall consider factors such as current benefit cost ratio and current benefit costs as may be effected by an increase or decrease in state or federal funding, reorganization of the entity, increase or decrease in the number of employees and general economic conditions which directly or indirectly affect benefits costs attributable to any entity. Any modification so made shall become effective the first day of the calendar quarter next following a notice to the employer of such modification at least 10 days prior thereto.
(4) At the end of each one-year period for which a rate for payments in lieu of contributions has been set, the secretary shall determine whether the total of payments for such year made by any employer is less than, or in excess of, the total amount of regular benefits plus such amount of extended benefits as is required by this section to be charged to such employer, paid to individuals during such year based on wages attributable to service in the employ of such employer. Each such employer whose total payments for such year are less than the amount so determined shall be liable for payment of the unpaid balance to the fund in accordance with this subsection. If the total payments are in excess of the amount so determined for the specified one-year period, all or a part of the excess may, at the discretion of the secretary, be refunded from the fund or retained in the fund as part of the payments which may be required for the next such year. Any payments due to be made under this subdivision (4) shall be made not later than 20 days after the date on which the secretary shall mail to the employer notice of the amount.
(5) Payments made by any organization under the provisions of this subsection shall not be deducted or deductible, in whole or in part, from the remuneration of individuals in the employ of such organizations.
(6)a. Indian tribe or tribal units (subdivisions, subsidiaries, or business enterprises wholly owned by such Indian tribes) subject to this chapter shall pay contributions under the same terms and conditions as all other subject employers, unless they elect to pay into the state Unemployment Compensation Trust Fund amounts equal to the amount of benefits attributable to service in the employ of the Indian tribe.
b. Indian tribes electing to make payments in lieu of contributions must make such election in the same manner and under the same conditions as provided herein pertaining to state and local governments and nonprofit organizations subject to this chapter. Indian tribes will determine if reimbursement for benefits paid will be elected by the tribe as a whole, by individual tribal units, or by combinations of individual tribal units.
c. Indian tribes or tribal units will be billed for the full amount of benefits attributable to service in the employ of the Indian tribes or tribal unit on the same schedule as other employing units that have elected to make payments in lieu of contributions.
d. At the discretion of the secretary, any Indian tribe or tribal unit that elects to become liable for payments in lieu of contributions shall be required within 30 days after the effective date of its election to:
Execute and file with the secretary a surety bond approved by the secretary, or
Deposit with the secretary money or securities on the same basis as other employers with the same election option.
(7) Any other provisions of law notwithstanding, payments in lieu of contributions as provided by this subsection shall be:
a. Subject to the same penalties, collection and enforcement proceedings and provisions for hearing and review, extensions, refunds, and protections that pursuant to Sections 25-4-54, 25-4-132 through 25-4-138, and 25-4-145 apply to contributions, and
b.1. Should any amounts due from any component or instrumentality of this state remain due and unpaid for a period of 90 days after the due date, the state Comptroller shall take such action as is necessary to collect such amounts and is hereby authorized and required to levy against any funds due such component or instrumentality by any other department, agency or official of the state or against any bank account established in any bank whether or not in this state. Such department, agency or official shall deduct such amounts as are certified by the Comptroller from any accounts or deposits or any funds due such delinquent component or instrumentality without regard to any prior claim and promptly forward such amounts to the Comptroller.
c.1. Failure of the Indian tribe or tribal unit to make required payments, including assessments of interest and penalty, within 90 days of the receipt of the statement will cause the Indian tribe to lose the option to make payments in lieu of contributions, as herein described, for the following tax year unless payment in full is received before contribution rates for next tax year are computed.
d.1. Failure of the Indian tribe or any tribal unit thereof to make required payments, including assessments of interest and penalty, after all collection activities deemed necessary by the secretary have been exhausted, will cause services performed for such tribe to not be treated as “employment” as herein provided.
The secretary may determine that any Indian tribe that loses coverage as herein provided, may have services performed for such tribe again included as “employment” as herein provided, if all contributions, payments in lieu of contributions, penalties, and interest have been paid.
The secretary will notify the United States Internal Revenue Service and the United States Department of Labor of any termination or reinstatement of coverage as herein provided.
(8) Any nonprofit organization which elects to become liable for payments in lieu of contributions shall, in addition to making such payments, be required within 30 days after the date the secretary mails notice of his approval of its election, to execute and file with the secretary a surety bond, or a cash deposit in lieu thereof, as approved by the secretary. For the purpose of this subdivision, a surety bond is a bond of surety issued by an organization licensed and authorized to issue such bond in this state. The amount of the surety bond or cash deposit required by this subdivision (8) shall be an amount as determined by the secretary based on a percentage (not higher than the maximum percentage provided by Section 25-4-54) of the organization’s covered payroll as defined in this chapter for the four-calendar quarters immediately preceding the effective date of the election, or the renewal date in case of a bond, or the biennial anniversary in the case of a cash deposit, whichever date shall be most recent and applicable. For any such organization which did not pay wages throughout each of four such calendar quarters the amount of the bond or deposit shall be as determined by the secretary.
a. Any surety bond deposited under this subdivision shall be in force for a period of not less than two full calendar years and shall be renewed not less frequently than at two-year intervals as long as the organization continues to be liable for payments in lieu of contributions. The secretary shall require adjustments to be made in a previously filed bond as he deems appropriate. If the bond is to be increased, the adjusted bond shall be filed by the organization within 30 days of the date notice of such adjustment was mailed or otherwise delivered to it. Failure of any organization covered by such bond to pay the full amount of payments in lieu of contributions when due, together with any applicable interest and penalties as provided by this chapter, shall render the surety liable on said bond to the extent of the bond, as though the surety was such organization.
b. Any deposit of money in accordance with this subdivision (8) shall be retained by the secretary in an escrow account until liability under the election is terminated, at which time it shall be returned to the organization, less any deductions as hereinafter provided. The secretary may direct deductions from the money deposited under this subdivision (8) by any organization to the extent necessary to satisfy any due and unpaid payments in lieu of contributions and any applicable interest and penalty. The secretary shall require the organization within 30 days following any deduction from a money deposit under the provisions of this subdivision (8) to deposit sufficient additional moneys to make whole the organization’s deposit at the prior level. The secretary may, at any time, review the adequacy of the deposit made by any organization. If, as a result of such review, he determines that an adjustment is necessary, he shall require the organization to make an additional deposit within 30 days of written notice of his determination or shall direct the return to it such portion of the deposit as he or she no longer considers necessary whichever action is appropriate.
c. Nonprofit organizations defined in Section 25-4-8(a)(8), as amended, shall be eligible to deposit money in accordance with this subdivision (8) in interest-bearing accounts so long as the accounts are approved by the secretary and are assigned to the secretary for the purpose of payment of unemployment compensation benefit charges. Any approved accounts shall be subject to the conditions specified in paragraph b. of this subdivision above, except that the employer shall be permitted to remove interest from the account whenever the balance remaining in the account is at a level equal to, or greater than, the money deposit required by the secretary.
d. If any organization subject to the provisions of this section fails to file a surety bond or make a cash deposit or to file a surety bond in an increased amount or to increase or make whole the amount of a previously made cash deposit, or fails to pay before the delinquency date any payments due together with any accumulated interest and penalty as provided by this chapter, the secretary may terminate such organization’s election to make payments in lieu of contributions effective as of the end of any calendar quarter and such termination shall continue for not less than two consecutive calendar years; provided, that the secretary may extend for good cause the posting of a cash deposit, the filing of a surety bond or the extension of an adjustment period by not more than 30 days.
(9) If benefits paid to an individual are based on wages paid by two or more employers, the amount of benefits payable by an organization required to or electing to make payments in lieu of contributions shall be an amount which bears the same ratio to the total benefits paid to the individual as the total base period wages paid by such employer to the individual and used for the payment of benefits bears to the total base period wages paid to the individual by all his base period employers and used for payment of benefits.
The other provisions of this subsection notwithstanding, no such employer shall be required to reimburse the fund for any portion of the benefits paid to any individual whose benefits which are attributable to public service wages funded under the Comprehensive Employment and Training Act of 1973, as amended, after December 31, 1975, to the extent that such benefits are reimbursed to the fund by the federal government under the provisions of Section 220 of the Emergency Jobs Program Extension Act of 1976 (P.L. 94-444).
(10) Two or more employers that have elected to make payments in lieu of contributions in accordance with the provisions of this section may file a joint application to the secretary for the establishment of a group account for the purpose of sharing the cost of benefits paid that are attributable to service in the employ of such organizations. Each such application shall identify and authorize a group representative to act as the group’s agent for the purposes of this subsection. Upon his approval of the application, the secretary shall establish a group account for such employers effective as of the beginning of the calendar quarter next following the quarter in which he received such application, and shall notify the group’s representative of the effective date of the account. Such group account shall remain in effect for not less than eight calendar quarters and thereafter until terminated at the discretion of the secretary or upon application by the group. Upon establishment of the account, each member of the group shall be liable for payments in lieu of contributions with respect to each calendar quarter in the amount that bears the same ratio to the total benefits paid in such quarter that are attributable to service performed in the employ of all members of the group as the total wages paid for services in employment by such member in such quarter bears to the total wages paid during such quarter for service performed in the employ of all members of the group. The secretary shall prescribe such regulations as he deems necessary with respect to applications for establishment, maintenance and termination of group accounts that are authorized by this subdivision (10), for addition of new members to, and withdrawal of active members from, such accounts, and for the determination of the amounts that are payable under this subdivision by members of a group and the time and manner of such payments.
(11) Notwithstanding any other provisions of this chapter, any employer who was liable for payments in lieu of contributions for the period immediately preceding the effective date of termination of its coverage pursuant to Section 25-4-130 shall nevertheless continue to be liable to pay to the secretary for the fund the amount of regular benefits and extended benefits paid, as required by this chapter, that is attributable to service in the employ of such employer prior to the effective date of such termination, to individuals for weeks of unemployment which begin on or after such effective date. Such payments to the secretary shall be made at such times and in such manner as the secretary shall prescribe and the secretary shall continue to require payments in lieu of contributions and surety in such amounts and for such period as he may deem necessary to insure restoration to the fund of the amount of such regular and extended benefits.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §201; Acts 1971, No. 166, p. 440, §8; Acts 1973, No. 1057, p. 1716, §§2, 3; Acts 1975, No. 801, p. 1604, §5; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §4; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §4; Acts 1989, No. 89-405, p. 822, §1; Act 2000-756, p. 1713, §1; Act 2002-94, p. 275, §1.)
(a) For each calendar year ending prior to January 1, 1986, contributions by employees shall be as was provided by this section prior to that date.
(b) Repealed by Acts 1989, No. 89-405, §2.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §202; Acts 1953, No. 864, p. 1163; Acts 1957, No. 304, p. 399; Acts 1961, Ex. Sess., No. 274, p. 2298; Acts 1969, No. 234, p. 559, §1; Acts 1971, No. 166, p. 440, §9; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §5; Acts 1989, No. 89-405, p. 822, §2.)
For calendar years ending prior to January 1, 1986, employee contributions, the withholding of such contributions, and the penalty for an employer’s failure to withhold and violations of trust shall be as was provided by this section prior to such date.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §203; Acts 1969, No. 234, p. 559, §2; Acts 1980, No. 80-756, p. 1561, §3; Acts 1989, No. 89-405, p. 822, §3.)
(a) Determination of contribution rates.
(1) For the 12-month period beginning on January 1 of each year which begins after December 31, 1996, any employer whose experience rating account has been subject to benefit charges throughout at least the fiscal year, as defined in Section 25-4-4, immediately preceding such January 1, shall have his or her rate determined by the Unemployment Compensation Fund’s liability for benefits paid to his or her employees, modified by the fund’s balance as of the most recent June 30. The employment record of an organization which has been making payments in lieu of contributions but which elects to change to payment of contributions shall be deemed to have been chargeable with benefits throughout the period (not to exceed three fiscal years) with respect to which it was making payments in lieu of contributions and its benefit charges and payrolls for such period shall be used in computing its benefit ratio pursuant to subsection (d).
(2) For the 12-month period beginning on January 1 of each calendar year which begins before January 1, 1997, the rates of contribution shall be determined as was prescribed by this section prior to January 1, 1997.
(b) Determination of individual benefit charges.
(1) An individual’s benefit charges shall be as follows:
a. For each week benefits are paid, an individual’s benefit charges shall be equal to the amount of benefits he or she was paid for such week.
b. For each week extended benefits pursuant to Section 25-4-75 are paid to an individual, the benefit charges shall be equal to the state’s share of such benefits paid to him or her for such weeks; provided, however, where an individual’s benefit charges for extended benefits are attributable to service in the employ of any governmental entity, as defined in paragraph (a)(2)b of Section 25-4-10, the individual’s benefit charges shall be an amount equal to the benefits he or she was paid for such week.
(2) Any benefits paid to an individual based on wages paid to an employee during his or her base period for part-time employment by an employer who continues to give the employee employment to the same extent while he or she is receiving benefits as he or she did during his or her base period shall not be determined to be the individual’s benefit charges. The employer shall establish the continuation of work to the satisfaction of the secretary by submitting such information as the secretary may require within the time required by other provisions of this chapter after the date of notification or mailing of notice by the secretary that the employee has first filed a claim for benefits.
(3) If benefits paid to an individual are based on wages paid by two or more employers, the amount of the individual’s benefit charges applicable to any one employer shall be an amount which bears the same ratio to the total benefit charges as the total base period wages paid by such employer to the individual and used for the payment of benefits bears to the total base period wages paid to the individual by all his or her base period employers and used for the payment of benefits.
(4) When, in the determination of any individual’s benefits, wages have been properly included once for one benefit year or for one base period, such wages shall not thereafter be included again in the computation of his or her benefits for any other benefit year or in his or her wages for any other base period respectively.
(c) Determination of employer benefit charges.
(1) An employer’s benefit charges for each and every fiscal year shall be the total of the regular benefits and the state’s share of the extended benefits paid during such fiscal year to all of his or her employees or former employees which are attributable to wages paid by such employer to his or her employees or former employees, except as is provided by paragraph a. of subdivision (a)(5) of Section 25-4-51 for governmental entities.
(2) The secretary shall analyze the benefit payments in each fiscal year and determine each employer’s benefit charges for each fiscal year.
(3) The secretary shall, after the close of each calendar quarter, furnish each employer with a statement of the benefits paid to his or her workers, or former workers, which became his or her benefit charges in that calendar quarter, together with the names of such workers, or former workers, and such statement, in the absence of an application for a revision thereof within 30 days of the mailing of such statement to the employer’s last known address, shall be conclusive and final upon the employer for all purposes and in all proceedings whatsoever. Such application for revision shall be in the form and manner prescribed by regulation of the secretary. Upon receipt of, within the time allowed, an application for revision of such statement, the secretary shall allow such application in whole or in part, or shall deny such application and shall serve notice upon the employer of such decision. Such decision of the secretary shall be final and conclusive on the employer at the expiration of 30 days from the date of service of such notice, unless the employer shall within the 30-day period file with the secretary a written protest and a petition for hearing, specifying his or her objections thereto. Upon receipt of such petition the secretary shall fix a time and place for a hearing and shall notify the employer thereof. At any hearing held as herein provided, the decision of the secretary shall be prima facie correct, and the burden shall be upon the protesting employer to prove it is incorrect. No employer shall have the right to object to the benefit charges with respect to any worker as shown on such statement, unless he or she shall first show that such charges arose as a result of benefits paid to such worker in accordance with a determination, or a redetermination, to which such employer was a party entitled to notice thereof, as provided by Article 5, commencing with Section 25-4-90, of this chapter, and shall further show that he or she was not notified of such determination or redetermination in accordance with the requirements of Article 5, commencing with Section 25-4-90, of this chapter. Nothing herein contained shall affect the right of any employer at such hearing to object to such statement of benefit charges on the ground that it is incorrect by reason of a clerical error made by the secretary or any of his or her employees. The employer shall be promptly notified by mail of the decision of the secretary. Such decision shall be final and conclusive unless an appeal is taken therefrom in the manner and within the time prescribed in subsection (h) .
(4) Nothing contained in subdivision (3) shall be construed as limiting or affecting in any manner the right and authority of the secretary to remove benefit charges from any employer’s account upon discovering or being aware of any such employer’s workers or former workers having drawn benefits by reason of false representation of their earnings while filing claims for benefits nor to make any corrections resulting from any adjustment to benefits paid to the individual.
(5) Any Alabama unemployment compensation benefits paid to any claimant under the following conditions shall not be charged to the account of a contributory base period employer(s) for the state fiscal year ending June 30, 1996, and each fiscal year thereafter, if:
a. The benefits are paid for unemployment due directly to a major natural disaster, and
b. The President has declared the event a disaster pursuant to the Disaster Relief Act of 1970, 42 USC § 4401, et seq., as amended, and
c. The benefits are paid from the Alabama U.I. Trust Fund to claimants who would have been eligible for disaster unemployment assistance under this act, if they have not first received Alabama unemployment insurance benefits with respect to their unemployment.
(d) Determination of employer benefit ratio. Effective January 1, 1997, and each year thereafter, the benefit ratio of each employer who qualifies for a rate determination under subdivision (a)(1) and has been chargeable with benefits throughout the three most recent preceding fiscal years shall be a percentage obtained by dividing the total of his or her benefit charges for such three-year period by that part of his or her total taxable payroll for the same three-year period with respect to which contributions have been paid on or before July 31, next following such period, and the benefit ratio of each employer who qualifies for a rate determination under subdivision (a)(1), but who has not been subject to this chapter for a period of time sufficient to have been chargeable with benefits throughout the three most recent preceding fiscal years, shall be a percentage obtained by dividing the total of his or her benefit charges for the period throughout which he or she has been chargeable, such period to be not less than the most recent preceding fiscal year by that part of his or her total taxable payroll for the same period with respect to which contributions have been paid on or before July 31 next following such period. The employer’s benefit ratio shall be computed to the fourth decimal and be used in determining each employer’s contribution rate as prescribed in subsection (a) for the next calendar year; except that:
For tax rate year beginning January 1, 1991, the employer’s benefit ratio shall be determined by the employer’s actual benefit charges to his or her account for the fiscal year ending September 30, 1990, and for fiscal years ending September 30, 1988, and September 30, 1989, the employer’s benefit charges shall be determined from data accumulated by the secretary during such years relative to benefit wage charges and converted to benefit charges, in such manner as the secretary shall prescribe.
(e) Shared costs.
(1) For the purposes of this subsection (e) and for the determination of an employer’s rate of contribution pursuant to subsection (f), shared or socialized cost for each fiscal year is defined to be:
a. Benefit charges which cannot be effectively assigned to an individual employer’s experience rating account during such fiscal year because of the employer becoming inactive (in accordance with Section 25-4-130); and
b. The total amount of the difference between the benefit charges to all employers during the fiscal year who are assigned the maximum rate of contribution under any one of the rate schedules for the calendar year next following such fiscal year and the total amount of contributions received from all such maximum rated employers during the same fiscal year; and
c. Credits granted employers during such fiscal year because of the reason for separation (as provided in Section 25-4-78), continued part-time work, as provided by subdivision (b)(2), and relief from charges granted an employer under subdivision (c)(4); and
d. Benefit overpayments which have been declared uncollectible or have been waived by the secretary during the fiscal year pursuant to the applicable provisions of this chapter; and
e. Contributions due from employers but not paid and which have been, during such fiscal year, declared uncollectible by the bankruptcy courts or official action by the secretary; and
f. Cost resulting from the relief of charges for contributory employers under Section 25-4-54(c)(5) shall be included in shared cost as defined in this section.
(2) The total of the amounts determined under subdivision (1) shall be the statewide total shared cost for any fiscal year.
(3) Net shared costs for any fiscal year shall be the statewide total of shared costs for that fiscal year reduced (but not below zero) by the amount of:
a. Interest received by the fund from the U.S. Treasury during such fiscal year; and
b. The total amount of the difference between the contributions received from all employers during such fiscal year who are assigned the minimum rate of contributions under any one of the rate schedules for the calendar year next following such fiscal year and the total of all benefit charges made to all such minimum rated employers during the same fiscal year.
(4) To determine the shared cost ratio for any fiscal year, the net shared cost for such fiscal year shall be divided by the statewide total of taxable wages for the same fiscal year which have been reported by all contributory employers and upon which contributions have been timely paid (reduced by the total of the taxable wages reported and timely paid on by any employer or employers for the same fiscal year, who by the provisions of subdivision (5) are relieved of the shared cost assessment). The resulting quotient adjusted to the nearest multiple of one-thousandth shall be the shared cost ratio applicable for assessment to all contributory employers for the next following calendar year.
(5)a. Except as is hereinafter provided, the shared cost ratio as computed under the above provision for each fiscal year shall, for the next calendar year, be assessed each employer eligible for a rate determination under subdivision (a)(1), in addition to the rate of contributions determined by the tables contained in subsection (f).
Any employer whose rate of contribution has been determined to be the minimum rate allowed under Schedule A for a calendar year, shall be relieved of any shared cost assessment during that calendar year;
Any employer whose rate of contribution has been determined to be the minimum rate allowed under Schedule B for a calendar year and whose experience rating account has not been charged with any benefits during the three immediately preceding fiscal years, shall be relieved of any shared cost assessment for that calendar year;
No relief shall be granted to any employer for any portion of the shared cost assessment for a calendar year when either Schedule C or D is in effect.
b. The assessment for shared costs shall become due and payable at the same time and in the same manner as contributions.
c. The authority of the secretary to enforce collection of any shared cost assessment shall be the same as is provided in this chapter for the enforcement of the collections of contributions.
(f) Notice of contribution rate, etc.; maximum rate. The contribution rates (expressed as a percentage of taxable wages) for each employer, as provided in subsection (a), shall be determined by the secretary and the secretary shall notify each employer of his or her benefit ratio and his or her contribution rate no later than 31 days after the effective date of such rate. Such employer contribution rate for the tax rate years beginning January 1, 1991, shall be determined from the appropriate rate schedule prescribed for that tax rate year by subsection (g) and shall be the rate which appears on the same horizontal line on which is found the employer’s benefit ratio.
TAX RATE TABLE EMPLOYER TAX RATE SCHEDULE: LINE NO.IF THE EMPLOYER’S BENEFIT RATIO IS:ABCD10.00-0.390.200.350.500.6520.40-0.590.350.500.650.8030.60-0.790.500.700.901.0040.80-0.990.700.901.101.2051.00-1.190.851.101.301.4061.20-1.391.001.301.551.6571.40-1.591.151.501.751.9081.60-1.791.301.701.952.1591.80-1.991.451.902.152.40102.00-2.191.602.102.402.65112.20-2.391.752.302.602.85122.40-2.591.902.502.803.10132.60-2.792.052.703.053.35142.80-2.992.202.903.253.60153.00-3.192.353.103.503.85163.20-3.592.503.403.804.20173.60-3.992.803.804.254.70184.00-4.393.104.204.705.20194.40-4.793.404.605.105.70204.80-5.193.705.005.506.20215.20-5.594.005.406.006.70225.60-5.994.305.406.006.70236.00-6.394.605.406.106.80246.40-6.794.905.406.106.80256.80-7.195.205.406.106.80267.20 or over5.405.406.106.80
The provisions of this subsection (f) to the contrary notwithstanding, the rates of contribution shall, after having been determined as herein prescribed, be adjusted as follows for calendar quarters beginning after March 31, 1992:
If the rate of contribution specified by the Tax Rate Table contained in this section is: The employer’s contribution rate shall be:0.200.140.350.290.500.440.650.590.700.640.800.740.850.790.900.841.000.941.101.041.151.091.201.141.301.241.401.341.451.391.501.441.551.491.601.541.651.591.701.641.751.691.901.841.951.892.051.992.102.042.152.092.202.142.302.242.352.292.402.342.502.442.602.542.652.592.702.642.802.742.852.792.902.843.052.993.103.043.253.193.353.293.403.343.503.443.603.543.703.643.803.743.853.794.003.944.204.144.254.194.304.244.604.544.704.644.904.845.004.945.105.045.205.145.405.405.505.445.705.646.005.946.106.046.206.146.706.646.806.74
The adjustment in rates of contributions as are herein provided shall apply only to those employers who are required to pay contributions by the provisions of Section 25-4-51 and those nonprofit organizations, hospitals, educational institutions, agencies of the State of Alabama, and political subdivisions of the state who have, under the option permitted by Section 25-4-51, for that calendar year elected to pay contributions. The adjustment shall not apply to any employer who, because of insufficient unemployment experience, has not become eligible to have his or her rate of contribution determined by the method prescribed under this subsection (f); whose rate of contribution is determined to be 5.4 percent, or is above 5.4 percent and by the application of the adjustment would become a rate less than 5.4 percent; and all employers who being eligible for such option have elected the option to make payments in lieu of contributions.
(g) Determination of contribution rate schedule. Contribution rates for each employer, determined pursuant to subsection (f), shall nevertheless be subject to the contribution rate schedule as is hereinafter provided.
(1) The benefits payroll ratio of the state for each fiscal year shall be determined by dividing the total of benefits paid, including the state’s portion of benefits paid under any extended benefit program, from the unemployment compensation fund within the preceding fiscal year, less any benefits paid for which payments in lieu of contributions have been paid or are currently due to be paid, by the statewide total payrolls of all employers upon which contributions on the taxable portion thereof have been paid during the same fiscal year, and by adjusting the quotient to the nearest multiple of one-thousandth.
(2) The desired level of unemployment compensation fund for each fiscal year shall be one and four-tenths times the amount determined by multiplying the highest statewide total of payrolls of all employers upon which contributions on the taxable portion thereof have been paid during any one of the three most recent preceding fiscal years by the highest benefits payroll ratio for any one of the 10 most recent preceding fiscal years.
(3) The secretary shall, on or before the December 1 next following the end of each fiscal year, declare effective for the 12-month period beginning with January 1 of the immediately succeeding calendar year, the desired level of the fund and the schedule to be in effect for that 12-month period. The contribution rate for each employer for the next calendar year shall be determined by the secretary as provided in subsection (f) on the basis of each employer’s benefit ratio as determined under subsection (d); and whenever at the end of any fiscal year, the fund balance is:
a. One hundred twenty-five percent or more of the desired level computed for the fiscal year, contribution rates shall be determined under Schedule A.
b. Equal to the desired level but is less than 125 percent thereof, contribution rates shall be determined under Schedule B.
c. Less than the desired level but is at least 70 percent thereof, contribution rates shall be determined under Schedule C.
d. Less than 70 percent of the desired level, contribution rates shall be determined under Schedule D.
(4) Any amount credited to this state’s account under Section 903 of the Social Security Act, as amended, which has been appropriated for expenses of administration, whether or not withdrawn from the trust fund, shall be included in the trust fund balance in determining whether or not such fund is greater or less than the desired level of the fund for a fiscal year; except, that any amount appropriated and withdrawn which will not be repaid to the fund shall not be included in such balances.
(5) The secretary shall notify each employer of such declaration and of his or her benefit ratio and his or her contribution rate no later than 31 days after the effective date of the contribution rate. This subdivision (5) shall not apply to employers who, in lieu of contributions, reimburse the fund for benefits paid.
(h) Review of contribution rate, etc. Any employer may apply to the secretary for and shall be entitled to a review as to the determination of his or her benefit ratio and his or her contribution rate as fixed by his or her benefit ratio, provided such application is filed within 30 days of the date of the mailing by the secretary to the employer of the notice of such determination. Pending such review, such employer shall make all contribution payments otherwise required by this chapter at contribution rates fixed by the determination sought to be reviewed and resulting overpayments or underpayments of contributions by the employer shall, upon any redetermination, be adjusted or refunded pursuant to Section 25-4-137. Any employer may within 30 days after the date of mailing notification by the secretary to such employer of notice of the ruling of the secretary upon such application for review appeal such ruling to the circuit court of any county wherein the employer is engaged in doing business, upon such terms and upon giving such security for costs as the court may upon application prescribe. Trial in that court shall be de novo with respect to his or her benefit ratio.
(i) Contribution rate, etc., of successor employer. For the purpose of this section, an employer’s benefit charges and that part of his or her taxable payroll with respect to which contributions have been paid, shall be deemed benefit charges and taxable payrolls of a successor employer and shall be taken into account in determining the contribution rate of such successor employer as provided in subsection (f), if such successor succeeds the employer in any of the manners set out in paragraph (a)(4)a of Section 25-4-8; provided, that an employer subject to this chapter who becomes such in any of the manners set out in paragraph (a)(4)b of Section 25-4-8 may have that portion of his or her predecessor’s benefit charges and that part of his or her predecessor’s total taxable payroll, with respect to which contributions have been paid which correspond to the segregable portion of the business assets and payroll thereof, acquired from his or her predecessor, deemed to be his or her benefit charges and his or her payroll and such shall be taken into account in determining his or her rates, as provided in subsection (f); provided, that he or she:
(1) Makes written application within 90 calendar days from the date of such acquisition; and
(2) Furnishes to the secretary within 120 calendar days from the date of such acquisition a transcript of such total and taxable payrolls which correspond to the segregable portion acquired from his or her predecessor; provided further that in the event that within the intervening 120 days a notice of his or her rate of contribution has been mailed to the partial successor, the 30-day finality provision set forth in subsection (h) shall not prevail but, instead, be effective with respect to the subsequent notice computed on the basis of the benefit ratio and taxable payrolls of the acquired segregable portion.
(Acts 1943, No. 310, p. 281, §4; Acts 1945, No. 283, p. 449, §8; Acts 1949, No. 527, p. 810; Acts 1951, No. 644, p. 1098, §2; Acts 1955, No. 28, p. 238; Acts 1957, No. 299, p. 382; Acts 1961, Ex. Sess., No. 274, p. 2298, §5; Acts 1965, No. 390, p. 548, §1; Acts 1967, No. 167, p. 499, §2; Acts 1969, No. 234, p. 559, §§3-7; Acts 1971, No. 166, p. 440, §§10-12; Acts 1971, No. 1201, p. 2083, §1; Acts 1971, No. 2325, p. 3748, §1; Acts 1973, No. 1057, p. 1716, §4; Acts 1975, No. 801, p. 1604, §6; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §5; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §6; Acts 1985, 2nd Ex. Sess., No. 85-804, §1; Acts 1988, 1st Ex. Sess., No. 88-783, p. 195, §4; Acts 1989, No. 89-405, p. 822, §4; Acts 1990, No. 90-586, p. 1022; Acts 1992, No. 92-174, p. 285, §5; Acts 1995, No. 95-311, §2; Acts 1995, No. 95-764, p. 1792, §1; Acts 1996, No. 96-665, p. 1093, §1; Act 98-364, p. 634, §1; Act 2000-456, p. 842, §1; Act 2001-694, p. 1453, §1; Act 2004-110, p. 164, §1; Act 2006-519, p. 1194, §1; Act 2008-501, p. 1091, §1; Act 2010-505, p. 811, §1; Act 2011-558, p. 1047, §1; Act 2013-208, p. 446, §1.)
In addition to all other contributions required to be paid by the provisions of Sections 25-4-51 and 25-4-54, when the Unemployment Compensation Trust Fund of this state has received advances from the federal government under the provisions of 42 U.S.C. 1321, each contributory employer shall be assessed an additional rate solely for the purpose of paying interest due on such federal advances. The additional rate assessed to any employer shall be determined by dividing the estimated amount of interest to be paid on such advanced moneys minus any balance in this special fund by 95 percent of the wages as defined in Section 25-4-16 paid by all Alabama contributory employers during the immediately preceding calendar year. The amount to be paid by each employer shall be the product obtained by multiplying such employer’s wages as defined in Section 25-4-16 for the calendar year immediately preceding the calendar year during which the advances became necessary by the rate as heretofore determined by provisions of this section. Each employer shall be notified of the amount of his or its assessment as required by this section not later than the fifteenth day of May next following the year in which such interest becomes due. Such amount shall be due and payable within 30 days of said notice and shall become delinquent on the day following such 30 days. Interest and penalties prescribed by the provisions of Sections 25-4-132 and 25-4-133 shall be applied to late payments to the same extent and at the same rates as is provided for delinquent contributions. Procedures for enforcing payment of amounts due including interest and penalty, by any employer shall be as prescribed by Section 25-4-134. Nothing contained herein shall prevent the Secretary of Labor from postponing the implementation of this section for one calendar year provided such postponement shall not delay collection later than required to pay accumulated interest when it becomes due to be paid nor shall it prevent him from making any further assessment if additional advances are made and/or additional interest becomes due.
(Acts 1983, 2nd Ex. Sess., No. 83-178, p. 347, §1; Acts 1984, No. 84-73, p. 94, §1.)
There is hereby created a special fund, to be known as the “Special Interest Payment Fund,” into which shall be deposited all moneys collected under the provisions of Section 25-4-55. All moneys in the Special Interest Payment Fund shall be deposited, administered and disbursed in the same manner and under the same conditions and requirements as is provided by law in Section 25-4-31.
Moneys in this fund shall be used by the secretary for the payment of interest on moneys advanced by the federal government, shall be continuously available to the secretary for expenditures in accordance with the provisions of Sections 25-4-55 through 25-4-58 and appropriate federal laws and shall not lapse at any time. Any interest earned on moneys in this special fund shall accrue to the special fund.
(Acts 1983, 2nd Ex. Sess., No. 83-178, p. 347, §2; Acts 1984, No. 84-73, p. 94, §2.)
Payment of any assessment as provided under Section 25-4-55 shall be discontinued for the calendar year next following the calendar year during which all interest due to be paid on all advances has been paid. If it becomes necessary to borrow money from the federal government under the provisions of 42 U.S.C. 1321 subsequent to the calendar year in which all previously borrowed advances are repaid, assessments shall be made under the provisions prescribed in Section 25-4-55.
(Acts 1983, 2nd Ex. Sess., No. 83-178, p. 347, §3; Acts 1984, No. 84-73, p. 94, §3.)
When payment of assessments have been discontinued under the provisions of Section 25-4-57, and all obligations of the secretary for interest on advances have been met, all remaining moneys in the Special Interest Payment Fund shall remain in this fund until such time as the balance in the Unemployment Trust Fund equals at least 26 times the average weekly payment made from the Unemployment Trust Fund during the immediately preceding fiscal year as defined in Section 25-4-4(b). Thereafter the secretary may on the immediately succeeding April 1 transfer any balances to the trust fund but in no event shall unexpended assessments remain in the special fund when the trust fund equals or exceeds 50 percent of the minimum normal amount on the preceding October 1, and may thereafter be expended only in such manner and for such purposes as other moneys in the fund may be expended.
(Acts 1983, 2nd Ex. Sess., No. 83-178, p. 347, §4; Acts 1984, No. 84-73, p. 94, §4.)
The procedures provided for in this article and Article 7, commencing with Section 25-4-130, for the making of determinations with respect to contribution rates and payments, and for appealing from such determinations, shall be exclusive.
(Act 2021-6, §2.)
(a) After contributions have been due under this chapter for two years, benefits shall become payable from the fund to any employee who thereafter is or becomes unemployed and eligible for benefits, and shall be paid through unemployment offices or such other agencies at such times and in such manner as the secretary may prescribe.
(b) Benefits based on service in employment defined in subdivisions (a)(2) and (a)(3) of Section 25-4-10 shall be payable in the same amount, on the same terms and subject to the same conditions as compensation payable on the basis of other service subject to this chapter; except, that:
(1) With respect to any week of unemployment beginning after December 31, 1977, benefits shall not be paid based on service in an instructional, research, or principal administrative capacity for any educational institution for any such week commencing 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, to any individual if such individual performs such services in the first of such academic years (or terms) and if there is a contract or reasonable assurance that such individual will perform services in any such capacity for any educational institution in the second of such academic years or terms.
(2) With respect to any week of unemployment beginning after April 3, 1983, benefits shall not be paid on the basis of service in any other capacity for an educational institution, to any individual for any such week which commences during a period between two successive academic years or terms if such individual performs such services in the first of such academic years or terms and there is a reasonable assurance that such individual will perform such services in the second of such academic years or terms, except that if compensation is denied to any individual under this subdivision (2) for weeks of unemployment beginning on or after April 3, 1983, and such individual was not offered an opportunity to perform such services for the educational institution for the second of such academic years or terms, such individual shall be entitled to a retroactive payment of benefits for each week for which the individual filed a timely claim for benefits and for which benefits were denied solely by reason of this subdivision (2); provided further that such individual has given notice that the opportunity to return was not offered or was withdrawn to the secretary in such manner and within such time as the secretary by regulation shall prescribe.
(3) With respect to any week of unemployment beginning on or after April 1, 1984, benefits shall not be paid based on services in any capacity described in subdivisions (1) and (2) to any individual for any week which commences during an established and customary vacation period or holiday recess if such individual performs such services in the period immediately before such vacation period or holiday recess, and there is a reasonable assurance that such individual will perform such services in the period immediately following such vacation period or holiday recess. The term “employment” shall include services performed in the employ of an Indian tribe, as herein defined, provided such service is excluded from employment as defined in FUTA by reason of Section 3306(c)(7), and is not otherwise excluded from employment under this chapter for purposes of this section. The exclusion from employment in Section 25-4-10(b) shall be applicable to services performed in the employ of an Indian tribe.
(4) With respect to any week of unemployment beginning on or after April 1, 1984, benefits shall not be paid on the basis of services described in subdivisions (1) and (2) of this subsection in any such capacities as specified in subdivisions (1), (2), and (3) to any individual who performed such services in an educational institution while in the employ of an educational service agency. For the purposes of this subdivision the term “educational service agency” shall mean a governmental agency or governmental entity which is established and operated exclusively for the purpose of providing such services to one or more educational institutions.
(5) With respect to weeks of unemployment beginning on or after April 1, 1984, benefits shall not be paid with respect to services to which Sections 25-4-8(a)(7), 25-4-8(a)(8), 25-4-10(a)(2) and 25-4-10(a)(3) apply, if such services are provided to or on behalf of an educational institution, under the same circumstances and subject to the same terms and conditions as described in subdivisions (1), (2), (3), and (4) of this subsection.
(6) With respect to weeks of unemployment beginning before April 1, 1984, benefits shall be paid on the basis of this section prior to that date.
(7) For the purposes of this subsection, the term “reasonable assurance” means a written, verbal, or implied agreement that the employee will perform services during the ensuing academic year or term and the term “contract” is intended to include tenure status.
(c) Benefits paid based on services in the employ of an Indian tribe shall be payable on the same terms and subject to the same conditions as compensation payable on the basis of other service subject to this chapter.
(d) Notwithstanding any provision of law, with respect to any week of unemployment beginning on or after May 1, 2015, benefits based on service in employment defined in subdivision (1) of subsection (a) of Section 25-4-10 may not be paid with respect to services rendered to an educational institution, when the services are performed by an individual employed by an employer primarily or exclusively engaged in the provision of its employees to perform work for educational institutions, for any week commencing during the period between two successive academic years or terms, or for any week which commences during an established and customary vacation period or holiday recess, if the individual performs services for the educational institution in the period immediately before the vacation period or holiday recess, and there is a reasonable assurance that such individual will perform the same or similar services for the educational institution in the period immediately following the vacation period or holiday recess. This subsection applies regardless of whether the employer qualifies for exemption from federal employment tax under 26 U.S.C. 501(a) and regardless of whether the employer is a religious, charitable, or educational institution or organization. For purposes of this subsection, the term reasonable assurance shall have the same meaning as set out in subdivision (7) of subsection (b) of this section.
(Acts 1943, No. 310, p. 281, §4; Acts 1945, No. 283, p. 449, §8; Acts 1949, No. 527, p. 810; Acts 1951, No. 644, p. 1098, §2; Acts 1955, No. 28, p. 238; Acts 1957, No. 299, p. 382; Acts 1961, Ex. Sess., No. 274, p. 2298, §5; Acts 1965, No. 390, p. 548, §1; Acts 1967, No. 167, p. 499, §2; Acts 1969, No. 234, p. 559, §§3-7; Acts 1971, No. 166, p. 440, §§10-12; Acts 1971, No. 1201, p. 2083, §1; Acts 1971, No. 2325, p. 3748, §1; Acts 1973, No. 1057, p. 1716, §4; Acts 1975, No. 801, p. 1604, §6; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §5; Acts 1979, No. 79-824, p. 1541, §1; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §7; Acts 1984, No. 84-73, p. 94, §5; Act 2002-94, p. 275, §1; Act 2015-453, §1; Act 2016-395, §1.)
An individual shall be deemed totally unemployed in any week during which he performs no services and with respect to which no wages are payable to him, and shall be deemed partially unemployed in any week of less than full-time work if the wages payable to him with respect to such week are less than his weekly benefit amount. The secretary shall prescribe regulations applicable to unemployed individuals, making such distinctions in the procedures as to total unemployment, part-total unemployment, partial unemployment of individuals attached to their regular jobs and other forms of short-time work, as the secretary deems necessary. Wages are deemed to be payable to an individual working on a commission basis with respect to each week in which he works.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §206.)
(a) For weeks of unemployment during benefit years which begin before the effective date of subsection (b), an individual’s weekly benefit amount shall be as prescribed by this section as amended through July 6, 1997.
(b) For weeks of unemployment during benefit years beginning on or after July 2, 2006, an individual’s weekly benefit amount shall be an amount equal to one twenty-sixth of the average of the wages for insured work paid to the individual during the two quarters of his or her base period in which the total wages were the highest; except, that:
(1) If the amount thus derived is not a multiple of one dollar ($1), fractional parts of one dollar ($1) in excess of fifty cents ($.50) shall be rounded to the next higher multiple of one dollar ($1) and fractional parts of one dollar ($1) which are fifty cents ($.50) or less shall be dropped to the next lower multiple of one dollar ($1).
(2) If the amount derived before the application of subdivision (1) is not in excess of forty-four dollars fifty cents ($44.50), there shall be no weekly benefit amount.
(3) Effective with benefit years beginning on or after July 6, 2008, if the amount thus derived is more than two hundred fifty-four dollars fifty cents ($254.50), the weekly maximum benefit amount shall be two hundred fifty-five dollars ($255).
(4) Effective with benefit years beginning on or after July 5, 2009, if the amount thus derived is more than two hundred sixty-four dollars fifty cents ($264.50), the weekly maximum benefit shall be two hundred sixty-five dollars ($265).
(5) Effective with benefit years beginning on or after January 1, 2020, if the amount thus derived is more than two hundred seventy-four dollars fifty cents ($274.50), the weekly maximum benefit shall be two hundred seventy-five dollars ($275).
(c) If, as a condition for approval of this section for full tax credit against the tax imposed by the federal Unemployment Tax Act, federal law should require a greater maximum weekly benefit amount than that provided herein, then the maximum weekly benefit amount shall be the minimum required by any such federal law for such approval.
(d) Nothing herein shall serve to deprive any individual of any benefit for which he or she had qualified in any benefit year beginning before the effective date of subsection (b).
(e) There is hereby appropriated out of funds made available to this state under Section 903 of the Social Security Act, as amended by Title II, Section 209, “Special Reed Act Transfer in Fiscal Year 2002,” of the “Temporary Extended Unemployment Compensation Act of 2002,” as contained in the “Job Creation and Worker Assistance Act of 2002,” an amount not to exceed 15 percent of the funds, or so much thereof to be used as may be necessary, under the direction of the State of Alabama, Department of Labor, for the expenses incurred for the administration of this state’s unemployment compensation law and public employment offices. Notwithstanding the foregoing, the additional amount of up to $7,940,119 of “Reed Act” funds may be withdrawn from the Unemployment Compensation Trust Fund and used for administrative purposes from May 29, 2008, until September 30, 2009. Furthermore, whatever amount is withdrawn during this time period, that amount shall not change the Employer Tax Schedules pursuant to Section 25-4-54 for the calendar year beginning January 1, 2010.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §207; Acts 1945, No. 283, p. 449, §4; Acts 1951, No. 565, p. 990, §1; Acts 1955, No. 349, p. 848, §1; Acts 1957, No. 300, p. 392, §1; Acts 1961, Ex. Sess., No. 274, p. 2298, §6; Acts 1965, No. 390, p. 548, §2; Acts 1967, No. 167, p. 499, §3; Acts 1969, No. 234, p. 559, §8; Acts 1971, No. 88, p. 349, §3; Acts 1973, No. 1057, p. 1716, §5; Acts 1975, 2nd Ex. Sess., No. 76, p. 203; Acts 1975, No. 801, p. 1604, §7; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §8; Acts 1988, 1st Ex. Sess., No. 88-784, p. 213, §1; Acts 1989, No. 89-405, p. 822, §5; Acts 1992, No. 92-173, p. 284, §1; Acts 1994, No. 94-719, p. 1399, §1; Acts 1997, No. 97-246, p. 426, §1; Act 2002-432, p. 1129, §1; Act 2004-111, p. 179, §1; Act 2006-521, p. 1208, §1; Act 2008-500, p. 1089, §1; Act 2019-204, §1; Act 2021-6, §1.)
(a) Each eligible individual who is totally unemployed or partially unemployed in any week beginning on or after July 3, 1983, shall be paid with respect to such week a benefit in an amount equal to his or her weekly benefit amount, less that part of the wages, if any, payable to him or her with respect to such week which is in excess of one third of the weekly benefit amount. Such benefit, if not a multiple of one dollar ($1), shall be computed to the nearest multiple of one dollar ($1).
(b) With respect to weeks beginning prior to January 1, 1989, each eligible individual shall be paid with respect to such week as was provided in this section prior to such date.
(c) With respect to benefit years effective on or after August 1, 2012, an individual shall serve a one-week waiting period with no benefits payable during the first compensable week within a benefit year. The waiting week shall not be counted as a week of unemployment for the purposes of this section.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §208; Acts 1955, No. 349, p. 848, §2; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §9; Acts 1988, 1st Ex. Sess., No. 88-784, p. 213, §2; Act 2008-501, p. 1091, §1; Act 2012-299, p. 653, §1; Act 2015-157, §1.)
(a) Any otherwise eligible individual shall be entitled during any benefit year, beginning on or after July 3, 1983, to a total amount of benefits equal to whichever is the lesser of 14 times his or her weekly benefit amount, if the state’s average unemployment rate is at or below 6.5 percent, with an additional weekly benefit amount added for each 0.5 percent increase in the state’s average unemployment rate above 6.5 percent up to a maximum of 20 times his or her weekly benefit amount if the state’s average unemployment rate equals or exceeds 9.5 percent, and one fourth of the wages paid to him or her for insured work during his or her base period; provided, that such total amounts of benefits, if not a multiple of one dollar ($1), shall be computed to the nearest multiple of one dollar ($1).
(b) For the purpose of this article, wages shall be counted as “wages for insured work” with respect to any benefit year only if such wages were paid in the base period immediately preceding such benefit year; except, that any lump sum payment of wages in lieu of notice, dismissal, or severance allowance or “back pay” award shall be prorated over the period or periods with respect to which such payment is made and treated as though it had been paid in such period or periods.
(c) In determining an individual’s benefit rights, remuneration payable but unpaid to such individual, to the extent that rules adopted by the secretary prescribe, shall be deemed to be “wages paid” to such individual.
(d) As used in this section, the term “state’s average unemployment rate” means the average of the three months for the most recent third calendar quarter of the seasonably adjusted statewide unemployment rate as published by the Alabama Department of Labor.
(e) For benefit years beginning before July 3, 1983, any otherwise eligible individual shall be entitled to a total amount of benefits as was provided in this section before that date.
(f) Any otherwise eligible individual shall be entitled during the current benefit year to an additional five weeks after all regular benefits have exhausted under subsection (a), and who is enrolled and making satisfactory progress in a job training or certification program approved by the Alabama Department of Labor. Each approved training program shall prepare individuals for entry into a high wage, high demand occupation.
(1) The amount of benefits payable under this subsection shall equal the weekly benefit amount established by the most recent benefit year.
(2) The compensation is not required to be paid to an individual who is receiving similar benefits or other training allowances from other unrelated sources.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §209; Acts 1943, No. 310, p. 281, §5; Acts 1951, No. 565, p. 990, §2; Acts 1961, Ex. Sess., No. 274, p. 2298, §7; Acts 1971, 1st Ex. Sess., No. 17, p. 57; Acts 1971, No. 88, p. 349, §4; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §7; Acts 1980, No. 80-807, p. 1651, §2; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §10; Act 2019-204, §1.)
(a) Applicability of section. Notwithstanding any other provisions of this chapter, the duration of benefits as provided in Section 25-4-74 shall be extended as provided in this section.
(b) Definitions. As used in this section, unless the context clearly requires otherwise, the following terms shall mean:
(1) EXTENDED BENEFIT PERIOD. A period which:
a. Begins with the third week after a week for which there is a state “on” indicator; and
b. Ends with either of the following weeks, whichever occurs later:
The third week after the first week for which there is a state “off” indicator; or
The thirteenth consecutive week of such period; provided, that no extended benefit period may begin by reason of a state “on” indicator before the fourteenth week following the end of a prior extended benefit period which was in effect with respect to this state.
The eligibility period for the payment of extended benefits using the total unemployment rate begins on or after February 1, 2009, and ends four weeks prior to the last week for which 100 percent federal sharing funding is available under Section 2005(a) of Public Law No. 111-5, without regard to the extension of federal sharing for certain claims as provided under Section 2005(c) of such law.
(2) STATE “ON” INDICATOR. There is a “state ‘on’ indicator” for this state for a week if the secretary determines, in accordance with the regulations of the U.S. Secretary of Labor, that for the period consisting of such week and the immediately preceding 12 weeks, the rate of insured unemployment (not seasonally adjusted) under this section:
a. For any weeks beginning prior to September 26, 1982, equaled or exceeded that required by this section prior to such date.
b. For any week beginning on September 26, 1982, or thereafter:
Equaled or exceeded 120 percent of the average of such rates for the corresponding 13-week period ending in each of the preceding two calendar years; and
Equaled or exceeded five percent; provided, that with respect to benefits for weeks of unemployment beginning after September 25, 1982, the determination of whether there has been a “state ‘on’ indicator” beginning any extended benefit period shall be made under this paragraph b. as if this paragraph b. did not contain subparagraph 1 thereof and the “five” contained in subparagraph 2 thereof were “six”; or
With respect to weeks of unemployment beginning on or after February 1, 2009, and remaining in effect until four weeks prior to the last week for which 100 percent federal sharing funding is available under Section 2005(a) of Public Law No. 111-5, without regard to the extension of federal sharing for certain claims as provided under Section 2005(c) of such law:
a. The average rate of total unemployment (seasonally adjusted), as determined by the United States Secretary of Labor, for the period consisting of the most recent 3 months for which data for all states are published before the close of such week equals or exceeds 6.5 percent.
b. The average rate of total unemployment in the state (seasonally adjusted), as determined by the United States Secretary of Labor, for the 3-month period referred to in paragraph a., equals or exceeds 110 percent of such average for either or both of the corresponding 3-month periods ending in the two preceding calendar years.
c. With respect to compensation for weeks of unemployment beginning after December 17, 2010, and remaining in effect until December 31, 2011, or as permitted by federal law, the average rate of total unemployment in the state (seasonally adjusted), as determined by the United States Secretary of Labor, for the three-month period referred to in paragraph a., equals or exceeds 110 percent of such average for any or all of the corresponding three-month periods ending in the three preceding calendar years.
d. For the purposes of this section, a “high unemployment period” exists during any period during which an extended benefit period would be in effect by substituting “8 percent” for “6.5 percent” in paragraph a.
(3) STATE “OFF” INDICATOR. There is a “state ‘off’ indicator” for this state for a week if the secretary determines, in accordance with the regulations of the U.S. Secretary of Labor, that for the period consisting of such week and the immediately preceding 12 weeks:
a. For any weeks beginning prior to September 26, 1982, the rate of insured unemployment under this section was less than that required by this section prior to such date.
b. For any weeks beginning on September 26, 1982, or thereafter, the requirements of either subparagraph 1 or 2 of paragraph (2)b. of this subsection (b) were not satisfied, except that the six percent provision does not apply in determining an “off” indicator.
(4) RATE OF INSURED UNEMPLOYMENT. For the purpose of subdivisions (2) and (3) of this subsection (b), such term means the percentage derived by dividing:
a. The average weekly number of individuals filing claims for regular state benefits in this state for weeks of unemployment with respect to the most recent 13-consecutive-week period, as determined by the secretary on the basis of his reports to the U.S. Secretary of Labor, by
b. The average monthly employment covered under this chapter for the first four of the most recent six completed calendar quarters ending before the end of such 13-week period.
(5) REGULAR BENEFITS. Benefits payable to an individual under this chapter or under any other state law (including benefits payable to federal civilian employees and to ex-servicemen pursuant to 5 U.S.C. 85), other than extended benefits.
(6) EXTENDED BENEFITS. Benefits (including benefits payable to federal civilian employees and to ex-servicemen pursuant to 5 U.S.C. 85) payable to an individual under the provisions of this subsection for weeks of unemployment in his eligibility period.
(7) ELIGIBILITY PERIOD OF AN INDIVIDUAL. The period consisting of the weeks in his benefit year which begin in an extended benefit period and, if his benefit year ends within such extended benefit period, any weeks thereafter which begin in such extended benefit period or during an extended benefit period provided for in Section 2005(b) of Public Law No. 111-5.
(8) EXHAUSTEE. An individual who, with respect to any week of unemployment in his eligibility period:
a. Has received, prior to such week, all of the regular benefits that were available to him under this chapter or any other state law (including dependents’ allowances and benefits payable to federal civilian employees and ex-servicemen under 5 U.S.C. 85) in his current benefit year that includes such week; provided, that for the purposes of this subdivision (8), an individual shall be deemed to have received all of the regular benefits that were available to him although as a result of a pending appeal with respect to wages and/or employment that were not considered in the original monetary determination in his benefit year, he may subsequently be determined to be entitled to added regular benefits; or
b. His benefit year having expired prior to such week, has no, or insufficient, wages on the basis of which he could establish a new benefit year that would include such week; and
c.1. Has no right to unemployment benefits or allowances, as the case may be, under the Railroad Unemployment Insurance Act, the Trade Expansion Act of 1962, the Automotive Products Trade Act of 1965, and such other federal laws as are specified in regulations issued by the U.S. Secretary of Labor; and
(9) STATE LAW. The unemployment insurance law of any state, approved by the U.S. Secretary of Labor under Section 3304 of the Internal Revenue Code of 1954.
(c) Effect of state law provisions relating to regular benefits on claims for, and the payment of, extended benefits. Except when the result would be inconsistent with the other provisions of this section, as provided in the regulations of the secretary, the provisions of this chapter which apply to claims for, or the payment of, regular benefits shall apply to claims for, and the payment of, extended benefits.
(d) Eligibility requirements for extended benefits. An individual shall be eligible to receive extended benefits with respect to any week of unemployment in his eligibility period only if the secretary finds that with respect to such week:
(1) He is an “exhaustee,” as defined in subdivision (b)(8) of this section.
(2) He has satisfied the requirements of this chapter for the receipt of regular benefits that are applicable to individuals claiming extended benefits, including not being subject to a disqualification for the receipts of benefits.
(e) Weekly extended benefit amount. The weekly extended benefit amount payable to an individual for a week of total unemployment in his eligibility period shall be an amount equal to the weekly benefit amount payable to him during his applicable benefit year.
(f) Total extended benefit amount. The total extended benefit amount payable to any eligible individual with respect to his applicable benefit year shall be the lesser of the following amounts:
(1) 50 percent, rounded to the nearest multiple of $1, of the total amount of regular benefits which were payable to him under this chapter in his applicable benefit year; or
(2) Thirteen times the weekly benefit amount which was payable to an individual under this chapter for a week of total unemployment in the applicable benefit year.
(3) Effective with respect for weeks in a high unemployment period, the total extended benefit amounts shall be applied by substituting “80 percent” for “50 percent” in subdivision (1) and “Twenty” for “Thirteen” in subdivision (2).
(g) Beginning and termination of extended benefit period.
(1) Whenever an extended benefit period is to become effective in this state, as a result of a state “on” indicator, or an extended benefit period is to be terminated in this state as a result of a state “off” indicator, the secretary shall make an appropriate public announcement.
(2) Computations required by the provisions of subdivision (b)(4) of this section shall be made by the secretary, in accordance with regulations prescribed by the U.S. Secretary of Labor.
(h) Cessation of extended benefits when paid under an interstate claim in a state where extended benefit period is not in effect.
(1) Except as provided in subdivision (h)(2), an individual shall not be eligible for extended benefits for any week if:
a. Extended benefits are payable for such week pursuant to an interstate claim filed in any state under the interstate benefit payment plan; and
b. No extended benefit period is in effect for such week in such state.
(2) The provisions of subdivision (h)(1) shall not apply with respect to the first two weeks for which extended benefits are payable (determined without regard to this subsection) pursuant to an interstate claim filed under the interstate benefit payment plan to the individual from his extended benefit amount established for the benefit year.
(i) Restrictions on entitlement during eligibility period.
(1) Notwithstanding the other provisions of this section, payment of any extended benefits under this section shall not be made to any individual for any week of unemployment in his eligibility period:
a. during which he fails to accept any offer of suitable work as defined in subdivision (i)(3) or fails to apply for any such suitable work to which he was referred by the secretary; or
b. during which he fails to actively seek work, except as provided in subdivision (a)(5) of Section 25-4-77, but only with regard to the exception for the appearance for jury duty as provided therein.
(2) If any individual is ineligible for extended benefits for any week by reason of a failure described in subdivision (i)(1), the individual shall be ineligible to receive extended benefits for any week during a period which:
a. begins with the week following the week in which such failure occurs and
b. does not end until such individual has been employed in at least four weeks which begin after such failure and the total of the remuneration earned by the individual for being so employed is not less than four times his extended weekly benefit amount for his benefit year.
(3) For the purposes of this subsection (i), the term “suitable work” means, with respect to any individual, any work which is within such individual’s capabilities; except that, if the individual furnishes evidence satisfactory to the secretary that such individual’s prospects for obtaining work in his customary occupation within a reasonably short period are good, the determination of whether any work is suitable work shall be made in accordance with other provisions of this chapter.
(4) Extended benefits shall not be denied under paragraph a. of subdivision (i)(1) to any individual for any week by reason of a failure to accept an offer of, or apply for, suitable work:
a. If the gross average weekly remuneration payable to such individual for the position does not exceed the sum of:
the individual’s extended weekly benefit amount for the benefit year plus;
the amount if any of supplemental unemployment benefits (as defined in 26 U.S.C. 501(c)(17)(D)) payable to such individual for such week;
b. if the position was not offered to such individual in writing or was not listed with the state employment service;
c. if such failure would not result in a denial of benefits under the other provisions of this chapter to the extent that such provisions are not inconsistent with subdivisions (4) and (5) of this subsection (i); or
d. if the position pays wages less than the higher of the minimum wages provided under Section 6 (a)(1) of the Fair Labor Standards Act of 1938, as amended, without regard to any exemption or the applicable state or local minimum wage, if any.
(5) For purposes of this subsection (i), an individual shall be treated as actively engaged in seeking work during any week if the individual has engaged in a systematic and sustained effort to obtain work during such week, and provides tangible evidence to the secretary that he has engaged in such effort during such week.
(j) Referral of extended claimant to job. Extended benefit claimants shall be referred to any available suitable work to which the definition in subdivision (i)(4) does not apply.
(k) Employment required after involuntary separation. No provision of Section 25-4-78 which terminates a disqualification for regular or extended benefits because he or she has voluntarily left employment, was suspended or discharged for misconduct (in any of the degrees defined in Section 25-4-78) or failed to accept an offer of or apply for suitable work shall apply for purposes of determining eligibility for extended benefits unless the disqualification imposed has been terminated based upon employment in four weeks and remuneration of an amount which equals or exceeds four times the individual’s weekly benefit amount subsequent to the effective date of such disqualification.
(l) Effective date of added provisions. The provisions of subsections (h), (i), (j), (k), and (l) of this section shall apply to weeks of unemployment which begin after March 31, 1981, except the provisions of subsection (i), (j), and (k) shall not apply to claims for weeks of unemployment beginning after March 6, 1993, and before January 1, 1995. During this period, the provisions of this chapter applicable to claims for regular compensation shall apply. For weeks beginning on or after January 1, 1995, the provisions of subsections (i), (j), and (k) shall apply.
(m) Effect of receipt of trade readjustment allowances. Notwithstanding any other provisions of this section, if the benefit year of any individual ends within an extended benefit period, the remaining balance of extended benefits that such individual would, but for this subsection (m), be entitled to receive in that extended benefit period, with respect to weeks of unemployment beginning after the end of the benefit year, shall be reduced (but not below zero) by the product of the number of weeks for which the individual received any amounts as trade readjustment allowances within that benefit year, multiplied by the individual’s weekly benefit amount for extended benefits.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §209; Acts 1943, No. 310, p. 281, §5; Acts 1951, No. 565, p. 990, §2; Acts 1961, Ex. Sess., No. 274, p. 2298, §7; Acts 1971, 1st Ex. Sess., No. 17, p. 57; Acts 1971, No. 88, p. 349, §4; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §8; Acts 1981, No. 81-424, p. 665; Acts 1982, No. 82-370, p. 524, §1; Acts 1984, No. 84-73, p. 94, §6; Acts 1993, No. 93-253, p. 357, §1; Acts 1994, No. 94-718, p. 1390, §1; Act 2009-814, p. 2530, §1; Act 2010-505, p. 811, §1; Act 2011-564, p. 1076, §1.)
(a) As used in this section, “maritime employment” means employment in connection with the construction, repair, loading or unloading of vessels, and in connection with the handling of cargoes for vessels. The secretary shall, after a study of previous employment records and after investigation and hearing, determine, and may thereafter from time to time redetermine which industries are maritime industries within the meaning of this section. Until such determination by the secretary, no industry shall be deemed to be a maritime industry.
(b) The term “maritime worker” means an employee who is customarily or regularly employed in “maritime employment,” such as men engaged in the construction or repair of vessels and in the operation of plants at which vessels are constructed or repaired, and it shall include longshoremen, dock workers, harbor workers, and other employees in occupations which, after the secretary has studied the nature thereof and the employment record of workers engaged therein, are found to be occupations in which employment regularly continues throughout substantially all the year.
(c) The provisions of Section 25-4-72 shall in all respects govern the benefit rights of a maritime worker, except that the weekly benefit amount of such a worker shall be determined from “the average quarterly earnings” paid such worker during his base period, instead of from the “average of the wages for insured work paid to him during the two quarters of his base period in which such total wages were the highest.” If a “maritime worker” has not been engaged in maritime employment for substantially the whole of his base period, the secretary shall determine his average quarterly earnings on the basis of his earnings during the time he has actually been engaged in such maritime employment within his base period.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §211; Acts 1966, Ex. Sess., No. 427, p. 571; Acts 1988, 1st Ex. Sess., No. 88-784, p. 213, §3.)
(a) An unemployed individual shall be eligible to receive benefits with respect to any week in a benefit year which begins on or after January 1, 2023, only if the secretary finds that he or she has met all of the following criteria:
(1) Made a claim for benefits with respect to the week in accordance with rules adopted by the secretary.
(2) Registered for work at, and subsequently continued to report at, a state employment office in accordance with rules adopted by the secretary as he or she may prescribe; except, that the secretary may by rule waive or alter either or both of the requirements of this subdivision as to individuals attached to regular jobs and as to such other types of cases or situations with respect to which he or she finds that compliance with such requirements would be oppressive or would be inconsistent with purposes of this chapter.
(3) Is physically and mentally able to perform work of a character which he or she is qualified to perform by past experience or training, and is available for the work either at a locality at which he or she earned wages for insured work during his or her base period or at a locality where it may reasonably be expected that the work may be available.
(4) Been totally or partially unemployed in the week.
(5) Made a reasonable and active effort to secure work which he or she is qualified to perform by past experience and training, unless the failure is because the individual is before any court of the United States or any state pursuant to a lawfully issued summons to appear for jury duty. “Reasonable and active effort” means engaging in systematic and sustained efforts to find work, including contacting at least three prospective employers for each week of unemployment claimed. The department shall require the claimant to provide proof of work search efforts when filing his or her weekly certification. A claimant’s subsequent proof of work search efforts may not include the same prospective employer, unless the employer has indicated since the time of the initial contact that the employer is hiring. The department shall conduct random reviews of at least five percent of the work search proof provided by claimants each week. The Governor by executive order may suspend the work search requirement during a state of emergency to the extent permissible by federal law. For the purposes of this subdivision, the entitlement to regular or extended benefits of any individual who is determined not to be actively engaged in seeking work during any week because of jury duty, shall be determined pursuant to the provisions of subdivision (3) without regard to the disqualification provisions otherwise applicable under Section 25-4-75(i)(1)b. and Section 25-4-75(i)(2). The term “jury duty” as used in this subdivision means the performance of service as a juror, during all periods of time an individual is engaged in service as a juror, in any court of a state or the United States pursuant to the law of the state or the United States and the rules of the court in which the individual is engaged in the performance of service as a juror.
(6) During his or her base period, been paid wages for insured work equal to or exceeding one and one-half times the total of the wages for insured work paid to him or her in that quarter of the base period in which the total wages were the highest and in addition, qualifies for benefits under the provisions of Section 25-4-72; provided, however, that no otherwise eligible individual who has received benefits in a preceding benefit year shall be eligible to receive benefits in a succeeding benefit year unless and until the otherwise eligible individual, subsequent to the beginning date of the preceding benefit year, has worked in insured employment for which work he or she earned wages equal to at least eight times the weekly benefit amount established for the individual in the preceding benefit year.
(7) Pursuant to Section 4 of Public Law 103-152, has been selected and referred to reemployment services and participates in reemployment services, such as job search assistance services, if the individual has been determined to be likely to exhaust regular benefits and needs reemployment services pursuant to a profiling system established by the secretary, unless the secretary determines that the claimant has completed reemployment services or there is justifiable cause for his or her failure to participate in reemployment services.
(b) Notwithstanding any of the provisions of subdivision (a)(3), no otherwise eligible individual shall be denied benefits for any week because he or she has met any of the following criteria:
(1) Enrolled in a course of training with the approval of the secretary. The approval of the secretary shall be conditioned upon the following:
a. The individual’s skills are obsolete or provide minimal opportunities for employment.
b. Training is for an occupation for which there is a substantial and recurring demand.
c. Training is not a course of education for credit toward a degree.
d. The individual possesses aptitudes or skills that can be supplemented by retraining within a reasonable time.
e. The individual produces satisfactory evidence of continued attendance and satisfactory progress.
(2) Engaged in training approved by the secretary under Section 236 (a)(1) of the Trade Act of 1974.
(3) Left work to enter training pursuant to subdivision (2), provided that the work left is not suitable employment. For purposes of this subdivision, the term “suitable employment” means with respect to an individual, work of a substantially equal or higher skill level than the individual’s past adversely affected employment, as defined by the Trade Act of 1974, and wages for such work at not less than 80 percent of the individual’s average weekly wage as defined by the Trade Act of 1974.
(4) Become unavailable to work, failed to actively seek work, or refused to accept work because he or she was in training pursuant to subdivision (2).
(c) With respect to any week that begins prior to January 1, 1989, an unemployed individual shall be eligible to receive benefits as provided in this section prior to that date.
(d) The provisions of subdivision (a)(5) shall be applied only to any week that begins on or after January 1, 2023.
(e) The Department of Labor shall provide applicants for unemployment with simple instructions on how to apply and provide all required recurring certifications to continue to receive benefits.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §213; Acts 1943, No. 310, p. 281, §7; Acts 1945, No. 283, p. 449, §9; Acts 1949, No. 524, p. 804; Acts 1951, No. 598, p. 1029; Acts 1955, No. 353, p. 852; Acts 1961, Ex. Sess., No. 274, p. 2298, §8; Acts 1965, No. 390, p. 548, §4; Acts 1971, No. 88, p. 349, §5; Acts 1975, No. 801, p. 1604, §8; Acts 1982, No. 82-372, p. 533, §2; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §11; Acts 1984, No. 84-73, p. 94, §7; Acts 1988, 1st Ex. Sess., No. 88-784, p. 213, §4; Acts 1989, No. 89-405, p. 822, §6; Acts 1994, No. 94-718, p. 1390, §2; Act 2022-301, §§1, 2.)
An individual shall be disqualified for total or partial unemployment for any of the following:
(1) LABOR DISPUTE IN PLACE OF EMPLOYMENT. For any week in which an individual’s total or partial unemployment is directly due to a labor dispute still in active progress in the establishment in which he or she is or was last employed. For the purposes of this section only, the term labor dispute includes any controversy concerning terms, tenure, or conditions of employment, or concerning the association or representation of persons in negotiating, fixing, maintaining, changing, or seeking to arrange terms or conditions of employment, regardless of whether the disputants stand in the proximate relation of employer and employee. This definition shall not relate to a dispute between an individual worker and his or her employer.
(2) VOLUNTARILY QUITTING WORK. If an individual has left his or her most recent bona fide work voluntarily without good cause connected with such work.
a.1. However, an individual shall not be disqualified if he or she was forced to leave work because he or she was sick or disabled, notified his or her employer of the fact as soon as it was reasonably practicable so to do, and returned to that employer and offered himself or herself for work as soon as he or she was again able to work; provided, however, this exception shall not apply if the employer had an established leave of absence policy covering sickness or disability and:
(i) The individual fails to comply with the same as soon as it is reasonably practicable to do so; or
(ii) Upon the expiration of a leave of absence shall fail to return to the employer and offer himself or herself for work, if the individual shall then be able to work, or if he or she is not then able to work, he or she fails to so notify his or her employer of that fact and request an extension of his or her leave of absence as soon as it is reasonably practicable so to do.
In case of doubt that an individual was sick or disabled, or as to the duration of any such sickness or disability, the secretary may, or if the employer requests it, the secretary shall require a doctor’s certificate to establish the fact or facts in doubt.
An established leave of absence policy shall be any leave of absence policy covering sickness and disability communicated to the employee by the customary means used by the employer for communicating with his or her employees.
Nothing herein shall be construed or interpreted as authorizing the payment of benefits to any individual during, or for, unemployment due to sickness or disability or during any period in which he or she is on a leave of absence granted in accordance with an established leave of absence policy, the duration of which leave was set in accordance with his or her request or in accordance with a collective bargaining agreement; except, that if such leave of absence is on account of pregnancy and extends beyond the tenth week following termination of such pregnancy, the individual shall not be denied benefits under this subdivision beyond such tenth week if she has given the employer three weeks’ notice of her desire to return to work, is then able to work, and has not refused reinstatement to a job which under subdivision (5) would be deemed suitable for her.
b. When an individual is disqualified under this subdivision:
(i) He or she has reentered insured employment or employment of the nature described in subdivisions (5), (6), (7), (8), (9), (10), or (18) of subsection (b) of Section 25-4-10; and
(ii) For which employment he or she has earned wages equal to at least 10 times his or her weekly benefit amount for the benefit year in which such disqualification is assessed; and
(iii) He or she has been separated from such employment under nondisqualifying conditions.
The total amount of benefits to which an individual may otherwise be entitled as determined in accordance with Sections 25-4-74 and 25-4-75 shall be reduced by an amount equal to not less than three nor more than nine times his or her weekly benefit amount.
For the purpose of the experience rating provisions of Section 25-4-54, no portion of the benefits payable to an individual, based upon wages paid to him or her for the period of employment ending with the separation to which the disqualification applies, shall be charged to the employer’s experience rating account. If the individual has been separated from employment other than his or her most recent bona fide work under conditions which would have been disqualifying under this subdivision (2) had the separation been from his or her most recent bona fide work and the employer answers a notice of payment within 15 days after it is mailed to him or her detailing the facts in connection with the separation, then no portion of any benefits paid to him or her based upon wages for the period of employment ending in such separation shall be charged to the employer’s experience rating account.
Any other provision of this chapter to the contrary notwithstanding, effective October 21, 2013, the unemployment compensation account of an employer shall be charged when the unemployment compensation agency determines that an overpayment has been made to a claimant as a result of both of the following:
(i) The overpayment occurred because the employer, or an agent of the employer, failed to respond timely or adequately to a request from the unemployment compensation agency for information relating to an unemployment compensation claim.
(ii) The employer, or an agent of the employer, has established a pattern of failing to respond timely or adequately to a request from the unemployment compensation agency for information relating to an unemployment compensation claim on two or more occasions.
c. An individual shall not be disqualified if he or she left his or her employment and immediately returned to work with his or her regular employer or to employment in which he or she had prior existing statutory or contractual seniority or recall rights. When this exception is applied, any benefits paid to the individual based upon wages paid for that period of employment immediately preceding the separation to which the exception is applied, which have not been heretofore charged to the employer’s experience rating account, shall not be charged to the account of the employer.
d. For separation occurring on or after August 1, 2012, an individual shall not be disqualified if he or she left his or her employment to permanently relocate as a result of his or her active duty military-connected spouse’s permanent change of station orders, activation orders, or unit deployment orders. When this exception is applied, any benefits paid to the individual based upon wages paid for that period of employment immediately preceding the separation to which the exception is applied, which have not been heretofore charged to the employer’s experience rating account, shall not be charged to the account of the employer.
e. For the purposes of this subdivision and subdivision (3) of this section, the secretary in determining the most recent bona fide work shall only consider employment of the nature described in subsection (a) of Section 25-4-10. The secretary shall also consider the duration of the most recent job or jobs, the intent of the individual and his or her employer as to the permanence of such work, and whether separation from the immediately preceding employment was under conditions which would be disqualifying in the event such immediately preceding employment should be determined to be the most recent bona fide work.
(3) DISCHARGE FOR MISCONDUCT.
a. If an individual was discharged or removed from his or her work for a dishonest or criminal act committed in connection with his or her work or for sabotage or an act endangering the safety of others or for the use of illegal drugs after previous warning or for the refusal to submit to or cooperate with a blood or urine test after previous warning. Disqualification under this paragraph may be applied to separations prior to separation from the most recent bona fide work only if the employer has filed a notice with the secretary alleging that the separation was under conditions described in this paragraph in such manner and within such time as the secretary may prescribe.
(i) A confirmed positive drug test that is conducted and evaluated according to standards set forth for the conduct and evaluation of such tests by the U.S. Department of Transportation in 49 C.F.R. Part 40 or standards shown by the employer to be otherwise reliable shall be a conclusive presumption of impairment by illegal drugs. No unemployment compensation benefits shall be allowed to an employee having a confirmed positive drug test if the employee had been warned that such a positive test could result in dismissal pursuant to a reasonable drug policy. A drug policy shall be deemed reasonable if the employer shows that all employees of the employer, regardless of position or classification, are subject to testing under the policy, and in those instances in which the employer offers as the basis for disqualification from unemployment compensation benefits the results obtained pursuant to additional testing imposed on some but not all classifications, if the employer can also offer some rational basis for conducting such additional testing. Further, no unemployment compensation benefits shall be allowed if the employee refuses to submit to or cooperate with a blood or urine test as set forth above, or if the employee knowingly alters or adulterates the blood or urine specimen.
(ii) For purposes of paragraph a. and item (i) of paragraph a. of this subdivision, warning shall mean that the employee has been advised in writing of the provisions of the employer’s drug policy and that either testing positive pursuant to the standards referenced above or the refusal to submit to or cooperate with a blood or urine test as set out in the above referenced standards could result in termination of employment. This written notification as herein described shall constitute a warning as used in paragraph a. and item (i) of paragraph a. of this subdivision.
(iii) To the extent that the issue is a positive drug test or the refusal to submit to or cooperate with a blood or urine test, or if the employee knowingly alters or adulterates the blood or urine sample, as distinguished from some other aspect of the employer’s drug policy, this disqualification under paragraph a. and item (i) of paragraph a. shall be the only disqualification to apply, in connection with an individual’s separation from employment. Other non-separation disqualifications may apply.
When an individual is disqualified under this paragraph:
He or she shall not be entitled to benefits for the week in which the disqualifying event occurs or for any week thereafter until he or she has reentered insured employment or employment of the nature described in subdivisions (5), (6), (7), (8), (9), (10), or (18) of subsection (b) of Section 25-4-10, has earned wages equal at least to 10 times his or her weekly benefit amount, and has been separated from such employment for a nondisqualifying reason.
He or she shall not thereafter be entitled to any benefits under this chapter on account of wages paid to him or her for the period of employment by the employer by whom he or she was employed when the disqualifying event occurred.
For the purposes of the experience rating provisions of Section 25-4-54:
(i) No portion of any benefits based upon wages paid to the individual for the period of employment by the employer by whom he or she was employed when the disqualifying event occurred shall be charged to the employer’s experience rating account.
(ii) In the case of a separation prior to the separation from the most recent bona fide work, if the only reason disqualification under this paragraph a. was not assessed was the failure of the employer to properly file a timely separation report with the secretary and the employer files such a report within 15 days after the mailing of a notice of payment, then no portion of any benefits paid based upon the wages paid for the period of employment ending in such prior separation shall be charged to the employer’s experience rating account.
b. If an individual was discharged from his or her most recent bona fide work for actual or threatened misconduct committed in connection with his or her work (other than acts mentioned in paragraph a. of this subdivision) repeated after previous warning to the individual. When an individual is disqualified under this paragraph, or exempt from disqualification for a separation under such conditions prior to his or her most recent bona fide work, the effect shall be the same as provided in paragraph b. of subdivision (2) for disqualification or exemption from disqualification respectively.
c. If an individual was discharged from his or her most recent bona fide work for misconduct connected with his or her work [other than acts mentioned in paragraphs a. and b. of this subdivision]:
He or she shall be disqualified from receipt of benefits for the week in which he or she was discharged and for not less than the following week nor more than the four next following weeks, as determined by the secretary in each case according to the seriousness of the conduct.
The total amount of benefits to which an individual may otherwise be entitled as determined in accordance with Sections 25-4-74 and 25-4-75 shall be reduced by an amount equal to the product of the number of weeks for which an individual shall be disqualified multiplied by his or her weekly benefit amount.
Only one-half of the benefits paid to an individual based upon wages for that period of employment immediately preceding the separation to which the disqualification applies shall be charged to the employer for the purposes of the experience rating provisions of Section 25-4-54. If the individual has been separated from employment, other than his or her most recent bona fide work, under conditions which would have been disqualifying under this paragraph, had the separation been from his or her most recent bona fide work and the employer answers a notice of payment within 15 days after it is mailed to him or her detailing the facts in connection with the separation, then only one-half of the benefits paid to him or her for that period of employment immediately preceding the separation shall be charged to the employer for the purposes of the experience rating provisions of Section 25-4-54, unless the employer, or an agent of the employer, failed to respond timely or adequately to written requests pursuant to subparagraph 4. of paragraph b. of subdivision (2).
d. If an individual has been suspended as a disciplinary measure connected with his or her work, or for misconduct connected with his or her work, he or she shall be disqualified from benefits for the week or weeks (not to exceed four weeks) in which, or for which, he or she is so suspended and the total amount of benefits to which he or she may otherwise be entitled shall be reduced in the same manner and to the same extent as provided in subparagraph 2. of paragraph c. of this subdivision (3).
(4) REVOCATION OR SUSPENSION OF REQUIRED LICENSE, ETC. For the week in which an individual has become unemployed because a license, certificate, permit, bond, surety, or insurability which is necessary for the performance of his or her employment and which he or she is responsible to maintain or supply has been revoked, suspended, or otherwise become lost to him or her for a cause other than one which would fall within the meaning of subdivision (3), but one which was within his or her power to control, guard against, or prevent, and for each week thereafter until:
a. The license, certificate, permit, bond, or surety, or insurability, has been restored to him or her and he or she has reapplied to his or her employer for employment; or
b. He or she has reentered insured employment or employment of the nature described in subdivisions (5), (6), (7), (8), (9), (10), or (18) of subsection (b) of Section 25-4-10, whichever is the earlier.
c. Nothing in this subdivision shall be construed as a basis for disqualification of an individual who is without fault and who has made a reasonable effort to obtain his or her initial license, certificate, permit, bond, surety, or insurability required for the performance of assigned duties.
(5) FAILURE TO ACCEPT AVAILABLE SUITABLE WORK, ETC. If an individual fails, without good cause, either to apply for or to accept available suitable work or to return to his or her customary self-employment when so directed by the secretary or when an individual is notified of suitable work or it is offered him or her through a state employment office or the United States Employment Service, or directly or by written notice or offer to any such employment office or employment service by an employer by whom the individual was formerly employed. Such disqualification shall be for a period of not less than one nor more than five weeks from the date of failure. This disqualification shall not apply unless the individual has an established benefit year, or is seeking to establish one or is seeking extended benefits at the time he or she fails without good cause, to do any of the acts set out in this subdivision.
a. In determining whether or not any work is suitable for an individual, the secretary shall consider:
The degree of risk involved to his or her health, safety, and morals, his or her physical fitness, and his or her prior training.
His or her experience and prior earnings.
His or her length of unemployment.
His or her prospects for securing local work in his or her customary occupation.
The distance of the available work from his or her residence; provided, that no work or employment shall be deemed unsuitable because of its distance from the individual’s residence, if such work or employment is in the same or substantially the same locality as was his or her last previous regular place of employment and if the employee left such voluntarily without good cause connected with such employment.
b. Notwithstanding any other provisions of this chapter, no work shall be deemed suitable and benefits shall not be denied under this chapter to any otherwise eligible individual for refusing to accept new work under any of the following conditions:
If the position offered is vacant due directly to a strike, lockout, or other labor dispute.
If the wages, hours, or other conditions of the work offered are substantially less favorable to the individual than those prevailing for similar work in the locality.
If as a condition of being employed the individual would be required to join a company union, or to resign from or refrain from joining any bona fide labor organization.
c. Notwithstanding any other provisions of this section, benefits shall not be denied an individual, by reason of the application of this subdivision (5), with respect to any week in which he or she is in training with the approval of the secretary as described in subdivision (a)(3) of Section 25-4-77.
(6) RECEIPT OF BACK PAY AWARD, ETC. For any week with respect to which an individual is receiving or has received remuneration in the form of a back pay award. Notwithstanding Section 25-4-91, any benefits previously paid for weeks of unemployment with respect to which back pay awards are made shall constitute an overpayment and such amounts shall be deducted from the award by the employer prior to payment to the employee and shall be transmitted promptly to the secretary by the employer for application against the overpayment and credit to the claimant’s maximum benefit amount and prompt deposit into the fund; provided, however, the removal of any charges made against the employer as a result of such previously paid benefits shall be applied to the calendar year and the calendar quarter in which the overpayment is received by the secretary and no attempt shall be made to relate such a credit to the period to which the award applies. Any amount of overpayment deducted by the employer shall be subject to the same procedures for collection as is provided for contributions by Section 25-4-134.
(7) RECEIPT OF OR APPLICATION FOR UNEMPLOYMENT COMPENSATION FROM ANOTHER STATE, ETC. For any week with respect to which, or a part of which, an individual has received or is seeking unemployment benefits under an unemployment compensation law of any other state or of the United States; provided, that if the appropriate agency of such other state or of the United States finally determines that the individual is not entitled to such unemployment benefits this disqualification shall not apply.
(8) RECEIPT OF PENSION PAYMENT. For any week with respect to which, or a part of which, an individual has received or has, except for the determination of an exact or specific amount, been determined eligible to receive (during a period for which benefits are being claimed) governmental or other pension, retirement or retired pay, annuity, or similar periodic payment which is based on the previous work of the individual; except, that
a. For weeks of unemployment which begin prior to April 26, 1982, as was prescribed by this subsection prior to the date, and
b. For weeks of unemployment which begin on or after April 26, 1982, the amount of any benefits payable to an individual for any week which begins in a period with respect to which the disqualifying provisions of this subdivision apply, shall be reduced (but not below zero) by an amount equal to the amount of the pension, retirement or retired pay, annuity, or other payment, which is reasonably attributable to the week, provided, however, the reduction required by this paragraph shall apply to any pension, retirement or retired pay, annuity, or other similar payment only if:
The payment is made under a plan that is maintained (or contributed to) by a base period employer and 100 percent employer-financed and not contributed to by the worker, and
In the case of such a payment not made under the Social Security Act or the Railroad Retirement Act of 1974 (or the corresponding provisions of prior law), services performed for the employer by the individual after the beginning of his or her base period (or remuneration for the services) affect eligibility for, or increase the amount of, the payment.
c. The other provisions of this subdivision to the contrary notwithstanding, beginning with the weeks ending October 7, 1995, the amount of any pension, retirement or retired pay, annuity, or other similar periodic payment under the Social Security Act or the Railroad Retirement Act shall not result in a reduction of benefits under this subdivision.
d. If in accordance with this subdivision any individual is awarded pension payments retroactively covering the same period for which the individual received benefits, the retroactive payments shall constitute cause for disqualification and any benefits paid during the period shall be recovered only if the retroactive pension payments were made under a plan that is maintained (or contributed to) by a base period employer, 100 percent employer-financed, and not contributed to by the worker.
(9) RECEIPT OF OR APPLICATION FOR WORKERS’ COMPENSATION. For any week with respect to which, or a part of which, an individual has received or is seeking compensation for temporary disability under any workers’ compensation law; provided, that if it is finally determined the individual is not entitled to such compensation, this disqualification shall not apply; and provided further, that if such compensation is less than the benefits which would otherwise be due under this chapter, the individual shall be entitled to receive for the week, if otherwise eligible, benefits reduced by the amount of the payment.
(10) EMPLOYMENT BY PUBLIC WORKS AGENCY, ETC. For any week that an individual is engaged or employed by the Works Progress Administration, the National Youth Administration, or any federal or state unit, agency, or instrumentality in charge of public works, assistance through public employment, or work relief.
(11) SELF-EMPLOYMENT. For any week in which an individual is self-employed and each week thereafter until he or she shall establish that he or she is no longer self-employed.
(12) RECEIPT OF, OR APPLICATION FOR, TRAINING ALLOWANCE, ETC. For any week with respect to which, or a part of which, an individual who is enrolled in a course of training with the approval of the secretary, within the meaning of subdivision (a)(3) of Section 25-4-77, has applied for, or is entitled to receive, any wage or subsistence or training allowance or other form of remuneration, other than reimbursement for travel expenses, for a course of training under any public or private training program; provided, that if it is finally determined that an individual is not entitled to such remuneration, this disqualification shall not apply. If the remuneration, the receipt of which is disqualifying under this subdivision, is less than the weekly benefits which he or she would otherwise be due under this chapter, he or she shall be entitled to receive, if otherwise eligible, weekly benefits reduced by the amount of the remuneration. It is further provided that receipt of training allowances under the Trade Readjustment Act shall not be cause for disqualification under this subdivision.
(13) PARTICIPATION IN PROFESSIONAL SPORTS. For any week which commences during the period between two successive sport seasons, or similar periods, to any individual for which benefits claimed are on the basis of any services, substantially all of which consist of participating in sports or athletic events or training or preparing to so participate, if such individual performed services in the first of such seasons, or similar periods, and there is a reasonable assurance that such individual will perform such services in the later of such seasons, or similar periods.
(14) ALIENS.
a. For any week for which benefits claimed are on the basis of services performed by an alien unless:
The alien is an individual who was lawfully admitted for permanent residence at the time the services were performed, and was lawfully present for purposes of performing the services; or,
The alien was permanently residing in the United States under color of law at the time services were performed, including an alien who is lawfully present in the United States as a result of the application of the provisions of Section 203(a)(7) or Section 212(d)(5) of the Immigration and Nationality Act; or,
The alien was lawfully admitted for temporary residence as provided for under Section 245A(a) of the Immigration Reform and Control Act of 1986 (PL 99-603).
b. Any data or information required of individuals applying for benefits to determine whether benefits are not payable to them because of their alien status shall be uniformly required from all applicants for benefits.
c. In the case of an individual whose application for benefits would otherwise be approved, no determination that benefits to such individual are not payable because of his or her alien status shall be made except upon a preponderance of the evidence.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §214; Acts 1943, No. 310, p. 281, §8; Acts 1949, No. 526, p. 806; Acts 1951, No. 565, p. 990, §3; Acts 1955, No. 360, p. 875; Acts 1965, No. 390, p. 548, §5; Acts 1969, No. 234, p. 559, §§9, 10; Acts 1971, No. 88, p. 349, §§6-11; Acts 1971, No. 672, p. 1399; Acts 1973, No. 1057, p. 1716, §6; Acts 1975, No. 801, p. 1604, §9; Acts 1979, No. 79-824, p. 1541, §2; Acts 1980, No. 80-807, p. 1651, §3; Acts 1982, No. 82-372, p. 533, §3; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §12; Acts 1988, No. 88-265, p. 413; Acts 1989, No. 89-405, p. 822, §7; Acts 1994, No. 94-719, §1; Acts 1995, No. 95-311, p. 582, §2; Act 2001-694, p. 1453, §1; Act 2012-507, p. 1495, §1; Act 2013-312, p. 1084, §1; Act 2015-472, p. 1622, §1; Act 2019-204, §1.)
Claims for benefits shall be made in accordance with such general rules as the secretary may prescribe.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §215.)
(a) Determination by examiner. A determination upon a claim filed pursuant to Section 25-4-90 shall be made promptly by an examiner designated by the secretary, and shall include a statement as to whether and in what amount a claimant is entitled to benefits and, in the event of denial, shall state the reasons therefor; except, that where he deems additional evidence to be needed, the examiner may refer such claim or any question involved therein to an appeals tribunal who shall make this decision with respect thereto in accordance with the proceeding prescribed in Section 25-4-93. A determination with respect to the first week of a benefit year shall also include a statement as to whether the claimant has been paid the wages specified under subdivision (a)(5) of Section 25-4-77 and if so, the first day of the benefit year, his weekly benefit amount, and the maximum total amount of benefits payable to him with respect to a benefit year.
(b) Redeterminations and reconsiderations.
(1) The secretary may reconsider any determination which has not become final as provided in subsection (d) of this section and may issue a redetermination. The secretary may reconsider a determination which has become final whenever he finds that an error or omission in base period wages, computation of benefits or identity of the claimant or the employer for whom the claimant worked during the base period of his claim has occurred in connection therewith and may issue a redetermination. No such redetermination shall be made after the expiration of the benefit year within which the claim was filed; except, that the secretary may, within one year after the end of such benefit year, reconsider any determination which has become final and issue a redetermination upon a finding that the determination was based on false statements or misrepresentation of material facts, whether or not intentional. Notice of any such redetermination shall be promptly given to the parties entitled to notice of the original determination in the manner prescribed in this section with respect to notice of an original determination. Such redetermination shall be subject to review upon appeal in the same manner and under the same conditions as original determinations. Except when the secretary has written documentation that an interested party has made false statements or a misrepresentation of material facts or such party admits to such in writing or waives his right to a hearing, no redetermination shall be effectuated so as to interrupt the benefit status of a claimant until after the determination has become final.
(2) An appeal tribunal or the board of appeals may reconsider any decision which has not become final as provided by Sections 25-4-92 and 25-4-94 and may issue an amended decision. An appeals tribunal or the board of appeals may, within one year after the end of the benefit year, reconsider any decision which has become final and issue an amended decision upon a finding that the decision was based on false statements or misrepresentation of material facts, whether or not intentional and the secretary may petition the body which issued the decision for a rehearing and amended decision.
(3) In the event that an appeal involving an original determination is pending as of the date a redetermination thereof is issued, such appeal, unless withdrawn, shall be treated as an appeal from such redetermination.
(c) Notice of determination and notice of payment.
(1) Notice of determination or decision upon a claim shall be promptly given to the claimant and the claimant’s last employing unit by delivery thereof or by mailing such notices to their last known addresses.
(2) Notice of payment will be promptly given to every employer in the claimant’s base period who is not entitled to a notice of determination when the claimant has been paid any amount of benefits which may result in a charge to the employers’ experience rating accounts pursuant to Section 25-4-54 by delivery thereof or by mailing such notice to their last known addresses.
(d) Finality of determinations and notice of payment.
(1) Unless any party to whom notice of determination is required to be given shall, within seven calendar days after delivery of such notice or within 15 calendar days after such notice was mailed to his last known address, file an appeal from such decision, such decision shall be deemed final.
a. If an appeal is duly filed, any disputed benefits which may have been paid at any time prior to the final decision, which would not have been payable under the terms of the final decision, shall be determined to be an overpayment and the claimant shall be required to repay to the fund any such benefits and the secretary shall have the authority to enforce collections of overpayments as is contained in Section 25-4-145.
b. If an appeal is duly filed by an interested employer, any benefits based upon wages in the base period paid by that employer shall not be charged under the experience rating provisions of Section 25-4-54 until the decision on such appeal becomes final and in event the final decision allows benefits the charge to the employer’s experience rating record will be made in the calendar quarter in which such decision becomes final.
(2) Unless any party to whom notice of payment is required to be given shall, within seven calendar days after delivery of such notice or within 15 calendar days after such notice was mailed to his last known address, request the secretary to review the decision determining the benefits to be chargeable, such decision shall become final. If the final decision provides for the removal of benefit charges, such a credit shall be applied to the calendar year and calendar quarter in which such decision becomes final and no attempt shall be made to relate the credit to the period in which the benefits were previously determined to be chargeable.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §216; Acts 1943, No. 310, p. 281, §9; Acts 1945, No. 283, p. 449, §10; Acts 1957, No. 301, p. 393; Acts 1971, No. 1201, p. 2083, §§2-4; Acts 1971, No. 2325, p. 3748, §§2-4; Acts 1973, No. 1716, p. 1057, §7; Acts 1975, No. 801, p. 1604, §10; Acts 1981, No. 81-842, p. 1508; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §13; Acts 1989, No. 89-405, p. 822, §8.)
(a) To hear and decide disputed claims and other due process cases involving a division of the Department of Labor, the secretary shall appoint one or more impartial appeals tribunals, consisting in each instance of an officer or an employee of the Department of Labor. The appeals tribunals shall be a separate division reporting to the secretary and shall be separate and apart from the direction and control of other divisions of the Department of Labor. No person shall participate in the hearing or disposition of any claim upon appeal thereof as an appeals tribunal, if he has an interest therein. At any such hearing all testimony shall be taken down, but need not be transcribed unless an appeal is applied for or taken.
(b) The manner in which disputed claims before appeals tribunals shall be presented and the conduct of hearings and appeals before appeals tribunals shall be in accordance with regulations prescribed by the secretary for determining the rights of the parties.
(c) The decision of an appeals tribunal shall become final 15 days after notice of such decision has been mailed, postage prepaid, to the claimant and other parties to the proceedings, at the addresses furnished, or, if none shall have been furnished, at their last known addresses, unless within that time application be made to the board of appeals for permission to appeal to the board of appeals.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §218; Acts 1971, No. 1201, p. 2083, §6; Acts 1971, No. 2325, p. 3748, §6; Acts 1975, No. 801, p. 1604, §11; Acts 1996, No. 96-665, p. 1093, §1.)
Unless such appeal is withdrawn, an appeals tribunal, after affording the parties reasonable opportunity for fair hearing, shall affirm, modify, or set aside the findings of fact and decision of the deputy. The parties shall be promptly notified in writing of such tribunal’s decision, together with his reasons therefor.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §217; Acts 1971, No. 1201, p. 2083, §5; Acts 1971, No. 2325, p. 3748, §5.)
(a) The board of appeals for the Department of Labor, created by Section 25-2-12, may, on its own motion at any time before a decision of an appeals tribunal becomes final, affirm, modify, or set aside any such decision on the basis of the evidence previously submitted in such case, or direct the taking of additional evidence, or may permit any party in interest to initate an appeal to it. The board of appeals may remove to itself or transfer to another appeals tribunal the proceedings on any claim pending before an appeals tribunal. The board of appeals shall promptly notify in writing the parties to any proceedings of its findings and decision, together with the reasons therefor.
(b) Unless the application for appeal described in subsection (c) of Section 25-4-92 is granted by the board of appeals within 10 days after its filing with it, the applicant may, within the following 10 days, take an appeal from the decision of the appeals tribunal to the circuit court of the county of the residence of the claimant.
(c) The manner in which disputed claims before the board of appeals shall be presented and the conduct of hearing and appeals before it shall be in accordance with the regulations prescribed by the board of appeals for determining the rights of the parties. At any such hearing the parties shall be afforded a reasonable opportunity for fair hearing and all testimony shall be taken down or recorded but need not be transcribed except at the direction of the board of appeals in the exercise of its judgment and discretion. No person shall participate in the hearing or disposition of any claim as a member of the board if he has an interest therein.
(d) Any decision of the board of appeals, in the absence of an appeal therefrom as provided in this article, shall become final 10 days after the date notification thereof shall have been mailed, postage prepaid, to the parties to the proceeding, at their last known addresses. The secretary shall be deemed to be a party to all such proceedings and to any judicial action involving any such decision.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §§219, 220; Acts 1982, No. 82-372, p. 533, §4.)
Within 30 days after the decision of the board of appeals has become final, any party to the proceeding including the secretary who claims to be aggrieved by the decision may secure a judicial review thereof by filing a notice of appeal in the circuit court of the county of the residence of the claimant; except, that if the claimant does not reside in this state at the time the appeal is taken, the notice of appeal shall be filed in the circuit court of the county in this state in which the claimant last resided, or in the circuit court of the county in this state wherein the claimant last worked. In such action, the notice of appeal need not be verified, but shall state the grounds upon which a review is sought. A copy shall be served upon the secretary or upon such person as the secretary may designate (and for the purpose hereof, mailing a copy addressed to the secretary at Montgomery by registered or certified mail shall be deemed service on the secretary), and such service shall be deemed completed service on all parties, but there shall be left with the parties so served as many copies of the notice of appeal as there are defendants, and the secretary shall forthwith mail one copy to each defendant. The secretary shall cause to be certified and filed in the said court all documents and papers introduced in evidence before the Board of Appeals or appeals tribunal, together with the findings of fact and the decision of the Board of Appeals or the appeals tribunal, as the case may be. No circuit court shall permit an appeal from a decision allowing or disallowing a claim for benefits unless the decision sought to be reviewed is that of an appeals tribunal or of the board of appeals and unless the person filing such appeal has exhausted his administrative remedies as provided by this chapter. Trial in the circuit court shall be de novo. Actions under this chapter shall be tried by any judge of the circuit court to whom application is made at any location in said circuit, and shall be given precedence over all other civil cases except cases arising under Chapter 5 of this title. An appeal may be taken from the decision of the circuit court in the same manner as is provided in civil cases. It shall not be necessary in any judicial proceeding, under this section, to enter exceptions to the rulings of the board of appeals or the appeals tribunals, as the case may be, and no bond shall be required before entering such appeal. Upon the final determination of such judicial proceeding, the board of appeals shall enter an order in accordance with such determination.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §221; Acts 1957, No. 298, p. 381; Acts 1995, No. 95-311, p. 582, §2.)
The procedure provided in this article for the making of determinations with respect to claims for unemployment compensation benefits and for appealing from such determinations shall be exclusive.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §222.)
In the discharge of their duties under this chapter any deputy, any appeals tribunal, any member of the board of appeals, and any officer of the Department of Labor authorized and designated by the secretary shall have power to administer oaths, certify to official acts, take and cause to be taken depositions of witnesses, issue and serve subpoenas, compel the attendance of witnesses, and the production of papers, books, accounts, payrolls, documents, records, and testimony. In the event of failure of any person to comply with any subpoena lawfully issued, or on the refusal of any witness to produce evidence or to testify as to any matter regarding which he may be lawfully interrogated, it shall be the duty of any court of competent jurisdiction or of the judge thereof, upon the application of the secretary or any officer of the Department of Labor designated by the secretary, or any member of the board of appeals, to compel obedience by attachment proceedings for contempt as in the case of disobedience of the requirements of a subpoena issued for such court or a refusal to testify therein. Witness fees and other expenses involved in the proceedings under this article shall be paid to the extent necessary at rates specified by the secretary. Such expenses shall be deemed a part of the expense of administering this chapter.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §223; Acts 1945, No. 283, p. 449.)
It shall be the duty of the secretary to administer this chapter. He shall have power and authority to adopt, amend, or rescind such lawful rules and regulations, to employ such persons, make such expenditures, require such reports, make such investigations, and take such other action as may be necessary or suitable to that end. The secretary shall determine his own organization and methods of procedure in accordance with the provisions of this chapter and the industrial relations law. Annually, the secretary shall submit to the Governor a summary report covering the administration and operation of this chapter during the preceding fiscal year, and make such recommendations as he deems proper. Whenever the secretary believes that a change in contribution or benefit rates will become necessary to protect the solvency of the fund, he shall at once inform the Governor and the Legislature thereof, and make recommendations accordingly. The secretary shall fully cooperate with the agencies of other states, and shall make every proper effort within his means to oppose and prevent any action which would in his judgment tend to effect complete or substantial federalization of state unemployment compensation funds or of the state employment security program.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §227; Acts 1943, No. 310, p. 281, §12.)
General rules interpreting or applying this chapter and affecting all, or classes of, employers, or other employing units, shall be adopted by the secretary only after a public hearing thereon, notice of which shall be published at least once, not less than 10 days prior thereto in daily newspapers published in Montgomery, Birmingham, and Mobile, Alabama, and in such other newspaper or newspapers as the secretary may prescribe. Prior to such hearing the secretary shall furnish to any person upon his application therefor a copy of the proposed general rules to be considered at the hearing. Such general rules shall, upon adoption by the secretary, be filed with the Secretary of State and, subject to the provisions of Section 25-4-112, shall take legal effect 10 days thereafter, unless a later date is specified by the secretary, which rules may be amended or repealed in the same manner as is above provided for their adoption. The secretary shall by general rule prescribe the manner in which regulations may be adopted, amended, or rescinded.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §228.)
The secretary shall cause to be printed in proper form for distribution to the public the text of this chapter, general rules, his annual report to the Governor and any other material he deems relevant and suitable, and shall furnish the same to any person upon application therefor, and such printing and availability upon application shall be deemed a sufficient publication of the same. Copies of all general rules and regulations, as and when adopted, amended or repealed, shall be forwarded by the secretary to all employers subject to this chapter, who request in writing that they be placed on the mailing list therefor. Such rules and regulations shall in no event become effective until after the requirements of this section have been complied with.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §229.)
The secretary shall, with the approval of the Governor, determine the number of employees needed for the efficient and economical performance of the functions and duties of administering this chapter. All positions in the administration of this chapter shall be filled subject to the provisions of the Merit System. The minimum standards that may be prescribed by the United States Secretary of Labor or his successor with respect to the selection and classification of officers and employees engaged in the performance of any of the functions and duties of the Department of Labor having to do with the administration of this chapter in this state shall be observed. The secretary shall fix the duties and powers of all persons thus employed, and may authorize any such person to do any act or acts which could lawfully be done by the secretary. The secretary, his employees and members of the board of appeals shall be immune from civil suits for damages in their individual capacities for acts in the performance of their duties under this chapter other than for wanton or malicious conduct.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §230; Acts 1980, No. 80-756, p. 1561, §4.)
The Governor shall appoint an advisory council of not less than nine members, composed of equal numbers of employer representatives and employee representatives, who may be fairly regarded as representative because of their vocation, employment, or affiliations, and of members representing the public generally. Such council shall aid the secretary in formulating policies and discussing problems related to the administration of this chapter, and in assuring impartiality and freedom from political influence in the solution of such problems, and shall perform such other duties and functions as may be assigned to it by the secretary, and as it may, on its own initiative, undertake within the limits of this section. Such advisory council shall serve at the pleasure of the Governor, and without compensation, but shall be reimbursed for any necessary expenses pursuant to Article 2 of Chapter 7 of Title 36. Said council shall from time to time prepare recommendations as to the administration of this chapter, and as to changes, amendments, or modifications of such acts and laws of the State of Alabama, and particularly this chapter, as such council may deem proper, and said recommendations shall be submitted to the Governor and to the Legislature at its next session and at such succeeding sessions.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §231.)
It shall be one of the purposes of this chapter to promote the regularization of employment in enterprises, localities, industries, and the state. The secretary, with the advice and aid of the advisory council, shall take all appropriate steps within his means to reduce and prevent unemployment; to encourage and assist in the adoption of practical methods of vocational training, retraining, and vocational guidance; to investigate, recommend, advise, and assist in the establishment and operation, by municipalities, counties, school districts, and the state, of reserves for public works to be used in times of business depression and unemployment; to promote the reemployment of unemployed workers throughout the state in every other way that may be feasible; and, to these ends, to employ experts and to carry on and publish the results of investigations and research studies.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §232.)
Every employing unit shall keep true and accurate work records containing such information as is necessary for the administration of this chapter. Such records shall be open to inspection and be subject to being copied by the secretary or his authorized representatives at any reasonable time and as often as may be necessary. The secretary, an appeals tribunal, any member of the board of appeals created by the industrial relations law, or any authorized representative of the secretary may require from such employer or employing unit such reports covering persons employed by him or it, or employment, wages, hours, unemployment, and related matters as are necessary to the effective administration of this chapter. Information thus obtained shall be held confidential, except to the extent necessary for the proper presentation of the contest of a claim, and shall not be published or be open to public inspection in any manner revealing the employers’ or employing units’ identity. Any person violating any provision of this section shall be fined not less than $20.00 nor more than $200.00 or imprisoned for not longer than 30 days or both. All letters, reports, communications, and other matters, written or oral, from employer or employee to each other or to the secretary or any of his agents, representatives, or employees, or to any official or board functioning under this chapter, which shall have been written, sent, delivered, or made in connection with the requirements and administration of this chapter, shall be absolutely privileged and shall not be made the subject matter or basis for any civil action for slander or libel in any court. The secretary may cause to be made such summaries, compilations, photographs, duplications, or reproductions of any records, reports or transcripts thereof or cancelled benefit payment checks as he may deem advisable for the effective and economical preservation of the information contained therein, and such summaries, compilations, photographs, duplications, or reproductions, duly authenticated, shall be admissible in any proceeding under this chapter if the original record or records would have been admissible therein. The secretary may provide by regulations for the destruction or disposition, after reasonable periods, of any records, reports, transcripts, or reproductions thereof or other papers in his custody, the preservation of which is no longer necessary for the establishment of contribution liability or benefit rights or for any purpose necessary for the proper administration of this chapter, including any required audit thereof.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §233; Acts 1943, No. 310, p. 281, §13.)
The secretary and the state, in any court action relating to this chapter or its administration and enforcement, shall be represented by any qualified attorney regularly employed by the Department of Labor, and who is designated by the secretary for such purpose; provided, however, that the secretary may request the Attorney General or such special counsel as he deems necessary to represent him in any such action.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §234.)
(a) In the administration of this chapter, the secretary shall cooperate to the fullest extent consistent with the provisions of this chapter with the U.S. Secretary of Labor and his successors, and the Federal Internal Revenue Service, and, notwithstanding any other provisions of this chapter, shall make such reports in such form and containing such information as either may from time to time require, and shall comply with such provisions as the U.S. Secretary of Labor, or his successors, or the Federal Internal Revenue Service may from time to time find necessary to insure the correctness and verification of such reports, and shall comply with the regulations prescribed by the U.S. Secretary of Labor, and his successors, governing the expenditures of such sums as may be allotted and paid to this state under Title III of the Social Security Act for the purpose of assisting in the administration of this chapter. Upon request therefor the secretary shall furnish to any agency of the United States charged with the administration of public works or assistance through public employment, the name, address, ordinary occupation, and employment status of each recipient of benefits and such recipient’s rights to further benefits under this chapter.
(b)(1) The secretary may make the state’s records relating to the administration of this chapter available to the United States Railroad Retirement Board and may furnish the Railroad Retirement Board, at the expense of such board, such copies thereof as the Railroad Retirement Board deems necessary for its purposes. Notwithstanding any other provisions of this chapter, the secretary may also, upon request therefor, furnish to any public agency the name, address, ordinary occupation, unemployment status, and wage information of a recipient of benefits or of a recipient’s rights to further benefits under this chapter and shall upon specific request furnish such information as is necessary (as determined by the U.S. Secretary of Agriculture or the U.S. Secretary of Health, Education and Welfare or their successors in regulations) for the purpose of determining eligibility of an individual for aid or services, or such information regarding any recipient of or party to such aid or services, or the amount of such aid or services, to needy families with children, or in connection with child support or food stamps provided such agencies make reimbursement for the administrative cost involved.
(2) For the purpose of establishing and maintaining free public employment offices, the secretary is authorized to enter into agreements with the United States Railroad Retirement Board or any other agency of the United States, with any political subdivision of this state or with any private nonprofit organization, and as a part of such arrangement the secretary may accept moneys, services, or quarters as a contribution to the employment service account.
(3) Moneys received from the United States Railroad Retirement Board as compensation for service or facilities supplied to said board shall be paid into the Unemployment Compensation Administration Fund and the employment service fund on the same basis as expenditures are made for such services or facilities from such funds.
(c) The secretary may afford reasonable cooperation with any agency of the United States charged with the administration of any unemployment insurance law.
(d) The secretary may, at his discretion, release information regarding employment, wages, wage rates, and unemployment to institutions of higher education of this state, or a federal governmental corporation upon payment of reasonable cost therefor, for the purpose of making economic analyses; provided, that such institution or corporation agrees that information so obtained will not be published or released by it to any person or persons in such manner as to permit the identification of any specific individual or employing unit.
(e) The secretary may release any information authorized to be released under the provision of subsection (b) of this section to any public or law enforcement official as may be necessary for the performance of his official duties in accordance with such regulations as the secretary may prescribe and subject to the provision of subsection (f) of this section.
(f) Whoever willfully makes a false statement or representation to obtain any information under the authority of subsection (e) of this section, either for himself or for any other person, or uses any information for any purpose other than in the performance of his official duties or in any other manner misuses such information, shall be guilty of a misdemeanor and upon conviction therefor, shall be punished by a fine of not less than $200.00 nor more than $1,000.00, or by imprisonment for not less than three nor more than 12 months or by both such fine and imprisonment.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §235; Acts 1967, No. 170, p. 528; Acts 1980, No. 80-756, p. 1561, §5; Acts 1982, No. 82-372, p. 533, §5.)
The secretary may compromise or waive any civil penalty or interest charge arising under the provisions of this chapter instead of commencing a civil action thereon and may compromise any such penalty or interest charge after a civil action thereon has been commenced. In such cases the secretary shall keep on file in the office of the Department of Labor at Montgomery, Alabama, the reasons for settlement by compromise, together with a statement of the amount of contribution imposed, the amount of additional contribution or penalty or interest imposed by law in consequence of neglect or delinquency, and the amount actually paid in accordance with the terms of the compromise.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §236.)
(a) Interstate benefit payments. The secretary is hereby authorized to enter into reciprocal arrangements with appropriate and duly authorized agencies of other states or of the federal government, or both, whereby potential rights to benefits under this chapter may constitute the basis for payment of benefits by another state or the federal government, and potential rights to benefits accumulated under the law of another state or the federal government may constitute the basis for the payment of benefits by this state. Such benefits shall be paid under such provisions of the law of the state wherein the wages, upon the basis of which such benefits are determined, were issued. No such arrangement shall be entered into unless it contains provision for reimbursement to the fund for such benefits as are paid on the basis of wages and service subject to the law of another state or the federal government, and provision for reimbursement from the fund for such benefits as are paid by another state or the federal government on the basis of wages and service subject to this chapter. Reimbursements paid from the fund pursuant to this subsection shall be deemed to be benefits for the purposes of this chapter.
(b) Combination of wage credits. The secretary shall participate in any arrangements for the payment of compensation on the basis of combining an individual’s wages and employment covered under this chapter with his wages and employment covered under the unemployment compensation laws of other states, which are approved by the United States Secretary of Labor in consultation with the state unemployment compensation agencies as reasonably calculated to assure the prompt and full payment of compensation in such situations, and which include provisions for
(1) Applying the base period of a single state law to a claim involving the combining of an individual’s wage and employment covered under two or more state unemployment compensation laws, and
(2) Avoiding the duplicate use of wages and employment by reason of such combining.
(c) Reciprocal coverage. The secretary is hereby authorized to enter into reciprocal arrangements with appropriate and duly authorized agencies of other states or of the federal government or both, whereby, notwithstanding any other provisions of this chapter:
(1) Service performed by an individual for a single employing unit for which service is customarily performed by such individual in more than one state shall be deemed to be service performed entirely within any one of the states in which
a. Any part of such individual’s service is performed, or
b. Such individual has his residence, or
c. The employing unit maintains a place of business; provided, that there is in effect, as to such service an approved election by an employing unit with the consent of such individual, pursuant to which service performed by such individual for such employing unit is deemed to be performed entirely within such state; and
(2) Service performed by not more than three individuals, on any portion of a day but not necessarily simultaneously, for a single employing unit which customarily operates in more than one state shall be deemed to be service performed entirely within the state in which such employing unit maintains the headquarters of its business; provided, that there is in effect, as to such service, an approved election by an employing unit with the consent of each such individual, pursuant to which service performed by such individual for such employing unit is deemed to be performed entirely within such state.
(d) Reexamination of reciprocal arrangements. If, after entering into an arrangement provided for by this section, the secretary finds that the employment security law of any state or of the federal government participating in such arrangement has been changed in a material respect, the secretary shall make a new finding as to whether such arrangement shall be continued with such state or with the federal government.
(e) Overpayments of unemployment benefits which have become final under this chapter shall be recovered by offset from unemployment benefits otherwise payable under the unemployment compensation law of another state, and overpayments of unemployment benefits as determined under the unemployment compensation law of the other state shall be recovered by offset from unemployment benefits otherwise payable under this chapter.
(f) Overpayments of unemployment benefits as determined under applicable federal law, with respect to benefits or allowances for unemployment provided under a federal program administered by this state under an agreement with the United States Secretary of Labor, shall be recovered by offset from unemployment benefits otherwise payable under this chapter or any federal program, or under the unemployment compensation law of another state or any federal unemployment benefit or allowance program administered by the other state under an agreement with the United States Secretary of Labor if the state has in effect a reciprocal agreement with the United States Secretary of Labor as authorized by Section 303(g) (2) of the Federal Social Security Act, and if the United States agrees, as provided in the reciprocal agreement with this state entered into under Section 303(g) (2) of the Social Security Act, that overpayments as determined under this chapter and overpayments as determined under the unemployment compensation law of another state which has in effect a reciprocal agreement with the United States Secretary of Labor as authorized by Section 303(g) (2) of the Social Security Act, shall be recovered by offset from benefits or allowances of unemployment otherwise payable under a federal program administered by this state or the other state under an agreement with the United States Secretary of Labor.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §237; Acts 1949, No. 287, p. 414; Acts 1971, No. 88, p. 349, §12; Acts 1995, No. 95-311, p. 582, §2.)
THIS SECTION WAS REPEALED IN THE 2022 REGULAR SESSION BY ACT 2022-197 EFFECTIVE JULY 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Act 2021-6, §3.)
(a) Except as otherwise provided in subsection (b) of this section, any employing unit which is or becomes an employer subject to this chapter within any calendar year, shall be an employer subject thereto during the whole of such calendar year.
(b) Except as otherwise provided in Section 25-4-131, an employer (except governmental entities) shall cease to be an employer subject to this chapter:
(1) As of January 1 of any calendar year if he files with the secretary, prior to April 1 of such year, a written application for termination of coverage and he has not, during the preceding calendar year, met any of the conditions for remaining subject to this chapter.
(2)a. As of the date of transfer of his organization, trade or business, or substantially all the assets thereof to a successor as provided by paragraph (a)(4)a. of Section 25-4-8; provided, that he shall have ceased to employ any individual or individuals in employment subject to this chapter; provided further, however, should the disposing employer reacquire all or substantially all of the same employing unit during the same or next succeeding calendar year without the predecessor having employed individuals, thereby succeeding to the employment experience, he shall be deemed not to have ceased operation and shall have his rate of contribution computed based upon that portion of his and his successor’s employment experience occurring during the period specified in Section 25-4-54.
b. If, immediately subsequent to the date of transfer of his organization, trade or business, or substantially all the assets thereof to a successor as provided by paragraph (a)(4)a. of Section 25-4-8, he shall cease to be an employer subject to this chapter as of the date of such transfer. If, however, subsequent to the date of transfer, he employs or continues to employ any individual or individuals he shall again become an employer subject to this chapter when any of the provisions of Section 25-4-8 are met and shall be considered an employer first becoming subject for the purposes of Sections 25-4-16 and 25-4-54.
(3) As of January 1, next following two consecutive calendar years ending on the preceding December 31, during which he employed no individuals in employment subject to this chapter.
(c) Any political subdivision which has made an election may, prior to January 1, 1978, terminate said election after the two-year period called for in subsection (b) of Section 25-4-131 has been completed by filing with the secretary written notice not later than the December 1, of any calendar year, such termination to be effective as of the first day of the next ensuing calendar year with respect to services performed on and after that date.
(d) When an employer’s coverage is terminated under the provisions of this section, such employer shall not, except as otherwise provided in this section, thereafter become subject to the provisions of this chapter on the basis of any employment by such employer prior to the effective date of such termination.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §224; Acts 1943, No. 310, p. 281, §10; Acts 1951, No. 642, p. 1097; Acts 1955, No. 30, p. 249; Acts 1965, No. 390, p. 548, §6; Acts 1971, No. 166, p. 440, §13; Acts 1975, No. 801, p. 1604, §12; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §9; Acts 1983, 2nd Sess., No. 83-155, p. 264, §14.)
(a) Any employing unit (except one whose employment is specifically exempt under the provisions of subsection (b) of Section 25-4-10) not otherwise subject to this chapter which files with the secretary its written election to become an employer subject hereto for not less than two calendar years shall, with the written approval of such election by the secretary, become an employer subject hereto to the same extent as all other employers as of the date stated in such approval.
(b) Prior to January 1, 1978, any political subdivision of this state may elect at the beginning of any calendar quarter beginning on or after January 1, 1972, for a period of not less than two calendar years, to cover under this chapter service performed by employees in all of the hospitals and institutions of higher education, as defined in subsections (c) and (e) of Section 25-4-10, operated by such political subdivision. Election is to be made by filing with the secretary a notice of such election at least 30 days prior to the effective date of such election.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §225; Acts 1943, No. 310, p. 281, §11; Acts 1945, No. 283, p. 449, §11; Acts 1955, No. 30, p. 249; Acts 1965, No. 390, p. 548, §7; Acts 1971, No. 166, p. 440, §14; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §10.)
Contributions unpaid on the date when they are due and payable, as provided in this chapter, or as may be provided by rules or regulations in this chapter, shall bear interest at the rate of one percent per month from and after such date until payment is received by the secretary.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §238.)
(a) Any employer without good cause failing to pay any contribution within the time required by this chapter or the rules and regulations of the secretary shall be required by the secretary to pay, in addition thereto, a penalty of 10 percent of the amount thereof, together with interest on said contributions at the rate prescribed in Section 25-4-132. If the failure to pay on the part of the employer is due to fraud, an additional penalty of 15 percent shall be assessed against, and collected from, such defaulting employer.
(b) Any employer without good cause failing to file any quarterly wage and contribution report within the time required by this chapter or the rules and regulations of the secretary shall be required by the secretary to pay a penalty of twenty-five dollars ($25) or 10 percent of the net contributions due, whichever is greater, for his or its failure to file such report when due. Such penalty shall be in addition to any penalty assessed under the provisions of subsection (a) of this section and shall apply to each delinquent report separately. The penalty shall become effective for delinquent reports for calendar quarters which begin on or after January 1, 1996. For years prior to January 1, 1996, the penalty shall be as was provided in this section prior to January 1, 1996.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §239; Acts 1973, No. 1057, p. 1716, §8; Acts 1995, No. 95-311, p. 582, §2.)
(a) Generally. The contributions, interest, and penalties required to be paid under this chapter shall be a first and prior lien upon all property and rights to property, real or personal, of any employer subject to this chapter. The lien shall arise at the time the contribution report, or the payment of the contributions, as the case may be, was due to have been filed with or made to the Department of Labor. The secretary may file in the office of the judge of probate of any county in this state a certificate which shall show the name of the department for which it is filed, the amount and nature of the contributions, interest, and penalties for which a lien is claimed together with any costs that may have accrued, the name of the employer against whose property a lien for such contributions, interest, and penalties is claimed and the date thereof. An error in the certificate of the amount shall not invalidate the lien for the amount actually due. Such certificates shall be indexed and recorded under the same provision of law of this state relating to the filing and recording of certificates of judgment and without costs; provided, however, that such lien shall be effective as to purchasers, mortgagees, and judgment creditors only from the time a certificate shall have been duly filed for record in the office of the judge of probate in the county wherein is located the property to be subjected to such lien.
Limitation on collections. No civil action by the secretary, described in subsections (a), (b), or (c) of this section, to collect employer contributions, interest, and penalties due under this chapter shall commence after the expiration of 10 years from the date that the contributions, interest, and penalties were due to be paid under the provisions of this chapter or the date of final determination, whichever is later.
(b) Civil actions.
(1) LIEN. The secretary shall insure the payment of the amount of any contributions, interest, and penalties required to be paid under this chapter by filing a lien as prescribed in subsection (a) of this section against any employer who has not made such payments by the due date.
(2) ATTACHMENT, ETC. If, after due notice, an employer defaults in the payment of contributions, interest, or penalties provided by this chapter, the amount due may be collected by civil suit in the name of the secretary, which shall include the right of attachment. Civil actions brought under this section to collect contributions, interest, and penalties thereon from an employer shall be heard by the court at the earliest possible date, and shall be entitled to preference upon the calendar of the court over all other civil actions, except cases arising under Chapter 5 of this title and Article 5 of this chapter. In addition to or independently of the above remedy by civil action, the secretary may proceed in the manner set out hereinafter.
(3) INJUNCTION AGAINST EMPLOYMENT. After due notice an employer failing to make reports or defaulting in any payment of contribution or interest thereon, as levied under this chapter, for a period of 90 days after the date such reports or contributions are due, and who has not ceased to be an employer, as provided in Sections 25-4-130 and 25-4-131, may be enjoined from employing individuals in employment, as defined in this chapter, upon the complaint of the secretary filed in the circuit court of any county in which the employer has his or its headquarters or his or its primary place of doing business; and such employer so failing to make reports or to pay contributions levied hereunder shall, as part of the court judgment or order, be enjoined from employing individuals in employment until such returns shall have been made and the contributions shown by any proceedings provided by this chapter to be due thereunder shall have been paid to the secretary.
(4) GARNISHMENT. The secretary shall have authority to issue writs of garnishment directed to any sheriff of Alabama on any final assessment made by the secretary and upon such garnishment the sheriff shall proceed the same as though the garnishment was issued by a circuit court, and he shall make due return thereof to the secretary within 60 days after the issuance thereof.
(5) LEVY UPON EXECUTION. Whenever any contributions, interest, and penalties required to be paid under this chapter are not paid within 30 days of the date due and upon final assessment in any of the manners provided in this section, the secretary is authorized to issue an execution therefor directed to any sheriff of the State of Alabama, commanding him to levy upon and sell the real and personal property of the employer against whom such execution is directed, found in his county, for the payment of contributions and interest due, together with penalties assessed. The sheriff shall, within five days after the receipt thereof, file with the clerk of the circuit court of his county a copy thereof and thereupon the circuit clerk shall enter in the judgment roll in the column of judgment debtors the name of the employer named in the execution, the amount of contributions, interest, and penalties for which the execution is issued and the date when such copy is filed. The sheriff shall thereupon levy upon any property of the employer with like effect and in the manner prescribed by law in respect to executions issued upon judgments of the circuit court and the remedies of attachment and garnishment shall apply fully to such executions and the officer shall be entitled to the same fees for his services as now allowed by law for like services, to be collected in the same manner as now provided by law for like services. The sheriff shall make due return of such execution within 60 days of the issuance thereof to the secretary and upon such return alias executions may be issued by the secretary and such shall be executed in the same manner. Whenever any execution is issued by the Department of Labor for the collection of any unemployment compensation taxes owing said department by an employer, such execution, duly attested by the secretary of said department or his authorized agent, shall be sufficient warrant to the sheriff to whom the same is directed to levy on the property of the employer against whom said execution is directed and the sheriff shall forthwith execute such writ without demanding or requiring any indemnifying bond or other protective obligation, and the said writ of execution issued by the department for the collection of unemployment taxes due it shall be sufficient defense to any civil action for damages on any grounds other than the willful, wanton, or malicious conduct of the officer making the levy. Sales under executions issued hereunder shall be held as provided by the laws of Alabama. At any such sale the secretary or his authorized agent shall be empowered to act on behalf of the State of Alabama in bidding at any such sale.
(c) Assessments.
(1) ASSESSMENT OF CONTRIBUTIONS AND PENALTIES DUE.
a. If an employer fails to make and file with the department any report as and when required by the terms and provisions of this chapter or by any rule and regulation of the secretary for the purpose of determining the amount of contributions due by said employer under this chapter, the secretary may issue a written notice by registered or certified mail to such employer, addressed to his last known address or place of business, to make such report or reports forthwith, and if such employer fails or refuses to make such report within 15 days from the date of such notice, then the secretary shall make a report for such employer upon such information as he may reasonably obtain, and shall assess the contributions and penalties due thereon and interest at the rate of one percent per month, or fraction thereof, from the date such contributions were due.
b. If an employer who has made and filed with the department any report required and such report is signed by the employer or his duly authorized representative but he has not paid, or has not paid in the correct amount, any contribution due within 30 days from the date due, then the secretary shall assess the correct amount of contributions due to be paid, along with penalties due thereon and interest at the rate of one percent per month, or fraction thereof, from the date such contributions were due, without any further notice or hearing as is provided for in subdivision (2) of this subsection (c) and such assessment shall be final unless an appeal is taken as is provided in subdivision (3) of this subsection (c).
c. If any report which is filed is deemed by the secretary to be incorrect, incomplete, or insufficient, the secretary may issue a written notice by registered or certified mail to such employer, addressed to his last known address or place of business, to make such report correct, complete, or sufficient forthwith, and if such employer fails or refuses to do so within 15 days from the date of such notice, then the secretary shall make such corrections or completions upon such information as he may reasonably obtain and shall, without further notice or hearing, assess the contribution and penalties due thereon and interest at the rate of one percent per month or fraction thereof from the date such contributions were due and such assessment shall be final unless an appeal is taken as is provided in subdivision (3) of this subsection (c).
(2) NOTICE OF ASSESSMENT AND HEARING: REVISION OF ASSESSMENT.
a. Whenever the secretary shall make an assessment against an employer as provided in this section, the secretary shall notify the employer by registered or certified mail of the amount of such assessment and shall notify the employer to appear before him on a day named not less than 15 days from the date of such notice and show cause why such assessment should not be made final. Such appearance may be made by agent or attorney. If no showing is made on or before the date fixed in said notice or if such showing is not sufficient in the judgment of the secretary, such assessment shall be made final in the amount originally fixed or in such other amount as is determined by the secretary to be correct. If, upon such hearing, the secretary finds the amount due to be different from that originally assessed, he shall make the assessment final in the correct amount and in all cases shall notify the employer of the assessment as finally fixed. A notice by the United States registered or certified mail addressed to the employer’s last known address or place of business shall be sufficient. Any assessment made by the secretary shall be prima facie correct upon appeal.
b. If, after the assessment has become final, the employer files the report for the period covered by the assessment and the report is substantiated by reasonable evidence, the secretary may, for good cause and at his discretion correct the assessment, either upward or downward, provided the report and substantiation is filed with him not later than four years after the date on which the report originally became due.
(3) APPEAL FROM ASSESSMENTS.
a. Whenever any employer who has protested an assessment by the secretary under the provisions of paragraph a. of subdivision (2) of this subsection (c), is dissatisfied with the assessment as finally made, he may appeal as provided in this subdivision.
b. If an employer against whom an assessment is made by the secretary is dissatisfied with the final assessment as fixed by the secretary under any of the provisions of subdivision (1) of this subsection (c) and duly protests the fixing of the same, he may appeal from said final assessment to the Circuit Court of Montgomery County, or to the circuit court of the county in which the employer resides or has his principal place of business, if the employer has within the state a permanent residence, at the option of the employer, by filing notice of appeal with the secretary and with the register of the circuit court of the county to which appeal shall be taken, within 30 days of the date of the final assessment made and entered on the minutes of the department, and in addition thereto by giving bond conditioned to pay all costs, to be filed with and approved by the register or clerk of the court to which the appeal shall be taken. The employer shall pay the assessment so made before the appeal is filed, or the court shall upon motion dismiss such appeal, unless at the time of taking the appeal the employer has executed a supersedeas bond with sufficient sureties to be approved by the register or clerk of the court to which the appeal shall be taken in double the amount of contributions, interest, and penalties, payable to the secretary, conditioned to pay all contributions, interest, penalties, and costs found to be due the Department of Labor. In such appeal, the employer shall be styled the appellant and the secretary shall be styled the appellee. The assessment made by the secretary shall be prima facie correct, and the burden shall be on the employer to show that such assessment is incorrect. The circuit court, or Court of Civil Appeals or the Supreme Court of Alabama on appeal, may, if it be of the opinion from all the evidence that the assessment as made is either too high or too low, fix the amount of such assessment. The court shall hear such appeals according to its own rules and methods of procedure so far as practicable and shall decide all questions both as to legality of the assessment and the amount thereof. No court shall have the power to enjoin the payment of any contributions, interest, or penalty due on such assessment so appealed or to suspend the payment thereof. From the judgment of the circuit court, the employer or the secretary may appeal to the Court of Civil Appeals if the amount involved, exclusive of interest and costs, does not exceed $10,000.00, or to the Supreme Court of Alabama if said amount exceeds $10,000.00, within 30 days of the rendition of the judgment upon giving such security for the cost of such appeal as approved by the register or clerk of the circuit court from which the appeal shall be taken. If upon such appeal the assessment made by the secretary is reduced, the court, upon proof of payment of said contributions, interest, and penalties, shall ascertain and recite such fact in the judgment and shall ascertain and determine by its judgment and order the amount of contributions, interest, and penalties which was invalid and the secretary shall thereupon refund to the employer the amount so ascertained by the court to be invalid.
(4) COLLECTION OF ASSESSMENTS. If contributions, interest, or penalties are not paid within 15 days from the date of final assessment where no appeal is taken, or within 15 days of the date upon which any decision is issued upon an appeal is made final, the secretary shall take any action to collect as he may be authorized by any of the provisions of this section.
(d) Bonds.
(1) SURETY BOND OR CASH DEPOSIT FROM CONTRACTOR. Any contractor primarily engaged in contract construction who is or becomes an employer, as defined by this chapter, and who is or becomes delinquent for any contributions due under this chapter may be required to post with the secretary a blanket surety bond by a licensed surety company authorized to do business in the State of Alabama in any amount which the secretary shall determine to be sufficient for the payment of all unemployment compensation taxes which will be due to the state for a period of not less than one year by virtue of its operations. In the alternative, said contractor may file a surety bond with respect to each contract. Further, in lieu of such security bond, he or it may deposit with the secretary in cash an amount equal thereto. These deposits shall be held by the secretary in a special deposit fund account established for that purpose; provided further, no bond or cash deposit shall be required for an amount to exceed $10,000.00 unless in the opinion of the secretary a larger amount is necessary.
(2) WITHHOLDING OF LICENSE FROM CONTRACTOR. The Alabama State Licensing Board for General Contractors or any other licensing agency of the State of Alabama is hereby authorized to, and upon petition by the secretary shall, withhold any license from any contractor subject to the provisions of this section until the provisions of this subsection (d) have been complied with.
(3) RELEASE OF CONTRACTOR. Any “employer” contractor shall cease to be subject to the provisions of this subsection (d) after he or it has been an employer as defined in this chapter within this state for a period of 12 calendar quarters and has paid all contributions due under the provisions of this chapter. Any employer who ceases to be subject to the provisions of this subsection (d) as provided in this subdivision or was excepted under the provisions of subdivision (1) of this subsection (d) and who later became delinquent for any contributions shall again become subject to such provisions until he or it again becomes eligible for release in accordance with the provisions of this subsection (d). When any contractor ceases operations or is otherwise released from the requirements under this section, he or it shall be entitled to have his or its bond cancelled or cash deposit refunded upon payment of all contributions, interest, and penalties due under the provisions of this chapter.
(4) PROCEEDINGS AGAINST SURETY, ETC. If an “employer” contractor fails to pay any contributions, interest, and penalties provided for in this chapter when they become due, the secretary may call upon the surety company for the payment thereof or cause them to be paid by deducting the amount due from the contractor’s cash deposit. Any employer subject to the provisions of this subsection (d) who fails to comply thereto shall be enjoined from any further operations until the provisions of this subsection (d) have been complied with.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §240; Acts 1945, No. 283, p. 449, §6; Acts 1951, No. 566, p. 995; Acts 1967, No. 169, p. 522; Acts 1971, No. 1201, p. 2083, §§7, 8; Acts 1971, No. 2325, p. 3748, §§7, 8; Acts 1973, No. 1057, p. 1716, §9; Acts 1979, No. 79-824, p. 1541, §3; Acts 1995, No. 95-311, p. 582, §2.)
In the event of bankruptcy of any employer, or of liquidation of an employer under any law of this state by reason of insolvency or inability to pay his debts, the amount due for contributions on behalf of the employer shall have the same status and priority as other taxes due the state; provided, that in the event of an employer’s adjudication in bankruptcy, a judicially confirmed extension proposal or a composition of creditors under the Federal Bankruptcy Act of 1898, as amended, contributions then or thereafter due shall be entitled to such priority as is provided therein for other taxes due and owing this state.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §241.)
The secretary, for good cause may extend the time for payment of any contributions required by this chapter, without interest or penalty, for a period not to exceed 90 days, subject to such conditions and restrictions as the secretary may impose.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §242.)
(a) If, not later than four years after the date on which any contributions, penalties, or interest became due, an employer who has paid such contributions, penalties, or interest thereon shall make application for an adjustment thereof in connection with subsequent contribution payments, or for a refund thereof because such adjustment cannot be made, and the secretary shall determine that such contributions, penalties, or interest, or any portion thereof, was erroneously collected, the secretary shall allow such employer to make an adjustment thereof in connection with subsequent contribution liability, or, if such adjustment cannot be made, the secretary may refund such contributions, interest, and penalties from the clearing account. Any refund of interest and/or penalties which have been transferred to the Special Employment Security Administration Fund shall be made from the Special Employment Security Administration Fund, provided for in Section 25-4-142. If the secretary shall deny, in whole or in part, any such application, the applicant may within 60 days after notice of such action, to be given by the secretary by mail, appeal to the circuit court of the county wherein is the principal place of business of the applicant, and the trial in that court shall be without a jury, and the court shall render such judgment as the facts and circumstances warrant. For like cause and within four years, adjustment or refund may be made on the secretary’s own initiative.
(b) The amount of any adjustments or refunds made under this section shall be reduced by the sum of any benefits that shall have been paid based on the wages on which contributions are to be refunded. Such reduction shall be made first from the employee contributions withheld from wages of those employees to whom such benefits were paid and the remainder from the employer contributions; provided, however, that no such reduction in the amount of any adjustment or refund under this section shall be made if such contributions were paid under protest and such benefits were paid prior to final adjudication of such protest.
(c) Before any adjustment or refund may be made under the provisions of this section, the employer must conform to applicable rules and regulations of the secretary with respect to the refund to the employees entitled thereto of any moneys deducted by the employer in accordance with the provisions of this chapter.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §243; Acts 1963, 2nd Ex. Sess., No. 151, p. 340, §3; Acts 1965, No. 390, p. 548, §8.)
Any agreement by an employee to waive or release his rights to benefits or any other rights under this chapter shall be void. Any agreement by an employee to pay all or any portion of his employer’s contributions, required under this chapter from such employer, shall be void. No employer shall directly or indirectly make or require or accept any reduction from wages to finance the employer’s contributions required of him, or require or accept any waiver of any right hereunder by any employee in his employ. Any employer or officer or agent of an employer who violates any provision of this section shall be guilty of a misdemeanor and upon conviction, for each offense be fined not less than $25.00 nor more than $100.00 or be imprisoned for not more than 60 days, or both.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §244.)
No individual shall be charged fees of any kind by the secretary or his representatives, in any proceeding under this chapter. Any individual claiming benefits in any proceeding or court action may be represented by counsel or other duly authorized agent but no such counsel or agents shall together charge or receive for such services more than 10 percent of the maximum benefits at issue in such proceeding or court action.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §245.)
Any assignment, pledge, or encumbrance of any right to benefits which are or may become due or payable under this chapter, except as is provided by this chapter, shall be void, and such rights to benefits shall be exempt from levy, execution, attachment, or any other remedy whatsoever provided for the collection of debts. Any waiver of any exemption herein provided, unless expressly permitted by this section, shall be void.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §246; Acts 1982, No. 82-370, p. 524, §2.)
(a) There shall be in the State Treasury a fund to be known as the Employment Security Administration Fund. All moneys which are deposited or paid into this fund are hereby appropriated and made available to the secretary for expenditure in accordance with the provisions of this chapter, and shall not lapse at any time or be transferred to any other fund. All moneys in this fund, which are received from the federal government or any agency thereof, or which are appropriated by this state for the administration of this chapter, except money received pursuant to the provisions of subdivision (6) of Section 25-4-30, shall be expended solely for the purposes and in the amounts found necessary by the authorized cooperating federal agencies for the proper and efficient administration of this chapter. The fund shall consist of all moneys appropriated by this state and all moneys received from the United States or any agencies thereof and all moneys received from any other source for such purposes. Notwithstanding any provisions of this section, all money requisitioned and deposited in this fund pursuant to subsection (b) of Section 25-4-32 shall remain part of the fund until encumbered, and shall be used only in accordance with the conditions specified in said section. All moneys in this fund shall be deposited, administered, and disbursed in the same manner and under the same conditions and requirements as are provided by law for other special funds in the State Treasury. Any balances in this fund shall not lapse at any time, but shall be continuously available to the secretary for expenditure consistent with this chapter. The Treasurer shall give separate and additional bonds conditioned upon the faithful performance of his duties in connection with the Employment Security Administration Fund and the Special Employment Security Administration Fund, described in subsection (b) of this section, in amounts to be fixed by the secretary, and in a form prescribed by law or approved by the Attorney General. The premiums for such bonds of the Treasurer for the Employment Security Administration Fund shall be paid from the moneys in the Employment Security Administration Fund. The premiums for such bonds of the Treasurer for the Special Employment Security Administration Fund shall be paid from the Special Employment Security Administration Fund.
(b) There is hereby created in the State Treasury a special fund, to be known as the “Special Employment Security Administration Fund,” into which shall be deposited or transferred all interest and penalties collected after May 9, 1963, pursuant to Sections 25-4-132 through 25-4-134. Interest and penalties collected on delinquent contribution payments deposited during any calendar quarter in the clearing account in the Unemployment Compensation Fund shall, as soon as practicable after the close of such calendar quarter, be transferred to the Special Employment Security Administration Fund. All moneys in this fund shall be deposited, administered, and disbursed in the same manner and under the same conditions and requirements as is provided by law for other special funds in the State Treasury. Said moneys shall not be expended or made available for expenditure in any manner which would permit their substitution for (or permit a corresponding reduction in) federal funds, which would, in the absence of said moneys, be available to finance expenditures for the administration of the state unemployment compensation and employment service laws. Nothing in this section shall prevent said moneys in this fund from being used as a revolving fund to cover expenditures necessary and proper under the law for which federal funds have been duly requested but not yet received, subject to the charging of such expenditures against such funds when necessary. The moneys in this fund may be used by the secretary for the payment of costs of administration of the employment security laws of this state which are found not to be or not to have been properly and validly chargeable against funds obtained from federal sources. All moneys in this Special Employment Security Administration Fund shall be continuously available to the secretary for expenditure in accordance with the provisions of this chapter, and shall not lapse at any time. The moneys in this fund are hereby specifically made available to replace, as contemplated by subsection (c) of this section, expenditures from the Employment Security Administration Fund established by subsection (a) of this section, which have been found by the Bureau of Employment Security (or other authorized agency or authority) because of any action or contingency, to have been lost or improperly expended.
The secretary, whenever he is of the opinion that the money in the Special Employment Security Administration Fund is more than ample to pay for all foreseeable needs for which such special fund is set up, may, by written order, order the transfer therefrom to the trust fund of such amount of money in the said Special Employment Security Administration Fund as he deems proper, and the same shall thereupon be immediately transferred to the trust fund.
(c) All moneys received after June 30, 1941, from the Secretary of Labor, or his successor or successors, under Title III of the Social Security Act, or any unencumbered balances in the Unemployment Compensation Administration Fund as of that date, or any moneys granted after that date to this state pursuant to the provisions of the Wagner-Peyser Act, or any moneys made available by the state or its political subdivisions and matched by such moneys granted to this state pursuant to the provisions of the Wagner-Peyser Act, shall be expended solely for the purposes and in the amounts found necessary by the Secretary of Labor, or his successor or successors, for the proper and efficient administration of this chapter. If any of such moneys are found by the Secretary of Labor, or his successor or successors, because of any action or contingency, to have been lost or been expended for the purposes other than or in the amounts in excess of those found necessary by the Secretary of Labor, or his successor or successors, for the proper administration of this chapter, it is the policy of this state that such moneys, if not replaced from other sources, shall be replaced by moneys appropriated for such purpose from the general funds of this state to the Unemployment Compensation Administration Fund for expenditure as provided in subsection (a) of this section. Upon receipt of such finding by the Secretary of Labor, or his successor or successors, the state secretary shall promptly report the amount required for such replacement to the Governor and the Governor shall at the earliest opportunity, submit to the Legislature a request for the appropriation of such amount. This subsection shall not be construed to relieve this state of its obligation with respect to funds received prior to July 1, 1941, pursuant to the provisions of Title III of the Social Security Act; provided, however, that funds which have been expended by the secretary or his predecessors in office, in accordance with a budget approved by the Secretary of Labor, or his successor or successors, and in accordance with the general standards and limitations promulgated by the Secretary of Labor, or his successor or successors, prior to such expenditure (where proposed expenditures have not been specifically disapproved by the Secretary of Labor, or his successor or successors) shall not be deemed to require replacement.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §248; Acts 1943, No. 310, p. 281, §14; Acts 1957, No. 303, p. 395, §3; Acts 1963, 2nd Ex. Sess., No. 151, p. 340, §4.)
All moneys in the Unemployment Administration Fund, the Special Employment Security Administration Fund, the Special Federal Advance Interest Repayment Fund and the Employment Security Enhancement Fund, or any appropriated by the state or granted by the federal government in accordance with the provisions of the Wagner-Peyser Act or other federal or state laws at any time are hereby appropriated to the secretary for the administration of this chapter.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §249; Acts 1988, 1st Ex. Sess., No. 88-783, p. 195, §4; Acts 1992, No 92-174, p. 285, §6.)
The Legislature reserves the right to amend or repeal all or any part of this chapter at any time. There shall be no vested private right of any kind against such amendment or repeal. All the rights, privileges or immunities conferred by this chapter or by acts done pursuant thereto shall exist subject to the power of the Legislature to amend or repeal this chapter at any time.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §250.)
(a) Penalties.
(1) Whoever willfully makes a false statement or representation or who willfully fails to disclose a material fact to obtain or increase any benefit or payment under this chapter, or under an unemployment insurance law of any other state or government, either for himself or herself or for any other person, whether such benefit or payment is actually received or not, shall be guilty of an offense as follows and each such false statement or representation shall constitute a separate and distinct offense:
a. If the aggregate amount involved in the offense exceeds two thousand five hundred dollars ($2,500) in value, that shall constitute a Class B felony.
b. If the aggregate amount involved in the offense exceeds five hundred dollars ($500) but does not exceed two thousand five hundred dollars ($2,500), that shall constitute a Class C felony.
c. If the aggregate amount involved in the offense does not exceed five hundred dollars ($500), that shall constitute a Class A misdemeanor.
d. Upon conviction, sentencing for these offenses shall follow Sections 13A-5-6, 13A-5-7, and 13A-5-9, as appropriate.
e. In lieu of fines, any person found guilty under this section shall be required to pay restitution to the Department of Labor in at least the amount of benefits fraudulently obtained.
(2) Any officer or agent of employer, or any employer who is an individual, who willfully makes a false statement or representation to avoid his or her employer or himself or herself becoming or remaining subject to this chapter for contributions, or to reduce any contribution or other payment required of such employer or him or her under this chapter, or who willfully fails or refuses to make any such contributions or other payments as lawfully required under this chapter, or who induces any employee to waive any rights under this chapter, or any officer or agent of an employing unit, or any employing unit who is an individual, who refuses to furnish any reports duly required under this chapter or to appear or testify or produce records as lawfully required hereunder shall, upon conviction, be punished by a fine of not less than $50.00 nor more than $500.00, or by imprisonment for not longer than 12 months, or by both such fine and imprisonment, and each such false statement or representation and each day of such failure or refusal, and each such inducement shall constitute a separate and distinct offense.
(3) If the secretary finds that any fraudulent misrepresentation has been made by a claimant with the object of obtaining benefits under this chapter to which he or she was not entitled, then, in addition to any other penalty or prosecution provided under this chapter, the secretary may make a determination that there shall be deducted from any benefits to which such claimant might become entitled during his or her present benefit year and/or next subsequent benefit year, an amount not less than four times his or her weekly benefit amount and not more than the maximum benefit amount payable in a benefit year, as determined under Sections 25-4-72, 25-4-74 and 25-4-75, at the time the secretary makes the determination. Additionally, a disqualification shall be applied for the 52-week period which immediately follows the final date of the fraud determination and until the fraud overpayment has been repaid in cash. For subsequent acts determined as fraud, the disqualification shall be for the 104-week period which immediately follows the final date of the fraud determination and until the fraud overpayment has been repaid in cash. Federal and state income intercepts used to satisfy overpayments are to be considered as cash payments for the purposes of this subsection. The secretary shall notify the claimant of his or her findings and determination either by delivering a copy thereof to him or her or by mailing a copy, postage prepaid, to his or her last known address. Unless the claimant shall appeal from the finding or from the determination, or both, within seven calendar days after delivery of such notice to him or her, or within 15 calendar days after such notice was mailed to his or her last known address, postage prepaid, such finding and determination shall become final. If such claimant shall appeal from such finding or determination, or both, within the time specified, the issue or issues shall be referred to an appeals tribunal for hearing, as in other benefit cases, and thereafter the procedure shall be the same as set forth in Article 5 of this chapter.
(4) Any violation of any provisions of this chapter, for which a penalty is neither prescribed above nor provided by any other applicable statute, shall be punished by a fine of not less than $50.00 nor more than $500.00, or by imprisonment for not longer than twelve months, or by such fine and imprisonment.
(b) Limitation of actions. Prosecution under this section must be begun within three years from the date of the commission of the offense or offenses described herein.
(c) Collection of overpayments.
(1) Any individual who has received any sum as benefits or payments under this chapter while any conditions for the receipt of benefits or payment imposed by this chapter were not fulfilled by such person, or while he or she was disqualified from receipt of benefits; or by reason of non-disclosure or misrepresentation by him or her or another of a material fact (irrespective of whether such non-disclosure was known or fraudulent) or for any other reason causing him or her to receive benefits to which he or she was not entitled, shall be required to repay such sum in cash or by offset against any future benefits if payable or a combination of both.
(2) Such person shall be promptly notified of the determination of overpayment and the reasons therefor. Unless such person, within 15 calendar days immediately following the date such notification was mailed to his or her last known address, files an appeal from such determination, such determination shall be final. Any appeal therefrom pursuant to the provisions of this chapter shall be limited solely to the overpayment issue.
(3) If the indebtedness is not paid by such person within 30 calendar days after the determination has become final, the secretary shall proceed to effect collection of the overpayment and shall have available to him or her all civil actions available to him or her under the laws of this state to collect the overpayment as well as those provisions contained in subsection (b) of Section 25-4-134 applying to the collection of contributions.
(4) All overpayment balances classed as fraudulent shall accumulate interest at the rate of two percent per month on unpaid balances and shall be added to the debt balance and shall be deposited in the fraud penalty account described in Section 25-4-31.
(5) All overpayment balances classed as fraudulent shall have an additional minimum penalty of 15 percent assessed. The penalty shall be deposited into the Unemployment Insurance Trust Fund in accordance with Section 25-4-31(a).
(d) Waiver of overpayment; limitations.
(1) The secretary is hereby authorized to waive overpayments under such procedure and conditions as he or she may by regulation prescribe.
(2) The other provisions of this section to the contrary notwithstanding, no action to enforce recovery or recoupment of any overpayment shall begin after six years from the date of the final determination as is provided for in subsection (c) of this section.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §251; Acts 1951, No. 568, p. 1000; Acts 1961, Ex. Sess., No. 274, p. 2298, §9; Acts 1978, 1st Ex. Sess., No. 1, p. 5, §11; Acts 1980, No. 80-756, p. 1561, §7; Acts 1983, 2nd Ex. Sess., No. 83-155, p. 264, §15; Act 2012-292, p. 587, §1.)
(a) Employees of the Department of Labor classified as unemployment insurance claims investigators and those supervisors charged with the direct enforcement of the fraud provisions of the Alabama Unemployment Compensation Law, as designated in writing by the Secretary of the Department of Labor, are hereby constituted peace officers of the State of Alabama with full and unlimited police powers and jurisdiction as any other state police officers in this state, to enforce the provisions of the Alabama Unemployment Compensation Law and those provisions of state criminal law relating to forgery, larceny, embezzlement, and fraud when the offense of forgery, larceny, embezzlement, or fraud is directly related to a check issued by the Department of Labor or a check issued in conjunction with a program administered by the Department of Labor and to maintain order in offices operated by said department.
(b) All claim investigators given arrest powers by this section shall be required to comply with the minimum standard requirements now in effect relating to state troopers and deputy sheriffs in this state.
(Acts 1971, No. 1142, p. 1966, §1; Acts 1981, No. 81-565, p. 950.)
In all cases where arrests are made by any of said unemployment insurance fraud investigators or other supervisors charged with the direct enforcement of the fraud provisions of the law, as designated in writing by the secretary of the department, designated by Section 25-4-146 as peace officers, an arrest fee of $5.00 for an arrest resulting in a conviction shall be collected by the proper authorities and promptly turned over to the Secretary of Labor, who shall pay the same into the State Treasury to the credit of the Department of Labor’s unemployment compensation agency’s interest and penalty fund.
(Acts 1971, No. 1142, p. 1966, §2.)
If at any time the Governor shall find that the provisions of this chapter requiring the payment of contributions and benefits have been held invalid under the Constitution of this state by the Supreme Court of this state or under the United States Constitution by the Supreme Court of the United States in such manner that any person or concern required to pay contributions under this chapter might secure a similar decision, or that the tax imposed by Title IX of the Social Security Act, as amended, or any other federal tax against which contributions under this chapter may be credited has been amended or repealed by Congress or has been held unconstitutional by the Supreme Court of the United States, with the result that no portion of the contributions required by this chapter may be credited against such federal tax, the Governor shall publicly so proclaim and upon the date of such proclamation the provisions of this chapter requiring the payment of contributions and benefits shall be suspended. The secretary (and for the purposes of this section, the secretary shall remain or become the agency for carrying out the provisions hereof) shall thereupon forthwith requisition from the Unemployment Trust Fund all moneys therein standing to its credit and shall direct the Treasurer to deposit such moneys, together with any other moneys in the fund, as a special fund in any banks or public depositories in this state in which general funds of the state may be deposited. The secretary shall thereupon forthwith and within 60 days after receipt of such moneys, refund, without interest and in accordance with regulations prescribed by him, to each person or concern by whom contributions have been paid, his pro rata share of the total contributions paid under this chapter. After the expiration of said 60 days, the duties imposed by this section upon said secretary shall cease and determine and all powers conferred and duties imposed not then executed shall be conferred upon and executed by the Treasurer. Any interest or earnings of the fund shall be available to the secretary to pay for the costs of making such refunds. When the secretary shall have executed the duties prescribed in this section and performed such other acts as are incidental to the termination of his duties under this chapter, the Governor shall by proclamation declare that the provisions of this chapter shall cease to be operative.
(Acts 1939, No. 497, p. 721; Code 1940, T. 26, §252.)
Such moneys as are needed to pay the state’s portion of benefits provided in this chapter are hereby appropriated from such funds as the salaries of the several state’s employees are paid.
(Acts 1978, 1st Ex. Sess., No. 1, p. 5, §12.)
Such moneys as are necessary to finance the fringe benefit costs for employees of local boards of education shall be paid by the local board of education from such funds as the salaries of the local boards’ of education employees are paid.
(Acts 1978, 1st Ex. Sess., No. 1, p. 5, §13; Acts 1995, No. 95-314, p. 634, §50.)
In the event any portion of Section 115 of the unemployment compensation amendments of 1976 (Public Law 94-566, 94th Congress, dated October 20, 1976), as it applies to the requirement for states to provide coverage of certain services performed for local governmental entities under the various states’ unemployment compensation law, is determined to be unconstitutional or invalid in a final adjudication by the courts of the United States, then from and after the date of such final adjudication, no local governmental entity of any county or municipality in the State of Alabama or their instrumentalities, or any separate public primary and secondary school system, as defined in Section 25-4-10, shall be required to participate in the unemployment compensation program; provided, that nothing herein shall be construed as invalidating the entitlement of such entities to elect coverage for their hospitals or institutions of higher education; provided further, that nothing herein shall be construed as relieving any entity of the responsibility for any contributions or payments in lieu of contributions incurred during the period prior to the date of the final adjudicational determination by the courts; provided further, that in the event any local governmental entity shall become a part of any suit in the courts of the United States challenging the constitutionality of the provisions of Section 115 of PL 94-566 and such court, of competent jurisdiction, shall temporarily stay the implementation of said provision of federal law, then during the effective period of such stay, the coverage of said services shall be stayed in this state but shall be applicable only to those entities that are, or are made, a party to the suit or included in the stay.
(Acts 1978, 1st Ex. Sess., No. l, p. 5, §16.)
(a) (1) An individual filing a claim for unemployment compensation shall, at the time of filing such claim, disclose whether or not the individual owes child support obligations as defined under subdivision (7). If any such individual discloses that he or she owes child support obligations, and is determined to be eligible for unemployment compensation, the secretary shall notify the state or local child support enforcement agency enforcing such obligation that the individual has been determined to be eligible for unemployment compensation.
(2) The secretary shall deduct and withhold from any unemployment compensation payable to an individual who owes child support obligations as defined under subdivision (7).
a. The amount specified by the individual to the secretary to be deducted and withheld under this subdivision, if neither paragraph b. nor c. is applicable; or
b. The amount (if any) determined pursuant to an agreement submitted to the secretary under Section 454 (20)(B)(i) of the Social Security Act by the state or local child support enforcement agency, unless paragraph c. is applicable; or
c. Any amount otherwise required to be so deducted and withheld from such unemployment compensation pursuant to legal process, as that term is defined in Section 459(i)(5) of the Social Security Act, as amended by Section 362(a) of the Personal and Work Opportunity Reconciliation Act of 1996, properly served upon the secretary.
(3) Any amount deducted and withheld under subdivision (2) shall be paid by the secretary to the appropriate state or local child support enforcement agency.
(4) Any amount deducted and withheld under subdivision (2) shall for all purposes be treated as if it were paid to the individual as unemployment compensation and paid by such individual to the state or local child support enforcement agency in satisfaction of the individual’s child support obligations.
(5) For purposes of subdivisions (1) through (4), the term “unemployment compensation” means any compensation payable under this section (including amounts payable by the secretary pursuant to an agreement under any federal law providing for compensation, assistance, or allowances with respect to unemployment).
(6) The provisions of this section shall apply only if appropriate arrangements have been made for reimbursement by the state or local child support enforcement agency for the administrative costs incurred by the secretary under this section which are attributable to child support obligations being enforced by the state or local child support enforcement agency.
(7) The term “child support obligations” is defined for purposes of these provisions as including only obligations which are being enforced pursuant to a plan described in Section 454 of the Social Security Act which has been approved by the U.S. Secretary of Health and Human Services under Part D of Title IV of the Social Security Act.
(8) The term “state or local child support enforcement agency” as used in these provisions means any agency of this state or a political subdivision thereof operating pursuant to a plan as described in subdivision (7).
(b) The provisions of subsection (a) shall become effective for implementation with respect to benefits paid on or after September 25, 1982.
(c)(1) Effective January 1, 1997, and thereafter an individual filing an initial claim for unemployment compensation shall, at the time of filing such claim, be advised that:
a. Unemployment compensation is subject to federal income tax.
b. Requirements exist pertaining to estimated tax payments.
c. The individual may elect to have federal income tax deducted and withheld from the individual’s payment of unemployment compensation at the amount specified in the federal Internal Revenue Code.
d. The individual shall be permitted to change a previously elected withholding status one time within a benefit year.
(2) Amounts deducted and withheld from unemployment compensation shall remain in the Unemployment Compensation Trust Fund until transferred to the federal taxing authority as a payment of income tax.
(3) The secretary shall follow all procedures specified by the United States Department of Labor and the federal Internal Revenue Service pertaining to the deduction and withholding of income tax.
(4) Amounts shall be deducted and withheld under this section only after amounts are deducted and withheld for any overpayments of unemployment compensation, child support obligations or any other amounts required to be deducted and withheld under this section.
(Acts 1982, No. 82-371, p. 531, §§1, 2; Acts 1996, No. 96-665, p. 1093, §1; Act 98-606, p. 1333, §1.)
The procedures provided for in this article and Article 3, commencing with Section 25-4-50, for the making of determinations with respect to contribution rates and payments, and for appealing from such determinations, shall be exclusive.
(Act 2021-6, §2.)
(a) This section shall be known and may be cited as the Unemployment Insurance Program Integrity Act of 2021.
(b) The purpose of this section is to enhance program integrity for the state’s unemployment records against unemployment insurance rolls on a weekly basis, and check federal, state, county, and local prison and jail records.
(c) As used in this section, the following terms shall have the following meanings:
(1) DEPARTMENT OF LABOR. The Alabama Department of Labor.
(2) NEW HIRE RECORDS. The directory of newly hired and re-hired employees reported under state and federal law and managed by the Department of Labor.
(3) UNEMPLOYMENT INSURANCE ROLLS. Jobless workers receiving unemployment insurance in the state.
(d) The Department of Labor shall engage with and utilize the Integrity Data Hub of the National Association of State Workforce Agencies to verify the integrity of the state’s unemployment insurance rolls.
(e) The Department of Labor, on a weekly basis, shall check the unemployment insurance rolls against the Alabama Department of Corrections’ list of incarcerated individuals to verify eligibility and ensure program integrity.
(f) The Department of Labor shall enter into a cooperative agreement with the U.S. Department of Labor’s Office of Inspector General to proactively detect and investigate cases of unemployment fraud.
(g) The Department of Labor shall adopt and implement internal administrative policies to recover improper overpayments of unemployment benefits to the fullest extent possible by state and federal law. The department, without exception, shall recover improper unemployment benefit overpayments, unless doing so would violate state or federal law. The department shall maintain records of any and all applications of overpayment recovery exceptions.
(h) The Department of Labor, on a weekly basis, shall check new hire records against the National Directorate of New Hires to verify eligibility.
(i) The Department of Labor may execute a memorandum of understanding with any department or agency for information required to be shared between agencies as described in this section.
(j) If the Department of Labor receives information concerning an individual enrolled in unemployment compensation benefits which indicates a change in circumstances that may affect eligibility, the Department of Labor shall review the individual’s case.
(k) The Department of Labor shall annually issue a report to the Legislature which includes all of the following:
(1) The efficacy of unemployment fraud detection and prevention measures by the department.
(2) The amount of any improper unemployment benefit payments issued and recovered, and the reasoning for and extent to which any improper unemployment benefit payments are not corrected or recovered.
(l) The Department of Labor shall adopt any rules necessary for the purposes of implementing and administering this section.
(Act 2021-398, §1.)
Throughout this chapter, the following words and phrases as used therein shall be considered to have the following meanings, respectively, unless the context shall clearly indicate a different meaning in the connection used:
(1) COMPENSATION. The money benefits to be paid on account of injury or death, as provided in Articles 3 and 4. The recovery which an employee may receive by action at law under Article 2 is termed “recovery of civil damages,” as provided for in Sections 25-5-31 and 25-5-34. “Compensation” does not include medical and surgical treatment and attention, medicine, medical and surgical supplies, and crutches and apparatus furnished an employee on account of an injury.
(2) CHILD or CHILDREN. The terms include posthumous children and all other children entitled by law to inherit as children of the deceased; stepchildren who were members of the family of the deceased, at the time of the accident, and were dependent upon him or her for support; a grandchild of the deceased employee, whose father is dead or is an invalid, and who was supported by and a member of the family of the deceased grandparent at the time of the accident.
(3) DEPENDENT CHILD or ORPHAN. An unmarried child under the age of 18 years or one over that age who is physically or mentally incapacitated from earning.
(4) EMPLOYER. Every person who employs another to perform a service for hire and pays wages directly to the person. The term shall include a service company for a self-insurer or any person, corporation, copartnership, or association, or group thereof, and, if the employer is insured, shall include his or her insurer, the insurer being entitled to the employer’s rights, immunities, and remedies under this chapter, as far as applicable. The inclusion of an employer’s insurer within the term shall not provide the insurer with immunity from liability to an injured employee, or his or her dependent in the case of death to whom the insurer would otherwise be subject to liability under Section 25-5-11. Notwithstanding the provisions of this chapter, in no event shall a common carrier by motor vehicle operating pursuant to a certificate of public convenience and necessity be deemed the “employer” of a leased-operator or owner-operator of a motor vehicle or vehicles under contract to the common carrier. Pursuant to Section 25-4-10(b)(26), a marketplace platform shall not be considered to be an employer for purposes of this chapter.
(5) EMPLOYEE or WORKER. The terms are used interchangeably, have the same meaning throughout this chapter, and shall be construed to mean the same. The terms include the plural and all ages and both sexes. The terms include every person in the service of another under any contract of hire, express or implied, oral or written, including aliens, also including minors who are legally permitted to work under the laws of this state, and also including all employees of Tannehill Furnace and Foundry Commission. Any reference in this chapter to a “worker” or “employee” shall include, if the worker or employee is dead, his or her dependent, as defined in this chapter, if the context so requires. Pursuant to Section 25-4-10(b)(26), a marketplace contractor shall not be considered to be an employee for purposes of this chapter.
(6) WAGES or WEEKLY WAGES. The terms shall in all cases be construed to mean “average weekly earnings”, based on those earnings subject to federal income taxation and reportable on the Federal W-2 tax form which shall include voluntary contributions made by the employee to a tax-qualified retirement program, voluntary contributions to a Section 125 cafeteria program, and fringe benefits as defined herein. Average weekly earnings shall not include fringe benefits if and only if the employer continues the benefits during the period of time for which compensation is paid. “Fringe benefits” shall mean only the employer’s portion of health, life, and disability insurance premiums.
(7) ACCIDENT. The term, as used in the phrases “personal injuries due to accident” or “injuries or death caused by accident” shall be construed to mean an unexpected or unforeseen event, happening suddenly and violently, with or without human fault, and producing at the time injury to the physical structure of the body or damage to an artificial member of the body by accidental means.
(8) INJURIES BY AN ACCIDENT ARISING OUT OF AND IN THE COURSE OF THE EMPLOYMENT. Without otherwise affecting either the meaning or interpretation of the clause, the clause does not cover workers except while engaged in or about the premises where their services are being performed or where their service requires their presence as a part of service at the time of the accident and during the hours of service as workers.
(9) INJURY. “Injury” and “personal injury” shall mean only injury by accident arising out of and in the course of the employment, and shall not include a disease in any form, except for an occupational disease or where it results naturally and unavoidably from the accident. Injury shall include physical injury caused either by carpal tunnel syndrome disorder or by other cumulative trauma disorder if either disorder arises out of and in the course of the employment, and breakage or damage to eyeglasses, hearing aids, dentures, or other prosthetic devices which function as part of the body, when injury to them is incidental to an on-the-job injury to the body. Injury does not include an injury caused by the act of a third person or fellow employee intended to injure the employee because of reasons personal to him or her and not directed against him or her as an employee or because of his or her employment. Injury does not include a mental disorder or mental injury that has neither been produced nor been proximately caused by some physical injury to the body.
(10) SINGULAR and PLURAL. Wherever the singular is used, the plural shall be included.
(11) GENDER. Where the masculine gender is used, the feminine and neuter shall be included.
(12) LOSS OF HAND OR FOOT. Amputation between the elbow and wrist shall be considered as the equivalent to the loss of a hand, and the amputation between the knee and ankle shall be considered as the equivalent of the loss of a foot.
(13) PROVIDERS. A medical clinic, pharmacist, dentist, chiropractor, psychologist, podiatrist, physical therapist, pharmaceutical supply company, rehabilitation service, or other person or entity providing treatment, service, or equipment, or person or entity providing facilities at which the employee receives treatment.
(14) MEDICAL. All services, treatment, or equipment provided by a provider.
(15) PREVAILING. The most commonly occurring reimbursements for health services, other than those provided by federal and state programs for the elderly (Medicare) and economically disadvantaged (Medicaid). “Prevailing” shall include not only amounts per procedure code, but also commonly used adjudication rules as applied to multiple procedures, global procedures, use of assistant surgeons, and others as appropriate. For hospitals, “prevailing” rate of reimbursement or payment shall be established by the method contained in Section 25-5-77.
(16) PARTICIPATING AND NON-PARTICIPATING HOSPITALS. Those hospitals that have a negotiated rate of reimbursement or payment with the Department of Labor. “Nonparticipating hospitals” means those hospitals that have not negotiated a rate of reimbursement or payment with the Department of Labor.
(17) HOSPITAL. A hospital, ambulatory surgical center, outpatient rehabilitation center licensed by the State of Alabama, and diagnostic facilities accredited by the Commission on Accreditation of Rehabilitation Facilities.
(18) THE COURT. The circuit court that would have jurisdiction in an ordinary civil action involving a claim for the injuries or death in question, and “the judge” means a judge of that court.
(19) UTILIZATION REVIEW. The determination of medical necessity for medical and surgical in-hospital, out-patient, and alternative settings treatments for acute and rehabilitation care. It includes precertification for elective treatments. Concurrent review and, if necessary, retrospective review are required for emergency cases.
(20) BILL SCREENING. The evaluation and adjudication of provider bills for appropriateness of reimbursement relative to medical necessity and prevailing rates of reimbursement, duplicate charges, unbundling of charges, relativeness of services to injury or illness, necessity of assistant surgeons, adjudication of multiple procedures, number of modalities, global procedures, and any other prevailing adjudication issues that may apply.
(21) ADJUDICATION. The review of claims to apply prevailing rules that adjust reimbursements for the amount of work required when multiple procedures are performed at the same time, when assisting surgeons are present, to eliminate duplicate billing from the unbundling of global fees, and to adjust for the most commonly occurring method adopted for total reimbursement.
(22) OMBUDSMAN. An individual who assists injured or disabled employees, persons claiming death benefits, employers, and other persons in protecting their rights and obtaining information available under the workers’ compensation law.
(Code 1923, §7396; Acts 1939, No. 661, p. 1036, §18; Code 1940, T. 26, §262; Acts 1949, No. 36, p. 47; Acts 1971, No. 667, p. 1376, §§1, 2; Acts 1973, No. 1062, p. 1750, §4; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §2; Acts 1984, 1st Ex. Sess., No. 84-787, p. 177; Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §2; Acts 1992, No. 92-537, p. 1082, §2; Act 2022-197, §1.)
The Secretary of Labor of the State of Alabama shall gather statistics on accidents and their causes and shall generally be responsible for the efficient administration of this chapter. To this end, the secretary shall make the necessary investigations and examinations in connection with the settlement of all workers’ compensation claims. As used in this chapter, the word “secretary” shall mean the Secretary of the “Department of Labor”.
(Code 1923, §7589; Acts 1939, No. 661, p. 1036, §9; Code 1940, T. 26, §264; Acts 1992, No. 92-537, p. 1082, §3.)
The secretary shall prepare and cause to be printed, at the expense of the state, and to be paid for as other supplies are paid for, and upon request furnish free sample copies to any employer or employee the blank forms and literature as he or she shall deem requisite to facilitate or promote the efficient administration of Articles 2, 3, and 4 of this chapter, other than the papers relating to court proceedings. The secretary shall adopt and cause a standardized claim reimbursement form to be used by providers. The secretary shall also assist providers in developing a system for electronic reporting, billing, and payment in workers’ compensation cases. Standardized claim reimbursement forms for physicians licensed to practice medicine and for other providers shall be approved by the secretary and the Workers’ Compensation Medical Services Board. If the board and the secretary are unable to agree on a standardized claim reimbursement form for physicians within three months following May 19, 1992, then the form shall be established under Section 27-1-16.
(Code 1923, §7590; Acts 1939, No. 661, p. 1036, §10; Code 1940, T. 26, §265; Acts 1992, No. 92-537, p. 1082, §4.)
An employer shall keep a record of all injuries, fatal or otherwise, received by his or her employees arising out of and in the course of their employment and for which compensation is claimed or paid. Within 15 days after the occurrence of the injuries and knowledge thereof by the employer, a report of the same shall be made to the department on forms approved by the department. At the discretion of the secretary, reports received under this chapter may be destroyed after 12 years.
(Code 1923, §7591; Acts 1939, No. 661, p. 1036, §11; Code 1940, T. 26, §266; Acts 1957, No. 334, p. 436; Acts 1992, No. 92-537, p. 1082, §5.)
Every employer shall, within 10 days after the settlement of any case, other than a settlement approved by the court, make a report thereof in writing, giving the details of such settlement, and shall mail the same to the Department of Labor on forms approved by said department.
(Code 1923, §7592; Acts 1939, No. 661, p. 1036, §12; Code 1940, T. 26, §267.)
The clerk of the circuit court shall, within 10 days after the disposition of any case in his court, make a report in writing, giving the details of such disposition, and shall mail the same to the Department of Labor on forms approved by said department.
(Code 1923, §7593; Acts 1939, No. 661, p. 1036, §13; Code 1940, T. 26, §268.)
In all cases, upon making the first payment of compensation and upon cessation or termination of payment of compensation, for any reason whatever, the employer shall make a supplementary report within 10 days to the Department of Labor on forms approved by said department. If the first installment of compensation is not paid within 30 days after the employer has knowledge of a claim for compensation, the employer shall file a report, within 10 days of the expiration of the 30-day period, setting out the reason for such nonpayment with the Department of Labor on forms approved by said department.
(Code 1923, §7594; Acts 1939, No. 661, p. 1036, §14; Code 1940, T. 26, §269; Acts 1949, No. 36, p. 47; Acts 1973, No. 1062, p. 1750, §6.)
(a) Option to insure risks. An employer subject to this chapter may secure the payment of compensation under this chapter by insuring and keeping insured his or her liability in some insurance corporation, association, organization, insurance association, corporation, or association formed of employers and workers or formed by a group of employers to insure the risks under this chapter, operating by mutual assessment or other plans or otherwise. Notwithstanding the foregoing, the insurance association, organization, or corporation shall have first had its contract and plan of business approved in writing by the Commissioner of the Department of Insurance of Alabama and have been authorized by the Department of Insurance to transact the business of workers’ compensation insurance in this state and under the plan. Notwithstanding any other provision of the law to the contrary, the obligations of employers under law for workers’ compensation benefits for injury of employees may be insured by any combination of life, disability, accident, health, or other insurance provided that the coverages insure without limitation or exclusion the workers’ compensation benefits of this state.
(b) Option to operate as self-insurer. An employer subject to this chapter who elects not to insure his or her liability thereunder shall furnish satisfactory proof to the secretary of his or her financial ability to pay directly compensation in the amount and manner and when due as provided by this chapter. Upon receiving satisfactory proof, the secretary shall authorize the employer to operate as a self-insurer. The secretary may prescribe other reasonable rules and regulations for the purpose of protecting the injured employee or the employee’s dependents and set reasonable fees to accompany self-insurance applications.
(c) Evidence of compliance. An employer subject to this chapter shall file with the secretary, on a form prescribed by the secretary, annually or as often as the secretary in his or her discretion deems necessary, evidence of compliance with the requirements of this section. In cases where insurance is taken with a carrier duly authorized to write such insurance in this state, notice of insurance coverage filed by the carrier shall be sufficient evidence of compliance by the insured.
(d) Certificate of compliance.
(1) ISSUANCE, REVOCATION. Upon the employer’s complying with subsection (b) of this section relating to self-insurance, the secretary shall issue to the employer a certificate, which shall remain in force for a period fixed by the secretary. Upon 60 days’ notice and hearing to the employer, the secretary may, for financial reasons, for failure of the employer to faithfully discharge his or her obligations according to the agreements contained in his or her application for self-insurance, or for the violation of any reasonable rule or regulation prescribed by the secretary, revoke the self-insurance certificate, in which case the employer shall immediately insure his or her liability. Certificates of self-insurance issued prior to September 17, 1973, shall continue in force but shall become subject to revocation as provided in this subsection. At any time after the revocation, the secretary may grant a new certificate to the employer upon application by the employer.
(2) APPEALS. An appeal may be taken from any ruling of the secretary under subsection (b) of this section or under this subsection to the circuit court. The presiding judge shall, within 10 days after notification of appeal, assign a member of the court to hear the case and the matter shall be set for hearing at the earliest available time. Trial shall be de novo. The taking of an appeal shall not stay the ruling or order appealed from unless good and sufficient bond approved by the judge of the court to which the appeal is taken shall be filed with the court, conditioned on complying with such order as may be legally made effective and further conditioned upon payment by the employer of all final orders for compensation that may be rendered against the employer pending the disposition of the appeal.
(e) Penalties for failure to secure payment of compensation; injunctions. An employer required to secure the payment of compensation under this section who fails to secure compensation shall be guilty of a misdemeanor, and upon conviction thereof, shall be subject to a fine of not less than $100.00 nor more than $1,000.00. In addition, an employer required to secure the payment of compensation under this section who fails to secure the compensation shall be liable for two times the amount of compensation which would have otherwise been payable for injury or death to an employee. The secretary may apply to a court of competent jurisdiction for an injunction to restrain threatened or continued violation of any provisions relating to the requirements of insurance or self-insurance. The court may impose civil penalties against an employer in noncompliance with this amendatory act, in an amount not to exceed $100.00 per day. Subsequent compliance with this amendatory act shall not be a defense.
(f) Employer insurance policies.
(1) REQUIRED AND PROHIBITED PROVISIONS. Insurance policies written pursuant to this section shall contain a clause to the effect that, as between the worker and the insurer, notice to and knowledge by the employer of the occurrence of the injury shall be deemed notice and knowledge on the part of the insurer; that jurisdiction of the employer for the purpose of this chapter shall be jurisdiction of the insurer; and that the insurer will in all things be bound by and subject to the award or judgment rendered against the employer upon the risk so insured. The policies shall provide that the worker shall have an equitable lien upon any amount that shall become owing, on account of the policy, to the employer from the insurer, and in case of legal incapacity or inability of the employer to receive the amount owing and pay it over to the worker or his or her dependent, that the insurer will pay the same direct to the worker or dependent, thereby discharging all obligations under the policy to the employer and all the obligations of the employer and the insurer to the worker. Such policies, however, shall contain no obligations relieving the insurance company from payment of obligations if the employer becomes insolvent or discharged in bankruptcy or otherwise during the period the policy is in force, if the compensation remains owing. The insurer shall be one authorized by law to conduct business in the State of Alabama, and all insurance companies writing such insurance may include in their policies, in addition to the requirements now provided by law, the additional requirements, terms, and conditions provided in this section.
(2) FILING OF AND APPROVAL OF PREMIUM AND RISK CLASSIFICATIONS. An insurance corporation, mutual corporation, reciprocal exchange, or association authorized to transact the business of workers’ compensation insurance in this state and which insures employers against liability for compensation under this chapter shall file with the Department of Insurance its classification of risks and premiums relating thereto and any subsequent proposed classification of risks and premiums, together with the basic rates and merit-rating schedules, if a system of schedule rating or merit rating is used by the insurance corporation, exchange, or association, none of which shall take effect until the Commissioner of the Department of Insurance shall have approved the same as reasonable, adequate, and not excessive. All filings with the Department of Insurance containing aggregate industry data of classifications of risks and premiums, rates, and merit-rating schedules pertaining to workers’ compensation insurance shall be public records, notwithstanding any other provisions of Alabama law. The Commissioner of the Department of Insurance shall convene a public hearing with reasonable public notice for the purpose of considering public testimony and other evidence relevant to any filing prior to approval of any bureau loss cost or rate filing related to workers’ compensation insurance. Within 10 days after approval, the Commissioner of the Department of Insurance shall make or cause to be made a sufficient number of copies of same for that purpose, and shall mail at least one copy of each of the same to every insurance carrier writing workers’ compensation business in the State of Alabama, at the carrier’s last address or at the last address of its designated agent to receive the same. The insurance carrier shall (or if it is a member of or associated with a rating or inspection bureau, either or both of them, or a concern or aggregation of like character, it shall cause the rating and inspection bureau, either or both, or concern or aggregation of like character with which it is affiliated to do so) file with the Department of Insurance a full and complete statement of the actuarial and underwriting experience data and the like in its possession, from which and upon which the rates, schedules, and systems so filed were ascertained, calculated, and constructed, and within six months after the expiration of each succeeding six months, shall file a like statement of all actuarial and underwriting data and the like, pertaining to the rates, schedules, and system accumulated or acquired by it during the preceding six months. Upon failure to file the statement within the time specified above, the rates, schedules, and systems may be presumed by the Commissioner of the Department of Insurance, without more, to be excessive, unreasonable, inadequate to provide the necessary reserves, or discriminatory, as the case may be. The Commissioner of the Department of Insurance may withdraw his or her approval of any premium rate or schedule made by an insurance corporation, association, mutual corporation, or reciprocal exchange, if, in his or her judgment, the premium rate or schedule is excessive, unreasonable, discriminatory, or inadequate to provide the necessary reserves. The commissioner shall withdraw approval of any premium rate or schedule shown by a motor common carrier employer to be conditioned on the motor common carrier accepting the coverage of owner-operators or lease-operators as a condition to providing coverage for the motor common carrier employer’s employees.
Nothing contained in this chapter or in any other law of this state shall affect the right of an insurance corporation or a mutual or reciprocal insurance corporation or association to issue participating policies or contracts or to pay savings, refunds, or dividends upon the policies or contracts.
(3) PAYMENT OF INSURANCE COSTS BY EMPLOYEES. No agreement by an employee to pay to an employer any portion of the cost of insuring his or her risk under this chapter shall be valid unless the agreement between the employer and employee, the plan of which is part of a contract, is approved in writing by the commissioner. But the employer and the worker may agree to carry the risks and to provide other and greater benefits, such as additional compensation; accident, sickness, or old age insurance; or benefits, and the fact that the plan involves a contribution by the worker shall not prevent its validity if the plan has been approved in writing by the commissioner. An employer who makes any charge or deduction prohibited by this section is guilty of a misdemeanor.
(4) DIRECT ACTIONS AGAINST INSURERS. If the employer insures the payment of the compensation provided by this chapter and according to the full benefits thereof and with full coverage under this chapter in a corporation or association authorized to do business in Alabama and approved by the commissioner, and if the employer posts a notice or notices in a conspicuous place or in conspicuous places about his or her place of employment, stating that he or she is insured and by whom insured; and if the employer files a copy of the notice with the Department of Insurance, then, and in such case, any civil actions brought by an injured employee or the employee’s dependent shall be brought directly against the insurer, and the employer, or insured, shall be released from any further liability. If the insurance company is insolvent or bankrupt, or if it cannot be reached by due diligence by process in this state, the employer shall not be released from liability under this chapter. Should any recovery be had in excess of the amount of the insurance carried, the employer shall be liable for the excess. The return of execution upon a judgment of an employee against an insurance company, unsatisfied in whole or in part, shall be conclusive evidence of the insolvency of the insurance company for the purposes of this chapter, and if the insurance company is adjudged to be bankrupt or insolvent by a court of competent jurisdiction, proceedings may be brought by the employee against the employer in the first instance or against the employer and the insurance company jointly or severally or in a pending proceeding against the insurance company, and the employer may be joined at any time after the adjudication.
(g) Employer bill of rights - Penalty.
(1) Every insurance carrier and self-insurer, individual and group, shall, on written request of the insured employer, provide the employer with a list of claims made against the employer. The information provided to the employer shall include amounts paid for closed claims and, if requested, details regarding the treatment and condition of the injured or disabled worker. The employer shall also receive notice of any proposed settlement of any claim against the employer if the employer so requests in writing.
(2) In the event the court determines and makes a finding that a worker has filed a fraudulent claim for workers’ compensation benefits under this amendatory act, Section 25-5-11.1 shall not apply to the employer. In addition to the denial of workers’ compensation benefits under this amendatory act, the employer, upon such a finding that a worker has filed a fraudulent claim for workers’ compensation benefits under this amendatory act, may terminate the worker.
(3) Failure to comply with subdivision (1) may subject the violator to a fine, upon hearing by a court, of not less than $25.00 nor more than $100.00.
(Code 1923, §7584; Acts 1939, No. 661, p. 1036, §7; Code 1940, T. 26, §309; Acts 1955, No. 308, p. 707; Acts 1971, No. 667, p. 1376, §9; Acts 1973, No. 1062, p. 1750, §§23-25; Acts 1992, No. 92-537, p. 1082, §6.)
(a) The Secretary of Labor may, under such rules and regulations as he may prescribe, permit two or more employers, as such term is defined in Section 25-5-1, to enter into agreements to pool their liabilities under this chapter for the purpose of qualifying as self-insurers under this chapter. Each employer member of such approved group shall be authorized to operate as a self-insurer under this chapter.
(b) Two or more employer groups as described in (a) above may enter into agreements to pool their liabilities under this chapter for the purpose of providing excess coverage above the self-insured retention levels maintained by the individual employer groups.
(c) This section is supplemental and shall insofar as possible be construed in pari materia with this chapter; however, any law or part thereof in conflict herewith is repealed.
(Acts 1965, No. 407, p. 587; Acts 1987, No. 87-559, p. 842.)
(a) A person who creates or carries into operation any fraudulent scheme, artifice, or device to execute work without being responsible to the worker for the benefits provided by this chapter shall be included in the term “employer” and shall be subject to all the liabilities of employers under this chapter.
(b) When compensation is claimed from or proceedings taken against a person under subsection (a) of this section, the compensation shall be calculated with reference to the wage the worker was receiving from the person by whom he or she was immediately employed at the time of the injury.
(c) The employer shall not be liable or required to pay compensation for injuries due to the acts or omissions of third persons not at the time in the service of the employer nor engaged in the work in which the injury occurs, except as provided in Section 25-5-11.
(Acts 1919, No. 245, p. 206; Code 1923, §7585; Code 1940, T. 26, §310; Acts 1992, No. 92-537, p. 1082, §7.)
(a) If the injury or death for which compensation is payable under Articles 3 or 4 of this chapter was caused under circumstances also creating a legal liability for damages on the part of any party other than the employer, whether or not the party is subject to this chapter, the employee, or his or her dependents in case of death, may proceed against the employer to recover compensation under this chapter or may agree with the employer upon the compensation payable under this chapter, and at the same time, may bring an action against the other party to recover damages for the injury or death, and the amount of the damages shall be ascertained and determined without regard to this chapter. If a party, other than the employer, is a workers’ compensation insurance carrier of the employer or any person, firm, association, trust, fund, or corporation responsible for servicing and payment of workers’ compensation claims for the employer, or any officer, director, agent, or employee of the carrier, person, firm, association, trust, fund, or corporation, or is a labor union, or any official or representative thereof, or is a governmental agency providing occupational safety and health services, or an employee of the agency, or is an officer, director, agent, or employee of the same employer, or his or her personal representative, the injured employee, or his or her dependents in the case of death, may bring an action against any workers’ compensation insurance carrier of the employer or any person, firm, association, trust, fund, or corporation responsible for servicing and payment of workers’ compensation claims for the employer, labor union, or the governmental agency, or person, or his or her personal representative, only for willful conduct which results in or proximately causes the injury or death. If the injured employee, or in case of death, his or her dependents, recovers damages against the other party, the amount of the damages recovered and collected shall be credited upon the liability of the employer for compensation. If the damages recovered and collected are in excess of the compensation payable under this chapter, there shall be no further liability on the employer to pay compensation on account of the injury or death. To the extent of the recovery of damages against the other party, the employer shall be entitled to reimbursement for the amount of compensation theretofore paid on account of injury or death. If the employee who recovers damages is receiving or entitled to receive compensation for permanent total disability, then the employer shall be entitled to reimbursement for the amount of compensation theretofore paid, and the employer’s obligation to pay further compensation for permanent total disability shall be suspended for the number of weeks which equals the quotient of the total damage recovery, less the amount of any reimbursement for compensation already paid, divided by the amount of the weekly benefit for permanent total disability which the employee was receiving or to which the employee was entitled. For purposes of this amendatory act, the employer shall be entitled to subrogation for medical and vocational benefits expended by the employer on behalf of the employee; however, if a judgment in an action brought pursuant to this section is uncollectible in part, the employer’s entitlement to subrogation for such medical and vocational benefits shall be in proportion to the ratio the amount of the judgment collected bears to the total amount of the judgment.
(b) If personal injury or death to any employee results from the willful conduct, as defined in subsection (c) herein, of any officer, director, agent, or employee of the same employer or any workers’ compensation insurance carrier of the employer or any person, firm, association, trust, fund, or corporation responsible for servicing any payment of workers’ compensation claims for the employer, or any officer, director, agent, or employee of the carrier, person, firm, association, trust, fund, or corporation, or of a labor union, or an official or representative thereof, the employee shall have a cause of action against the person, workers’ compensation carrier, or labor union.
(c) As used herein, “willful conduct” means any of the following:
(1) A purpose or intent or design to injure another; and if a person, with knowledge of the danger or peril to another, consciously pursues a course of conduct with a design, intent, and purpose of inflicting injury, then he or she is guilty of “willful conduct.”
(2) The willful and intentional removal from a machine of a safety guard or safety device provided by the manufacturer of the machine with knowledge that injury or death would likely or probably result from the removal; provided, however, that removal of a guard or device shall not be willful conduct unless the removal did, in fact, increase the danger in the use of the machine and was not done for the purpose of repair of the machine or was not part of an improvement or modification of the machine which rendered the safety device unnecessary or ineffective.
(3) The intoxication of another employee of the employer if the conduct of that employee has wrongfully and proximately caused injury or death to the plaintiff or plaintiff’s decedent, but no employee shall be guilty of willful conduct on account of the intoxication of another employee or another person.
(4) Willful and intentional violation of a specific written safety rule of the employer after written notice to the violating employee by another employee who, within six months after the date of receipt of the written notice, suffers injury resulting in death or permanent total disability as a proximate result of the willful and intentional violation. The written notice to the violating employee shall state with specificity all of the following:
a. The identity of the violating employee.
b. The specific written safety rule being violated and the manner of the violation.
c. That the violating employee has repeatedly and continually violated the specific written safety rule referred to in b. above with specific reference to previous times, dates, and circumstances.
d. That the violation places the notifying employee at risk of great injury or death.
A notice that does not contain all of the above elements shall not be valid notice for purposes of this section. An employee shall not be liable for the willful conduct if the injured employee himself or herself violated a safety rule, or otherwise contributed to his or her own injury. No employee shall be held liable under this section for the violation of any safety rule by any other employee or for failing to prevent any violation by any other employee.
(d) In the event the injured employee, or his or her dependents, in case of death, do not file a civil action against the other party to recover damages within the time allowed by law, the employer or the insurance carrier for the employer shall be allowed an additional period of six months within which to bring a civil action against the other party for damages on account of the injury or death. In the event the employer or the insurance carrier has paid compensation to the employee or his or her dependent, or in the event a proceeding is pending against the employer to require the payment of the compensation, the civil action may be maintained either in the name of the injured employee, his or her dependent in case of death, the employer, or the insurance carrier. In the event the damages recovered in the civil action are in excess of the compensation payable by the employer under this chapter and costs, attorney’s fees, and reasonable expenses incurred by the employer in making the collection, the excess of the amount shall be held in trust for the injured employee or, in case of death, for the employee’s dependents. If the injured employee has no dependent, the personal representative, in the event of death, may bring a civil action against the other party to recover damages without regard to this chapter.
(e) In a settlement made under this section with a third party by the employee or, in case of death, by his or her dependents, the employer shall be liable for that part of the attorney’s fees incurred in the settlement with the third party, with or without a civil action, in the same proportion that the amount of the reduction in the employer’s liability to pay compensation bears to the total recovery had from the third party. For purposes of the subrogation provisions of this subsection only, “compensation” includes medical expenses, as defined in Section 25-5-77, if and only if the employer is entitled to subrogation for medical expenses under subsection (a) of this section.
(f) For the purpose of this section, a carrier, person, firm, association, trust, fund, or corporation includes a company or a governmental agency making a safety inspection on behalf of a self-insured employer or its employees, and an officer, director, agent, or employee of the company or a governmental agency.
(Acts 1919, No. 245, p. 206; Code 1923, §7587; Acts 1939, No. 661, p. 1036, §8; Code 1940, T. 26, §312; Acts 1947, No. 635, p. 484, §1; Acts 1961, Ex. Sess., No. 272, p. 2289, §4; Acts 1973, No. 1062, p. 1750, §26; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §10; Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §3; Acts 1992, No. 92-537, p. 1082, §8.)
No employee shall be terminated by an employer solely because the employee has instituted or maintained any action against the employer to recover workers’ compensation benefits under this chapter or solely because the employee has filed a written notice of violation of a safety rule pursuant to subdivision (c)(4) of Section 25-5-11.
(Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §11.)
The Chief Justice of the Supreme Court of Alabama, from time to time as he deems it is necessary, may prepare uniform rules for the circuit judges and circuit courts which may be necessary for carrying out the provisions of this chapter, including such forms for orders and judgments as said Chief Justice of the Supreme Court deems best. Such rules and forms when so prepared and promulgated by the chief justice shall be followed and used by the said judges and courts.
(Acts 1919, No. 245, p. 206; Code 1923, §7588; Code 1940, T. 26, §313.)
The Legislature finds that actions filed on behalf of injured employees against officers, directors, agents, servants, or employees of the same employer seeking to recover damages in excess of amounts received or receivable from the employer under the workers’ compensation statutes of this state and predicated upon claimed negligent or wanton conduct resulting in injuries arising out of and in the course of employment are contrary to the intent of the Legislature in adopting a comprehensive workers’ compensation scheme and are producing a debilitating and adverse effect upon efforts to retain existing, and to attract new industry to this state. Specifically, the existence of such causes of action places this state at a serious disadvantage in comparison to the existing laws of other states with whom this state competes in seeking to attract and retain industrial operations which would provide better job opportunities and increased employment for people in this state. The existence of such causes of action, and the consequent litigation resulting therefrom, results in substantial costs and expenses to employers which, as a practical matter, must either procure additional liability insurance coverage for supervisory and management employees or fund the costs of defense, judgment or settlement from their own resources in order to retain competent and reliable personnel. The existence of such causes of action has a disruptive effect upon the relationship among employees and supervisory and management personnel. There is a total absence of any reliable evidence that the availability of such causes of action has resulted in any reduction of the number or severity of on-the-job accidents or of any substantial improvement on providing safe working conditions and work practices. The intent of the Legislature is to provide complete immunity to employers and limited immunity to officers, directors, agents, servants, or employees of the same employer and to the workers’ compensation insurance carrier and compensation service companies of the employer or any officer, director, agent, servant, or employee of such carrier or company and to labor unions and to any official or representative thereof, from civil liability for all causes of action except those based on willful conduct and such immunity is an essential aspect of the workers’ compensation scheme. The Legislature hereby expressly reaffirms its intent, as set forth in Section 25-5-53, as amended herein, and Sections 25-5-144 and 25-5-194, regarding the exclusivity of the rights and remedies of an injured employee, except as provided for herein.
(Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §1.)
(a) This chapter shall be applicable to the employees of all counties and all municipalities having populations greater than 2,000 according to the most recent federal decennial census, and shall govern in their employment. This chapter shall be applicable also to the employees of all county and city boards of education, the Alabama Institute for the Deaf and Blind, and all employees of the two-year colleges under the control of the State Board of Education, and shall govern in their employment. The employees of all school systems and institutions, counties, and each municipality covered under this section shall have available to them all the rights and remedies provided under this chapter. The governing bodies of all school systems and institutions, counties, and of each municipality covered under this section shall file all necessary employer reports and notices required at the times and in the manner prescribed in this chapter.
(b) Notwithstanding subsection (a) of this section, this chapter shall not apply to any city (excepting school districts and institutions) which has a population of 250,000 or more according to the last or any subsequent decennial federal census, to any park and recreation board now or hereafter established for those cities, to any board or agency now or hereafter authorized and established by the governing body of those cities, nor to employees of the city or of any board or agency.
(Acts 1975, No. 565, p. 1299, §1; Acts 1975, 4th Ex. Sess., No. 29, p. 2645, §1; Acts 1984, No. 84-322, p. 741, §1; Acts 1992, No. 92-537, p. 1082, §9.)
Upon the written request of any employee, each employer subject to the workers’ compensation law shall appoint a safety committee. The safety committee shall consist of not less than three committee members, one of whom must be a nonsupervisory employee. The safety committee shall advise the employer regarding safety in the work place, including suggestions from employees regarding safety conditions in the work place. Any employee shall have the right to notify the safety committee of a safety condition in the work place. The safety committee shall develop procedures by which an employee may give such notification. The provisions of this section shall not apply to any employer who now or in the future has an established safety committee pursuant to contract or agreement with its employees or their representative.
(Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §10.)
(a) It is the intent of the Legislature to promote safety education, safety planning, and to provide any needed technical assistance.
(b) The Secretary of the Department of Labor shall coordinate with the safe state program, the safety and health consulting service, to establish a safety program for cooperating with industry to promote safety and provide technical assistance. Emphasis shall be placed on unsafe acts in both small industry and high risk industry.
(c) Qualified safety management specialists shall be employed in the safe state program to assist employers in developing or improving their safety programs. Safe state program personnel shall, upon referral by the secretary of an employer’s request, make inspections for safety monitoring and report the resulting findings and recommendations to the employer and to the secretary.
(d) The safe state program shall establish and collect reasonable fees for technical and consultative safety services that are not required by law, provided to persons requesting the services from or through the Workers’ Compensation Division of the Department of Labor.
(Acts 1992, No. 92-537, p. 1082, §31.)
The provisions of this act are expressly declared not to be severable. If any provision of this act shall be adjudged to be invalid by any court of competent jurisdiction, then this entire act shall be invalid and held for naught.
(Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §13.)
This article shall not apply in cases where Article 3 of this chapter becomes operative in accordance with the provisions thereof, but shall apply in all other cases, and in such cases shall be an extension or modification of the common law.
(Acts 1939, No. 661, p. 1036, §18; Code 1940, T. 26, §262; Acts 1949, No. 36, p. 47, §2; Acts 1971, No. 667, p. 1376, §§1, 2; Acts 1973, No. 1062, p. 1750, §4.)
When personal injury or death is caused to an employee by an accident arising out of and in the course of his employment, of which injury the actual or lawfully imputed negligence of the employer is the natural and proximate cause, he, or in case of death, his personal representative, for the exclusive benefit of the surviving spouse and next of kin, shall receive compensation by way of damages therefor from the employer; provided, that the injury or death was not caused by the wilful misconduct of the employee or was not due to misconduct on his part, as defined in Section 25-5-51.
(Acts 1919, No. 245, p. 206; Code 1923, §7534; Code 1940, T. 26, §253.)
In all cases brought under this article, it shall not be a defense:
(1) That the employee was negligent, unless and except it shall also appear that such negligence was wilful or that such employee was guilty of wilful misconduct as defined in Section 25-5-51.
(2) That the injury was caused by the negligence of a fellow employee.
(3) That the employee had assumed the risks inherent in or incidental to the work, or arising out of his employment, or arising from the failure of the employer to provide and maintain safe premises and suitable appliances, which grounds of defense are hereby abolished.
(Acts 1919, No. 245, p. 206; Code 1923, §7535; Code 1940, T. 26, §254.)
The provisions of Sections 25-5-31 and 25-5-32 shall apply to any claims for death of an employee as covered by Sections 6-5-391, 6-5-410, and 25-6-3, and to personal injuries arising under Sections 6-5-390 and 25-6-1.
(Acts 1919, No. 245, p. 206; Code 1940, T. 26, §257; Acts 1973, No. 1062, p. 1750, §3.)
The provisions of this article and Article 3 of this chapter shall apply to employees who are minors and who have been employed in accordance with or contrary to laws regulating the employment of minors. If at the time of injury the minor was employed in violation of or contrary to the law regulating the employment or any part thereof, then the compensation shall be two times what it would be if the employment had been legal.
(Acts 1919, No. 245, p. 206; Code 1923, §7539; Acts 1931, No. 357, p. 415; Code 1940, T. 26, §258.)
(a) As used in this section:
(1) The term “United States” includes only the states of the United States and the District of Columbia; and
(2) The term “state” includes any state of the United States or the District of Columbia.
(b) For the purposes of this section, a person’s employment is principally localized in this or another state when his employer has a place of business in this or such other state and he regularly works at or from such place of business, or if he is domiciled and spends a substantial part of his working time in the service of his employer in this or such other state.
(c) An employee whose duties require him to travel regularly in the service of his employer in this and one or more other states may, by written agreement with his employer, provide that his employment is principally localized in this or another such state; and, unless such other state refuses jurisdiction, such agreement shall be given effect under this section.
(d) If an employee, while working outside of this state, suffers an injury on account of which he or, in the event of his death, his dependents, would have been entitled to the benefits provided by this article and Article 3 of this chapter had such injury occurred within this state, such employee or, in the event of his death resulting from such injury, his dependents, shall be entitled to the benefits provided by this article and Article 3 of this chapter, provided that at the time of such injury:
(1) His employment was principally localized in this state;
(2) He was working under a contract of hire made in this state in employment not principally localized in any state;
(3) He was working under a contract of hire made in this state in employment principally localized in another state whose workers’ compensation law was not applicable to his employer; or
(4) He was working under a contract of hire made in this state for employment outside the United States.
(e) The payment or award of benefits under the workers’ compensation law of another state, territory, province, or foreign nation to an employee or his dependents otherwise entitled on account of such injury or death to the benefits of this article and Article 3 of this chapter shall not be a bar to a claim for benefits under this article and Article 3 of this chapter; provided that claim under this article is filed within the time limits set forth in Section 25-5-80. If compensation is paid or awarded under this article and Article 3 of this chapter:
(1) The medical and related benefits furnished or paid for by the employer under such other workers’ compensation law on account of such injury or death shall be credited against the medical and related benefits to which the employee would have been entitled under this article and Article 3 of this chapter had claim been made solely under this article and Article 3 of this chapter;
(2) The total amount of compensation paid or awarded the employee under such other workers’ compensation law shall be credited against the total amount of compensation which would have been due the employee under this article and Article 3 of this chapter, had claim been made solely under this article and Article 3 of this chapter; and
(3) The total amount of death benefits paid or awarded under such other workers’ compensation law shall be credited against the total amount of death benefits due under this article and Article 3 of this chapter.
(f) The recovery of any compensation benefits under the law of any other state shall bar any common-law or statutory right of action for damages that an employee or his dependents might otherwise have had against the employer or the officers, directors, or employees of the employer as a result of the injury or death on account of which such compensation benefits were paid.
(g) If, as a result of an employment principally localized in another state, an employee of an employer who would have been subject to this article or Article 3 of this chapter, had the contract of employment been entered into in this state for performance in this state, suffers injury or death as a result of an accident occurring in this state, compensation and medical, surgical, and hospital benefits on account of such injury or death may be recovered under this article or Article 3 of this chapter.
(Acts 1919, No. 245, p. 206; Code 1923, §7540; Code 1940, T. 26, §259; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §1.)
In all actions of law brought pursuant to this article, the burden of proof to establish the wilful misconduct or other misconduct as defined in Section 25-5-51, of the injured employee shall be upon the defendant.
(Acts 1919, No. 245, p. 206; Code 1923, §7541; Code 1940, T. 26, §260.)
(a) This article and Article 2 of this chapter shall not be construed or held to apply to an employer of a domestic employee; an employer of a farm laborer; an employer of a person whose employment at the time of the injury is casual and not in the usual course of the trade, business, profession, or occupation of the employer; an employer who regularly employs less than five employees in any one business, other than the business of constructing or assisting on-site in the construction of new single-family, detached residential dwellings; or a municipality having a population of less than 2,000 according to the most recent federal decennial census. An employer who regularly employs less than five employees in any one business; a farm-labor employer; an employer of a domestic employee; or a municipality having a population of less than 2,000 according to the most recent federal decennial census, may accept and become subject to this article and Article 4 of this chapter by filing written notice thereof with the Department of Labor, a copy thereof to be posted at the place of business of the employer; provided further, that an employer who has so elected to accept this article and Article 4 of this chapter may at any time withdraw the acceptance by giving like notice of withdrawal. Notwithstanding the foregoing, an employer electing not to accept coverage under this article and Article 4 of this chapter shall notify in writing each employee of the withdrawal of coverage. Additionally, the employer shall post a notice in a conspicuous place notifying all employees and applicants for employment that workers’ compensation insurance coverage is not available.
(b) Notwithstanding subsection (a), an officer of a corporation or individual limited liability company member may elect to be exempt from coverage by filing written certification of the election with the employer’s insurance carrier. The exemption shall remain in effect at all times, unless properly revoked as provided herein, including subsequent coverage years with the same workers’ compensation carrier.
At the end of any calendar year, a corporate officer or individual limited liability company member who has been exempted, by proper certification from coverage, may revoke the exemption and thereby accept coverage by filing written certification of his or her election to be covered with the employer’s insurance carrier.
The certification for exemption or reinstatement of coverage shall become effective on the first day of the calendar month following the filing of the certification of exemption or reinstatement of coverage with the employer’s insurance carrier.
If the corporate officer or individual limited liability company member elects to be exempt from coverage, the election shall not relieve the employer from continuing coverage for all other eligible employees who may have been covered prior to the election or who may subsequently be employed by the employer. Notwithstanding any election made pursuant to this provision, the election by the corporate officer or individual limited liability company member does not otherwise change his or her status as an employee for the purpose of determining the threshold number of employees necessary to invoke or trigger the applicability of this chapter.
(c) A corporate officer or individual limited liability company member seeking to secure coverage by revoking an existing exemption, at any time other than the end of the calendar year, in addition to complying with the provisions of subsection (b), shall execute an affidavit verifying that he or she has not suffered an employment accident, exposure, or injury from the date of exemption until the date of the written certification of the election to reinstate coverage. Any corporate officer or individual limited liability company member who fails to execute an affidavit or comply with other terms and conditions of the workers’ compensation carrier shall not be entitled to revoke the previous exemption until the end of the calendar year.
The revocation of the exemption and reinstatement of coverage shall become effective on the first day of the calendar month following the written acceptance of the certification of exemption or reinstatement of coverage by the employer’s workers’ compensation insurance carrier.
(d) This section shall not be construed to mandate any school board to provide coverage until sufficient funds are appropriated from the Education Trust Fund to implement the provisions. Nothing contained herein shall prohibit any school board that voluntarily elects to provide such coverage from doing so with local or other available funds.
(e) This section shall provide for voluntary coverage of certified volunteer fire departments as described in Section 9-3-17 and legally organized rescue squads that meet the minimum personnel and equipment standards as established by the Alabama Association of Rescue Squads, that are engaged in fighting a fire or performing other duties involving any emergency incident and while performing any official supervised duties of the organization, including maintaining equipment and attending official training classes, and while traveling to and from an emergency incident.
(f) In all cases where an injury that is compensable under the terms of the Alabama Workers’ Compensation Law is received by a volunteer fire fighter or rescue squad member, the wages for purposes of computing the average weekly wage shall be equal to 66 2/3 percent of what he or she is earning at his or her regular place of employment or 66 2/3 percent of the minimum wage, whichever is greater.
(g) State certified volunteer fire departments and legally organized rescue squads are herein granted the right to purchase workers’ compensation medical or disability insurance, or both, but in no event are they required to do so.
In no event shall the regular employer of a volunteer fire fighter or rescue squad member be liable for a compensable injury under this section.
(h) A licensed real estate agent operating under a licensed broker shall not be considered an employee for the purposes of this chapter.
(i) An individual who performs services as a product demonstrator shall not be considered an employee for purposes of this chapter. The term product demonstrator shall mean any individual who satisfies both of the following requirements:
(1) Is engaged in the trade or business of demonstrating, exhibiting, or soliciting the purchase of food, food-related products offered for sale, or other consumer products offered for sale to any buyer on the premises of a grocery store, dry good store, or similar retail establishment, or trade show;
(2) Who performs those services pursuant to a written contract between the individual and a person whose principal business is providing demonstrators to third parties for such purposes and the contract provides that the individual will not be treated as an employee with respect to the services for federal tax purposes.
(j)(1) For purposes of this subsection, sports official means an individual who is a neutral participant in a sports event, including, without limitation, an umpire, a referee, judge, linesman, scorekeeper, or timekeeper. Sports official does not include any person, otherwise employed by an organization or entity sponsoring a sports event, who performs services as a sports official as a part of his or her regular employment.
(2) A person who performs services as a sports official for an entity sponsoring an interscholastic or intercollegiate sports event or if such person performs services as a sports official for a public entity or a private, nonprofit organization which sponsors an amateur sports event shall be an independent contractor and not an employee.
(3) Any sports official who officiates a sports event at any level of competition in Alabama shall not be liable to any person or entity in any civil action for injuries or damages claimed to have arisen by virtue of actions or inaction related in any manner to officiating duties at a sports event, provided the official does not act willfully, maliciously, fraudulently, or in a manner that is contrary to how a reasonably prudent official would act under the same or similar circumstances.
(Code 1923, §7543; Acts 1939, No. 661, p. 1036, §2; Code 1940, T. 26, §263; Acts 1971, No. 667, p. 1376, §3; Acts 1973, No. 1062, p. 1750, §5; Acts 1975, No. 565, p. 1299, §2; Acts 1975, 4th Ex. Sess., No. 86, p. 2622, §3; Acts 1979, No. 79-325, p. 488; Acts 1983, No. 83-592, p. 925, §1; Acts 1984, No. 84-322, p. 741, §2; Acts 1992, No. 92-537, p. 1082, §10; Acts 1993, No. 93-649, p. 1121, §1; Acts 1996, No. 96-260, p. 289, §1; Act 2008-395, p. 764, §1; Act 2012-523, p. 1549, §1; Act 2017-390, §1.)
If an employer is subject to this article, compensation, according to the schedules hereinafter contained, shall be paid by the employer, or those conducting the business during bankruptcy or insolvency, in every case of personal injury or death of his or her employee caused by an accident arising out of and in the course of his or her employment, without regard to any question of negligence. Notwithstanding the foregoing, no compensation shall be allowed for an injury or death caused by the willful misconduct of the employee, by the employee’s intention to bring about the injury or death of himself or herself or of another, his or her willful failure or willful refusal to use safety appliances provided by the employer or by an accident due to the injured employee being intoxicated from the use of alcohol or being impaired by illegal drugs.
A positive drug test conducted and evaluated pursuant to standards adopted for drug testing by the U.S. Department of Transportation in 49 C.F.R. Part 40 shall be a conclusive presumption of impairment resulting from the use of illegal drugs. No compensation shall be allowed if the employee refuses to submit to or cooperate with a blood or urine test as set forth above after the accident after being warned in writing by the employer that such refusal would forfeit the employee’s right to recover benefits under this chapter.
No compensation shall be allowed if, at the time of or in the course of entering into employment or at the time of receiving notice of the removal of conditions from a conditional offer of employment, the employee knowingly and falsely misrepresents in writing his or her physical or mental condition and the condition is aggravated or reinjured in an accident arising out of and in the course of his or her employment.
At the time an employer makes an unconditional offer of employment or removes conditions previously placed on a conditional offer of employment, the employer shall provide the employee with the following written warning in bold type print, “Misrepresentations as to preexisting physical or mental conditions may void your workers’ compensation benefits.” If the employer defends on the ground that the injury arose in any or all of the last above stated ways, the burden of proof shall be on the employer to establish the defense.
(Acts 1919, No. 245, p. 206; Code 1923, §7544; Code 1940, T. 26, §270; Acts 1973, No. 1062, p. 1750, §7; Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §4; Acts 1992, No. 92-537, p. 1082, §11.)
Except as provided in this chapter, no employee of any employer subject to this chapter, nor the personal representative, surviving spouse, or next of kin of the employee shall have a right to any other method, form, or amount of compensation or damages for an injury or death occasioned by an accident or occupational disease proximately resulting from and while engaged in the actual performance of the duties of his or her employment and from a cause originating in such employment or determination thereof.
(Acts 1919, No. 245, p. 206; Code 1923, §7545; Code 1940, T. 26, §271; Acts 1973, No. 1062, p. 1750, §8; Acts 1992, No. 92-537, p. 1082, §12.)
The rights and remedies granted in this chapter to an employee shall exclude all other rights and remedies of the employee, his or her personal representative, parent, dependent, or next of kin, at common law, by statute, or otherwise on account of injury, loss of services, or death. Except as provided in this chapter, no employer shall be held civilly liable for personal injury to or death of the employer’s employee, for purposes of this chapter, whose injury or death is due to an accident or to an occupational disease while engaged in the service or business of the employer, the cause of which accident or occupational disease originates in the employment. In addition, immunity from civil liability for all causes of action except those based upon willful conduct shall also extend to the workers’ compensation insurance carrier of the employer; to a person, firm, association, trust, fund, or corporation responsible for servicing and payment of workers’ compensation claims for the employer; to an officer, director, agent, or employee of the carrier, person, firm, association, trust, fund, or corporation; to a labor union, an official, or representative thereof; to a governmental agency providing occupational safety and health services, or an employee of the agency; and to an officer, director, agent, or employee of the same employer, or his or her personal representative. Nothing in this section shall be construed to relieve a person from criminal prosecution for failure or neglect to perform a duty imposed by law.
For the purpose of this section, a carrier, person, firm, association, trust, fund, or corporation shall include a company or a governmental agency making a safety inspection on behalf of a self-insured employer or its employees and an officer, director, agent, or employee of the company or a governmental agency.
(Acts 1919, No. 245, p. 206; Code 1923, §7546; Code 1940, T. 26, §272; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §4; Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §5; Acts 1992, No. 92-537, p. 1082, §13.)
Every employer and employee, except as otherwise specifically provided in this article, shall be presumed to have accepted and come under this article and Article 4 of this chapter and the provisions thereof relating to the payment and acceptance of compensation.
(Acts 1919, No. 245, p. 206; Code 1923, §7547; Acts 1935, No. 387, p. 831; Acts 1936, Ex. Sess., No. 29, p. 9; Acts 1939, No. 661, p. 1036, §15; Code 1940, T. 26, §273; Acts 1973, No. 1062, p. 1750, §9; Acts 1992, No. 92-537, p. 1082, §14.)
For the purposes of this article and Article 4 of this chapter, minors shall have the same power to contract, make settlements and receive compensation as adult employees, subject to the power of the court, in its discretion, to require the appointment of a guardian to make the settlement and to receive moneys thereunder or under an award. Payments of awards made to minors or their guardians shall exclude any further compensation either to the minors or to their parents for loss of services or otherwise.
(Acts 1919, No. 245, p. 206; Code 1923, §7549; Code 1940, T. 26, §277; Acts 1973, No. 1062, p. 1750, §13; Acts 1992, No. 92-537, p. 1082, §15.)
The interested parties may settle all matters of benefits, whether involving compensation, medical payments, or rehabilitation, and all questions arising under this article and Article 4 of this chapter between themselves, and every settlement shall be in an amount the same as the amounts or benefits stipulated in this article. No settlement for an amount less than the amounts or benefits stipulated in this article shall be valid for any purpose, unless a judge of the court where the claim for compensation under this chapter is entitled to be made, or upon the written consent of the parties, a judge of the court determines that it is for the best interest of the employee or the employee’s dependent to accept a lesser sum and approves the settlement. The court shall not approve any settlement unless and until it has first made inquiry into the bona fides of a claimant’s claim and the liability of the defendant; and if deemed advisable, the court may hold a hearing thereon. Settlements made may be vacated for fraud, undue influence, or coercion, upon application made to the judge approving the settlement at any time not later than six months after the date of settlement. Upon settlements being approved, judgment shall be entered thereon and duly entered on the records of the court in the same manner and have the same effect as other judgments or as an award if the settlement is not for a lump sum. All moneys voluntarily paid by the employer or insurance carrier to an injured employee in advance of agreement or award shall be treated as advance payments on account of the compensation. In order to encourage advance payments, it is expressly provided that the payments shall not be construed as an admission of liability but shall be without prejudice.
(Code 1923, §7550; Acts 1939, No. 661, p. 1036, §3; Code 1940, T. 26, §278; Acts 1992, No. 92-537, p. 1082, §16.)
(a) Compensation schedule. Following is the schedule of compensation:
(1) TEMPORARY TOTAL DISABILITY. For injury producing temporary total disability, the compensation shall be 66 2/3 percent of the average weekly earnings received at the time of injury, subject to a maximum and minimum weekly compensation as stated in Section 25-5-68, but if at the time of injury the employee received average weekly earnings of less than the minimum stated in Section 25-5-68, then he or she shall receive the full amount of the average weekly earnings per week. This compensation shall be paid during the time of the disability, but at the time as a temporary total disability shall become permanent, compensation for the continued total disability shall be governed by (a)(4) of this section with respect to permanent total disability. Payments are to be made at the intervals when the earnings were payable, as nearly as may be, unless the parties otherwise agree.
(2) TEMPORARY PARTIAL DISABILITY.
a. Amount and Duration of Compensation. For temporary partial disability, the compensation shall be 66 2/3 percent of the difference between the average weekly earnings of the worker at the time of the injury and the average weekly earnings he or she is able to earn in his or her partially disabled condition. This compensation shall be paid during the period of the disability, but not beyond 300 weeks. Payments shall be made at the intervals when the earnings were payable, as nearly as may be, unless the parties otherwise agree, and shall be subject to the same maximum weekly compensation as stated in Section 25-5-68.
b. Effect of Change in Employment. If the injured employee who is receiving compensation for temporary partial disability leaves the employment of the employer by whom he or she was employed at the time of the accident for which the compensation is being paid, he or she shall, upon securing employment elsewhere, give to the former employer an affidavit in writing containing the name of his or her new employer, the place of employment, and the amount of wages being received at the new employment, and until he or she gives the affidavit, the compensation for temporary partial disability shall cease. The employer for whom the employee was employed at the time of the accident for which the compensation is being paid may also at any time demand of the employee an additional affidavit, in writing, containing the name of his or her employer, the place of his or her employment, and the amount of wages he or she is receiving; and if the employee upon demand fails or refuses to make and furnish the affidavit, his or her right to compensation for temporary partial disability shall cease until the affidavit is made and furnished.
(3) PERMANENT PARTIAL DISABILITY.
a. Amount and Duration of Compensation. For permanent partial disability, the compensation shall be based upon the extent of the disability. In cases included in the following schedule, the compensation shall be 66 2/3 percent of the average weekly earnings, during the number of weeks set out in the following schedule:
For the loss of a thumb, 62 weeks.
For the loss of a first finger, commonly called the index finger, 43 weeks.
For the loss of a second finger, 31 weeks.
For the loss of a third finger, 22 weeks.
For the loss of a fourth finger, commonly called the little finger, 16 weeks.
The loss of the first phalange of the thumb or of any finger shall be considered as equal to the loss of one half of the thumb or finger, and compensation shall be paid at the prescribed rate during one half of the time specified above for the thumb or finger.
The loss of two or more phalanges shall be considered as the loss of the entire finger or thumb, but in no case shall the amount received for more than one finger exceed the amount provided in this schedule for the loss of a hand.
For the loss of a great toe, 32 weeks.
For the loss of any of the toes other than the great toe, 11 weeks.
The loss of the first phalange of any toe shall be considered to be equal to the loss of one half of the toe, and compensation shall be paid at the prescribed rate during one half the time prescribed above for the toe.
The loss of two or more phalanges shall be considered as the loss of an entire toe.
For the loss of a hand, 170 weeks.
For the loss of an arm, 222 weeks.
For the loss of a foot, 139 weeks.
Amputation between the elbow and wrist shall be considered as the equivalent to the loss of a hand, and amputation between the knee and ankle shall be considered as the equivalent of the loss of a foot.
For the loss of a leg, 200 weeks.
For the loss of an eye, 124 weeks.
For the complete and permanent loss of hearing in both ears, 163 weeks.
For the complete and permanent loss of hearing in one ear, 53 weeks.
For the loss of an eye and a leg, 350 weeks.
For the loss of an eye and one arm, 350 weeks.
For the loss of an eye and a hand, 325 weeks.
For the loss of an eye and a foot, 300 weeks.
For the loss of two arms, other than at the shoulder, 400 weeks.
For the loss of two hands, 400 weeks.
For the loss of two legs, 400 weeks.
For the loss of two feet, 400 weeks.
For the loss of one arm and the other hand, 400 weeks.
For the loss of one hand and one foot, 400 weeks.
For the loss of one leg and the other foot, 400 weeks.
For the loss of one hand and one leg, 400 weeks.
For the loss of one arm and one foot, 400 weeks.
For the loss of one arm and one leg, 400 weeks.
For serious disfigurement, not resulting from the loss of a member or other injury specifically compensated, materially affecting the employability of the injured person in the employment in which he or she was injured or other employment for which he or she is then qualified, 66 2/3 percent of the average weekly earnings for the period as the court may determine, but not exceeding 100 weeks.
b. Successive or Concurrent Temporary Total and Permanent Partial Disabilities Resulting from Same Injury. When a permanent partial disability, the number of weeks compensation for which is scheduled in subdivision (a)(3) of this section, follows or accompanies a period of temporary total disability resulting from the same injury, the number of weeks of the temporary total disability shall not be deducted from the number of weeks payable for the permanent partial disability.
c. Concurrent Disabilities. If an employee sustains concurrent injuries resulting in concurrent disabilities, he or she shall receive compensation only for the injury which entitled him or her to the largest amount of compensation, but this paragraph shall not affect liability for the concurrent loss of more than one member for which members compensation is provided in the specific schedule.
d. Loss of Use of Member. The permanent and total loss of the use of a member shall be considered as equivalent to the loss of that member, but in such cases the compensation specified in the schedule for such injury shall be in lieu of all other compensation, except as otherwise provided herein. For permanent disability due to injury to a member resulting in less than total loss of use of the member not otherwise compensated in this schedule, compensation shall be paid at the prescribed rate during that part of the time specified in the schedule for the total loss or total loss of use of the respective member which the extent of the injury to the member bears to its total loss.
e. Effect of Refusal of Suitable Employment. If an injured employee refuses employment suitable to his or her capacity offered to or procured for him or her, he or she shall not be entitled to any compensation at any time during the continuance of the refusal, unless at any time, in the opinion of the judge of the circuit court of the county of his or her residence, the refusal is justifiable.
f. Maximum and Minimum Compensation Awards. Compensation provided in this subsection (a) for loss of members or loss of use of members is subject to the same limitations as to maximum and minimum weekly compensation as stated in Section 25-5-68.
g. Compensation for Permanent Partial Disabilities Not Enumerated. For all other permanent partial disabilities not above enumerated, the compensation shall be 66 2/3 percent of the difference between the average weekly earnings of the worker at the time of the injury and the average weekly earnings he or she is able to earn in his or her partially disabled condition, subject to the same maximum weekly compensation as stated in Section 25-5-68. If a permanent partial disability, compensation for which is not calculated by use of the schedule in subdivision (a)(3) of this section, follows a period of temporary total disability resulting from the same injury, the number of weeks of the temporary total disability shall be deducted from the number of weeks payable for the permanent partial disability. Compensation shall continue during disability, but not beyond 300 weeks.
h. Affidavit of New Employment. If the injured employee leaves the services of the employer for whom he or she was working at the time of the accident and accepts employment elsewhere, he or she shall make and furnish affidavit as to his or her new employment in the manner as required in (a)(2) of this section.
i. Return to Work. If, on or after the date of maximum medical improvement, except for scheduled injuries as provided in Section 25-5-57(a)(3), an injured worker returns to work at a wage equal to or greater than the worker’s pre-injury wage, the worker’s permanent partial disability rating shall be equal to his or her physical impairment and the court shall not consider any evidence of vocational disability. Notwithstanding the foregoing, if the employee has lost his or her employment under circumstances other than any of the following within a period of time not to exceed 300 weeks from the date of injury, an employee may petition a court within two years thereof for reconsideration of his or her permanent partial disability rating:
(i) The loss of employment is due to a labor dispute still in active progress in the establishment in which he or she is or was last employed. For the purposes of this section only, the term “labor dispute” includes any controversy concerning terms, tenure, or conditions of employment, or concerning the association or representation of persons in negotiating, fixing, maintaining, changing, or seeking to arrange terms or conditions of employment, regardless of whether the disputants stand in the proximate relation of employer and employee. This definition shall not relate to a dispute between an individual worker and his or her employer.
(ii) The loss of employment is voluntary, without good cause connected with such work.
(iii) The loss of employment is for a dishonest or criminal act committed in connection with his or her work, for sabotage, or an act endangering the safety of others.
(iv) The loss of employment is for actual or threatened misconduct committed in connection with his or her work after previous warning to the employee.
(v) The loss of employment is because a license, certificate, permit, bond, or surety which is necessary for the performance of such employment and which he or she is responsible to supply has been revoked, suspended, or otherwise become lost to him or her for a cause.
The burden of proof is on the employer to prove, by clear and convincing evidence, that an employee’s loss of employment was due to one of the causes (i) through (v) above. At the hearing, the court may consider evidence as to the earnings the employee is or may be able to earn in his or her partially disabled condition, and may consider any evidence of vocational disability. The fact the employee had returned to work prior to his or her loss of employment shall not constitute a presumption of no vocational impairment. In making this evaluation, the court shall consider the permanent restriction, if any, imposed by the treating physician under Section 25-5-77, as well as all available reasonable accommodations that would enable the employee in his or her condition following the accident or onset of occupational disease to perform jobs that he or she in that condition otherwise would be unable to perform, and shall treat an employee able to perform with such accommodation as though he or she could perform without the accommodation. Nothing contained in this section shall be construed as having any effect upon any evidentiary issues or claims made in third party actions pursuant to Section 25-5-11.
(4) PERMANENT TOTAL DISABILITY.
a. Amount, Duration, and Payment of Compensation. For permanent total disability, as defined in paragraph d. of this subdivision, the employee shall receive 66 2/3 percent of the average weekly earnings received at the time of the injury, subject to a maximum and minimum weekly compensation as stated in Section 25-5-68. Notwithstanding the foregoing, if at the time of injury the employee was receiving earnings of less than the minimum as stated in Section 25-5-68, then he or she shall receive the full amount of his or her earnings per week. This compensation shall be paid during the permanent total disability, as defined in paragraph d. of this subdivision. Payment of the compensation shall be made at the intervals when the earnings were payable, as nearly as may be, unless the parties otherwise agree. The payments, with the approval of the circuit judge or by the agreement of the parties, may be made monthly, quarterly, or otherwise as the parties may agree. Payments for permanent total disability shall not be ordered to be paid in a lump sum without the consent of both the employer and the employee.
b. Alteration, Amendment, or Revision of Compensation. At any time, the employer may petition the court that awarded or approved compensation for permanent total disability to alter, amend, or revise the award or approval of the compensation on the ground that as a result of physical or vocational rehabilitation, or otherwise, the disability from which the employee suffers is no longer a permanent total disability and, if the court is so satisfied after a hearing, it shall alter, amend, or revise the award accordingly. If compensation for permanent total disability is being paid pursuant to a written agreement between employer and employee without approval, the employer may make application to the court that would have had jurisdiction to award the compensation to the employee to alter, amend, or revise the agreement on such grounds. If an employee is receiving benefits for permanent total disability other than as a result of an award or a written agreement between the employer and employee and if the employer terminates the payment of the benefits, the employee may, within two years of the last payment, petition the court to reinstate the benefits and, upon a showing that the permanent total disability still exists, shall be entitled to have the benefits reinstated effective the date of the last payment.
c. Employees in Public Institutions. In case an employee who is permanently and totally disabled becomes an inmate of a public institution, no compensation shall be payable unless the employee has wholly dependent on him or her for support a person or persons named in Sections 25-5-61 and 25-5-62, whose dependency shall be determined as if the employee were deceased, in which case the compensation provided for in this subdivision shall be paid for the benefit of the person so dependent, during dependency, in the manner so ordered by the court, while the employee is an inmate in the institution. Nothing contained herein shall be construed to deprive a permanently and totally disabled employee who has no dependent named in Sections 25-5-61 and 25-5-62 from receiving benefits to which he or she would otherwise be entitled if the employee, although an inmate of a public institution, is paying or on whose behalf funds are paid from any source to the public institution the normal and customary charge for the services rendered by the public institution. Normal and customary charge shall mean that charge actually made by the public institution to persons able to pay for the services rendered them whether the charge actually covers the expense of the upkeep of the inmate or not. If the employee has had a guardian appointed by a court of competent jurisdiction, the workers’ compensation payments shall be directly paid to the guardian.
d. Definition. The total and permanent loss of the sight of both eyes or the loss of both arms at the shoulder or any physical injury or mental impairment resulting from an accident, which injury or impairment permanently and totally incapacitates the employee from working at and being retrained for gainful employment, shall constitute prima facie evidence of permanent total disability but shall not constitute the sole basis on which an award of permanent total disability may be based. Any employee whose disability results from an injury or impairment and who shall have refused to undergo physical or vocational rehabilitation or to accept reasonable accommodation shall not be deemed permanently and totally disabled.
e. Second Permanent Injuries Generally. If an employee has a permanent disability or has previously sustained another injury than that in which the employee received a subsequent permanent injury by accident, as is specified in this section defining permanent injury, the employee shall be entitled to compensation only for the degree of injury that would have resulted from the latter accident if the earlier disability or injury had not existed.
f. Second Permanent Injury in Same Employment Resulting in Permanent Total Disability. If an employee receives a permanent injury as specified in this section after having sustained another permanent injury in the same employment, and if the previous and subsequent injuries result in permanent total disability, compensation shall be payable for permanent total disability only.
g. Concurrent Compensation Payments. If an employee receives an injury for which compensation is payable while he or she is still receiving or entitled to receive compensation for a previous injury in the same employment, he or she shall not at the same time be entitled to compensation for both injuries, unless the later injury is a permanent injury, as specified in this section, but he or she shall be entitled to compensation for that injury and from the time of that injury which will cover the longest period and the largest amount payable under this article and Article 4 of this chapter.
If an employee receives a permanent injury as specified in this section, after having sustained another permanent injury in the same employment, he or she shall be entitled to compensation for both injuries, subject to paragraph e. of this subdivision, but the total compensation shall be paid by extending the period and not by increasing the amount of weekly compensation, and in no case for permanent partial disability exceeding 700 weeks.
h. Effect of Rehabilitation or Recovery on Permanent Total Disability Benefits. If an employee who is receiving benefits for permanent total disability shall, as a result of physical or vocational rehabilitation or otherwise, obtain gainful employment, the obligation to pay permanent total disability benefits shall thereupon terminate; provided, that at any time that the employee’s weekly wage from the employment shall be less than the employee’s average weekly wage at the time of injury, the employer shall remain obligated to pay to the employee as compensation an amount equal to 66 2/3 percent of the difference, subject to each of the following limitations:
The employer’s liability for the payment of 66 2/3 percent of the difference shall continue for 200 weeks from the date of reemployment or 300 weeks from the date of injury, whichever is the longer period.
In no event shall the amount of weekly benefits paid by the employer to the employee exceed the weekly benefit the employee was receiving for permanent total disability.
No payments shall be due for any week the employee earns as much as or more than his or her average weekly wage at the time of injury. If the employee who obtains gainful employment suffered a permanent partial disability as specified in subsection (a), subdivision (3) of this section, the total amount of compensation paid for permanent total disability shall not be less than that amount which would have been payable for the permanent partial disability.
i. Affidavit of Gainful Employment. If an employee who is receiving benefits for permanent total disability shall, as the result of physical or vocational rehabilitation, accommodation, or otherwise, obtain gainful employment with an employer other than with his or her former employer, he or she shall, upon securing employment, give to his or her former employer an affidavit in writing containing the name of his or her new employer, the place of employment and the amount of wages being received at the new employment. Until he or she gives the affidavit, the compensation for permanent total disability shall cease. The employer for whom the employee was employed at the time of the accident for which compensation is being paid may also at any time demand of the employee additional affidavit, in writing, containing the name of his or her employer, the place of his or her employment, and the amount of wages he or she is receiving. If the employee, upon demand, fails or refuses to make and furnish the affidavit, his or her rights to compensation shall cease until the affidavit is made and furnished.
(5) DEATH FOLLOWING DISABILITY. If an employee sustains an injury occasioned by an accident arising out of and in the course of his or her employment and, during the period of disability caused thereby, death results proximately therefrom, all payments previously made as compensation for the injury shall be deducted from the compensation, if any, due on account of death. If an employee who sustains a permanent partial or permanent total disability, the degree of which has been agreed upon by the parties or has been ascertained by the court, and death results not proximately therefrom, the employee’s surviving spouse or dependent children or both shall be entitled to the balance of the payments which would have been due and payable to the worker, whether or not the decedent employee was receiving compensation for permanent total disability, not exceeding, however, the amount that would have been due the surviving spouse or dependent children or both if death had resulted proximately from an injury on account of which compensation is being paid to an employee.
(6) HERNIA.
a. Proof. For hernia resulting from injury by an accident arising out of and in the course of the employee’s employment, it must be definitely proven to the satisfaction of the court all of the following:
That there was an injury resulting in hernia.
That the hernia appeared suddenly.
That it was accompanied by pain.
That the hernia immediately followed an accident.
That the hernia did not exist prior to the accident for which compensation is claimed.
b. Treatment. All hernia, inguinal, femoral, or otherwise, proved to be the result of an injury by accident arising out of and in the course of the employment, shall be treated in a surgical manner by radical operation. If the injured employee refuses to undergo the radical operation for the cure of the hernia, no compensation will be allowed during the time the refusal continues. If, however, it is shown that the employee has some chronic disease or is otherwise in physical condition that the court considers it unsafe for the employee to undergo the operation, the employee shall be paid as otherwise provided in this chapter.
(b) Computation of compensation; determination of average weekly earnings. Compensation under this section shall be computed on the basis of the average weekly earnings. Average weekly earnings shall be based on the wages, as defined in Section 25-5-1(6) of the injured employee in the employment in which he or she was working at the time of the injury during the period of 52 weeks immediately preceding the date of the injury divided by 52, but if the injured employee lost more than seven consecutive calendar days during the period, although not in the same week, then the earnings for the remainder of the period, although not in the same week, then the earnings for the remainder of the 52 weeks shall be divided by the number of weeks remaining after the time so lost has been deducted. Where the employment prior to the injury extended over a period of less than 52 weeks, the method of dividing the earnings during that period by the number of weeks and parts thereof during which the employee earned wages shall be followed, provided results just and fair to both parties will thereby be obtained. Where by reason of the shortness of the time during which the employee has been in the employment of his or her employer or the casual nature or terms of the employment it is impracticable to compute the average weekly earnings as above defined, regard shall be had to the average weekly amount which during the 52 weeks prior to the injury was being earned by a person in the same grade, employed at the same work by the same employer, and if there is no person so employed, by a person in the same grade employed in the same class of employment in the same district. Whatever allowances of any character made to an employee in lieu of wages are specified as part of the wage contract shall be deemed a part of his or her earnings.
(c) Setoff for other recovery. In calculating the amount of workers’ compensation due:
(1) The employer may reduce or accept an assignment from an employee of the amount of benefits paid pursuant to a disability plan, retirement plan, or other plan providing for sick pay by the amount of compensation paid, if and only if the employer provided the benefits or paid for the plan or plans providing the benefits deducted.
(2) The employee shall forfeit to the employer all compensation paid for any period to which is attributed any award of back pay either by a court, administrative agency, arbitration, or settlement, provided, however, social security payments shall not be included herein.
(3) If an employer continues the salary of an injured employee during the benefit period or pays similar compensation during the benefit period, the employer shall be allowed a setoff in weeks against the compensation owed under this article. For the purposes of this section, voluntary contributions to a Section 125-cafeteria plan for a disability or sick pay program shall not be considered as being provided by the employer.
(Acts 1919, No. 245, p. 206; Code 1923, §7551; Acts 1935, No. 387, p. 831; Acts 1936, Ex. Sess., No. 29, p. 9; Code 1940, T. 26, §279; Acts 1949, No. 36, p. 47; Acts 1951, No. 563, p. 978, §1; Acts 1955, No. 110, p. 355; Acts 1957, No. 337, p. 438; Acts 1963, No. 578, p. 1252, §1; Acts 1967, No. 168, p. 509; Acts 1969, No. 233, p. 557, §1; Acts 1973, No. 1062, p. 1750, §14; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §5; Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §6; Acts 1992, No. 92-537, p. 1082, §17.)
If the degree or duration of disability resulting from an accident is increased or prolonged because of a preexisting injury or infirmity, the employer shall be liable only for the disability that would have resulted from the accident had the earlier injury or infirmity not existed.
(Acts 1919, No. 245, p. 206; Code 1923, §7561; Code 1940, T. 26, §288.)
(a) For purposes of this article, except for scheduled injuries as provided in Section 25-5-57(a)(3), compensation for the first three days of disability shall not be payable, nor shall compensation be paid in any case unless the employer has actual knowledge of the injury or is notified thereof within the period specified in Section 25-5-78.
(b) Compensation shall begin with the fourth day after disability, and if the disability from the injury exists for a period as much as 21 days, compensation for the first three days after the injury shall be added to and payable with the first installment due the employee after the expiration of the 21 days. If any installment of compensation payable is not paid without good cause within 30 days after it becomes due, there shall be added to the unpaid installment an amount equal to 15 percent thereof, which shall be paid at the same time as, but in addition to, the installment.
(Code 1923, §7566; Acts 1939, No. 661, p. 1036, §5; Code 1940, T. 26, §292; Acts 1955, No. 351, p. 850; Acts 1971, No. 667, p. 1376, §7; Acts 1973, No. 1062, p. 1750, §20; Acts 1992, No. 92-537, p. 1082, §18.)
In death cases, where the death results proximately from the accident within three years, compensation payable to dependents shall be computed on the following basis and shall be paid to the persons entitled thereto without administration, or to a guardian or other person as the court may direct, for the use and benefit of the person entitled thereto.
(1) PERSONS ENTITLED TO BENEFITS; AMOUNT OF BENEFITS.
a. If the deceased employee leaves one dependent, there shall be paid to the dependent 50 percent of the average weekly earnings of the deceased.
b. If the deceased employee leaves two or more dependents, there shall be paid to the dependents 66 2/3 percent of the average weekly earnings of the deceased.
c. If one of two or more dependents is a widow or widower, the compensation may be paid to the widow or widower for the benefit of herself or himself and the dependent child or children. In its discretion and when it considers appropriate to do so, the court shall at any time have the power to determine, without the appointment of any guardian or guardians, what portion of the compensation shall be applied for the benefit of any child or children and may order the same paid to a guardian or custodian of the child or children.
d. Partial dependents shall be entitled to receive only that proportion of the benefits provided for total dependents which the average amount of the earnings regularly contributed by the deceased employee to the partial dependent, at and for a reasonable time immediately prior to the injury, bore to the total income of the dependent during the same time. If there is one dependent and one or more partial dependents and the dependent is not entitled to the maximum amount of compensation provided in Section 25-5-68, there shall be paid to the partial dependent or partial dependents that percentage of the benefit paid to a full dependent which the contribution of the decedent to the partial dependent’s support bears to the total income of the partial dependent. Notwithstanding the foregoing, the compensation payable to the partial dependent or dependents shall not exceed the lesser of 16 2/3 percent of the decedent’s average weekly wage or the difference between the compensation payable to the full dependent and the maximum weekly compensation benefit payable as provided in Section 25-5-68.
e. Except as provided in paragraph h., if compensation is being paid under this article to any dependent, the compensation shall cease upon the death or marriage of the dependent, unless otherwise provided in this article.
f. Upon the cessation of compensation to or for any dependent, for any cause, the compensation of the remaining dependents entitled to compensation shall, for the unexpired period during which their compensation is payable, be that which would have been payable to them had they been the only persons entitled to compensation at the time of death of the deceased employee.
g. If, however, the deceased employee at the time of his or her death has no dependents as herein defined, then within 60 days of his or her death, the employer shall pay a one-time lump sum payment of seven thousand five hundred dollars ($7,500) to the deceased worker’s estate.
h. If a dependent is the surviving spouse of a law enforcement officer or firefighter who dies on or after January 1, 2018, as a result of injuries received while engaged in the performance of his or her duties, the compensation does not cease upon remarriage.
(2) MAXIMUM AND MINIMUM COMPENSATION AWARDS. The compensation payable in case of death to persons wholly dependent shall be subject to a maximum and minimum weekly compensation as stated in Section 25-5-68, but if at the time of injury the employee receives earnings of less than the minimum stated in Section 25-5-68, then the compensation shall be the full amount of such earnings per week. The compensation payable to partial dependents shall be subject to a maximum and minimum weekly compensation as stated in Section 25-5-68, but if the income loss of the partial dependents by the death is less than the minimum weekly compensation stated in Section 25-5-68, then the dependents shall receive the full amount of their income loss. This compensation shall be paid during dependency, not exceeding 500 weeks, except as provided in subsection (f) of Section 25-5-68. Payments shall be made at the intervals when the earnings were payable, as nearly as may be, unless the parties otherwise agree.
(Acts 1919, No. 245, p. 206; Code 1923, §§7554, 7556, 7558; Acts 1935, No. 387, p. 831; Acts 1936, Ex. Sess., No. 29, p. 9; Code 1940, T. 26, §283; Acts 1949, No. 36, p. 47, §5; Acts 1949, No. 544, p. 855; Acts 1951, No. 563, p. 978; Acts 1955, No. 356, p. 864; Acts 1957, No. 338, p. 446; Acts 1967, No. 168, p. 509; Acts 1973, No. 1062, p. 1750, §16; Acts 1992, No. 92-537, p. 1082, §19;Act 2018-523, §2; Act 2019-445, §1.)
For the purposes of this article, the following described persons shall be conclusively presumed to be wholly dependent:
(1) The wife, unless it is shown that she was voluntarily living apart from her husband at the time of his injury or death, or unless it is shown that the husband was not in any way contributing to her support and had not in any way contributed to her support for more than 12 months next preceding the occurrence of the injury causing his death;
(2) The husband, unless it is shown that he was voluntarily living apart from his wife at the time of her injury or death, or unless it is shown that the wife was not in any way contributing to his support and had not in any way contributed to his support for more than 12 months next preceding the occurrence of the injury causing her death; and
(3) Minor children under the age of 18 years and those over 18, if physically or mentally incapacitated from earning.
(Acts 1919, No. 245, p. 206; Code 1923, §7552; Acts 1935, No. 387, p. 831; Acts 1936, Ex. Sess., No. 29, p. 9; Code 1940, T. 26, §280; Acts 1973, No. 1062, p. 1750, §15.)
Total dependents shall be entitled to take compensation in the order named in Section 25-5-62 until the percentage of the average weekly earnings of the deceased, during the time and as specified in Section 25-5-60, shall have been exhausted; but the total compensation to be paid to all total dependents of a deceased employee shall not exceed in the aggregate the maximum weekly compensation stated in Section 25-5-68, except as otherwise provided in this article.
(Acts 1919, No. 245, p. 206; Code 1923, §7560; Acts 1935, No. 387, p. 831; Acts 1936, Ex. Sess., No. 29, p. 9; Code 1940, T. 26, §287; Acts 1949, No. 36, p. 47; Acts 1951, No. 563, p. 978; Acts 1955, No. 350, p. 849; Acts 1957, No. 339, p. 449.)
A wife, child, husband, mother, father, grandmother, grandfather, sister, brother, mother-in-law or father-in-law who was wholly supported by the deceased workman at the time of his death and for a reasonable period of time immediately prior thereto shall be considered his total dependents, and payment of compensation shall be made to such total dependents in the order named.
(Acts 1919, No. 245, p. 206; Code 1923, §7553; Code 1940, T. 26, §281.)
Any member of a class named in Section 25-5-62 who regularly derived part of his support from the earnings of the deceased workman at the time of his death and for a reasonable period of time immediately prior thereto shall be considered his partial dependent, and payment of compensation shall be made to such partial dependents in the order named.
(Acts 1919, No. 245, p. 206; Code 1923, §7554; Acts 1935, No. 387, p. 831; Acts 1936, Ex. Sess., No. 29, p. 9; Code 1940, T. 26, §282.)
In computing and paying compensation to orphans or other children, in all cases, only those under 18 years of age or those over 18 years of age who are physically or mentally incapacitated from earning shall be included; the former to receive compensation only during the time they are under 18, the latter for the time they are so incapacitated, within the applicable period for which benefits are payable.
(Acts 1919, No. 245, p. 206; Code 1923, §7559; Code 1940, T. 26, §286; Acts 1973, No. 1062, p. 1750, §18.)
(a) In case of the remarriage of the surviving spouse of an employee who has another dependent, the unpaid balance of compensation, which would otherwise become due, shall be paid to the dependent or may, on approval by the court, be paid to some suitable person designated by the court for the use and benefit of the dependent. Payment to that person shall discharge the employer from any further liability.
(b) Subsection (a) does not apply to the surviving spouse of a law enforcement officer or firefighter who was killed as a result of injuries received while engaged in the performance of his or her duties.
(Code 1923, §7555; Acts 1939, No. 661, p. 1036, §4; Code 1940, T. 26, §284; Acts 1992, No. 92-537, p. 1082, §20; Act 2018-523, §2.)
If death results to an employee as the result of an accident or an occupational disease arising out of and in the course of the employment, the employer shall pay, in addition to the medical and hospital expenses provided for in Section 25-5-77, the expenses of burial, not exceeding in amount six thousand five hundred dollars ($6,500). If a dispute arises as to the reasonable value of the services rendered in connection with the burial, the same shall be approved by the court before payment after reasonable notice to interested parties as the court may require.
(Acts 1919, No. 245, p. 206; Code 1923, §7557; Acts 1935, No. 387, p. 831; Acts 1936, Ex. Sess., No. 29, p. 9; Code 1940, T. 26, §285; Acts 1945, No. 469, p. 704; Acts 1957, No. 336, p. 437; Acts 1961, Ex. Sess., No. 272, p. 2289, §1; Acts 1971, No. 667, p. 1376, §5; Acts 1973, No. 1062, p. 1750, §17; Acts 1992, No. 92-537, p. 1082, §21; Act 2014-240, p. 768, §1.)
(a) The compensation paid under this article shall be not less than, except as otherwise provided in this article, 27 1/2 percent of the average weekly wage of the state as determined by the secretary, rounded to the nearest dollar, pursuant to subsection (b) and, in any event, no more than 100 percent of the average weekly wage. Notwithstanding the foregoing, the maximum compensation payable for permanent partial disability shall be no more than the lesser of two hundred twenty dollars ($220) per week or 100 percent of the average weekly wage.
(b) For the purpose of this section, the average weekly wage of the state shall be determined by the secretary as follows: On or before June 1 of each year, the total wages reported on contribution reports to the unemployment compensation division of the department for the preceding calendar year shall be divided by the average monthly number of insured workers, which shall be determined by dividing the sum of the number of insured workers reported for each month of the preceding year by 12. The average annual wage thus obtained shall be divided by 52, and the average weekly wage thus determined rounded to the nearest cent. The average weekly wage as so determined shall be applicable for the 12-month period beginning July 1 following the June 1 determination. If the determination shall not be made on or before June 1, the effective date of the average weekly wage when determined shall be the first day of the month next following 30 days after the determination is made.
(c) The maximum and minimum weekly benefit shall not be changed on any July 1 or as a result of any annual determination, unless the computation provided for in subsection (b) results in an increase or decrease of two dollars ($2) or more in the amount of either the maximum or minimum benefit.
(d) In no event, except as provided for permanent total disability in subdivision (a)(4) of Section 25-5-57 or except for compensation benefits payable for permanent partial and temporary total disability in connection with a disability scheduled in subdivisions (1) and (3) of subsection (a) of Section 25-5-57 or except as provided in subsection (f), shall the total amount of compensation payable for an accident or an occupational disease exceed the product of 500 times the maximum weekly benefit applicable on the date of the accident.
(e) The minimum and maximum benefits that are in effect on the date of the accident which results in injury or death shall be applicable for the full period during which compensation is payable.
(f) Notwithstanding any other provision of this article, the compensation benefits payable to a surviving dependent child of a law enforcement officer or firefighter who dies on or after January 1, 2018, as a result of injuries received while engaged in the performance of his or her duties shall not discontinue at least until the dependent child reaches the age of 18 years.
(Acts 1919, No. 245, p. 206; Code 1923, §7563; Acts 1935, No. 387, p. 831; Acts 1936, Ex. Sess., No. 29, p. 9; Acts 1939, No. 661, p. 1036; Code 1940, T. 26, §289; Acts 1949, No. 36, p. 47, §6; Acts 1951, No. 563, p. 978, §4; Acts 1955, No. 359, p. 874: Acts 1957, No. 340, p. 449; Acts 1961, Ex. Sess., No. 272, p. 2289, §2; Acts 1963, No. 578, p. 1252; Acts 1967, No. 168, p. 509, §3; Acts 1969, No. 233, p. 557, §2; Acts 1971, No. 667, p. 1376, §6; Acts 1973, No. 1062, p. 1750, §19; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §7; Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §7; Acts 1992, No. 92-537, p. 1082, §22; Act 2018-523, §2; Act 2019-445, §1.)
(a) If compensation is being paid under this article to any dependent, the compensation shall cease upon the death or marriage of the dependent. Where compensation is being paid under this chapter to any dependent, in no event shall such dependent receive more than the proportion which the amount received of the deceased employee’s income during his or her life bears to the compensation provided under this article.
(b) Subsection (a) does not apply if the dependent is the surviving spouse of a law enforcement officer or firefighter who dies on or after January 1, 2018, as a result of injuries received in the performance of his or her duties.
(Acts 1919, No. 245, p. 206; Code 1923, §7564; Code 1940, T. 26, §290; Act 2018-523, §2; Act 2019-445, §1.)
In case any employee for whose injury or death compensation is payable under this article shall, at the time of the injury, be employed and paid jointly by two or more employers subject to this chapter, such employers shall contribute the payment of such compensation in the proportion of their several earnings liability to such employee. If one or more, but not all of such employers, should be subject to this article, and otherwise subject to liability for compensation hereunder, then the liability of such of them as are so subject shall be to pay the proportion of the entire compensation which their proportionate earnings liability bears to the entire earnings of the employee. Nothing in this section shall prevent any arrangement between such employers for a different distribution, as between themselves, of the ultimate burden of such compensation.
(Acts 1919, No. 245, p. 206; Code 1923, §7565; Code 1940, T. 26, §291.)
(a) In addition to the compensation provided in this article and Article 4 of this chapter, the employer, where applicable, shall pay the actual cost of the repair, refitting, or replacement of artificial members damaged as the result of an accident arising out of and in the course of employment, and the employer, except as otherwise provided in this amendatory act, shall pay an amount not to exceed the prevailing rate or maximum schedule of fees as established herein of reasonably necessary medical and surgical treatment and attention, physical rehabilitation, medicine, medical and surgical supplies, crutches, artificial members, and other apparatus as the result of an accident arising out of and in the course of the employment, as may be obtained by the injured employee or, in case of death, obtained during the period occurring between the time of the injury and the employee’s death therefrom. If the employee is dissatisfied with the initial treating physician selected by the employer and if further treatment is required, the employee may so advise the employer, and the employee shall be entitled to select a second physician from a panel or list of four physicians selected by the employer. If surgery is required and if the employee is dissatisfied with the designated surgeon, he or she may so advise the employer, and the employee shall be entitled to select a second surgeon from a panel or list of four surgeons selected by the employer. If four physicians or surgeons are not available to be listed, the employer shall include on the list as many as are available. The four physicians or surgeons selected by the employer hereunder shall not be from or members of the same firm, partnership, or professional corporation. The total liability of the employer shall, unless otherwise provided in this chapter, not exceed the prevailing rate or the maximum schedule of fees as established herein. Notwithstanding the foregoing, in ascertaining the prevailing rate of reimbursement or payment with regard to participating hospitals and ambulatory surgical centers or outpatient rehabilitation centers licensed by the State of Alabama, as well as diagnostic facilities accredited by the Commission on Accreditation of Rehabilitation Facilities, the prevailing rate shall be negotiated with each individual hospital, ambulatory surgical center, licensed outpatient rehabilitation facility, or diagnostic facility based on that institution’s treatment of comparable type cases for the 12-month period immediately preceding August 1, 1992. These rates shall be updated every 12 months thereafter. Initial rates shall be established within six months of August 1, 1992. For those non-participating hospitals the prevailing rate shall be determined by a committee. In the first year following August 1, 1992, the committee shall be composed of five members. The secretary shall appoint one member from the Department of Labor and two members from the community in which the non-participating hospital is located. The non-participating hospital shall appoint two members. This committee shall by a majority vote establish the maximum rates of reimbursement or payment for the non-participating hospital, and the hospital shall be bound for one year by the determined rates of reimbursement or payment for workers’ compensation cases. If, following the first year after the rates were established by this committee, the hospital is again non-participating, then another committee shall be appointed. This second committee shall have three members selected by the non-participating hospital and two members selected by the secretary. The committee composition shall alternate as above described each year the hospital is non-participating. The total liability of the employer shall not exceed the rates established by the committee. This committee, in determining the rates of reimbursement or payments to the hospital, may consider such factors as the size, staffing, and medical equipment of the hospital, and any other factors which the committee may consider relevant. If an insurer of the employee or a benefit association has paid or is liable for the employee’s medical, surgical, and hospital service or for a part thereof, or if the employee is entitled to the same or a part thereof, from any source whatever by virtue of any agreement or understanding or law, state or federal, without any loss of benefit to the employee, the employer shall not be required to pay any part of the expense. If the benefits are insufficient to pay all the employee’s expense, the employer shall be liable for the deficiency only. All cases of dispute as to the necessity and value of the services shall be determined by the tribunal having jurisdiction of the claim of the injured employee for compensation.
(b) If requested to do so by the employer, the injured employee shall submit to examination by the employer’s physician at all reasonable times, but the employee shall have the right to have a physician of his or her own selection present at the examination, in which case the employee shall be liable to the physician of his or her own selection for his or her services. The employer shall pay for the services of the physician making the examination at the instance of the employer. If a dispute arises as to the injury, or as to the extent of the disability therefrom, the court may, at the instance of either party or of its own motion, appoint a neutral physician of good standing and ability to make an examination of the injured employee and to report his or her findings to the court, the expense of which examination shall be borne equally by the parties. If the injured employee refuses to comply with reasonable request for examination, or refuses to accept the medical service or physical rehabilitation, which the employer elects to furnish under this chapter, the employee’s right to compensation shall be suspended and no compensation shall be payable for the period of the refusal. A physician whose services are furnished or paid for by the employer, or a physician of the injured employee who treats or makes or is present at any examination of an injured employee may be required to testify as to any knowledge obtained by him or her in the course of the treatment or examination as the treatment or examination related to the injury or the disability arising therefrom. The physician shall, upon written request of the injured employee or his or her employer and without consent of or notice to the employee or employer not making the request, furnish the injured employee or his or her employer a written statement of his or her professional opinion as to the extent of the injury and disability. In all death claims where the cause of death is obscure or is disputed, any interested party may require an autopsy, the cost of which is to be borne by the party demanding the autopsy. The term “physicians” shall include medical doctor, surgeon, and chiropractor. A hospital, medical clinic, rehabilitation service, or other person or entity providing treatment to an employee or providing facilities at which the employee receives treatment shall, upon the written request of the employee or of the employer, furnish, at a reasonable cost, the employee or the employer a copy of the records, including X-rays and laboratory reports, relating to the treatment of the injured employee. The copy may be furnished without the consent of or notice to the employee or employer not making the request. A physician, hospital, medical clinic, rehabilitation service, or other person or entity providing written statement of professional opinion or copies of records pursuant to this subsection shall not be liable to any person for a claim arising out of the release of medical information concerning the employee.
(c) If the employer so elects, the employee shall submit to and undergo vocational rehabilitation at the employer’s expense through a vocational rehabilitation specialist, who shall be qualified to render competent vocational rehabilitation service. If an employee who is unable in the opinion of the treating physician to return to his or her former employment shall request vocational rehabilitation and if both a vocational rehabilitation specialist and a treating physician, the cost of whose service is the obligation of the employer under this section, shall express their opinions in writing that in the judgment of each of them vocational rehabilitation is reasonably calculated to restore the employee to gainful employment and is in the best interest of the employee, the cost of the rehabilitation shall be borne by the employer. The cost, where rehabilitation requires residence at or near a facility or institution away from the employee’s customary residence, shall include reasonable charges for the employee’s necessary board, lodging, and travel.
(d) If an employee refuses, without the consent of the court, to accept vocational rehabilitation at the employer’s request, the refusal shall result in loss of compensation for the period of refusal.
(e) All disputes with regard to vocational rehabilitation may be submitted to the court for resolution.
(f) The employer shall pay mileage costs to and from medical and rehabilitation providers at the same rate as provided by law for official state travel.
(g) In a compensable workers’ compensation claim, the injured employee shall not be liable for payment of any authorized and compensable medical expenses associated with the workers’ compensation claim.
(h) All undisputed medical reimbursements or payments shall be made within 25 working days of receipt of claims in the form specified in Section 25-5-3. There shall be added to any undisputed medical invoice which is not paid within 25 working days an amount equal to 10 percent of the unpaid balance.
If the employer or insurer responsible for payment of the claim fails to add the additional 10 percent to the claim as required by this section, the person, firm, corporation, or partnership providing the medical service for which payment has been delayed beyond the period specified in this section may file a written complaint stating that fact with the secretary. Upon investigation, if the secretary determines that the facts stated in the complaint are true, then in that event the secretary shall order the employer or insurer to pay to the provider the amount of the claim and any applicable penalty, and in addition may assess a civil monetary penalty in amount not to exceed $500 against the employer or insurer, payment of which shall be made to the secretary within 30 days of the notice of assessment.
(i) Any party, including a health care provider, is entitled to a review by an ombudsman of medical services that are provided or for which authorization of payment is sought if any party or the health care provider has any of the following:
(1) Been denied payment or had the charge reduced for medical services rendered.
(2) Been denied authorization for the payment of services requested or performed when authorization is required.
(3) Been ordered by the secretary to refund payments received for the provision of medical services.
(4) A party to a medical dispute that remains unresolved after a review of medical services as provided by this section may petition the court for relief.
(5) In any review under this subsection of medical services provided by a physician, any party to a dispute may request that the ombudsman consult with an independent medical expert for the purpose of obtaining advice and consultation on the resolution of any issue involving medical practice. If such a request is made, the ombudsman shall select an independent medical expert from among a list of at least three names provided by the Workers’ Compensation Medical Services Board in a medical specialty appropriate to the issues raised in the dispute and shall secure a written opinion from the independent medical expert. In rendering a decision or recommendation, the ombudsman shall give full consideration to the opinion of the independent medical expert but shall not be bound by that opinion. The independent medical expert shall be compensated at a rate set by the Workers’ Compensation Medical Services Board and approved by the secretary.
(Acts 1919, No. 245, p. 206; Code 1923, §7567; Acts 1935, No. 387, p. 831; Acts 1936, Ex. Sess., No. 29, p. 9; Acts 1939, No. 661, p. 1036, §17; Code 1940, T. 26, §293; Acts 1949, No. 36, p. 47, §8; Acts 1955, No. 354, p. 853; Acts 1957, No. 341, p. 450; Acts 1961, Ex. Sess., No. 272, p. 2289, §3; Acts 1963, No. 578, p. 1252, §3; Acts 1967, No. 168, p. 509, §4; Acts 1969, No. 233, p. 557, §3; Acts 1971, No. 667, p. 1376, §8; Acts 1973, No. 1062, p. 1750, §21; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §8; Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §8; Acts 1992, No. 92-537, p. 1082, §23; Acts 1993, No. 93-614, p. 1006, §2(2).)
For purposes of this article only, an injured employee or the employee’s representative, within five days after the occurrence of an accident, shall give or cause to be given to the employer written notice of the accident. If the notice is not given, the employee or the employee’s dependent shall not be entitled to physician’s or medical fees nor any compensation which may have accrued under the terms of this article, unless it can be shown that the party required to give the notice had been prevented from doing so by reason of physical or mental incapacity, other than minority, fraud or deceit, or equal good reason. Notwithstanding any other provision of this section, no compensation shall be payable unless written notice is given within 90 days after the occurrence of the accident or, if death results, within 90 days after the death.
(Acts 1919, No. 245, p. 206; Code 1923, §7568; Code 1940, T. 26, §294; Acts 1992, No. 92-537, p. 1082, §24.)
The notice referred to in Section 25-5-78 may be served personally upon the employer or upon any agent of the employer upon whom a summons may be served in civil actions or by sending it by registered or certified mail to the employer at his last known residence or business place within the state and shall be substantially in the following form:
“Notice - You are hereby notified that an injury was received by _____ who was in your employ at _____ while engaged as _____, under the superintendency of _____, on or about the _____ day of _____, 2 __, at about __ o’clock, __ m., and who is now located at _____ (give town, street and number), that so far as now known, the nature of the injury was _____ and that compensation may be claimed therefor. Signed _____ (giving address) _____ dated ___, 2”
No variation from this form shall be material if the notice is sufficient to advise the employer that a certain employee, by name, received a specified injury in the course of his employment on or about a specified time, at or near a certain place specified.
(Acts 1919, No. 245, p. 206; Code 1923, §7569; Code 1940, T. 26, §295.)
In case of a personal injury not involving cumulative physical stress, all claims for compensation under this article shall be forever barred unless within two years after the accident the parties shall have agreed upon the compensation payable under this article or unless within two years after the accident one of the parties shall have filed a verified complaint as provided in Section 25-5-88. In cases involving personal injury due to cumulative physical stress, compensation under this article shall be forever barred unless within two years after the date of the injury one of the parties shall have filed a verified complaint as provided in Section 25-5-88. In cases involving claims for lost earning capacity under Section 25-5-57(a)(3)i., other than those involving cumulative physical stress, following termination of employment as outlined therein, compensation under this article and Article 4 shall be forever barred unless brought within two years of the termination. In case of death, all claims for compensation shall be forever barred unless within two years after death, when the death results proximately from the accident within three years, the parties shall have agreed upon the compensation under this article or unless within two years after the death one of the parties shall have filed a verified complaint as provided in Section 25-5-88. Where, however, payments of compensation, as distinguished from medical or vocational payments, have been made in any case, the period of limitation shall not begin to run until the time of making the last payment. In case of physical or mental incapacity, other than the minority of the injured person or his or her dependents, to perform or cause to be performed any act required within the time in this section specified, the period of limitation in any case shall be extended to become effective two years from the date when the incapacity ceases.
(Acts 1919, No. 245, p. 206; Code 1923, §7570; Code 1940, T. 26, §296; Acts 1984, 2nd Ex. Sess., No. 85-41, p. 44, §9; Acts 1992, No. 92-537, p. 1082, §25.)
(a) Commencement of action in circuit court.
(1) PROCEDURE. In case of a dispute between employer and employee or between the dependents of a deceased employee and the employer with respect to the right to compensation under this article and Article 2 of this chapter, or the amount thereof, either party may submit the controversy to the circuit court of the county which would have jurisdiction of a civil action in tort between the parties. The controversy shall be heard and determined by the judge who would hear and determine a civil action between the same parties arising out of tort, and, in case there is more than one judge of the court, the controversies shall be set and assigned for hearing under the same rules and statutes that civil actions in tort are set and assigned. The court may hear and determine the controversies in a summary manner. The decision of the judge hearing the same shall be conclusive and binding between the parties, subject to the right of appeal provided for in this article.
(2) RIGHT TO JURY TRIAL. When willful misconduct on the part of the employee is set up by the employer, as it is provided for in this article, the employer may, upon appearing, demand a jury to hear and determine, under the direction of the court, the issues involved in this defense. If the employer fails to demand a jury upon appearing, the employee may demand a jury to try the issues by filing a demand within five days after the appearance of the employer. When a jury is demanded by either party, the court shall submit the issues of fact as to willful misconduct set up by the employer to the jury, for a special finding of the facts subject to the usual powers of the court over verdicts rendered contrary to the evidence or the law, but the judge shall determine all other questions involved in the controversy without a jury. Upon setting up the defense, the employer shall serve a copy of the answer, setting up the defense, upon the employee or the attorney of record.
(b) Court deemed open at all times. For the purpose of hearing and determining controversies between an employer and employee or the dependents of a deceased employee and the employer arising under this article and Article 2 of this chapter, the circuit court shall be deemed always in session.
(c) Evidence. The decision of the court shall be based on a preponderance of the evidence as contained in the record of the hearing, except in cases involving injuries which have resulted from gradual deterioration or cumulative physical stress disorders, which shall be deemed compensable only upon a finding of clear and convincing proof that those injuries arose out of and in the course of the employee’s employment.
For the purposes of this amendatory act, “clear and convincing” shall mean evidence that, when weighted against evidence in opposition, will produce in the mind of the trier of fact a firm conviction as to each essential element of the claim and a high probability as to the correctness of the conclusion. Proof by clear and convincing evidence requires a level of proof greater than a preponderance of the evidence or the substantial weight of the evidence, but less than beyond a reasonable doubt.
(d) Interpleader of adverse claimants to compensation. If at any time there are adverse claimants to compensation under this article, the employer, in submitting the claim to the circuit court, may suggest in writing the claimants, and they shall be required to interplead. The court shall determine and order to which claimant or claimants compensation is justly due, and the employer, upon complying with the order of the judge, shall be released from the claims of any other claimants thereto.
(e) Review. From an order or judgment, any aggrieved party may, within 42 days thereafter, appeal to the Court of Civil Appeals and review shall be as in cases reviewed as follows:
(1) In reviewing the standard of proof set forth herein and other legal issues, review by the Court of Civil Appeals shall be without a presumption of correctness.
(2) In reviewing pure findings of fact, the finding of the circuit court shall not be reversed if that finding is supported by substantial evidence.
(f) Discovery. Methods of discovery shall be determined and established in rules promulgated by this amendatory act and the rules established by the Alabama Rules of Civil Procedure with the limitations of pre-trial discovery as set forth below. Additionally, the following rules of discovery shall apply to workers’ compensation cases:
(1) Two depositions for each side shall be permitted without leave of court, however, any additional depositions shall not be permitted except with leave of court for good cause shown including, but not limited to, a claim by the employee for permanent total disability.
(2) Notwithstanding the limitations in (1) above, each party may take the deposition of every other party.
(3) No more than 25 interrogatory questions with each sub-part to be considered a question shall be permitted without leave of court for good cause shown.
(4) Certified sealed copies of records of medical treatment and charges therefor, whether from a physician, hospital, clinic, or other provider, shall be authenticated in accordance with Alabama Rules of Civil Procedure, Rule 44(h), without further need for authenticating testimony. Copies of records obtained by one party shall be furnished by certified mail to the other party not less than 21 days prior to trial, unless the party offering the records can establish unusual circumstances justifying their admission despite the failure to make the exchange after receiving the records of a physician’s treatment prior to trial, the party not offering the records of a physician’s treatment shall, without regard to the limitation set forth herein, have the right to depose prior to trial the physician whose records of treatment are to be offered by any other party.
It is the intent of this section that limited discovery shall be available.
(Acts 1919, No. 245, p. 206; Code 1923, §7571; Code 1940, T. 26, §297; Acts 1992, No. 92-537, p. 1082, §26.)
Compensation for the death of an employee shall be paid only to dependents who, at the time of the death of the injured employee, were actually residents of the United States. No right of action to recover damages for the death of an employee shall exist in favor or for the benefit of any person who was not a resident of the United States at the time of the death of such employee.
(Acts 1919, No. 245, p. 206; Code 1923, §7572; Code 1940, T. 26, §298.)
By agreement of the parties and with approval of the court, the amounts of compensation payable periodically, under this article and Article 4 of this chapter, may be commuted to one or more lump sum payments. No commutation shall be approved by the court unless the court is satisfied that it is in the best interest of the employee or the employee’s dependent, in case of death, to receive the compensation in a lump sum rather than in periodic payments. In making the commutations, the lump sum payment shall, in the aggregate, amount to a sum equal to the present value of all future installments of compensation calculated on a six percent basis.
(Acts 1919, No. 245, p. 206; Code 1923, §7573; Acts 1939, No. 661, p. 1036, §6; Code 1940, T. 26, §299; Acts 1949, No. 36, p. 47; Acts 1957, No. 336, p. 437; Acts 1969, No. 233, p. 557, §4; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §9; Acts 1992, No. 92-537, p. 1082, §27.)
All amounts paid by the employer and received by the employee or his dependents under settlements made under Section 25-5-56 shall be final, but the amount of any award payable periodically for more than six months may be modified at any time by agreement of the parties and approved by the court.
(Acts 1919, No. 245, p. 206; Code 1923, §7574; Code 1940, T. 26, §300; Acts 1967, No. 168, p. 509, §5.)
At any time after the amount of an award has been agreed upon by the parties or found and ordered by the court, a sum equal to the present value of all future installments of compensation calculated on a six percent basis may, where death or the nature of the injury renders the amount of future payments certain, by leave of court, be paid by the employer to a bank or trust company of this state or a national bank doing business in this state to be approved and designated by the court, and the sum, together with all interest thereon, shall thereafter be held in trust for the employee or dependent of the employee, who shall have no further recourse against the employer. The payment of the sum by the employer, evidenced by the receipts in duplicate of the trustees, one of which shall be filed with the probate judge of the county in which the injury or death occurred and the other filed with the court, shall operate as a satisfaction of the award as to the employer, and the trustee designated by the court shall be allowed to pay itself from the fund a reasonable compensation for acting as the trustee, which compensation shall be fixed by the court in the order making the designation. Payments from the fund shall be made by the trustee in the same amounts and at the same time as are required in this article of the employer until the fund, after deducting the trustee’s compensation as above provided, and interest shall be exhausted. In the appointment of the trustee, preference shall be given, in the discretion of the court, to the choice of the injured employee or the dependent of the deceased employee. If the right to receive compensation should terminate on account of death, becoming of age, or marriage, or for any other cause as provided in this article, the balance remaining in the bank or trust company after the termination should be returned by them to the employer, his or her successor, or assigns.
(Acts 1919, No. 245, p. 206; Code 1923, §7575; Acts 1939, No. 149, p. 225; Code 1940, T. 26, §301; Acts 1949, No. 36, p. 47; Acts 1973, No. 1062, p. 1750, §22; Acts 1992, No. 92-537, p. 1082, §28.)
For purposes of this article and Article 4 of this chapter:
(1) If the award, order, or settlement agreement is payable in installments and default has been made in the payment of an installment, the owner or interested party may, upon the expiration of 30 days from the default and upon five days’ notice to the defaulting employer or defendant, move for a modification of the award or settlement agreement by ascertaining the present value of the case, including the 15 percent penalty provision of Section 25-5-59, under the rule of computation contained in Section 25-5-85, and upon which execution may issue. The defaulting employer may relieve itself of the execution by entering into a good and sufficient bond, to be approved by the judge, securing the payment of all future installments, and forthwith paying all past due installments with interest and penalty thereon since due. The bond shall be recorded upon the minutes of the court.
(2) Claims for compensation, awards, judgments, or agreements to pay compensation owned by an injured employee or his or her dependent shall not be assignable and shall be exempt from seizure or sale or garnishment for the payment of any debt or liability.
(Acts 1919, No. 245, p. 206; Code 1923, §7576; Code 1940, T. 26, §302; Acts 1992, No. 92-537, p. 1082, §29.)
The right to compensation and of compensation awarded any injured employee or for death claims to his dependents shall have the same preference against the assets of the employer as other unpaid wages for labor; but such compensation shall not become a lien upon the property of third persons by reason of such preference.
(Acts 1919, No. 245, p. 206; Code 1923, §7577; Code 1940, T. 26, §303.)
Either party to a controversy arising under this article and Article 2 of this chapter may file a verified complaint in the circuit court of the county which would have jurisdiction of an action between the same parties arising out of tort, which shall set forth the names and residences of the parties and the circumstances relating to the employment at the time of the injury, with a full description of the injury, its nature and extent, the amount of the average earnings received by the employee which would affect his compensation under this article and Article 2 of this chapter, the knowledge of the employer of the injury or the notice to him thereof, which must be of the kind provided for in this article and Article 2 of this chapter and such other facts as may be necessary to enable the court to determine what, if any, compensation the employee or, in case of a deceased employee, his dependents, are entitled to under this article and Article 2 of this chapter. The complaint shall be filed with the clerk of the circuit court, who shall cause summons to be issued thereon requiring the defendant to come in and answer said complaint within 30 days of the service thereof. Thereafter, said action shall proceed in accordance with and shall be governed by the same rules and statutes as govern civil actions, except as otherwise provided in this article and Article 2 of this chapter, and except that all civil actions filed hereunder shall be preferred actions and shall be set down and tried as expeditiously as possible. At the hearing or any adjournment thereof the court shall hear such witnesses as may be presented by each party, and in a summary manner without a jury, unless one is demanded to try the issue of willful misconduct on the part of the employee, shall decide the controversy. This determination shall be filed in writing with the clerk of said court, and judgment shall be entered thereon in the same manner as in civil actions tried in the said circuit court and shall contain a statement of the law and facts and conclusions as determined by said judge. Subsequent proceedings thereon shall only be for the recovery of moneys thereby determined to be due, but nothing in this section contained shall be construed as limiting the jurisdiction of the Court of Civil Appeals to review questions of law by certiorari.
(Acts 1919, No. 245, p. 206; Code 1923, §7578; Code 1940, T. 26, §304; Acts 1957, No. 350, p. 460.)
Costs may be awarded by said court in its discretion, and, when so awarded, the same costs shall be allowed, taxed and collected as for like services and proceedings in civil cases, but if it shall appear that the employer, prior to the commencement of the action, made to the person or persons entitled thereto a written offer of compensation in specific terms, which terms were in accordance with the provisions of this article and Article 2 of this chapter, then no costs shall be awarded or taxed against such employer.
(Acts 1919, No. 245, p. 206; Code 1923, §7579; Code 1940, T. 26, §305.)
(a) Unless otherwise provided in this chapter, no part of the compensation payable under this article and Article 4 of this chapter shall be paid to an attorney for the plaintiff for legal services, unless upon the application of the plaintiff, the judge shall order or approve of the employment of an attorney by the plaintiff; and in such event, the judge, upon the hearing of the complaint for compensation, either by law or by settlement, shall fix the fee of the attorney for the plaintiff for his or her legal services and the manner of its payment, but the fee shall not exceed 15 percent of the compensation awarded or paid.
(b) All expenses of litigation and attorney’s fees charged by any attorney in any representation under this chapter while representing any employer, insurance company, or self-insurer shall be reported to the Department of Labor.
(Acts 1919, No. 245, p. 206; Code 1923, §7542; Acts 1939, No. 661, p. 1036, §1; Code 1940, T. 26, §261; Acts 1949, No. 36, p. 47, §1; Acts 1992, No. 92-537, p. 1082, §30.)
Whenever any decision or order is made and filed by the court upon any matter arising under this article, the clerk of the court shall forthwith make and forward to the judge of probate of the county in which the complaint was filed a certified copy of such decision or order with any memorandum of the judge and of any judgment entered. No fee or other charge shall be collected therefor. The plaintiff or owner of any judgment so certified may have the same registered by the probate judge upon the payment of the fee fixed by law for registering judgments, and the same shall become a lien in like manner as other registered judgments, unless the same is made a preferred lien by other provisions of some law.
(Acts 1919, No. 245, p. 206; Code 1923, §7580; Code 1940, T. 26, §306.)
When the judgment, however, is for a sum not due, that is, payable periodically, the defendant may discharge the registered lien by giving a bond for the payment of same to be approved by the probate judge and recorded, and he shall receive the same for registration. No execution shall issue where such judgment is payable periodically unless default is made in the payment of one or more of such periodical payments.
(Acts 1919, No. 245, p. 206; Code 1923, §7581; Code 1940, T. 26, §307.)
Any judgment entered under the provisions of this article and Article 2 of this chapter, either by award or by settlement, and entered on the minutes of any court, shall be discharged by said court and marked satisfied upon presentment to said court or the clerk thereof of a release or discharge of said judgment, executed by the party in whose favor the same runs and acknowledged in the same manner as conveyances are acknowledged or upon presentment by the employer or his representative of an affidavit that said judgment has been, in accordance with its terms, fully satisfied and discharged, together with satisfactory proof in the way of vouchers or checks duly endorsed by the party in whose favor such judgment ran.
(Acts 1919, No. 245, p. 206; Code 1923, §7582; Code 1940, T. 26, §308.)
For the purposes of this article, the following terms shall have the meanings respectively ascribed to them by this section:
(1) OCCUPATIONAL DISEASE. A disease arising out of and in the course of employment, including occupational pneumoconiosis and occupational exposure to radiation as defined in subdivisions (2) and (3), respectively, of this section, which is due to hazards in excess of those ordinarily incident to employment in general and is peculiar to the occupation in which the employee is engaged but without regard to negligence or fault, if any, of the employer. A disease, including, but not limited to, loss of hearing due to noise, shall be deemed an occupational disease only if caused by a hazard recognized as peculiar to a particular trade, process, occupation, or employment as a direct result of exposure, over a period of time, to the normal working conditions of the trade, process, occupation, or employment.
(2) OCCUPATIONAL PNEUMOCONIOSIS. A disease of the lungs caused by inhalation of minute particles of dust over a period of time, which dust is due to causes and conditions arising out of and in the course of the employment, without regard to whether the causes or conditions are inherent in the employment or can be eliminated or reduced by due care on the part of the employer. The term “occupational pneumoconiosis” shall include, but without limitation, such diseases as silicosis, siderosis, anthracosis, anthrasilicosis, anthracosilicosis, anthraco-tuberculosis, tuberculosilicosis, silico-tuberculosis, aluminosis, and other diseases of the lungs resulting from causes enumerated in this section.
(3) OCCUPATIONAL EXPOSURE TO RADIATION. Gradual exposure to radiation over a period of time from the use of or direct contact with radium, radioactive substances, roentgen rays (X rays), or ionizing radiation, arising out of and in the course of the employment and resulting from the nature of the employment in which the employee is engaged, without regard to whether the exposure is inherent in the employment or can be eliminated or reduced by due care on the part of the employer.
(4) NATURE OF EMPLOYMENT. With respect to subdivisions (2) and (3) above, this term shall mean that, as to the industry in which the employee is engaged, there is attached a particular hazard of the exposure that distinguishes it from the usual run of occupations and is in excess of the hazards of the exposure attending employment in general.
(5) CONTRACTION OF AN OCCUPATIONAL DISEASE. This term shall include any aggravation of the disease without regard to the employment in which the disease was contracted.
(Acts 1971, No. 668, p. 1379; Acts 1992, No. 92-537, p. 1082, §32.)
Where the employer and employee are subject to this chapter, the disablement or death of an employee caused by the contraction of an occupational disease, as defined in Section 25-5-110, shall be treated as an injury by accident, and the employee or, in case of his death, his dependents shall be entitled to compensation as provided in this article. In no case, however, shall an employer be liable for compensation by reason of the contraction of an occupational disease, as defined in Section 25-5-110, or for disability or death resulting therefrom unless such disease arose out of and in the course of the employment and resulted from the nature of the employment in which the employee was engaged.
(Acts 1971, No. 668, p. 1379.)
All contracts of employment made on or after September 1, 1971, shall be presumed to have been made with reference to and subject to the provisions of this article. All contracts of employment made prior to and existing on September 1, 1971, shall be presumed to continue from and after said date, subject to and under the provisions of this article. Every employer and every employee shall be presumed to have accepted and come under this article and the provisions thereof relating to the payment and acceptance of compensation.
(Acts 1971, No. 668, p. 1379; Acts 1973, No. 1062, p. 1750, §37.)
No employee of any employer subject to this article, nor the personal representative, surviving spouse, or next of kin of any such employee shall have any right to any other method, form, or amount of compensation or damages for the contraction of an occupational disease, as defined in this article, or for injury, disability, loss of service, or death resulting from such disease, arising out of and in the course of employment, or determination thereof, in any manner other than as provided in this article.
(Acts 1971, No. 668, p. 1379; Acts 1973, No. 1062, p. 1750, §39.)
The rights and remedies granted in this article shall exclude all other rights and remedies of an employee, his personal representative, parent, surviving spouse, dependents, or next of kin, at common law, by statute, contract, or otherwise on account of the contraction of an occupational disease, as defined in this article, and on account of any injury, disability, loss of service, or death resulting from an occupational disease, as defined in this article. Except as provided in this article, no employer included within the terms of this chapter and no officer, director, agent, servant, or employee of such employer shall be held civilly liable for the contraction of an occupational disease, as defined in this article, or for injury, disability, loss of service, or death of any employee due to an occupational disease while engaged in the service or business of the employer, the cause of which occupational disease originates in the employment; but nothing in this section shall be construed to relieve any person from criminal prosecution for failure or neglect to perform any duty imposed by law. The immunity from civil liability shall extend to any workers’ compensation insurance carrier of such employer and to any officer, director, agent, servant, or employee of such carrier, and such immunity shall further extend to any labor union, or any official or representative thereof, making a safety inspection for the benefit of the employer or the employees.
(Acts 1971, No. 668, p. 1379; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §17.)
If an employee, at the time of or in the course of entering into the employment of the employer by whom the compensation would otherwise be paid, wilfully and falsely represented himself in writing to such employer as not having previously been compensated in damages, or under this article, because of occupational disease, as defined in this article, such employee, his personal representative, parents, surviving spouse, dependents, and next of kin shall be barred from compensation or other benefits provided by this article or from recovery at common law by statute, contract, or otherwise on account of occupational disease as defined in this article, resulting from exposure to the hazards of such disease subsequent to such representation and while in the employ of such employer.
(Acts 1971, No. 668, p. 1379.)
(a) If compensation is payable for an occupational disease other than pneumoconiosis or radiation, the only employer liable, if any, shall be the employer in whose employment the employee was last exposed to the hazards of the disease. The employer who is liable shall not be entitled to contribution from any other employer of the employee except one who furnished workers’ compensation for the employee during the employment of last exposure.
(b) If compensation is payable for pneumoconiosis or radiation, the only employer liable, if any, shall be the employer in whose employment the employee was last exposed in each of at least 12 months, within a period of five years prior to the date of the injury, to the hazards of the disease and, in addition, any employer who furnished workers’ compensation coverage during this period.
(Acts 1971, No. 668, p. 1379; Acts 1992, No. 92-537, p. 1082, §33.)
(a) In case of the contraction of an occupational disease, as defined in this article, or of injury or disability resulting therefrom, a claim for compensation, as defined in Section 25-5-1, shall be forever barred, unless within two years after the date of the injury, as hereinafter defined, the parties shall have agreed upon the compensation payable under this article, or unless within two years after the date of the injury, one of the parties shall have filed a verified complaint as provided in Section 25-5-88. In case of death, the claim shall be forever barred, unless within two years after death, if death results proximately from the occupational disease, as defined in this article, and death occurs within three years of the date of the injury, as hereinafter defined, the parties have agreed upon the compensation under this article, or unless within two years after death, one of the parties shall have filed a verified complaint as provided in Section 25-5-88. Notwithstanding the foregoing, if upon the date of death the employee’s claim is barred, any claim by his or her dependents likewise shall be barred. If, however, payments of compensation have been made, the limitations as to compensation shall not take effect until the expiration of two years from the time of making the last payment. In case of physical or mental incapacity, other than the minority of the injured employee or his or her dependent, to perform or cause to be performed any act required within the time specified in this section, the period of limitation in any case shall be extended to become effective two years from the date when the incapacity ceases. No agreement, express or implied, to shorten or to extend the limitations shall be valid or binding on either of the parties if the employment, at the time of the exposure, is or was subject to this article.
(b) For the purposes of occupational diseases other than pneumoconiosis or radiation, “the date of the injury” shall mean the date of the last exposure to the hazards of the disease in the employment of the employer in whose employment the employee was last exposed to the hazards of the disease.
(c) For purposes of pneumoconiosis and radiation, “the date of the injury” shall mean the date of the last exposure to the hazards of the disease in the employment of the employer in whose employment the employee was last exposed to the hazards of the disease in each of at least 12 months, within a period of five years prior to the date of the injury.
(Acts 1971, No. 668, p. 1379; Acts 1992, No. 92-537, p. 1082, §34.)
All exposures of the employee occurring prior to September 1, 1971, to the hazards of an occupational disease, as defined in this article, while in the employ of the employer, shall be deemed for all purposes to be subject to the provisions of this article, and the employee, his personal representative, parents, surviving spouse, dependents, and next of kin shall be entitled to compensation or other benefits and barred from other rights and remedies as provided in this article for exposures occurring after September 1, 1971.
(Acts 1971, No. 668, p. 1379; Acts 1973, No. 1062, p. 1750, §41.)
The compensation payable for death or disability caused by an occupational disease, as defined in this article, shall be computed in the same manner and in the same amounts as provided in Article 3 of this chapter for computing compensation for disability or death resulting from an accident arising out of and in the course of the employment and the medical, surgical, hospital, and burial benefits payable under this article caused by said disease shall be computed in the same manner and in the same amounts as provided in Article 3 of this chapter for computing like benefits. The date of injury, as defined in Section 25-5-117, shall be considered the date of the accident for determining the applicable medical, surgical, and hospital benefits, the minimum and maximum weekly benefits and the limitation on the total amount of compensation payable for such occupational disease.
(Acts 1971, No. 668, p. 1379; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §18.)
There shall not be a presumption that disablement or death from any cause or infirmity is the result of an occupational disease, nor that an occupational disease will result in disablement or death, and any person claiming compensation or other benefits under this article shall have the burden of establishing that he or she is entitled to the benefits.
(Acts 1971, No. 668, p. 1379; Acts 1992, No. 92-537, p. 1082, §35.)
The interested parties shall have the right to settle all matters of compensation and all questions arising hereunder between themselves in accordance with and subject to the provisions of Article 3 of this chapter, and, in case of a dispute, either party may submit the controversy to the circuit court in accordance with and subject to the provisions of Article 3 of this chapter.
(Acts 1971, No. 668, p. 1379.)
The provisions of this article shall apply to all cases of occupational disease, as defined in this article, or injury, disability, or death therefrom, in which the last exposure to hazards of such disease occurred after September 1, 1971, except as otherwise provided in this article.
(Acts 1971, No. 668, p. 1379.)
All of the provisions of Articles 1, 2, 3, and 8 of this chapter, except Section 25-5-78, shall be applicable to this article, unless otherwise provided or inconsistent herewith.
(Acts 1971, No. 668, p. 1379; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §19.)
For the purposes of this article, the following terms shall have the meanings respectively ascribed to them by this section:
(1) OCCUPATIONAL EXPOSURE TO RADIATION. Gradual exposure to radiation over a period of time from the use of or direct contact with radium, radioactive substances, roentgen rays (X rays), or ionizing radiation, arising out of and in the course of the employment and resulting from the nature of the employment in which the employee is engaged, without regard to whether or not said exposure is inherent in the employment or can be eliminated or reduced by due care on the part of the employer. The term “occupational exposure to radiation” shall not include accidents involving sudden and violent injuries within the meaning of subdivision (9) of Section 25-5-1, such accidents being covered by such section.
(2) NATURE OF EMPLOYMENT. Such term shall mean that, as to the industry in which the employee is engaged, there is attached a particular hazard of such exposure that distinguishes it from the usual run of occupations and is in excess of the hazards of such exposure attending employment in general.
(Acts 1967, No. 521, p. 1245.)
Where the employer and employee are subject to the provisions of this chapter, the disablement or death of an employee caused by occupational exposure to radiation, as defined in this article, shall be treated as an injury by accident, and the employee or, in case of his death, his dependents shall be entitled to compensation as provided in this article. In no case, however, shall an employer be liable under this article for compensation by reason of exposure to radiation or for disability or death resulting therefrom unless such exposure arose out of and in the course of the employment and resulted from the nature of the employment in which the employee was engaged.
(Acts 1967, No. 521, p. 1245.)
All contracts of employment made on or after September 7, 1967, shall be presumed to have been made with reference to and subject to the provisions of this article. All contracts of employment made prior to and existing on September 7, 1967, shall be presumed to continue from and after said date, subject to and under the provisions of this article. Every employer and every employee shall be presumed to have accepted and come under this article and the provisions thereof relating to the payment and acceptance of compensation.
(Acts 1967, No. 521, p. 1245; Acts 1973, No. 1062, p. 1750, §32.)
No employee of any employer subject to this article, nor the personal representative, surviving spouse, or next of kin of any such employee shall have any right to any other method, form, or amount of compensation or damages for occupational exposure to radiation, or for injury, disability, loss of service, or death resulting from such exposure, arising out of and in the course of employment, or determination thereof, in any manner other than as provided in this article.
(Acts 1967, No. 521, p. 1245; Acts 1973, No. 1062, p. 1750, §34.)
The rights and remedies granted in this article shall exclude all other rights and remedies of an employee, his personal representative, parent, surviving spouse, dependents, or next of kin, at common law, by statute, contract, or otherwise on account of occupational exposure to radiation and on account of any injury, disability, loss of service, or death resulting from occupational exposure to radiation. Except as provided in this article, no employer included within the terms of this chapter and no officer, director, agent, servant, or employee of such employer shall be held civilly liable for the occupational exposure to radiation or for injury, disability, loss of service, or death of any employee due to occupational exposure to radiation while engaged in the service or business of the employer, the cause of which occupational exposure to radiation originates in the employment, but nothing in this section shall be construed to relieve any person from criminal prosecution for failure or neglect to perform any duty imposed by law; provided, however, that nothing in this article shall be interpreted so as to deprive an employee or, in case of death, his dependents of any rights or remedies he may have under Articles 2 and 3 of this chapter. The immunity from civil liability shall extend to any workmen’s compensation insurance carrier of such employer and to any officer, director, agent, servant, or employee of such carrier, and such immunity shall further extend to any labor union, or any official or representative thereof, making a safety inspection for the benefit of the employer or its employees.
(Acts 1967, No. 521, p. 1245; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §14.)
If any employee, at the time of or in the course of entering into the employment of the employer by whom the compensation would otherwise be paid, wilfully and falsely represented himself in writing to such employer as not having previously been disabled, laid off or compensated in damages, workers’ compensation, or otherwise, because of occupational exposure to radiation, or as not having previously been subjected to occupational exposure to radiation, such employee, his personal representative, parents, surviving spouse, dependents, and next of kin shall be barred from compensation or other benefits provided by this article or from recovery at common law, by statute, contract, or otherwise on account of occupational exposure to radiation subsequent to such representation and while in the employ of such employer.
(Acts 1967, No. 521, p. 1245.)
Where compensation is payable under this article, the only employer liable, if any, shall be the employer in whose employment the employee was last exposed within a period of five years prior to the date of the injury, to the hazards of said radiation, in each of at least 12 months. The employer who is liable shall not be entitled to contribution from any other employer of such employee.
(Acts 1967, No. 521, p. 1245.)
In case of occupational exposure to radiation, as defined in this article, or of injury or disability resulting therefrom, all claims for compensation shall be forever barred, unless within one year after the employee first suffered disability therefrom and either knew or in the exercise of reasonable diligence should have known that the disability was caused therefrom, but in no event more than three years after date of the injury as hereinafter defined, the parties shall have agreed upon the compensation payable under this article, or unless within such period of time one of the parties shall have filed a verified complaint as provided in Section 25-5-88. In case of death, all claims for compensation shall be forever barred, unless the death results proximately from occupational exposure to radiation, as defined in this article, and occurs within three years of the date of the injury, as hereinafter defined, and unless within one year after such death the parties shall have agreed upon the compensation under this article, or unless within one year after such death one of the parties shall have filed a verified complaint as provided in Section 25-5-88; provided, however, that if upon the date of the death of the employee the employee’s claim is barred, any claim by or for his dependents shall likewise be barred. Where, however, payments of compensation have been made in any case, said limitations shall not take effect until the expiration of one year from the time of making the last payment. In case of the mental incapacity of the injured employee or his dependents to perform or cause to be performed any act required within the time in this section specified, the period of limitation in any such case shall be extended to become effective one year from the date when such incapacity ceases. No agreement, express or implied, to shorten or to extend said limitations shall be valid or binding on either of the parties when said employment, at the time of said exposure, is or was subject to the provisions of this article. The “date of the injury” shall mean, for all purposes of this article, the date of the last exposure to the hazards of radiation in the employment of the employer in whose employment the employee was last exposed, within a period of five years prior to the date of the injury, to the hazards of radiation in each of at least 12 months.
(Acts 1967, No. 521, p. 1245.)
All exposures of the employee occurring prior to September 7, 1967, to the hazards of radiation while in the employ of the employer shall be deemed for all purposes to be subject to the provisions of this article, and the employee, his personal representative, parents, surviving spouse, dependents, and next of kin shall be entitled to compensation, or other benefits and barred from other rights and remedies as provided in this article for exposures occurring after September 7, 1967.
(Acts 1967, No. 521, p. 1245; Acts 1973, No. 1062, p. 1750, §36.)
The compensation payable for death or disability caused by occupational exposure to radiation shall be computed in the same manner and in the same amounts as provided in Article 3 of this chapter for computing compensation for disability or death resulting from an accident arising out of and in the course of the employment, and the medical, surgical, hospital, and burial benefits payable under this article caused by said exposure shall be computed in the same manner and in the same amounts as provided in Article 3 of this chapter for computing like benefits. The date of injury, as defined in Section 25-5-197, shall be considered the date of the accident for determining the applicable medical, surgical, and hospital benefits, the minimum and maximum weekly benefits and the limitation on the total amount of compensation payable for occupational exposure to radiation.
(Acts 1967, No. 521, p. 1245; Acts 1975, 4th Ex. Sess., No. 86, p. 2729, §15.)
There shall be no presumption that disablement or death from any cause or infirmity is the result of occupational exposure to radiation, nor that occupational exposure to radiation will result in disablement or death, and any person claiming compensation or other benefits under this article shall have the burden of establishing that he is entitled to such.
(Acts 1967, No. 521, p. 1245.)
The interested parties shall have the right to settle all matters of compensation and all questions arising under this article between themselves in accordance with and subject to the provisions of Article 3 of this chapter, and, in case of a dispute, either party may submit the controversy to the circuit court in accordance with and subject to the provisions of Article 3 of this chapter.
(Acts 1967, No. 521, p. 1245.)
All of the provisions of Articles 1, 2, 3, and 8 of this chapter, except Section 25-5-78, shall be applicable to this article, unless otherwise provided or inconsistent herewith.
(Acts 1967, No. 521, p. 1245; Acts 1975, 4th Ex. Sess., No. 86, §16.)
The provisions of this article shall apply to all cases of occupational exposure to radiation, or injury, disability, or death therefrom, in which the last exposure to hazards of such radiation occurred after September 7, 1967, except as provided in Section 25-5-198.
(Acts 1967, No. 521, p. 1245.)
Any attorney who in person solicits employment to collect for a consideration any claim of any employee for compensation under this chapter, or who solicits for a consideration employment to defend such claims, or who knowingly accepts such claim after it has been solicited by some other person, or who employs any other person for the purpose of soliciting or obtaining such claim or claims shall be guilty of a misdemeanor and, on conviction, may be imprisoned in the county jail or sentenced to hard labor for the county for not more than 12 months and must also be fined not more than $500.00. Any attorney convicted under this section must be removed and disbarred from the practice of law in this state, and the record of his conviction is conclusive evidence thereof. The commission by any attorney of any of such acts shall also be a cause for the removal and disbarment of such attorney.
(Acts 1919, No. 245, p. 206; Code 1923, §3998; Code 1940, T. 26, §320.)
Any person who is not authorized by law to practice the profession of law within this state, who solicits for a consideration or traffics in for a consideration or represents for a consideration any claimant, claimants or claim for compensation under this chapter, shall be guilty of a misdemeanor and, on conviction, may be imprisoned in the county jail or sentenced to hard labor for the county for not more than 12 months and must also be fined not more than $500.00.
(Acts 1919, No. 245, p. 206; Code 1923, §3999; Code 1940, T. 26, §321.)
Any insurance corporation, organization or association, or any officer, employee or agent of such insurance corporation, organization or association who solicits or writes any workers’ compensation insurance in this state without complying with the law as set forth in this Code in reference to filing with the Commissioner of Insurance its classifications of risks and premiums relating thereto or without having received from said Commissioner of Insurance approval of its plan of business or who fails to comply with any other requisites set out in this chapter to make reports in writing, who conducts business in the State of Alabama, shall be guilty of a misdemeanor and, on conviction, may be imprisoned in the county jail or sentenced to hard labor for the county for not more than 12 months and must also be fined not more than $500.00.
(Acts 1919, No. 245, p. 206; Code 1923, §4001; Code 1940, T. 26, §323.)
Any person, other than a beneficiary under this chapter, who for a consideration takes or accepts from an employee an assignment of his claim or award or judgment for, or agreement to pay, compensation, or who accepts or takes same as security for a loan or a debt, or who takes a power of attorney to collect the same, retaining any interest in the amount to be collected, shall be guilty of a misdemeanor and, on conviction, may be imprisoned in the county jail or sentenced to hard labor for the county for not more than 12 months and must also be fined not more than $500.00.
(Acts 1919, No. 245, p. 206; Code 1923, §4003; Code 1940, T. 26, §325.)
There is created a nonprofit corporation to be known as the “Alabama Workmen’s Compensation Self-Insurers Guaranty Association, Incorporated,” hereinafter referred to as “the association.” The purpose of the association shall be to create and fund an insolvency fund to assure payment of workmen’s compensation claims due from self-insuring employers who are members of the association and who become insolvent. The association shall have those powers granted or permitted nonprofit corporations, as provided in Title 10. In addition, the corporation shall have the power to borrow funds as necessary to carry out its purposes, and to purchase such insurance and reinsurance as is deemed necessary.
(Acts 1989, No. 89-533, p. 1092, §1.)
(a) All employers who elect to be self-insurers for workers’ compensation as provided in Article 1, other than self-insurers which are governmental entities, or public utilities, shall be members of the association as a condition of their authority to self-insure. Membership shall be sufficient security for self-insurance.
(b) Membership in the association shall cease when the employer terminates its self-insurance election. However, terminating members shall be and remain liable for the period of time in which they were members of the association and for any subsequent assessments made for that period.
(c) Membership in the association may be terminated for nonpayment of assessments.
(d) The association shall not issue stock and its members shall not, as such, be liable for its obligations.
(Acts 1989, No. 89-533, p. 1092, §2; Acts 1992, No. 92-537, p. 1082, §36.)
The affairs of the association shall be managed by a board of directors which shall consist of nine persons appointed by the Secretary of the Department of Labor. To be eligible for appointment, a person must be an owner, employee, or agent of a member self-insurer, and should be experienced in the field. In the initial appointments, four directors shall be appointed for a two year term and five shall be appointed for a four-year term. Subsequent terms shall be for a period of four years. Vacancies on the board shall be filled for the unexpired portion of the term in the same manner. Directors shall be entitled to no compensation for their services as such, but shall be entitled to reimbursement from the association of expenses incurred in carrying out their duties. The board of directors shall designate a registered office and appoint a registered agent and shall continuously maintain the same, and shall file with the Secretary of State a certification thereof.
(Acts 1989, No. 89-533, p. 1092, §3.)
(a) Within 120 days after their appointment, the board of directors shall propose to the Secretary of the Department of Labor a set of bylaws for the operation and administration of the association. The bylaws shall not be effective until approved by the Secretary of the Department of Labor. If the board of directors fails to submit bylaws or if the Secretary of the Department of Labor does not approve the submitted bylaws, then the Secretary of the Department of Labor may promulgate, subject to the provisions of the Administrative Procedure Act, appropriate rules and regulations for the administration of the association.
(b) The bylaws may be amended from time to time by proposal of the board of directors approved by the Secretary of the Department of Labor.
(c) The bylaws shall contain:
(1) Provisions governing the administration of the association.
(2) Provisions governing managing the assets of the association and its financial record keeping.
(3) Procedures by which claims may be filed with the association.
(4) Provisions for the times and places for call of and conduct of meetings of the board of directors.
(5) Procedures for terminating the membership of a member who does not pay assessments when due.
(6) Procedures for recommendations by members of candidates for the board of directors for submission to the Secretary of the Department of Labor.
(7) Such additional provisions as are necessary or proper for carrying out the purposes of the association.
(Acts 1989, No. 89-533, p. 1092, §4.)
(a) To the extent necessary to secure funds for the payment of covered claims and costs of administration, the association may levy annual assessments on members of the association at a rate not to exceed $15.00 per $1,000.00 of security amount established by the department for the respective members. Assessments shall be remitted to and administered by the association as provided in the bylaws. The rate of annual assessments against members of the association may vary by duration of membership so that the cumulative contribution rate of recently admitted members becomes the same as previously admitted members.
(b) If, at any time, the insolvency fund is not sufficient to make the payments or reimbursements then owing, the association may levy a special assessment on members of the association at a rate not to exceed $15.00 per $1,000.00 of security amount established by the department for each member, but such special assessment may not be levied more than once in each calendar year.
(c) No state funds shall be allocated or paid to the association except those funds which may accrue to the association by or through assignments of rights of an insolvent employer. All moneys in the fund shall be held in trust and shall not be money or property of the state or the participants in the association.
(Acts 1989, No. 89-533, p. 1092, §5.)
Upon receipt of the funds assessed on members, the association may set aside funds for the administration of its affairs, and the balance of the funds shall be deposited to an insolvency fund under the following terms:
(1) The fund is created for the purpose of assuring payment of workers’ compensation claims against members of the association who become insolvent; but only those claims which accrue while the insolvent employer is a member of the association and accrue prior to the determination of insolvency or within 30 days thereafter. The obligation of the fund shall be limited to the obligation of the insolvent employer under the Workers’ Compensation Act, in an amount not to exceed 150 percent of the amount of security as determined by the department as of the last annual financial review. The fund shall have all defenses of and shall be subrogated to all rights of the insolvent employer. The fund shall not be liable for any penalties or interest assessed against the employer.
(2) It shall be the duty of the Department of Labor to determine insolvency of any self-insurer employers, and to notify the association of its determination. Members and directors of the association are specifically forbidden to be given information on the financial condition of any members except the fact of determination of insolvency.
(3) The Secretary of the Department of Labor, or his representative, will at all reasonable times have full and free access to the books and records of the association and may audit the association’s financial affairs as he deems necessary. Should the secretary deem the balance in the insolvency fund insufficient to meet projected liabilities, he shall inform the board of directors, and after consultation with them, he shall set the amount which he deems sufficient and the board of directors shall levy assessments as provided herein to secure that amount.
(4) The association shall be subrogated to all rights of any claimant whose claim it pays and shall have a claim against the member employer for all such claims and expenses of administration.
(5) If at any time the insolvency fund is insufficient to pay all claims then owing, the funds available shall be prorated and the unpaid portion shall be paid as soon thereafter as sufficient funds become available.
(Acts 1989, No. 89-533, p. 1092, §6.)
The association shall be subject to examination and regulation by the Department of Labor. No later than March 30 of each year, the board of directors shall submit a financial report for the preceding calendar year in a form approved by the department.
(Acts 1989, No. 89-533, p. 1092, §7.)
A member may deduct as a business expense for state income tax purposes any assessment levied under Section 25-5-254 in the year such assessments are paid.
(Acts 1989, No. 89-533, p. 1092, §8.)
(a) Each insurer issuing a policy under this article shall offer, as a part of the policy or as an optional endorsement to the policy, deductibles optional to the policyholder for benefits payable under this article. Deductible amounts offered shall be fully disclosed to the prospective policyholder in writing in the amount of $100.00, $200.00, $300.00, $400.00, $500.00, or increments of $500.00 up to a maximum of $2,500.00 per compensable claim. The policyholder exercising the deductible option shall choose only one deductible amount.
(b) If the policyholder exercises the option and chooses a deductible, the insured employer shall be liable for the amount of the deductible for benefits paid for each compensable claim of work injury suffered by an employee. The insurer shall pay all or part of the deductible amount, whichever is applicable to a compensable claim, to the person or medical provider entitled to the benefits conferred by this article and then seek reimbursement from the insured employer for the applicable deductible amount. The payment or nonpayment of deductible amounts by the insured employer to the insurer shall be treated under the policy insuring the liability for workers’ compensation in the same manner as payment or nonpayment of premiums.
(Acts 1991, No. 91-472, p. 856, §1.)
Optional deductibles shall be offered in each policy insuring liability for workers’ compensation that is issued, delivered, issued for delivery, or renewed under this article on or after July 29, 1991, unless an insured employer and insurer agree to renegotiate a workers’ compensation policy in effect on July 29, 1991, so as to include a provision allowing for a deductible.
(Acts 1991, No. 91-472, p. 856, §2.)
Premium reduction for deductibles shall be determined before the application of any experience modification, premium surcharge, or premium discounts. To the extent that an employer’s experience rating or safety record is based on benefits paid, money paid by the insured employer under a deductible as provided in this article shall not be included as benefits paid so as to harm the experience rating of such employer.
(Acts 1991, No. 91-472, p. 856, §3.)
This article shall not apply to employers who are approved to self-insure against liability for workers’ compensation or group self-insurance funds for workers’ compensation established pursuant to this chapter.
(Acts 1991, No. 91-472, p. 856, §4.)
(a) The Department of Labor shall establish an Ombudsman Program to assist injured or disabled employees, persons claiming death benefits, employers, and other persons in protecting their rights and obtaining information available under the Workers’ Compensation Law.
(b) Providing that the employer and the employee agree to participate in the benefit review conference, the ombudsmen shall meet with or otherwise provide information to injured or disabled employees, investigate complaints, and communicate with employers, insurance carriers, and health care providers on behalf of injured or disabled employees.
(c) Ombudsmen shall be Merit System employees and demonstrate familiarity with the Workers’ Compensation Law. An ombudsman shall not be an advocate for any person who shall assist a claimant, employer, or other person in any proceeding beyond the benefit review conference, but may, at all times, provide appropriate information regarding this chapter and rules and regulations promulgated thereunder.
(d) Each employer shall notify his or her employees of the ombudsman’s service in a manner prescribed by the Secretary of the Department of Labor. The notice shall include the posting of a notice in one or more conspicuous places. The secretary shall also describe clearly the availability of the ombudsman on the first report of accident form required by this article. The ombudsman shall give each employee with a lost-time accident claim written notice of workers’ compensation assistance that is available. The notice shall include a toll-free phone number for employees to reach an ombudsman.
(e) Ombudsmen may conduct benefit review conferences. A benefit review conference may be held between the parties involved in a dispute over any claim arising after January 1, 1993. Such benefit review conference shall be held only by agreement of the employer and employee and shall not be deemed mandatory. The secretary shall institute and maintain an education and training program for ombudsmen. The ombudsmen shall be trained in the principles and procedures of dispute mediation and the secretary may consult or contract with the federal Mediation and Conciliation Service or other appropriate organizations to accomplish this purpose.
(f) In conducting benefit review conferences, the ombudsman:
(1) Shall mediate disputes between the parties and assist with the claim consistent with this article and the policies of the department.
(2) Shall inform all parties of their rights and responsibilities under this article, especially in cases in which either party is not represented by an attorney or other representative. An employee shall be advised, in writing which shall be notarized, of his or her right to be represented by counsel and of his or her right to have any settlement of his or her claim reviewed by a court of competent jurisdiction at any time within 60 days after the date of the settlement and at the end of 60 days it shall be final and irrevocable.
(3) Shall ensure that all documents and information relating to the employee’s wages, medical condition, and any other information pertinent to the resolution of disputed issues are contained in the claim file at the conference, especially in cases in which the employee is not represented by an attorney or other representative.
(4) May reschedule a benefit review conference if he or she determines that available information pertinent to the resolution of disputed issues is not produced at the benefit review conference.
(5) May not take testimony but may direct questions to an employee, an employer, or a representative of an insurance carrier to supplement or clarify information in a claim file.
(6) May not make a formal record.
(7) May issue a statement with regard to an award of attorney fees in accordance with the amount as provided by Section 25-5-90.
(Acts 1992, No. 92-537, p. 1082, §37.)
A benefit review conference is a nonadversarial, informal dispute resolution proceeding designed to:
(1) Explain, orally and in writing, the rights of the respective parties to a workers’ compensation claim and the procedures necessary to protect those rights.
(2) Discuss the facts of the claim, review available information in order to evaluate the claim, and delineate the disputed issues.
(3) Mediate and resolve disputed issues by mutual agreement of the parties in accordance with this article and the policies of the department.
(Acts 1992, No. 92-537, p. 1082, §38.)
(a) A dispute may be resolved either in whole or in part at the benefit review conference. If the conference results in the resolution of some of the disputed issues by mutual agreement or in a settlement, the ombudsman shall reduce the agreement or the settlement to writing. The ombudsman and each party or the designated representative of the party shall sign the agreement or settlement. A settlement reached hereunder shall, unless otherwise provided herein, be effective on the date the settlement is signed unless one of the parties submits the settlement to the court for approval as provided in this article.
(b) An agreement signed pursuant to this section shall be binding on all parties through the final conclusion of all matters relating to the claim, unless within 60 days after the agreement is signed or approved the court on a finding of fraud, newly discovered evidence, or other good cause, shall relieve all parties of the effect of the agreement.
(c) If the dispute is entirely resolved at the benefit review conference, the ombudsman shall prepare a written report, which shall not be admissible into evidence in any court, that includes:
(1) A statement of each resolved issue.
(2) The ombudsman’s recommendations regarding the payment or denial of benefits.
(3) No permission of the court is required by an attorney to represent any party before an ombudsman.
(d) If there is a dispute as to which of two or more insurance carriers is liable for compensation for one or more compensable injuries, the ombudsman may issue an interlocutory order directing each insurance carrier to pay a proportionate share of benefits due pending a final decision on liability. The proportionate share shall be determined by dividing the compensation due by the number of insurance carriers involved.
(e) On final determination of liability, any insurance carrier that has been determined not to be liable for the payment of benefits is entitled to reimbursement from the share paid by the insurance carrier that has been determined to be liable.
(f) The ombudsman shall file the signed agreement and the report with the Department of Industrial Relations.
(Acts 1992, No. 92-537, p. 1082, §39.)
(a) The Secretary of the Department of Labor may prescribe rules and regulations for the purpose of conducting continuing education seminars for all personnel associated with workers’ compensation claims and collect registration fees in order to cover the related expenditures. The secretary may adopt rules and regulations setting continuing education standards for workers’ compensation claims personnel employed by insurance companies and self-insured employers and groups.
(b) The secretary shall file annually with the Governor and the presiding officer of each house of the Legislature a complete and detailed written report accounting for all funds received and disbursed during the preceding fiscal year. The annual report shall be in the form and reported in the time provided by law.
(c) The secretary shall establish reasonable charges to recover expenses for services not required by law or rule provided to persons requesting the services from the Department of Labor.
(d) The secretary shall appoint appropriate advisory committees on workers’ compensation matters, including: An advisory committee consisting of three administrators who are members of the Alabama Hospital Association, who shall be selected by the secretary from nominations submitted by the Alabama Hospital Association; an advisory committee consisting of three chiropractors who are members in good standing with the Alabama State Chiropractic Association, who shall be selected by the secretary from nominations submitted by the Alabama State Chiropractic Association; an advisory committee consisting of three pharmacists who are members in good standing with the Alabama Pharmaceutical Association who shall be selected by the secretary from nominations submitted by the Alabama Pharmaceutical Association; and an advisory committee consisting of three optometrists who are members in good standing with the Alabama Optometric Association who shall be selected by the secretary from nominations submitted by the Alabama Optometric Association. These committees shall guide the secretary and make recommendations to ascertain the prevailing rate of reimbursement or payment of medical costs in the State of Alabama. These committees shall make recommendations with regard to the implementation of all other rules and regulations, including, but not limited to, utilization review by like peers. These committees shall also advise and guide the secretary in determining all other rules and regulations required to accomplish the intent of the Legislature in assuring the quality of medical care and achieving medical cost control.
The secretary shall also appoint a vocational rehabilitation advisory committee consisting of at least five professional licensed rehabilitation specialists. These rehabilitation specialists shall be selected by the secretary from nominations from the rehabilitation associations in the State of Alabama, including, but not limited to, the Alabama Physical Therapy Association. The committee shall guide the secretary and make recommendations to ascertain the prevailing rate of reimbursement or payment of rehabilitation costs in the State of Alabama. The committee shall also make recommendations with regard to the implementation of all other rules and regulations, including but not limited to, utilization review, and with regard to rehabilitation policies as provided by this article. The committee shall also advise and guide the secretary in determining all other rules and regulations required to accomplish the intent of the Legislature in assuring the quality of rehabilitation care and achieving rehabilitation cost control.
(e) The secretary shall appoint an advisory committee consisting of attorneys who are members in good standing of the Alabama State Bar. This committee shall guide and assist the secretary in creating and promulgating rules and regulations for the efficient administration of the Ombudsman Program.
Members of the advisory committee shall receive State of Alabama mileage expense which shall be paid by the Department of Labor.
(f) It is the intent of the Legislature that final reimbursements related to workers’ compensation claims be commensurate and in line with the prevailing rate of reimbursement or payment in the State of Alabama, or as otherwise provided in this article. The secretary shall conduct field audits as necessary to assist the private sector to gain compliance with the legislative intent. The department shall develop administrative rules to facilitate implementation and continuity of the legislative intent of this article. The secretary, except as otherwise provided in this article, shall not establish the prevailing rate of payment or reimbursement, but may collect data which are construed to be statistically significant as defined by an independent, disinterested consultant. By definition, the prevailing rate of payment or reimbursement is self-defining and self-setting and shall be updated annually. The secretary may create a statistically valid data base from which prevailing rates of reimbursement or payment shall be ascertained. Except as otherwise provided herein, the prevailing rate of reimbursement or payment for medical services provided under this article shall be effective 30 days after the prevailing rate of reimbursement or payment is discovered, but in no event earlier than six months from May 19, 1992.
(g) Insurance carriers and self-insurers, individual and group, are required to make appropriate payment for services provided under this article. Unless otherwise provided in this article, an insurance carrier or self-insurer, individual or group, shall not pay more than the applicable prevailing rate of reimbursement for medical services. Insurance carriers and self-insurers, individual and group, may have utilization review and medical bill screenings. Utilization review and bill screening shall be performed by qualified individuals or entities to insure the integrity of the services and the quality of cost containment. It is the express legislative intent of this article to ensure that the highest quality health care is available to employees who become injured or ill as the result of employment, at an appropriate rate of provider reimbursement. All insurers, claims adjusters, self-administered employers, and any entity involved in the administration or payment of workers’ compensation claims may, but are not required to, implement utilization review and bill screening for health services provided to employees covered under this article. In this regard, employers’ liability for reimbursement shall be limited to the prevailing rate or maximum fee schedule established by the Workers’ Compensation Services Board for similar treatment. Services provided that are deemed not medically necessary are not reimbursable and the employer is held harmless. In no event is the employee responsible or held liable for any charges associated with an authorized workers’ compensation claim. To ensure compliance of providers, insurance carriers, and self-insurers, the secretary may provide by rule for the review and audit of insurance carriers and self-insurers, individual and group, of payments for medical services. The secretary may maintain a statewide data base from insurance carriers and self-insurers, individual and group, on medical charges, actual payments, and adjudication methods for use in administering this article.
(h) Claims payors, and insurers operating in Alabama shall, at the secretary’s request, provide the secretary such data as he or she deems necessary to evaluate costs and quality. The data shall be provided in the form and content to the secretary’s specifications and in a manner deemed timely by the secretary. The secretary may gather from health care claims intermediaries that operate in Alabama any claims data related to diagnoses and procedures encountered in the treatment of workers’-compensation-type injury and illness in Alabama. Results from all data gathered shall be made available to employers or their representatives for use in decisions regarding the direction of care or to determine appropriateness of reimbursement.
(i) Beginning immediately after May 19, 1992, and to be completed within six months thereafter, the secretary may engage an independent firm to identify the initial costs for the program. These initial expenses shall include, but not be limited to, the establishment of a data base to determine prevailing rates, and the conducting of cost analysis for appropriate reimbursement rates to hospitals and other facilities.
(j) A person who performs services for the secretary pertaining to the policies of any advisory committee or board is immune from civil liability against any claim arising out of, or related to, any decision made in good faith, and without malice, and predicated upon information which was then available to the person. Immunity from liability under this section does not apply to a person providing medical treatment to an injured employee.
(k) Notwithstanding any other provision of this section to the contrary, it is the intent of this section that any and all utilization review, bill screening, medical necessity determinations, or audits which relate to the services of physicians as defined in Section 25-5-310 shall only be conducted under and in accordance with policies, guidelines, or regulations which have been jointly approved by the Workers’ Compensation Medical Services Board and the secretary under the provisions of Section 25-5-312, as and when such policies, guidelines, criteria, and regulations are adopted in a final and effective form pursuant to the Alabama Administrative Procedure Act. Not later than six months from May 19, 1992, the secretary, with the approval of the board, shall publish a notice of the intended action in Alabama Administrative Monthly to adopt initial policies, guidelines, criteria, or regulations for utilization review, medical necessity determinations, and bill screenings; however, each insurer, self-insured employer, claims administrator, or other payor may continue utilization review, medical necessity determinations, and bill screenings unaffected by this article during the first six months from May 19, 1992, or until such policies, guidelines, criteria, or regulations may become effective in a final adopted form within that initial six-month period. If such above referenced pending policies, guidelines, criteria, or regulations have not become effective in a final form pursuant to the Administrative Procedure Act after six months from May 19, 1992, then until such time as they are finally adopted, each insurer, self-insured employer, or claims administrator shall conduct utilization review, medical necessity determinations, and bill screenings in a manner that is consistent with similar practices of a majority of commercial insurance companies authorized to issue policies of health insurance in this state. Any amendments, including additions or deletions, to the initial policies, guidelines, criteria, or regulations shall be adopted in accordance with the requirements of this section and Section 25-5-312.
(Acts 1992, No. 92-537, p. 1082, §40; Acts 1995, No. 95-772, p. 1830, §1.)
(a) All letters, reports, communications, and other matters, written or oral, from employer or employee to each other, to the Secretary of the Department of Labor, any of his or her agents, representatives, or employees, or to any official or board functioning under this article, which have been written, sent, delivered, or made in connection with the requirements and administration of this article, shall be absolutely privileged. Information obtained from the above mentioned matters shall be held confidential, except to the extent necessary for the proper presentation of the contest of a claim, and shall not be published or open to public inspection in any manner. Any person violating this section shall be fined not less than $20.00 nor more than $200.00, or imprisoned for not longer than 30 days, or both.
(b) The secretary may make summaries, compilations, photographs, duplications, or reproductions of any records as he or she may deem advisable for the effective and economical preservation of the information contained therein. The documentation, duly authenticated, shall be admissible in any proceeding under this article if the original record or records would have been admissible therein.
(c) The secretary may, upon specific request therefor, furnish to any public agency a workers’ compensation record in his or her custody, if the agency makes payment of a reasonable cost therefor.
(d) At his or her discretion, the secretary may release information for the purpose of making economic analyses to institutions of higher education, or a federal government corporation upon payment of a reasonable cost therefor. The institution or federal government corporation shall agree in writing that information so obtained shall not be published or released by it to any person in a manner to permit the identification of any specific individual or employing unit.
(e) The secretary may afford reasonable cooperation with any agency of the United States or any state agency charged with the administration of any workers’ compensation laws.
(f) The secretary may upon specific request release a workers’ compensation record or information therein to any public official or to any law enforcement officer if the release is deemed by the secretary to be necessary for the performance of the official’s or officer’s duties and upon payment of a reasonable cost therefor in accordance with any regulations the secretary may prescribe.
(g) Any person who willfully makes a false statement or representation to obtain any information under this section, either for himself or herself or for any other person, who uses any information for any purpose other than in the performance of his or her official duties, or in any other manner misuses the information, shall be guilty of a misdemeanor and upon conviction, shall be punished by a fine of not less than $200.00 nor more than $1,000.00, or by imprisonment for not less than three nor more than 12 months, or by both fine and imprisonment.
(Acts 1992, No. 92-537, p. 1082, §41.)
For the purposes of this article the following words and phrases have the following meanings:
(1) BOARD. The Workers’ Compensation Medical Services Board.
(2) MEDICAL or MEDICAL SERVICES. Any and all medical or surgical services provided by physicians under this new article.
(3) PHYSICIAN. A doctor of medicine or doctor of osteopathy licensed to practice medicine.
(Acts 1992, No. 92-537, p. 1082, §42.)
There is established a Workers’ Compensation Medical Services Board composed of five physicians licensed to practice medicine in the State of Alabama who shall be appointed by the Secretary of the Department of Labor. The initial board shall be selected from a list of 15 physicians who are members of the Medical Association of the State of Alabama, submitted by the association.
Members of the board shall serve terms of five years. In order that the appointments be staggered, one member shall serve an initial term of six years, one member shall serve an initial term of two years, one member shall serve an initial term of three years, one member shall serve an initial term of four years, and the remaining member shall serve an initial term of five years. Thereafter, successors shall be appointed by the secretary from among a list of three nominees submitted by the Medical Association of the State of Alabama to serve full five-year terms. A member of the board shall continue to serve beyond the expiration of his or her term of office until his or her successor is legally appointed. Members of the Workers’ Compensation Medical Services Board shall be eligible to serve two five-year terms of office in addition to an initial or unexpired term of less than three years, but shall not serve thereafter. Members of the board shall be entitled to receive per diem at the rate of $100.00 for each day or portion thereof spent in the performance of the duties of their office, and in addition, shall be reimbursed for expenses of travel in the same manner as employees of the State of Alabama.
The Workers’ Compensation Medical Services Board shall function as a part of the Department of Labor and shall have the authority, duties, and responsibilities as prescribed in this article. The board may meet quarterly at a time and place designated by the chair, and may meet more frequently at the call of the chair. The board shall elect one of its members as chair who shall serve a term of one year. The board may adopt rules governing its own proceedings. The department shall provide the board with necessary meeting and office space, secretarial and clerical support, reimbursement for travel expenses and per diem as specified in this article. Upon approval of the secretary, the Lieutenant Governor, and the Speaker of the House of Representatives, additional funding as required by the board for the employment of consultants, attorneys, and other professional staff necessary to accomplish the purposes and objectives stated in this article may be provided.
(Acts 1992, No. 92-537, p. 1082, §43.)
The board shall exercise general supervision in all matters related to the provision of medical services provided by physicians, as defined in Section 25-5-310, rendered to workers under this article. The duties of the board shall include, but are not limited to, the following:
(1) Study, develop, and implement any necessary and reasonable guidelines for medical services and physician care provided by physicians. In addition, with respect to services provided by physicians, the board shall study, develop, and recommend to the secretary uniform medical criteria and policies for the conduct of utilization review, bill screenings, and medical necessity determinations for use by insurance carriers, self-insurers, and claims administrators.
(2) Study, design, and implement standardized uniform claims processing forms and forms for the reporting of medical information to employers and insurance companies by physicians.
(3) Address and give consideration to those matters referred to it by the secretary.
(4) The board shall contract with physicians, health care providers, professional associations of physicians, and health-related organizations to provide the board with consultation, and research and development expertise in discharging its duties and responsibilities under this article. Any contract entered into by the board shall be approved by the secretary and submitted as are other state contracts.
(5) The board may establish, by regulations promulgated by the department, regional committees of physicians appointed by the board to perform any duties and responsibilities specified by the board in programs established for the delivery of medical services under this article. In addition the board shall appoint board certified physicians in any of the medical or surgical specialties to act as independent expert medical consultants to the ombudsman in connection with the resolution of disputes involving physicians providing medical services to injured workers. Members of the regional committees shall be physicians and shall serve at the pleasure of the board. Physicians serving as members of the regional committees as constituted under this section or independent expert medical consultants to the ombudsman shall be granted the same immunities as provided members of the board under this article and existing state law.
(6) Implementation of this section shall be governed by and subject to the Alabama Administrative Procedure Act. Rules and regulations relating to the duties and authority of the board, enumerated herein, may be promulgated only with the consent of both the secretary and the board.
(Acts 1992, No. 92-537, p. 1082, §44.)
Within 60 days from May 19, 1992, the Workers’ Compensation Medical Services Board shall submit to the Governor an initial schedule of maximum fees for medical services covered by this article, which schedule shall become effective immediately upon submission to the Governor. The initial schedule of maximum fees shall be established by the board in the manner prescribed in this section. The fee for each service in the schedule shall be exactly equal to an amount derived by multiplying the preferred provider reimbursement customarily paid on May 19, 1992, by the largest health care service plan incorporated pursuant to Sections 10-4-100 to 10-4-115, inclusive, by a factor of 1.075, which product shall be the maximum fee for each such service. In addition the board may submit to the Governor for approval on or before January 31, 1993, a revised schedule of selected fees for medical services covered by this article, which fees shall not exceed the fees established in the initial schedule of fees by more than 2 1/2 percent. The revised schedule of fees, but not individual fees or separate portions thereof, shall be subject to acceptance or rejection by the Governor. If the revised schedule of fees is rejected by the Governor, it shall be referred to the board for further consideration and the initial schedule of maximum fees shall continue to be in effect until the Governor and the board reach agreement; provided, however, the schedule of maximum fees in effect on January 31, 1993, shall not be subject to further revision through this process.
The schedule of maximum fees and any additions, deletions, corrections, or changes thereto shall not be considered a rule or regulation requiring publication under the Alabama Administrative Procedure Act. It is the express legislative intent that the Workers’ Compensation Medical Services Board may establish a system of maximum fees under this section for services rendered by physicians to employees covered by the Workers’ Compensation Law and that the schedule of fees shall replace and supplant traditional competitive market mechanisms in the interest of obtaining quality physician services in a cost effective manner. The board shall annually adjust the schedule of fees established pursuant to this section by increases which shall be no more than the annual increase in the cost of living as reflected by the U. S. Department of Labor consumer price index. The board may, from time to time, add to or adjust the schedule of fees in response to changes in technology and medical practice, subject only to the right of the Governor to accept or reject the addition or adjustment made by the board, and to refer to the board for further consideration any additions or adjustments which he or she may reject. In the event that at any time a state or federal tax, levy, fee, or assessment is imposed or assessed on physicians licensed to practice medicine which tax, levy, fee, or assessment is based in whole or in part upon the provision of professional services in connection with the practice of medicine, then, in that event, the board may, subject to the approval of the Governor, within three months of the effective date of the tax, levy, fee, or assessment issue a revised schedule of maximum fees which increases the maximum fee for each service reflected therein by an amount which shall be no more than the rate fixed by law of the tax, levy, fee, or assessment. This provision shall not be construed to include income or sales tax increases. The liability of the employer for the payment of services rendered by physicians shall not exceed those maximum fees established by the board and approved by the Governor. The employees shall not be liable to the physician for any amount in excess of the schedule of maximum fees established by the board and approved by the Governor.
(Acts 1992, No. 92-537, p. 1082, §45.)
Notwithstanding any other provisions of this article to the contrary, any employer, workers’ compensation insurance carrier, self-insured employer, or group fund, may contract with physicians, hospitals, and any other health care provider for the provision of medical services to injured workers at any rates, fees, or levels of reimbursement which shall be mutually agreed upon between the physician, hospitals, and any other health care provider and the employer, workers’ compensation insurance carrier, self-insured employer, or group fund.
(Acts 1992, No. 92-537, p. 1082, §46.)
The Workers’ Compensation Medical Services Board, the individual members thereof, the agents, servants, employees, consultants, or attorneys of the board, and any person, firm, or corporation contracting with the board for the specific purpose of implementing the duties, obligations, and responsibilities of the board under this article, shall each be immune from civil liability against the claims of any and all individuals, firms, corporations, institutions, or other entities for any claims of any nature whatsoever arising out of or related to the decisions, opinions, deliberations, reports, or publications which are made, rendered, or entered by the board, the individual members of the board, or the agents, servants, employees, consultants, or attorneys of the board or any person, firm, or corporation contracting with the board which decisions, opinions, deliberations, reports, or publications were made in good faith, without malice, and predicated upon information which was then available to the board.
(Acts 1992, No. 92-537, p. 1082, §47.)
AMENDED BY ACT 2026-539, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) There is established in the State Treasury a fund entitled the Workers’ Compensation Administrative Trust Fund, into which shall be deposited certain assessments provided under Chapter 5 (commencing with Section 25-5-1) of Title 25 collected by the Department of Labor. The fund shall constitute a separate fund to be disbursed by the state Comptroller on order of the Secretary of the Department of Labor. All expenses incurred by the department under the Workers’ Compensation Law, including the salaries of all employees, travel cost, and any other cost of administration and enforcement as may become necessary, either within or without the state, shall be paid from the separate fund in the State Treasury upon warrants of the state Comptroller drawn upon the State Treasury from time to time when vouchers therefor are approved by the secretary. The State Treasurer shall pay moneys from the separate fund upon the order of the secretary. The total expense for every purpose incurred shall not exceed the total assessment collected and paid into the fund. The total expense for every purpose incurred in implementing this article shall not exceed the amount appropriated by the Legislature in the general fund appropriation act. No funds shall be withdrawn or expended except those budgeted and allocated in accordance with Article 4 (commencing with Section 41-4-80) of Chapter 4 of Title 41. All moneys remaining unexpended in the separate fund at the end of the fiscal year shall remain in the State Treasury to be expended as herein provided. Included in the budget shall be an amount of money allocated for the specific and exclusive purpose of paying only benefits to the claimants who have qualified to receive benefits from the Second Injury Trust Fund on May 19, 1992. Payments of these benefits shall be made weekly. The secretary shall each week make requisitions to the state Comptroller who shall draw warrants on the State Treasurer for the weekly compensation amount. The warrants shall be drawn only if there are sufficient moneys in the Treasury for immediate payment. Claims shall take priority in an ascending numerical order according to the time of the accident, and the time shown in the settlement between the employer and employee shall be prima facie evidence of the time of the accident. No funds allocated for the payment of benefits from the fund shall be used to pay lump-sum attorney’s fees. Payment shall resume at the end of the first week of the fiscal year in which the Legislature approves the requested budget for the Workers’ Compensation Administrative Trust Fund. The claimants who were receiving weekly benefits from the Second Injury Trust Fund as of August 31, 1991, shall be paid all weekly benefits due to date and the benefits shall be continued for the duration of claim. Those amounts shall be paid from the moneys as allocated.
(b) The State Treasurer shall determine if the money in the trust fund shall be kept in cash or invested. The moneys in the fund may be invested by the State Treasurer and all moneys and interest remaining unexpended in the separate fund provided at the end of the fiscal year shall remain in the State Treasury to be expended as herein provided.
(c) The secretary is designated as trustee of the fund and the State Treasurer is designated as custodian of the fund, and both shall furnish bonds in amounts deemed appropriate. The cost of bonds for the trustee, custodian, and other employees or officials required to post bond in connection with the program shall be paid out of the fund.
(d) Each insurance carrier, self-insured employer, and group fund shall be assessed $250.00. The gross claims for compensation and medical payments paid by the carriers, self-insured employers, and group funds are the basis for computing the amount to be assessed. The amount of assessment shall be based upon the proportion that the total gross claims for compensation and medical payments paid by the carrier, self-insured employer, or group fund during the preceding calendar year bore to the total gross claims for compensation and medical payments paid by all carriers, self-insured employers, and group funds during that period. The total assessment shall not exceed $5,000,000.00 per year. The secretary shall determine if the assessment shall be a specific amount or shall be a percentage of gross claims for compensation and medical payments paid by the insurance carriers, self-insured employers, and group funds. An assessment shall not exceed an amount reasonably necessary to defray the necessary administration expense.
(e) The department shall provide by regulation for the collection of the amounts assessed against each insurance carrier, self-insured employer, and group fund. The amounts shall be paid within 30 days from the date that the notice is served upon the insurance carrier, self-insured employer, and group fund. If the amounts are not paid within that period, there may be assessed, for each 30 days that the amount so assessed remains unpaid, a civil penalty equal to 10 percent of the amount unpaid. The amount of the civil penalty shall be collected at the same time the amount assessed is collected.
(f) If an insurance carrier, self-insured employer, or group fund fails to pay the amounts assessed against it within 60 days from the time the notice is served, the department may suspend or revoke the authorization to the self-insurer and may request that the Department of Insurance revoke the authority of the insurance company to insure workers’ compensation.
(g) The department may require from each insurance carrier, self-insured employer, and group fund reports with respect to all payments of compensation and medical payments by the insurance carriers, self-insured employers, or group funds during each calendar year, and may determine the amounts paid by each insurance carrier, self-insured employer, and group fund and may determine the amounts paid by all insurance carriers, self-insured employers, and group funds during the period.
(h) On or before the first day of March of each year, every insurance carrier, self-insured employer, and group fund shall file with the department a statement on the prescribed forms showing the gross claims for compensation and medical payments paid by the insurance carrier, self-insured employer, or group fund during the preceding one-year period ending on the 31st day of December. Any insurance carrier, self-insured employer, or group fund which neglects to file its annual written statement within the time provided in this manner shall pay to the Workers’ Compensation Administrative Trust Fund a penalty for each day’s neglect in an amount prescribed by rule of the secretary.
(i) All money collected under this section shall be deposited in the Workers’ Compensation Administrative Trust Fund.
(Acts 1992, No. 92-537, p. 1082, §48.)
(a) Within 60 days after May 19, 1992, the Secretary of the Department of Labor shall assess each insurance carrier, self-insured employer, and group fund its pro rata share of the total amount of up to $4,500,000.00 according to the method set out in Section 25-5-316(d). Of the total amount, $800,000.00 shall be allocated to pay weekly benefits to the claimants of the Second Injury Trust Fund until an appropriate budget is approved in accordance with Chapter 4 of Title 41. The assessment shall be deposited into the Workers’ Compensation Administrative Trust Fund and disbursed by the state Comptroller on order of the secretary.
(b) The assessment is appropriated and made available for the initial implementation costs and expenses of the workers’ compensation program to fund activities not included in the general fund appropriation for fiscal year 1991-1992 and fiscal year 1992-1993, which are peculiar to this article.
(c) Any unexpended balance remaining at the end of the fiscal year will be credited to the insurance carriers and self-insured employers at the end of the next fiscal year.
(Acts 1992, No. 92-537, p. 1082, §49.)
(a) For purposes of this article, “small employer” means an employer who is not experienced-rated for workers’ compensation insurance purposes and whose annual workers’ compensation premium is less than $5,000.00.
(b) The Department of Insurance shall promulgate a plan by which all insurance companies writing workers’ compensation insurance in this state shall grant a one-time discount to small employers who qualify under this article and by which surcharges are assessed against small employers who experience two or more employee on-the-job injuries resulting in payment of indemnity or medical payments during a one-year period.
(c) A small employer who has not experienced an employee on-the-job injury resulting in payment of indemnity or medical payments during the most recent one-year period for which statistics are available shall receive a one-time discount of 10 percent on the amount of the employer’s workers’ compensation insurance premium.
(d) A small employer who has not experienced an employee on-the-job injury resulting in payment of indemnity or medical payments during the most recent two-year period for which statistics are available shall receive a one-time discount of 15 percent on the amount of the employer’s workers’ compensation insurance premium.
(e) A small employer who has experienced one employee on-the-job injury resulting in payment of indemnity or medical payments during the most recent one-year period for which statistics are available is not eligible for a discount on the amount of the employer’s workers’ compensation insurance premium, as otherwise would be available under subsections (c) or (d) of this section.
(f) A small employer who has experienced two or more employee on-the-job injuries resulting in payment of indemnity or medical payments during the most recent one-year period for which statistics are available shall be assessed a surcharge of 10 percent on the amount of the employer’s workers’ compensation premium; provided, however, no surcharge shall be assessed unless the small employer has received a discount, under subsections (c) or (d) of this section for the previous policy year.
(g) The discounts and surcharges under this article are not cumulative. For any annual workers’ compensation premium, a small employer may not receive a discount of more than 15 percent, and a small employer may not be required to pay a surcharge of more than 10 percent.
(h) Within 30 days after one year following May 19, 1992, the Insurance Commissioner shall make a report to the Governor, with copies to the Lieutenant Governor and the Speaker of the House of Representatives on the Premium Incentives for Small Employers Program. This report shall include, but not be limited to, the number of employers participating in this program, the numbers and amounts of discounts and surcharges and any recommendations regarding this program.
(Acts 1992, No. 92-537, p. 1082, §50.)
It is the intent of the Legislature to promote drug-free workplaces in order that employers in this state be afforded the opportunity to maximize their levels of productivity, enhance their competitive positions in the marketplace, and reach their desired levels of success without experiencing the costs, delays, and tragedies associated with work related accidents resulting from substance abuse by employees.
(Acts 1995, No. 95-535, p. 1082, §1.)
As used in this article, the following words and terms shall have meanings as follows:
(1) ALCOHOL. Ethyl alcohol, hydrated oxide of ethyl, or spirits of wine, from whatever source or by whatever process produced.
(2) CHAIN OF CUSTODY. The methodology of tracking specified materials, specimens, or substances for the purpose of maintaining control and accountability from initial collection to final disposition for all of the materials, specimens, or substances and providing for accountability at each stage in handling, testing, and storing materials, specimens, or substances and reporting test results.
(3) CONFIRMATION TEST or CONFIRMED TEST. A second analytical procedure used to identify the presence of a specific drug or metabolite in a specimen. The confirmation test shall be different in scientific principle from that of the initial test procedure. The confirmation method shall be capable of providing requisite specificity, sensitivity, and quantitative accuracy.
(4) DRUG. Amphetamines, cannabinoids, cocaine, phencyclidine (PCP), methadone, methaqualone, opiates, barbituates, benzodiazepines, propoxyphene, or a metabolite of any of the substances.
(5) EMPLOYEE. Any person who works for salary, wages, or other remuneration for an employer.
(6) EMPLOYEE ASSISTANCE PROGRAM. A program designed to assist in the identification and resolution of job performance problems associated with employees impaired by personal concerns. A minimum level of core services shall include consultation and training; professional, confidential, appropriate, and timely problem assessment services; short-term problem resolution; referrals for appropriate diagnosis, treatment, and assistance; follow-up and monitoring; employee education; and quality assurance.
(7) EMPLOYER. A person or entity that is subject to the Alabama Workers’ Compensation Law, except that this article shall not apply to individual self-insurers or members of group self-insurance funds.
(8) INITIAL TEST. A sensitive, rapid, and reliable procedure to identify negative and presumptive positive specimens. All initial tests shall use an immunoassay procedure or an equivalent procedure or shall use a more accurate scientifically accepted method approved by the National Institute on Drug Abuse as more accurate technology becomes available in a cost-effective form.
(9) JOB APPLICANT. A person who has applied for a position with an employer and has been offered employment conditioned upon successfully passing a substance abuse test and may have begun work pending the results of the substance abuse test.
(10) NONPRESCRIPTION MEDICATION. A drug or medication authorized pursuant to federal or state law for general distribution and use without a prescription in the treatment of human disease, ailments, or injuries.
(11) PRESCRIPTION MEDICATION. A drug or medication lawfully prescribed by a physician for an individual and taken in accordance with the prescription.
(12) REASONABLE SUSPICION TESTING. Substance abuse testing based on a belief that an employee is using or has used drugs or alcohol in violation of the policy of the employer drawn from specific objective and articulate facts and reasonable inferences drawn from the facts in light of experience. Among other things, the facts and inferences may be based upon, but not limited to, the following:
a. Observable phenomena while at work such as direct observation of substance abuse or of the physical symptoms or manifestations or being impaired due to substance abuse.
b. Abnormal conduct or erratic behavior while at work or a significant deterioration in work performance.
c. A report of substance abuse provided by a reliable and credible source.
d. Evidence that an individual has tampered with any substance abuse test during his or her employment with the current employer.
e. Information that an employee has caused or contributed to an accident while at work.
f. Evidence that an employee has used, possessed, sold, solicited, or transferred drugs while working or while on the premises of the employer or while operating the employer’s vehicle, machinery, or equipment.
(13) REHABILITATION PROGRAM. An established program capable of providing expert identification, assessment, and resolution of employee drug or alcohol abuse in a confidential and timely service. The service shall in all cases be provided by persons licensed or appropriately certified as health professionals to provide drug or alcohol rehabilitative services.
(14) SPECIMEN. Tissue, blood, breath, urine, or other product of the human body capable of revealing the presence of drugs or their metabolites or of alcohol.
(15) SUBSTANCE. Drugs or alcohol.
(16) SUBSTANCE ABUSE TEST or TEST. Any chemical, biological, or physical instrumental analysis administered for the purpose of determining the presence or absence of a drug or its metabolites or of alcohol.
(Acts 1995, No. 95-535, p. 1082, §2.)
(a) If an employer implements a drug-free workplace program substantially in accordance with this article, the employer shall qualify for certification for a five percent premium discount under the employer’s workers’ compensation insurance policy.
(b) For each policy of workers’ compensation insurance issued or renewed in the state on and after July 1, 1996, there shall be granted by the insurer a five percent reduction in the premium for the policy if the insured has been certified by the Department of Labor, Workers’ Compensation Division, as having a drug-free workplace program which complies with the requirements of this article and has notified its insurer in writing of the certification.
(c)(1) The premium discount provided by this section shall be applied to an insured’s policy of workers’ compensation insurance pro rata as of the date the insured receives certification by the Department of Labor, Workers’ Compensation Division, and shall continue for a period not to exceed four years. Notwithstanding the foregoing, an insurer shall not be required to credit the actual amount of the premium discount to the account of the insured until the final premium audit under the policy. Certification of an insured shall be required for each of the four years in which the premium discount is granted. Thereafter, any premium discount pursuant to this article shall be determined from the experience rating plan of the insured, or in the case of an insured not rated upon experience, as provided in subdivision (2).
(2) With respect to an insured which is not rated upon experience, any premium discount given an insured pursuant to this article after the initial four-year period provided in subdivision (1) shall be determined by the State Insurance Commissioner based upon data received from the rating and statistical organization designated by the commissioner pursuant to this article.
(d) The workers’ compensation insurance policy of an insured shall be subject to an additional premium for the purposes of reimbursement of a previously granted premium discount and to cancellation in accordance with the policy if it is determined by the Department of Labor, Workers’ Compensation Division, that the insured misrepresented the compliance of its drug-free workplace program.
(e) Each insurer shall make an annual report to the rating and statistical organization designated by the state Insurance Commissioner pursuant to this article illustrating the total dollar amount of drug-free workplace premium credit. Standard earned premium figures reported pursuant to this subsection on the aggregate calls for experience shall reflect the effects of the credits. The net standard premium shall then be the basis of any premium adjustment. The drug-free workplace credits shall be reported under a unique classification code or unit statistical reports submitted to the rating and statistical organization designated by the state Insurance Commissioner.
(f) The state Insurance Commissioner may promulgate rules and regulations necessary for the implementation and enforcement of this article.
(Acts 1995, No. 95-535, p. 1082, §3.)
(a) A drug-free workplace program shall contain all the following elements:
(1) A written policy statement as provided in Section 25-5-334.
(2) Substance abuse testing as provided in Section 25-5-335.
(3) Resources of employee assistance providers maintained in accordance with Section 25-5-336.
(4) Employee education as provided in Section 25-5-337(a).
(5) Supervisor training in accordance with Section 25-5-337(b).
(b) In addition to the requirements of subsection (a), a drug-free workplace program shall be implemented in compliance with the confidentiality standards provided in Section 25-5-339.
(Acts 1995, No. 95-535, p. 1082, §4.)
(a) One time only, prior to testing, all employees and job applicants for employment shall be given a notice of testing. In addition, all employees shall be given a written policy statement from the employer which contains all of the following:
(1) A general statement of the employer’s policy on employee substance abuse which shall identify:
a. The types of testing an employee or job applicant may be required to submit to, including reasonable suspicion or other basis used to determine when the testing will be required.
b. The actions the employer may take against an employee or job applicant on the basis of a positive confirmed test result.
(2) A statement advising an employee or job applicant of the existence of this article.
(3) A general statement concerning confidentiality.
(4) The consequences of refusing to submit to a drug test.
(5) A statement advising an employee of the Employee Assistance Program, if the employer offers the program, or advising the employee of the employer’s resource file of assistance programs and other persons, entities, or organizations designed to assist employees with personal or behavioral problems.
(6) A statement that an employee or job applicant who receives a positive confirmed test result may contest or explain the result to the employer within five working days after written notification of the positive test result.
(7) A statement informing an employee of the provisions of the federal Drug-Free Workplace Act, if applicable to the employer.
(b) An employer not having a substance abuse testing program in effect on July 1, 1996, shall ensure that at least 60 days elapse between a general one-time notice to all employees that a substance abuse testing program is being implemented and the beginning of the actual testing. An employer having a substance abuse testing program in place prior to July 1, 1996, shall not be required to provide a 60-day notice period.
(c) An employer shall include notice of substance abuse testing on vacancy announcements for those positions for which testing is required. A notice of the employer’s substance abuse testing policy shall also be posted in an appropriate and conspicuous location on the employer’s premises, and copies of the policy shall be made available for inspection by the employees or job applicants of the employer during regular business hours in the employer’s personnel office or other suitable locations. All testing conducted by an employer shall be in conformity with the standards and procedures established in this article and all applicable rules adopted by the state Department of Labor pursuant to this article. Notwithstanding the foregoing, an employer shall not have a legal duty under this article to request an employee or job applicant to undergo testing.
(Acts 1995, No. 95-535, p. 1082, §5.)
(a) An employer is required to conduct the following types of tests in order to qualify for the workers’ compensation insurance premium discounts provided under this article:
(1) An employer shall require job applicants to submit to a substance abuse test after extending an offer of employment. Limited testing of job applicants by an employer shall qualify under this article if the testing is conducted on the basis of reasonable classifications of job positions.
(2) An employer shall require an employee to submit to reasonable suspicion testing.
(3) An employer shall require an employee to submit to a substance abuse test if the test is conducted as part of a routinely scheduled employee fitness-for-duty medical examination that is part of the employer’s established policy or that is scheduled routinely for all members of an employment classification or group.
(4) If the employee, in the course of employment, enters an employee assistance program or a rehabilitation program as the result of a positive test, the employer shall require the employee to submit to a substance abuse test as a follow-up to the program. Notwithstanding the foregoing, if an employee voluntarily entered the program, follow-up testing shall not be required. If follow-up testing is conducted, the frequency of the testing shall be at least once a year for a two-year period after completion of the program and advance notice of the testing date shall not be given to the employee.
(5) If the employee has caused or contributed to an on-the-job injury which resulted in a loss of work time, the employer shall require the employee to submit to a substance abuse test.
(b) Nothing in this article shall prohibit a private employer from conducting random testing or other lawful testing of employees.
(c) All specimen collection and testing under this article shall be performed in accordance with the following procedures:
(1) A specimen shall be collected with due regard to the privacy of the individual providing the specimen, and in a manner reasonably calculated to prevent substitution or contamination of the specimen.
(2) Specimen collection shall be documented, and the documentation procedures shall include all of the following:
a. Labeling of specimen containers so as to reasonably preclude the likelihood of erroneous identification of test results.
b. An opportunity for the employee or job applicant to record any information he or she considers relevant to the test, including identification of currently or recently used prescription or nonprescription medication or other relevant medical information. The providing of information shall not preclude the administration of the test, but shall be taken into account in interpreting any positive confirmed results.
(3) Specimen collection, storage, and transportation to the testing site shall be performed in a manner which reasonably precludes specimen contamination or adulteration.
(4) Each initial and confirmation test conducted under this article, not including the taking or collecting of a specimen to be tested, shall be conducted by a laboratory as described in subsection (d).
(5) A specimen for a test may be taken or collected by any of the following persons:
a. A physician, a physician’s assistant, a registered professional nurse, a licensed practical nurse, a nurse practitioner, or a certified paramedic who is present at the scene of an accident for the purpose of rendering emergency medical service or treatment.
b. A qualified person certified or employed by a laboratory certified by the National Institute on Drug Abuse, the College of American Pathologists, or the Alabama Department of Human Resources.
(6) Within five working days after receipt of a positive confirmed test result from the laboratory, an employer shall inform the employee or job applicant in writing of the positive test result, the consequences of the results, and the options available to the employee or job applicant.
(7) The employer shall provide to the employee or job applicant, upon request, a copy of the test results.
(8) An initial test having a positive result shall be verified by a confirmation test.
(9) An employer who performs drug testing or specimen collection shall use chain of custody procedures to ensure proper record keeping, handling, labeling, and identification of all specimens to be tested.
(10) An employer shall pay the cost of all drug tests, initial and confirmation, which the employer requires of employees.
(11) An employee or job applicant shall pay the cost of any additional tests not required by the employer.
(12) If testing is conducted based on reasonable suspicion, the employer shall promptly detail in writing the circumstances which formed the basis of the determination that reasonable suspicion existed to warrant the testing. A copy of this documentation shall be given to the employee upon request and the original documentation shall be kept confidential by the employer as provided in this article and retained by the employer for at least one year.
(d)(1) No laboratory may analyze initial or confirmation drug specimens unless:
a. The laboratory is approved by the National Institute on Drug Abuse or the College of American Pathologists.
b. The laboratory has written procedures to ensure the chain of custody.
c. The laboratory follows proper quality control procedures including, but not limited to:
The use of internal quality controls including the use of samples of known concentrations which are used to check the performance and calibration of testing equipment, and periodic use of blind samples for overall accuracy.
An internal review and certification process for drug test results, conducted by a person qualified to perform that function in the testing laboratory.
Security measures implemented by the testing laboratory to preclude adulteration of specimens and drug test results.
Other necessary and proper actions taken to ensure reliable and accurate drug test results.
(2)a. A laboratory shall disclose to the employer a written test result report within seven working days after receipt of the sample. All laboratory reports of a substance abuse test result shall, at a minimum, state all of the following:
The name and address of the laboratory which performed the test and the positive identification of the person tested.
Positive results on confirmation tests only, or negative results, as applicable.
A list of the drugs for which the drug analyses were conducted.
The type of tests conducted for both initial and confirmation tests and the minimum cut-off levels of the tests.
b. No report shall disclose the presence or absence of any drug other than a specific drug and its metabolites listed pursuant to this article.
(3) Laboratories shall provide technical assistance to the employer, employee, or job applicant for the purpose of interpreting any positive confirmed test results which could have been caused by prescription or nonprescription medication taken by the employee or job applicant.
(e) If an initial drug test is negative, the employer may seek a confirmation test. Only those laboratories described in subsection (d) shall conduct confirmation drug tests.
(f) All positive initial tests shall be confirmed using the gas chromatography/mass spectrometry (GC/MC) method or an equivalent or more accurate scientifically accepted methods approved by the National Institute on Drug Abuse as the technology becomes available in a cost-effective form.
(Acts 1995, No. 95-535, p. 1082, §6.)
(a) If an employer has an employee assistance program, the employer shall inform the employee of the benefits and services of the employee assistance program. In addition, the employer shall provide the employee with notice of the policies and procedures regarding access to and utilization of the program.
(b) If an employer does not have an employee assistance program, the employer shall maintain a resource file of providers of other employee assistance including drug and alcohol abuse programs, mental health providers, and other persons, entities, or organizations available to assist employees with personal or behavioral problems and shall notify the employee of the availability of the resource file. In addition, the employer shall post in a conspicuous place a listing of providers or employee assistance in the area.
(Acts 1995, No. 95-535, p. 1082, §7.)
(a) An employer shall provide all employees with a semiannual education program on substance abuse, in general, and its effects on the workplace, specifically. An education program for a minimum of one hour should include, but is not limited to, the following information:
(1) The explanation of the disease model of addiction for alcohol and drugs.
(2) The effects and dangers of the commonly abused substances in the workplace.
(3) The policies of the company and procedures regarding substance abuse in the workplace and how employees who wish to obtain substance abuse treatment can do so.
(b) In addition to the education program provided in subsection (a), an employer shall provide all supervisory personnel with a minimum of two hours of supervisor training, which includes, but is not limited to, the following information:
(1) How to recognize signs of employee substance abuse.
(2) How to document and collaborate signs of employee substance abuse.
(3) How to refer substance abusing employees to the proper treatment providers.
(Acts 1995, No. 95-535, p. 1082, §8.)
(a) No physician-patient relationship is created between an employee or job applicant and an employer, medical review officer, or any person performing or evaluating a drug test solely by the establishment, implementation, or administration of a drug-testing program.
(b) Nothing in this article shall be construed to prevent an employer from establishing reasonable work rules related to employee possession, use, sale, or solicitation of drugs, including convictions for drug related offenses, and taking action based upon a violation of any of those rules.
(c) Nothing in this article shall be construed to operate retroactively, and nothing in this article shall abrogate the right of an employer under state or federal law to conduct drug tests, or implement employee drug-testing programs. Notwithstanding the foregoing, only those programs that meet the criteria outlined in this article qualify for reduced workers’ compensation insurance premiums under this article.
(d) Nothing in this article shall be construed to prohibit an employer from conducting medical screening or other tests required, permitted, or not disallowed by any statute, rule, or regulation for the purpose of monitoring exposure of employees to toxic or other unhealthy materials in the workplace or in the performance of job responsibilities. The screening or tests shall be limited to the specific materials expressly identified in the statute, rule, or regulation, unless prior written consent of the employee is obtained for other tests.
(e) No cause of action shall arise in favor of any person based upon the failure of an employer to establish or conduct a program or policy for substance abuse testing.
(Acts 1995, No. 95-535, p. 1082, §9.)
(a) All information, interviews, reports, statements, memoranda, and test results, written or otherwise, received by the employer through a substance abuse testing program are confidential communications, but may be used or received in evidence, obtained in discovery, or disclosed in any civil or administrative proceeding, except as provided in subsection (c).
(b) Employers, laboratories, medical review officers, employee assistance programs, drug or alcohol rehabilitation programs, and their agents who receive or have access to information concerning test results shall keep all information confidential. Release of such information under any other circumstance shall be solely pursuant to a written consent form signed voluntarily by the person tested, unless the release is compelled by an agency of the state or a court of competent jurisdiction or unless deemed appropriate by a professional or occupational licensing board in a related disciplinary proceeding. The consent form shall contain at a minimum all of the following:
(1) The name of the person who is authorized to obtain the information.
(2) The purpose of the disclosure.
(3) The precise information to be disclosed.
(4) The duration of the consent.
(5) The signature of the person authorizing release of the information.
(c) Information on test results shall not be released or used in any criminal proceeding against the employee or job applicant. Information released contrary to this subsection shall be inadmissible as evidence in the criminal proceeding.
(d) Nothing contained in this article shall be construed to prohibit the employer or laboratory conducting a test from having access to employee test information when consulting with legal counsel when the information is relevant to its defense in a civil or administrative matter.
(Acts 1995, No. 95-535, p. 1082, §10.)
The Department of Labor, Workers’ Compensation Division, shall promulgate by rule or regulation procedures and forms for the certification of employers who establish and maintain a drug-free workplace which complies with this article. The department may charge a fee for the certification of a drug-free workplace program in an amount which shall approximate the administrative costs to the department of the certification. The certification fees shall be deposited in a revolving account to fund the administrative costs of certification and are hereby appropriated solely for that purpose. Certification of an employer shall be required for each year in which a premium discount is granted.
(Acts 1995, No. 95-535, p. 1082, §11.)
(a) Except as otherwise provided by law, when a personal injury is received by a servant or employee in the service or business of the master or employer, the master or employer is liable to answer in damages to such servant or employee, as if he were a stranger and not engaged in such service or employment, provided such liability is enforced in a court of competent jurisdiction, in the cases following:
(1) When the injury is caused by reason of any defect in the condition of the ways, works, machinery or plant connected with or used in the business of the master or employer.
(2) When the injury is caused by reason of the negligence of any person in the service or employment of the master or employer who has any superintendence intrusted to him, while in the exercise of such superintendence.
(3) When such injury is caused by reason of the negligence of any person in the service or employment of the master or employer, to whose orders or directions the servant or employee at the time of the injury was bound to conform and did conform, if such injuries resulted from his having so conformed.
(4) When such injury is caused by reason of the act or omission of any person in the service or employment of the master or employer, done or made in obedience to the rules and regulations or bylaws of the master or employer, or in obedience to particular instructions given by any person delegated with the authority of the master or employer in that behalf.
(5) When such injury is caused by reason of the negligence of any person in the service or employment of the master or employer, who has charge or control of any signal, points, locomotive, engine, electric motor, switch, car or train, upon a railway or any part of the track of a railway.
(b) The master or employer is not liable under this section, if the servant or employee knew of the defect or negligence causing the injury and failed in a reasonable time to give information thereof to the master or employer, or to some person superior to himself engaged in the service or employment of the master or employer, unless the master or employer, or such superior, already knew of such defect or negligence, nor is the master or employer liable under subdivision (a) (1) unless the defect therein mentioned arose from, or had not been discovered or remedied, owing to the negligence of the master or employer, or of some person in the service of the master or employer, and intrusted by him with the duty of seeing that the ways, works, machinery or plant were in proper condition, but in no event shall it be contributory negligence or an assumption of the risk on the part of a servant to remain in the employment of the master or employer after knowledge of the defect or negligence causing the injury, unless he be a servant whose duty it is to remedy the defect or who committed the negligent act causing the injury complained of.
(Code 1886, §2590; Code 1896, §1749; Code 1907, §3910; Acts 1911, No. 456, p. 485; Code 1923, §7598; Code 1940, T. 26, §326.)
Damages recovered by the servant or employee, of and from the master or employer, are not subject to the payment of debts or any legal liabilities incurred by him, except judgments in favor of the wholly dependent, or dependents, as defined in Section 25-5-61.
(Code 1886, §2592; Code 1896, §1750; Code 1907, §3911; Code 1923, §7599; Acts 1933, Ex. Sess., No. 126, p. 118; Code 1940, T. 26, §327.)
If such injury results in the death of the servant or employee, his personal representative is entitled to maintain an action therefor in a court of competent jurisdiction, and the damages recovered are not subject to the payment of debts or liabilities but shall be distributed according to the statute of descent and distributions.
(Code 1886, §2591; Code 1896, §1751; Code 1907, §3912; Acts 1911, No. 454, p. 483; Code 1923, §7600; Code 1940, T. 26, §328.)
No contract of employment, insurance, relief benefit or indemnity for injury or death entered into by or on behalf of any employee, nor the acceptance of any such insurance, relief benefit or indemnity by the person entitled thereto shall constitute any bar or defense to any action brought to recover damages for personal injuries to or death of such employee, but, upon the trial of such action against any employer, the defendant may set off therein any sum he has contributed toward any such insurance, relief benefit, or indemnity that may have been paid to the injured employee or, in case of death, to his personal representative.
(Code 1907, §3913; Code 1923, §7601; Code 1940, T. 26, §329.)
(a) This section shall be known as the Franchise Business Protection Act.
(b) For purposes of this section, the terms franchisee and franchisor have the same meaning as defined in 16 C.F.R. § 436.1.
(c) Except as provided in a voluntary agreement entered into between the United States Department of Labor and a franchisor, the following persons may not be deemed or construed to be employees of a franchisor:
(1) A franchisee.
(2) An employee of a franchisee.
(3) An independent contractor working for a franchisee.
(d) To the extent that this section does not conflict with federal law, this section shall only apply to the following:
(1) The enforcement or enactment of rules or ordinances by state agencies or local governmental bodies.
(2) Labor relations and collective bargaining.
(Act 2017-391, §1.)
The right to live involves the right to work. The public and working men and women must be protected. The activities of labor organizations affect the social and economic conditions of the state and the welfare of its citizens. It is declared to be the policy of this state, in the exercise of its police power and in the protection of the public interest, to promote voluntary and peaceful settlement and adjustment of labor disputes and to regulate the activities and affairs of labor organizations, their officers, agents and other representatives in the manner and to the extent provided in this article.
(Acts 1943, No. 298, p. 252, §1.)
When used in this article, the terms defined in this section shall have the meanings herein ascribed to them, unless it clearly appears from the context that some other meaning is indicated:
(1) LABOR ORGANIZATION or LABOR UNION. Every organization, association, group, union, lodge, local, branch, or subdivision thereof, whether incorporated or not, having within its membership employees working in the State of Alabama, organized for the purpose of dealing with employer or employers concerning hours of employment, rates of pay or the tenure or other terms or conditions of employment, but such term or terms shall not include any labor organization or labor union the members of which are subject to the Act of Congress known as the Railway Labor Act.
(2) LABOR DISPUTE. Any controversy concerning terms, tenure, or conditions of employment or concerning the association or representation of persons in negotiating, fixing, maintaining, changing, or seeking to arrange terms or conditions of employment, regardless of whether the disputants stand in the proximate relation of employer and employee; provided, that this definition shall not relate to a dispute between an individual worker and his employer.
(Acts 1943, No. 298, p. 252, §2.)
Except as otherwise specifically provided in this article, nothing contained in this article shall be construed to interfere with or impede or diminish in any way the right to strike or the right to individuals to work, nor shall anything in this chapter be construed so as to invade unlawfully the right to freedom of speech.
(Acts 1943, No. 298, p. 252, §13.)
The Governor may, whenever he considers it expedient, appoint a board of mediation, consisting of three members, for the purpose of gathering facts and information and hearing evidence concerning the cause of any strike, lockout, or other dispute or disagreement between employees or between any employer and his employees, for the purpose of making recommendations for the peaceable solution thereof, and, if the parties involved in such strike, lockout, or other dispute or disagreement shall in writing submit to such board such strike, lockout, or other dispute or disagreement for arbitration, which written submission must contain an agreement to abide by the determination or award of the board, then also for the purpose of arbitrating such strike, lockout, or other dispute or disagreement. One member of the board shall be a person who, on account of his previous employment or affiliations, shall be generally classified as a representative of employers. One member of the board shall be a person who, on account of his previous employment or affiliations, shall be generally classified as a representative of employees. One member of the board shall represent the interest of the public, shall not be generally classified as a representative of employers or of employees and shall be chairman of the board. The Governor may, if he so elects, serve as one of the three members thereof, in which event the Governor shall represent the interests of the public and serve as chairman of the board. Members of such board shall be paid their expenses, as provided in Article 2 of Chapter 7 of Title 36, and $20.00 per day for each day the board is necessarily in session, except, that the Governor shall not be entitled to any such per diem allowance. The board of mediation shall have the same power and authority to subpoena witnesses and to compel the production of books, records, documents, and papers as the Secretary of Labor or the members of the board of appeals have under Chapter 2 of this title, and the same power and authority to enter any place of employment, place of public assembly or public building as the Secretary of Labor has under Chapter 2 of this title. The board of mediation shall make a finding of facts and a recommendation for settling such strike, lockout, or other dispute or disagreement, and, if such strike, lockout, or other dispute or disagreement shall have been submitted for arbitration, a determination or award, which may be enforced by any circuit court in the same manner as other determinations or awards of matters submitted for arbitration. Such board shall remain in session no longer than is necessary to accomplish the purposes for which it was appointed, and in no event more than 30 days in which to make a determination, but the board shall be allowed an additional 10 days’ time to make their findings of fact and recommendation for settling such strike, lockout, or other dispute or disagreement, and, as soon as it shall have rendered its findings of fact, recommendation, determination, or award, it shall be discharged. Copies of each finding of facts, recommendation, determination, and award shall be submitted to the Governor, to the Secretary of the Department of Labor, and to each party or a representative of each party to such strike, lockout, dispute, or disagreement.
(Acts 1943, No. 298, p. 252, §6.)
(a) Every labor organization functioning in Alabama, and every labor organization hereafter desiring to function in Alabama shall, before doing so, file a copy of its constitution and its bylaws and a copy of the constitution and bylaws of the national or international union, if any, to which the labor organization belongs, with the Department of Labor, but this provision shall not be construed to require the filing of any ritual relating solely to the initiation or reception of members. All changes or amendments to the constitution or bylaws, local, national, or international, adopted subsequent to their original filing must be filed with the Department of Labor within 30 days after the adoption thereof.
(b) Every labor organization functioning in the State of Alabama and having 25 or more members in any calendar year shall file annually, on or before March 31, or, if the organization’s fiscal year does not coincide with the calendar year, within 90 days after the close of the organization’s fiscal year, with every member of their respective labor organizations and with the Secretary of the Department of Labor, a report in writing showing certain facts hereinafter required as of the close of business on the last day of the previous calendar or fiscal year. Such report shall be filed by the secretary or business agent of such labor organization and shall show the following facts:
(1) The name of the labor organization;
(2) The location of its principal office and its offices in Alabama;
(3) The name of the president, secretary, treasurer, and other officers and business agents, together with the salaries, wages, bonuses, and other remuneration paid each and post office address of each;
(4) The date of the regular election of officers of such labor organization;
(5) The number of its paid up members;
(6) A complete financial statement of all fees, dues, fines, or assessments levied and/or received, together with an itemized list of all disbursements, with the names of recipients and purpose therefor, covering the preceding 12 months; and
(7) A complete statement of all property owned by the labor organization, including any moneys on hand or accredited to such labor organization.
The report shall be duly verified by the oath of the president, secretary, or some other regularly selected and acting officer of such labor organization having knowledge of the facts therein stated. It shall be the duty of the Secretary of Labor to cause to be printed and to make available to the public forms for making such report. The Secretary of Labor shall receive, file, and index the reports provided for in this section.
(c) The records provided for in this section shall be made available by the Secretary of Labor in his or her office to the Governor of Alabama for examination.
(d) It shall be unlawful for any fiscal or other officer or agent of any labor organization to collect or accept payment of any dues, fees, assessments, fines, or any other moneys from any member while such labor organization is in default with respect to filing the annual report required in this section.
(Acts 1943, No. 298, p. 252, §7; Acts 1961, Ex. Sess., No. 262, p. 2278; Act 2013-357, p. 1285, §1.)
Every person shall be free to join or to refrain from joining any labor organization, except as otherwise provided in Section 25-7-13, and, in the exercise of such freedom, shall be free from interference by force, coercion, or intimidation, by threats of force or coercion or by the intimidation of or injury to his family.
(Acts 1943, No. 298, p. 252, §8.)
Any person who, by force or threats of violence to person or property, or who, by any means of duress prevents, or seeks to prevent, another from doing work or furnishing materials or from contracting to do work or furnish materials for or to any person engaged in any lawful business, or who disturbs, interferes with or prevents, or in any manner attempts to prevent the peaceable exercise of any lawful industry, business or calling by any other person shall, on conviction, be fined not less than $10.00 nor more than $500.00, and may also be imprisoned in the county jail or sentenced to hard labor for the county for not more than 12 months.
(Code 1886, §3763; Code 1896, §5514; Code 1907, §6856; Code 1923, §3990; Code 1940, T. 26, §336.)
It shall be unlawful for any person at any time or place, by force or the threat of force, to seek to secure or prevent attendance at any meeting or voting place at which any strike vote is taken, or to influence the vote of such employee at such meeting or voting place by the use of force, coercion or intimidation or by threat of force or coercion or by the offering of a reward or the threat of loss of employment or membership in a labor organization. Any person using such force, coercion or threats or offering of rewards or withholding of membership from labor organizations or any person encouraging, aiding or abetting in such prohibited conduct shall be guilty of a misdemeanor.
(Acts 1943, No. 298, p. 252, §13.)
It shall be unlawful for any labor organization, any labor organizer, any officer, agent, representative or member of any labor organization or any other person to collect, receive or demand, directly or indirectly, from any person, any fee, assessment or sum of money whatsoever, as a work permit or as a condition for the privilege of work; provided, however, this shall not prevent the collection of initiation fees or dues.
(Acts 1943, No. 298, p. 252, §15.)
It shall be unlawful for any executive, administrative, professional or supervisory employee to be a member in, or to be accepted for membership by, any labor organization, the constitution and bylaws of which permit membership to employees other than those in executive, administrative, professional or supervisory capacities or which is affiliated with any labor organization which permits membership to employees other than those in an executive, administrative, professional or supervisory capacity. The provisions of this section shall not be construed so as to interfere with or void any insurance contract in existence and in force on June 29, 1943.
(Acts 1943, No. 298, p. 252, §16.)
Any union or association of workingmen may adopt and use a label or device for the purpose of designating and distinguishing any goods, wares, or merchandise or other product of the labor of the association or union of workingmen or of a member or members of the association or union. A copy of any such label or device may be filed in the office of the Secretary of State upon payment of a fee of $1.00.
(Code 1907, §4876; Code 1923, §8990; Code 1940, T. 26, §330.)
The provisions of this article shall be cumulative of all other laws in force on June 29, 1943, upon the subject, and, in the event of a conflict between laws in force on June 29, 1943, and the provisions of this article, then and in that event the provisions, offenses, and punishments set forth in this article shall prevail over such laws.
(Acts 1943, No. 298, p. 252, §19.)
If any labor organization violates any provision of this article, it shall be penalized civilly in a sum not exceeding $1,000.00 for each such violation, to be recovered as a penalty in the circuit court of the county in which the violation occurred, the action being brought in the name of the State of Alabama by the district attorney of the circuit in which the violation occurred, and it shall be the duty of the district attorney of any circuit in which any such violation occurs to institute and prosecute such action. The doing of any act forbidden or declared unlawful by the provisions of this article, except where a penalty is specifically provided in this article, or the commission of any offense declared in this article to be a misdemeanor shall constitute a misdemeanor and shall be punishable by a fine not exceeding $500.00, by imprisonment at hard labor for not more than 12 months, or by both.
(Acts 1943, No. 298, p. 252, §18.)
It is hereby declared to be the public policy of Alabama that the right of persons to work shall not be denied or abridged on account of membership or nonmembership in any labor union or labor organization.
(Acts 1953, No. 430, p. 535, §1.)
Any agreement or combination between any employer and any labor union or labor organization whereby persons not members of such union or organization shall be denied the right to work for said employer, or whereby such membership is made a condition of employment or continuation of employment by such employer, or whereby any such union or organization acquires an employment monopoly in any enterprise, is hereby declared to be against public policy and an illegal combination or conspiracy.
(Acts 1953, No. 430, p. 535, §2.)
No person shall be required by an employer to become or remain a member of any labor union or labor organization as a condition of employment or continuation of employment.
(Acts 1953, No. 430, p. 535, §3.)
No person shall be required by an employer to abstain or refrain from membership in any labor union or labor organization as a condition of employment or continuation of employment.
(Acts 1953, No. 430, p. 535, §4.)
No employer shall require any person, as a condition of employment or continuation of employment, to pay any dues, fees, or other charges of any kind to any labor union or labor organization.
(Acts 1953, No. 430, p. 535, §5.)
Any person who may be denied employment or be deprived of continuation of his employment in violation of Sections 25-7-32, 25-7-33, or 25-7-34 or of one or more of such sections, shall be entitled to recover from such employer and from any other person, firm, corporation, or association acting in concert with him by appropriate action in the courts of this state such damages as he may have sustained by reason of such denial or deprivation of employment.
(Acts 1953, No. 430, p. 535, §6.)
The provisions of this article shall not apply to any lawful contract in force on August 28, 1953, but they shall apply in all respects to contracts entered into after August 28, 1953, and to any renewal or extension of an existing contract.
(Acts 1953, No. 430, p. 535, §7.)
(a) For purposes of this section, the following words have the following meanings:
(1) ECONOMIC DEVELOPMENT INCENTIVE. A grant, loan, or tax credit provided by a state or local government to an employer, not including any incentive made pursuant to Article 13 of Chapter 23 of Title 41.
(2) EMPLOYEE. An individual who performs services for an employer for wages that are subject to withholding requirements under 26 U.S.C. § 3402.
(3) EMPLOYER. A person or entity that voluntarily pursues an economic development incentive and enters into an agreement with a state or local government for the purpose of receiving the incentive.
(4) LABOR ORGANIZATION. The same meaning as provided in Section 25-7-2.
(5) PERSONAL CONTACT INFORMATION. An individual’s home address, home phone number, cell phone number, or personal email address.
(6) PROJECT. The activity or enterprise for which an employer receives an economic development incentive.
(7) SECRET BALLOT ELECTION. A process conducted by an agent of the National Labor Relations Board in which an employee casts a secret ballot for or against labor organization representation.
(8) SUBCONTRACTOR. A person that has contracted with an employer to perform work or provide services.
(b) No employer shall be eligible to receive an economic development incentive for a project if the employer does any of the following:
(1) Voluntarily grants recognition rights for the employer’s employees solely and exclusively on the basis of signed labor organization authorization cards if the selection of a bargaining representative may be conducted through a secret ballot election.
(2) Voluntarily discloses an employee’s personal contact information to a labor organization or third party acting on behalf of a labor organization without the employee’s prior written consent, unless otherwise required by state or federal law.
(3) Requires a subcontractor to engage in activities prohibited by subdivision (1) or (2).
(c) An employer that engages in any activity prohibited by subsection (b) which has received an economic development incentive for any project shall be required to repay all economic development incentives received over the life of the project.
(d) Subsection (b) shall not apply to any employer or subcontractor that does not directly receive an economic development incentive.
(e) This section shall not apply to any agreement between the state and an employer, or between a county or municipality and an employer, executed prior to January 1, 2025.
(f) This section shall not apply to any employer with a collective bargaining unit where an employer, as of May 13, 2024, has entered into a collective bargaining agreement for that collective bargaining unit with a labor organization or to which a secret ballot election has already occurred under applicable federal law.
(g) The Alabama Department of Revenue or administering agency of the incentive may investigate potential violations of subsection (b) and enforce this section.
(Act 2024-340, §1.)
This article shall be known and cited as the Alabama Uniform Minimum Wage and Right-to-Work Act.
(Act 2016-18, §1.)
(a) For purposes of this article, the following words have the following meanings:
(1) DISCRIMINATION. An action by an employer or a distinction by an employer that adversely affects an employee or job applicant based on a group, class, or category to which that person belongs.
(2) EMPLOYEE. An individual employed in this state by an employer or a natural person who performs services for an employer for valuable consideration and does not include a self-employed independent contractor.
(3) EMPLOYER. A person engaging in any activity, enterprise, or business in this state employing one or more employees, or a person, association, or legal or commercial entity receiving services from an employee or independent contractor and, in return, giving compensation of any kind to such employee or independent contractor.
(4) FEDERAL LABOR LAWS. The National Labor Relations Act, compiled in 29 U.S.C., Section 151 et seq., and the Labor Management Relations Act, compiled in 29 U.S.C., Section 141 et seq., as amended, presidential executive orders, and federal administrative regulations relating to labor and management or employee and employer issues, and the United States Constitution, as amended.
(5) INDEPENDENT CONTRACTOR. A self-employed individual who does not meet the definition of employee, as provided in this article, but otherwise does meet the definition of independent contractor as defined by the Internal Revenue Service.
(6) LABOR PEACE AGREEMENT. An arrangement between a union and employer under which one or both entities agree to waive certain rights under federal law with regard to union organizing and related activity.
(7) MULTI-EMPLOYER ASSOCIATION. A bargaining unit composed of independent employers who associate together to negotiate jointly with one or more labor organizations representing the employees of the independent employers within the bargaining unit.
(8) PROJECT LABOR AGREEMENT. A collective bargaining agreement with one or more labor unions that establishes the terms and conditions of employment for a specific construction project before employees are hired to work on such project.
(9) STATE. The State of Alabama and its agencies, departments, commissions, bureaus, and offices including, but not limited to, the Legislature.
(b) A county, municipality, or any other political subdivision of this state shall not enact or administer any ordinance, policy, rule, or other mandate requiring an employer to provide any employee, class of employees, or independent contractor with any employment benefit, including, but not limited to, paid or unpaid leave, vacation, wage, or work schedule, that is not required by state or federal law, and shall not require an employer to compensate an employee, class of employees, or independent contractor for any vacation or other form of leave for which state or federal law does not require the employee, class of employees, or independent contractor to be compensated.
(c) Any ordinance, policy, rule, or other mandate of a county, municipality, or any other political subdivision of this state that is inconsistent with this section is void.
(Act 2016-18, §2.)
(a) A county, municipality, or any other political subdivision of this state shall not enact or administer any ordinance, rule, policy, or other mandate that creates requirements, regulations, or processes relating to labor peace agreements or similar agreements. Any ordinance, policy, rule, or other mandate of a county, municipality, or any other political subdivision of this state that is inconsistent with this section is void.
(b)(1) No law, rule, or ordinance shall impose any contractual, zoning, permitting, licensing, or other condition that requires any employer or employee to waive his or her rights under the National Labor Relations Act, compiled in 29 U.S.C. § 151 et seq.
(2) No law, rule, regulation, or ordinance shall require, in whole or in part, any employer or multi-employer association to accept or otherwise agree to any provisions that are mandatory or non-mandatory subjects of collective bargaining under federal labor laws, including, but not limited to, any limitations on an employer or multi-employer association’s rights to engage in collective bargaining with a labor organization, to lock out employees, or to operate during a work stoppage; provided, this subsection shall not invalidate or otherwise restrict the state from requiring the use of project labor agreements to the extent permissible under federal labor laws.
(3) This subsection shall be interpreted and enforced in a manner that is consistent with the National Labor Relations Act, compiled in 29 U.S.C. § 151 et seq.
(4) Any agreement, contract, understanding, or practice, written or oral, implied or expressed, between any employer and any labor organization containing requirements in violation of this subsection is declared to be unlawful, null and void, and of no legal effect.
(5) An employer or employee may seek injunctive relief in the Circuit Court of Montgomery County for violations of the provisions of this section.
(c)(1) The state shall retain the exclusive authority to require an employer or multi-employer association to enter into a project labor agreement.
(2) This subsection does not prohibit an employer or any other person covered by the National Labor Relations Act, compiled in 29 U.S.C., Section 151, from entering into project labor agreements or engaging in any other activity protected by law. This subsection may not be interpreted to interfere with the labor relations of persons covered by the National Labor Relations Act.
(3) Relief that would interfere with the labor relations of persons covered by the National Labor Relations Act may not be granted under the provisions of this subsection.
(Act 2016-18, §3.)
Notwithstanding any provision of this article to the contrary, nothing in this article shall apply to those state employers or employees in state service as defined in Section 36-26-2, or to public employers and employees of state or local educational institutions or systems, or to any ordinance, rule, policy, or other mandate enacted by a county, municipality, or political subdivision of this state relating specifically to public employees or a class of employees employed by or independent contractors hired by the county, municipality, or any other political subdivision.
(Act 2016-18, §4.)
If a court determines that any portion of this article cannot be applied to a particular county, municipality, or other political subdivision of this state, this article shall remain in full force and effect for every other county, municipality, and other political subdivision of this state.
(Act 2016-18, §5.)
(a) The purpose of this section is to establish within the Legislature complete control over regulation and policy pertaining to collective bargaining under federal labor laws or the wages, leave, or other employment benefits provided by an employer to an employee, class of employees, or independent contractor in order to ensure that such regulation and policy is applied uniformly throughout the state.
(b) Except as otherwise provided in this article or as expressly authorized by a statute of this state, the Legislature hereby occupies and preempts the entire field of regulation in this state touching in any way upon collective bargaining under federal labor laws or the wages, leave, or other employment benefits provided by an employer to an employee, class of employees, or independent contractor to the complete exclusion of any policy, ordinance, rule, or other mandate promulgated or enforced by any county, municipality, or other political subdivision of this state.
(c) The authority of a county, municipality, or other political subdivision of this state to regulate collective bargaining under federal labor laws or the wages, leave, or other benefits provided by an employer to an employee, class of employees, or independent contractor shall not be inferred from its proprietary authority, home rule status, or any other inherent or general power.
(d) Any existing policies, ordinances, rules, or other mandates promulgated or enforced contrary to the terms of this section are null and void, and any future policy, ordinance, rule, or other mandate shall comply with this section.
(Act 2016-18, §6.)
A grievance or dispute between an employer and his employees may be submitted to a local board of arbitrators, consisting of three persons, for hearing and settlement. When the employees concerned are members in good standing of a labor organization, one arbitrator may be appointed by such organization and one by the employer. The two so designated shall appoint a third, who shall be chairman of the board. If such employees are not members of a labor organization, a majority thereof at a meeting duly called for that purpose may designate one arbitrator for such board.
(Acts 1911, No. 234, p. 320; Code 1923, §7608; Code 1940, T. 26, §338.)
Before entering upon his duties, each arbitrator so selected shall sign a consent to act and take and subscribe an oath to faithfully and impartially discharge his duties as such arbitrator, which consent and oath shall be filed in the office of the clerk of the circuit court of the county or counties where the controversy arose. When such board is ready for the transaction of business, it shall select one of its members to act as secretary, and notice of the time, place, and hearing shall be given to the parties to the controversy. The local board may, through its chairman, subpoena witnesses, compel their attendance, and take and hear testimony as is provided in Section 25-7-4 for the board of mediation.
(Acts 1911, No. 234, p. 320; Code 1923, §7609; Code 1940, T. 26, §339.)
Each member of such local board shall receive as compensation for his services, $4.00 for each day actually engaged in such hearing.
(Acts 1911, No. 234, p. 320; Code 1923, §7610; Code 1940, T. 26, §340.)
The local board shall, within 10 days after the close of the hearing, render a written decision signed by them, giving such details as clearly show the nature of the controversy and the questions decided by them. One copy of the decision shall be filed in the office of the clerk of the circuit court of the county or counties where the controversy arose. One copy shall be forwarded to the Department of Labor, to the Governor, and to each of the parties to the controversy.
(Acts 1911, No. 234, p. 320; Code 1923, §7611; Code 1940, T. 26, §341.)
The witness fees and the fees of the local arbitrators as provided in this article shall be taxed against the parties to said arbitrations equally.
(Acts 1911, No. 234, p. 320; Code 1923, §7613; Acts 1939, No. 161, p. 232; Code 1940, T. 26, §342.)
The Legislature has found that Alabama law has not kept pace with federal standards regulating the employment of minors to the extent that it has become increasingly difficult for employers to comply with conflicting state and federal child labor requirements.
Accordingly, numerous changes are necessary to make the child labor laws of Alabama compatible with the United States Department of Labor regulations governing the employment of minors in nonagricultural occupations. Similarly, there is also a need to remove anachronistic language and make clarifications to existing standards.
In view of the foregoing findings, the Legislature through this chapter intends to do all of the following:
(1) Conform with 17 federal hazardous orders.
(2) Remove exemptions for domestic service and the grading or handling, or both, of agricultural products.
(3) Add a restriction for occupations which involve working at heights exceeding six feet, as well as working in junk yards, scrap metal yards, or lumber yards.
(4) Set hour restrictions which coincide with federal law for 14- and 15-year-olds.
(5) Clarify waiver of school attendance which allows 14- and 15-year-olds to work until 9:00 p.m.
(6) Require employers to post hour restrictions and work schedules for employees under 18 years of age, and add a meal break requirement for 14- and 15-year-olds.
(7) Increase age requirements from 12 to 14 years of age to sell items on streets, and from 10 to 12 years of age to deliver newspapers.
(8) More clearly define prohibited occupations and places of employment for minors under 18 years of age.
(9) Prohibit persons under 18 years of age from performing nude or partially nude in any business establishment.
(10) Exempt federally funded summer youth program personnel from obtaining work permits.
(11) Add a “whistleblower” provision protecting employees and other individuals from being discriminated against as a result of disclosing information, making a charge, or refusing to obey an illegal order.
(12) Increase the penalty for street trades violations from ten dollars ($10) to fifty dollars ($50) to one hundred dollars ($100) to five hundred dollars ($500) per violation.
(13) Require reporting of names of child models under 18 years of age, placing responsibility on employers and parents for the care and schooling of the child and for ensuring that school performance will not suffer due to a child working.
(Acts 1995, No. 95-604, p. 1263, §1; Act 2009-565, p. 1654, §3.)
For purposes of this chapter, the following words and phrases have the following meanings:
(1) DEPARTMENT. The Department of Workforce.
(2) EMPLOY. To permit or suffer to work with or without compensation.
(3) EMPLOYEE. Any individual employed by an employer, but shall not include an individual engaged in the activities of an educational, charitable, religious, scientific, historical, literary, or nonprofit organization where the employer-employee relationship does not in fact exist or where the services rendered are on a voluntary basis.
(4) EMPLOYER. Any owner or any individual, entity, franchise, corporation, or division of a corporation, government agency, or association of persons acting directly as, in behalf of, or in the interest of any employer in relation to employees, including the state and any political subdivision thereof.
(5) SECRETARY. The Secretary of the Department of Workforce.
(6) VIOLATION. A failure by an employer, officer, agent, or any other person to comply with any applicable provision of the child labor law.
(Act 2009-565, p. 1654, §1; Act 2012-231, p. 424, §1; Act 2024-352, §1.)
(a) The Child Labor Administrative Trust Fund is established in the State Treasury into which shall be deposited certain assessments under this chapter collected by the department. The fund shall constitute a separate fund to be disbursed by the state Comptroller on order of the secretary. For two years following May 19, 2009, the child labor division of the department shall be funded from the State General Fund after which expenses incurred by the child labor division of the department under the child labor law, including the salaries of all employees, travel cost, and costs of administration and enforcement as may become necessary, either within or without the state, shall be paid from the trust fund in the State Treasury upon warrants of the state Comptroller drawn upon the State Treasury from time to time when vouchers therefor are approved by the secretary. For the two years referred to in the previous sentence, the amount contributed from the State General Fund in each of those years for expenses incurred by the child labor division shall not exceed the fiscal year 2009 amount of General Fund money funding this division. The State Treasurer shall pay moneys from the separate fund upon the order of the secretary. The total expense for every purpose incurred shall not exceed the total assessment collected and paid into the fund. No funds shall be withdrawn or expended except those budgeted and allocated in accordance with Article 4, commencing with Section 41-4-80, of Chapter 4 of Title 41. All moneys remaining unexpended in the separate fund at the end of the fiscal year shall remain in the State Treasury to be expended as herein provided.
(b) The State Treasurer shall determine if the money in the trust fund shall be kept in cash or invested. The moneys in the fund may be invested by the State Treasurer and all moneys and interest remaining unexpended in the separate fund provided at the end of the fiscal year shall remain in the State Treasury to be expended as herein provided.
(c) The secretary is designated as trustee of the fund and the State Treasurer is designated as custodian of the fund, and both shall furnish bonds in amounts deemed appropriate. The cost of bonds for the trustee, custodian, and other employees or officials required to post bond in connection with the program shall be paid out of the fund.
(d) The department shall provide by rule for the collection of the amounts assessed against each person, entity, franchise, corporation, or division of a corporation. The amounts shall be paid at the time of application for the Class I and Class II Child Labor Certificates.
(e) All money collected pursuant to this section, with the exception of civil penalties, shall be deposited in the Child Labor Administrative Trust Fund. Civil penalties collected pursuant to Section 25-8-59 shall be distributed as provided in Section 25-8-59.
(Act 2009-565, p. 1654, §2.)
(a) No individual under 16 years of age shall be employed, except in agricultural service, and except as otherwise provided in this chapter. Any individual 14 or 15 years of age may be employed outside school hours and during school vacation periods, so long as the individual is not employed in, about, or in connection with, any manufacturing or mechanical establishment, cannery, mill, workshop, warehouse, or machine shop or in any occupation or place of employment otherwise prohibited by law. The presence of any individual under 18 years of age in any restricted business establishment or restricted occupation shall be prima facie evidence of his or her employment in the business establishment or occupation.
(b)(1) This section does not apply to an individual 14 years of age or 15 years of age when both of the following are true:
a. The individual is enrolled in either a youth pre-apprenticeship program, youth industry-registry apprenticeship program, or similar program in which employment and work-based learning are an integral part of the course of study.
b. The program the individual is enrolled in is registered by the Alabama Office of Apprenticeship.
(2) This section does not apply to employment procured by an individual 14 years of age or 15 years of age when the employment is supervised through the Alabama Department of Education and approved by the Alabama Department of Labor.
(Acts 1919, No. 629, p. 867; Code 1923, §3494; Code 1940, T. 26, §343; Acts 1947, No. 613, p. 460, §1; §25-8-1; Acts 1995, No. 95-604, p. 1263, §2; Act 2012-231, p. 424, §1; Act 2019-527, §4.)
The Alabama Department of Labor, hereinafter referred to as “the department,” may declare any place or occupation dangerous to life or limb or injurious to health or morals of persons under 18 years of age.
(Acts 1995, No. 95-604, p. 1263, §3; Act 2000-706, p. 1479, §1.)
(a) No individual under 16 years of age shall be employed, permitted, or suffered to work at any of the following occupations, positions, or places:
(1) Operating or assisting in operating any sandpaper or wood polishing machinery, any washing, grinding, or mixing machinery, or commercial laundry equipment.
(2) Operating or assisting in operating any machines used in picking wool, cotton, hair, or any other material.
(3) In any work in or about a rolling mill, machine shop, or manufacturing establishment which is hazardous or dangerous to health, limb, or life.
(4) In proximity to any hazardous or unguarded gearing.
(5) Upon any vessel or boat engaged in navigation or commerce within the jurisdiction of this state.
(6) In the manufacture or packing of paints, colors, or white or red lead.
(7) In occupations causing dust in injurious quantities.
(8) In soldering, brazing, heat treating, or welding.
(9) In the building trades, except that individuals 14 or 15 years of age who are members of the immediate family of the contractor may be employed in trades involving nonhazardous duties or occupations.
(10) Repairing, painting, or cleaning buildings or structures while working at the top of ladders, lifts, or scaffolds exceeding a height of six feet.
(11) In connection with a junk or scrap metal yard.
(12) Assorting, manufacturing, or packing tobacco.
(13) Operating any automobile, truck, or motor vehicle, or flagging or directing traffic.
(14) In airport hangars or landing strips or taxi and maintenance aprons.
(15) In connection with any lumberyard.
(16) In any place or occupation which the department declares dangerous to life or limb or injurious to the health or morals of individuals under 16 years of age.
(17) Selling of fireworks, unless under the direct supervision of an individual at least 18 years of age.
(b)(1) This section does not apply to an individual 14 years of age or 15 years of age when both of the following are true:
a. The individual is enrolled in either a youth pre-apprenticeship program, youth industry-registry apprenticeship program, or similar program in which employment and work-based learning are an integral part of the course of study.
b. The program the individual is enrolled in is registered by the Alabama Office of Apprenticeship.
(2) This section does not apply to employment procured by an individual 14 years of age or 15 years of age when the employment is supervised through the Alabama Department of Education and approved by the Alabama Department of Labor.
(Acts 1995, No. 95-604, p. 1263, §4; Act 2009-565, p. 1654, §3; Act 2019-527, §4.)
(a) No person 14 or 15 years of age shall be employed, permitted, or suffered to work in any gainful occupation for more than six days in any one week, or for more than 40 hours in any one week, or for more than eight hours in any one day, or before 7:00 a.m. or after 9:00 p.m. during school summer vacation. During the time school is in regular session, no person 14 or 15 years of age shall be employed, permitted, or suffered to work in any gainful occupation for more than six days in any one week, or for more than eight hours on a non-school day, or more than three hours on a school day, or for more than 18 hours in any school week, and not before 7:00 a.m. or after 7:00 p.m.
(b) No person 16, 17, or 18 years of age, who is enrolled in any public or private primary or secondary school system, shall work between 10:00 p.m. and 5:00 a.m. on any night preceding a school day. The appropriate county or city superintendent of schools, or where there is no superintendent, the school headmaster, may grant exemptions to the above time restrictions. Exemptions shall be granted only when the individual circumstances are found to be in the best interests of the minor. Information of any exemptions granted shall be transmitted to a child labor inspector on a form authorized by him or her.
(Acts 1995, No. 95-604, p. 1263, §5; Act 2000-706, p. 1479, §1.)
(a) No person under 16 years of age shall be employed, permitted, or suffered to work in any occupation during the hours in which the public schools of the district in which the person resides are in session, unless the minor has completed the course of study required for secondary schools. Persons 14 or 15 years of age, when school attendance has been waived, upon recommendation of the local superintendent of education and approval by a child labor inspector, may be permitted to work in a nonhazardous occupation.
(b) Employment authorized by this section shall not be for more than eight hours in any one day, or for more than 40 hours in any one week, or for more than six days in any one week, and not before 7:00 a.m. or after 9:00 p.m.
(Acts 1995, No. 95-604, p. 1263, §6; Act 2000-706, p. 1479, §1; Act 2009-565, p. 1654, §3.)
(a) Every employer shall keep posted in a conspicuous place where any person under 19 years of age is employed, a printed notice stating the maximum number of hours persons under 19 may be permitted to work on each day of the week as set out in Section 25-8-36. The printed form of the notice shall be furnished by the department. The employment of any person for a longer time period in any day so stated, or at any time other than as stated in the printed form of notice, shall be deemed a violation of this chapter.
(b) Subject to subsection (c), each employer shall keep on the premises at which any person under 19 years of age is employed a completed Employee Information Form and proof of age. Each employer shall also keep on the premises at which any person under 19 years of age is employed, in electronic or photostatic form, time records for the 60 days preceding the last day of the last work period recorded for each employee under 19 years of age, which shall state the number of hours worked each day, starting and ending times, and break times. Each employer shall also maintain, either on the premises where the employee under 19 years of age is employed or at a centralized location, the records required by this section for not less than 1 year preceding the last day of the last work period recorded for each employee under 19 years of age.
(c) For the purposes of this section, the Employee Information Form shall be provided by the department and shall include the employee’s name, home address, telephone number, date of birth, date of hire, and school of attendance. Any employer who does not utilize the Employee Information Form shall maintain on the premises documents containing the employee’s name, home address, telephone number, date of birth, date of hire, and school of attendance for each employee under 19 years of age.
(d) For the purposes of this section, documentation of proof of age may include a copy of a birth certificate, a copy of a driver’s license, or an identification card issued by a federal, state, or local government agency provided the identification card contains the name and date of birth of the employee.
(e) No person 14 or 15 years of age shall be employed for more than five hours continuously without a documented interval of at least 30 minutes for a meal or rest period. Any meal or rest period of less than 30 minutes shall not be considered to interrupt a continuous period of work.
(f) Any employer required to obtain a Child Labor Certificate from the department shall keep the certificate posted at a public and conspicuous location at all times.
(Acts 1995, No. 95-604, p. 1263, §7; Act 2009-565, p. 1654, §3; Act 2012-231, p. 424, §1.)
(a) No person under 14 years of age shall distribute, sell, expose, or offer for sale newspapers, magazines, periodicals, candy, or other articles, be employed or permitted or suffered to work in any other trade or occupation performed in any street or public place.
(b) The following organizations are exempt from the requirements of subsection (a): Educational, charitable, religious, scientific, historical, literary, or nonprofit organizations where the employer-employee relationship does not, in fact, exist or where the services rendered to such organization are on a voluntary basis or any other activity as designated by the commissioner.
(Acts 1995, No. 95-604, p. 1263, §8; Act 2009-565, p. 1654, §3.)
(a) No person under 16 years of age shall engage in any of the occupations mentioned in Section 25-8-39 after 7:00 p.m. or before 5:00 a.m. of any day.
(b) No person, entity, franchise, corporation, or division of a corporation shall employ, permit, or suffer a minor under 16 years of age to work at any of the occupations mentioned in Section 25-8-39 after 7:00 p.m. or before 5:00 a.m. of any day.
(Acts 1995, No. 95-604, p. 1263, §9; Act 2009-565, p. 1654, §3.)
[Repealed]
Repealed by Act 2009-565, p. 1654, §4, effective May 19, 2009.
(Acts 1995, No. 95-604, p. 1263, §10.)
Any person who engages in any street occupation in violation of Sections 25-8-39, 25-8-40, or 25-8-41 may be deemed delinquent and brought before any court having jurisdiction over juvenile delinquents.
(Acts 1995, No. 95-604, p. 1263, §11.)
(a) No individual under 18 years of age shall be employed or permitted or suffered to work at any of the following occupations, positions, or places:
(1) In or about or in connection with any mine, coke breaker, coke oven, or quarry in any capacity.
(2) In wrecking, demolition, and shipbreaking.
(3) In any tunnel or excavation with a depth of four feet or more.
(4) In any roofing, scaffolding, or sandblasting operations.
(5) Operating or driving any truck or heavy equipment over three tons gross weight.
(6) In logging or around any sawmill, lath mill, shingle, or cooperage-stock mill.
(7) Operating any power-driven woodworking, bakery, or paper-products machinery.
(8) Upon any steam, electric, diesel, hydraulic, or other railroad.
(9) As firefighters.
(10) Operating any stamping machines used in sheet metal or tin ware, or in paper or leather manufacturing, or washer or nut factories.
(11) In or around any steam boiler or rolling mill machinery.
(12) Operating any power-driven metal forming, cutting, straightening, drawing, punching, or shearing machines.
(13) Operating or assisting in operating any elevators, open-freight elevators, cranes, derricks, or other power-driven hoisting apparatus, with the exception of an unattended automatic passenger elevator.
(14) Operating any paper cutting, stapling, corrugating, or punching machines.
(15) Assembling, adjusting, cleaning, oiling, or servicing machinery in motion.
(16) Operating any circular saws, band saws, or guillotine shears.
(17) In or around any distillery where alcoholic beverages are manufactured, bottled, wrapped, or packed.
(18) In the manufacture, storage, or transportation of explosive components.
(19) In the manufacturing of brick, tile, or similar products.
(20) In the manufacture or transportation of dangerous or toxic chemicals or compounds.
(21) In, about, or in connection with, poisonous dyes, dangerous or poisonous gases, compositions of lye in dangerous quantities, dangerous or poisonous acids, or pesticides.
(22) In any activity involving exposure to radioactive substances or ionizing radiation.
(23) Around asbestos or any other cancer-causing agents.
(24) Operating or assisting in operating any job, cylinder, or offset printing presses.
(25) In any activity involving slaughtering, butchering, and meat cutting.
(26) In any place or occupation which the department may declare dangerous to life or limb or injurious to the health or morals of individuals under 18 years of age.
(b) This section shall not apply to individuals 16 or 17 years of age enrolled in work-study, student-learner, cooperative education, youth registered apprentice programs, youth industry registry apprenticeship programs, or similar programs in which employment and work-based learning are an integral part of the course of study and are registered by the Alabama Office of Apprenticeship or to employment procured and supervised through the Alabama Department of Education and approved by the Alabama Department of Labor.
(Acts 1995, No. 95-604, p. 1263, §12; Act 2000-706, p. 1479, §1; Act 2019-527, §4.)
(a) No person under the state legal drinking age shall be employed to serve or dispense alcoholic beverages in any establishment where alcoholic beverages are sold, served, or dispensed for consumption on the premises.
(b) No person under 16 years of age shall be employed in any establishment where alcoholic beverages are sold, served, or dispensed for consumption on the premises. Notwithstanding the foregoing, this section shall not prohibit the employment of persons 16 years of age or older as busboys, dishwashers, janitors, cooks, hostesses, or seaters restricted to leading patrons to seats; nor the employment of persons under 18 years of age as professional entertainers.
(c) Members of the immediate family of the owner or operator who are 14 or 15 years of age may be employed in such establishments provided they do not serve, sell, dispense, or handle alcoholic beverages.
(d) No person under 18 years of age shall be employed in any adult establishment or perform in any establishment, nude or nearly nude, in a manner or attire as to expose any portion of the pubic area, buttocks, anus, anal cleft, vulva, or genitals, or any simulation thereof, or show the covered male genitals in a discernible turgid state, or be attired in a manner as to expose to view the portion of the breast below the top of the areola or any simulation thereof. For the purposes of this subsection, an adult establishment includes, but is not limited to, an adult live entertainment business, an adult arcade, an adult bookstore, an adult cabaret, an adult movie theater, an adult toy store, an adult video store, a body shampooing business, an escort agency, a massage parlor, a nude model studio, a lingerie modeling studio, or any combination of the foregoing.
(Acts 1995, No. 95-604, p. 1263, §13; Act 2012-231, p. 424, §1.)
AMENDED BY ACT 2026-539, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) No individual, entity, franchise, corporation, or division of a corporation shall employ, permit, or suffer to work any minor 14 or 15 years of age in any occupation, except in agricultural service, unless the individual, entity, franchise, corporation, or division of a corporation procures and keeps on file, for the inspection by the officials charged with the enforcement of this chapter, a complete list of those individuals 14 or 15 years of age employed by the employer.
(b) Any individual, entity, franchise, corporation, or division of a corporation that wishes to employ, permit, or suffer to work any minor 14 or 15 years of age in any occupation, except in agricultural service, shall obtain a Class I Child Labor Certificate from the department for each location where an individual, entity, franchise, corporation, or division of a corporation wishes to employ a minor 14 or 15 years of age. The employment shall be in accordance with this chapter.
(c) The certificate shall allow the employment of minors 14 or 15 years of age to work only outside of school hours or during vacation periods and only in occupations not prohibited by this chapter for individuals of these ages.
(d) The employment of a minor 14 or 15 years of age shall be revoked or suspended by the department if the minor’s regular school attendance and performance record is not satisfactory to the head administrator, or, if home schooled, an instructor of the school that the minor attends. The revocation or suspension shall be processed by the department upon notification by the school.
(e) Any individual, entity, franchise, corporation, or division of a corporation that wishes to employ, permit, or suffer to work any minor 16 or 17 years of age in any occupation, except in agricultural service, shall obtain a Class II Child Labor Certificate from the department for each location where an individual, entity, franchise, corporation, or division of a corporation wishes to employ a minor 16 or 17 years of age. The employment shall be in accordance with this chapter.
(f) The department shall issue Class I and Class II Child Labor Certificates to any individual, entity, franchise, corporation, or division of a corporation that applies to the department. The fee for a Class I or Class II Child Labor Certificate shall be fifteen dollars ($15). The certificates shall be issued annually.
(g)(1) The application for the child labor certificate shall contain all of the following information specific to the location of the minor’s employment:
a. The name, address, and telephone number of the individual, entity, franchise, corporation, or division of a corporation that wishes to employ, permit, or suffer to work any minor.
b. The type of business or entity, the federal employer identification number, the names of all incorporators, owners, members, or partners of the business or entity.
c. Any other information as required by department rule.
(2) The Class I and Class II Child Labor Certificates shall contain all of the following information:
a. The name of the employer.
b. The type of business the employer maintains.
c. Any other information as required by department rule.
(3) If an individual, entity, franchise, corporation, or division of a corporation employs a minor between 14 and 17 years of age without a proper child labor certificate, the individual, entity, franchise, corporation, or division of a corporation shall pay a penalty of fifty dollars ($50) and then shall obtain a certificate in the proper manner.
(4) The parent or guardian of a minor who is 14 or 15 years of age and employed by an individual, entity, franchise, corporation, or division of a corporation shall notify the minor’s head administrator, counselor, or if home schooled, an instructor of the school which the minor attends of the name, address, and telephone number of the person, entity, franchise, corporation, or division of a corporation employing the minor.
(Acts 1995, No. 95-604, p. 1263, §14; Act 2009-565, p. 1654, §3; Act 2024-352, §1.)
[Repealed]
REPEALED BY ACT 2024-352, EFFECTIVE JUNE 1, 2024.
(Acts 1995, No. 95-604, p. 1263, §15; Act 2009-565, p. 1654, §3.)
[Repealed]
Repealed by Act 2009-565, p. 1654, §4, effective May 19, 2009.
(Acts 1995, No. 95-604, p. 1263, §16.)
[Repealed]
Repealed by Act 2009-565, p. 1654, §4, effective May 19, 2009.
(Acts 1995, No. 95-604, p. 1263, §17.)
[Repealed]
Repealed by Act 2009-565, p. 1654, §4, effective May 19, 2009.
(Acts 1995, No. 95-604, p. 1263, §18.)
[Repealed]
Repealed by Act 2009-565, p. 1654, §4, effective May 19, 2009.
(Acts 1995, No. 95-604, p. 1263, §19.)
Any official charged with the enforcement of this chapter may cancel any child labor certificate found to be illegally or improperly obtained. When the certificate is cancelled, the employer shall be notified, and thereafter it shall be unlawful to employ minors under that certificate. A minor may be re-employed after a new child labor certificate is properly issued in accordance with this chapter.
(Acts 1995, No. 95-604, p. 1263, §20; Act 2009-565, p. 1654, §3.)
The department shall have the right to enter, without prior notice or warrant, any business establishment for the purpose of routine inspections. These visits shall be conducted as frequently as needed to insure that minors are employed in compliance with this chapter. The department shall enforce this chapter and may assess civil penalties or institute criminal prosecution for any violation of this chapter.
(Acts 1995, No. 95-604, p. 1263, §21; Act 2012-231, p. 424, §1.)
Every school attendance officer shall report to the department every known violation of this chapter. School attendance officers shall have the same right of access to and inspection of establishments where minors are or may be employed or detained as is given by law to the department. A report of every entry and inspection of those establishments shall be made to the department. School attendance officers, when authorized by the department, may institute prosecutions.
(Acts 1995, No. 95-604, p. 1263, §22.)
Every person, firm, or corporation owning or controlling any establishment wherein minors are employed shall keep the establishment in a sanitary condition and properly ventilated, and shall provide suitable and convenient restrooms, separate for each sex, and in the number and locations required by the department. When 20 or more persons are employed, sanitary drinking fountains shall be provided in the number the department deems necessary. All restrooms shall be maintained inside the establishments, except in situations in which it is impracticable, in the opinion of the department.
(Acts 1995, No. 95-604, p. 1263, §23.)
The department shall inspect thoroughly every establishment wherein persons subject to this chapter are employed and shall issue a written order for the correction of unsanitary or unhealthy conditions in those establishments and shall report those conditions to public health officials.
(Acts 1995, No. 95-604, p. 1263, §24.)
The department shall remove from any establishment any minor found employed or working, contrary to law, or who is afflicted with any infectious, contagious, or communicable disease, or whose physical condition is such that it makes it hazardous for the person to perform the work.
(Acts 1995, No. 95-604, p. 1263, §25.)
(a) No person shall discriminate against any individual because the individual has opposed any act or practice made unlawful by this chapter or because the individual made a charge, testified, assisted, or participated in any manner in an investigation, proceeding, or hearing under this chapter.
(b) No employer, agent of an employer, or any other person shall discharge or otherwise discipline, threaten, harass, blacklist, or in any other manner discriminate against an applicant, employee, former employee, or any other person because that individual disclosed any information not prohibited from disclosure by statute, refused to obey an illegal order, or in any other manner not prohibited by statute challenged or revealed any violation of this chapter.
(Acts 1995, No. 95-604, p. 1263, §26.)
[Repealed]
Repealed by Act 2009-565, p. 1654, §4, effective May 19, 2009.
(Acts 1995, No. 95-604, p. 1263, §27.)
AMENDED BY ACT 2026-539, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) Any employer who violates this chapter, or who fails or refuses to obey within a reasonable time any lawful order or direction given by the state officials charged with the enforcement of this chapter, and any parent, guardian, or custodian who suffers or permits an individual under his or her care or control who is under 19 years of age to work in violation of this chapter, shall be subject to civil penalties in addition to other penalties provided in this chapter.
(b) The department may impose a civil penalty of not less than three hundred dollars ($300) upon a determination that an employer has violated a statutory provision of Section 25-8-35(a)(17), 25-8-36, 25-8-37, 25-8-38, 25-8-39, 25-8-40, 25-8-41, 25-8-44(a), 25-8-44(b), 25-8-45, 25-8-54, 25-8-57, 25-8-60, or 25-8-61.
(c) The department shall impose a civil penalty of five thousand dollars ($5,000) to ten thousand dollars ($10,000) upon a determination that an employer has violated a statutory provision of Section 25-8-33, 25-8-35(a)(1) through 25-8-35(a)(16), 25-8-43(a), or 25-8-44(d).
(d) In determining the number of violations committed by an employer, the department may assess a separate civil penalty for each individual employee affected by the employer’s violation.
(e) In addition, the department may assess more than one civil penalty against an employer with respect to the same adversely affected employee if the employer has violated more than one statutory provision of this chapter.
(f) The employer shall be notified of a civil penalty assessment by the Notice of Violation and Opportunity to Show Cause which shall be sent to the employer.
(g) The Notice of Violation and Opportunity to Show Cause shall provide all of the following:
(1) The total civil penalty assessed.
(2) The right of the employer to request in writing a hearing to show cause why the civil penalty should not be assessed.
(3) An advisement that no hearing shall be granted unless a written request for a hearing is received by the department within 30 days from the date of issue of the notice.
(4) The right of the employer to waive the right to request a hearing and to respond in writing to the notice within 30 days of the issue date of the notice.
(h) Any employer who seeks to contest a civil penalty assessment shall file, within 30 days from the date the Notice of Violation and Opportunity to Show Cause was issued, a written request for an opportunity to be heard which shall clearly state the reasons for the request, including facts to demonstrate that no violation has occurred.
(i) If the secretary or his or her designee determines that the employer has stated adequate facts or legal grounds to warrant a hearing, the secretary or his or her designee shall provide written notice of the hearing to show cause why a civil penalty should not be assessed and shall mail written notice to the employer of the date, time, and place of the hearing. The determination shall be within the discretion of the secretary or his or her designee. The notice shall inform the employer of the employer’s rights in the hearing including the following:
(1) The right to be represented by any person, including an attorney.
(2) The right to present documentary evidence and a written argument in support of the employer’s position.
(j) A request for postponement of a scheduled hearing shall only be granted where the rights of an employer would be substantially prejudiced by the denial of the request or in a medical emergency. Only the secretary or his or her designee has discretion to grant such requests.
(k) Following a hearing or after the employer has waived the right to request a hearing, the secretary or his or her designee may uphold or modify the civil penalty assessment. This determination shall be within the sole discretion of the secretary or his or her designee.
(l) If the employer requests a hearing but the secretary or his or her designee denies the request for a hearing, the total civil penalty assessed in the notice shall be the final civil penalty.
(m) If the employer does not request a hearing or respond in writing to the notice, the total civil penalty assessed in the notice shall be the final civil penalty unless otherwise modified by the secretary or his or her designee.
(n) The department may file an action for the collection of civil penalties imposed pursuant to this section against an employer in the county where the violation occurred.
(o) All monies received from the assessment of any penalty pursuant to this section shall accrue to the State General Fund.
(p) In addition to the civil penalties provided for in subsection (b), an employer who violates this chapter may be deemed guilty of a Class B or Class C misdemeanor. A first conviction shall be deemed a Class C misdemeanor. A second or subsequent conviction shall be deemed a Class B misdemeanor.
(q) In addition to civil penalties provided for in subsection (c), an employer who is found in violation of subsection (c) involving serious physical injury to or death of a minor may be deemed guilty of a Class B felony or Class C felony. A first conviction shall be deemed a Class C felony. A second or subsequent conviction shall be deemed a Class B felony.
(Acts 1995, No. 95-604, p. 1263, §28; Act 2009-565, p. 1654, §3; Act 2012-231, p. 424, §1; Act 2016-417, p. 1185, §1; Act 2024-285, §1.)
(a) Persons under 18 years of age may be employed and appear for the purpose of singing, acting, or performing in any production approved and coordinated by the Alabama Film Office in conjunction with and under the jurisdiction and supervision of the department. Time and hour restrictions, for persons under 18 years of age employed in a production, shall be established by the department. For the purposes of this section, a production includes, but is not limited to, motion pictures, documentaries, and reality television films.
(b) A person under 18 years of age may be employed as provided in this section only under the following conditions and with the written consent of the Alabama Film Office, the department, and the parent, legal guardian, or responsible adult of the person:
(1) The activities enumerated shall not be detrimental to the life, health, safety, welfare, or morals of the person.
(2) The activities enumerated shall not interfere with the schooling of the person and provisions shall be made for education equivalent to full-time school attendance in the public schools for persons under 16 years of age.
(3) A parent, guardian, or a responsible adult so designated by the parent or guardian, shall accompany each person under 16 years of age at all rehearsals, appearances, and performances.
(Acts 1995, No. 95-604, p. 1263, §29; Act 2009-565, p. 1654, §3; Act 2012-231, p. 424, §1.)
(a) Time and hour restrictions shall be under the authority of the department for persons under 18 years of age who are employed as models. Notwithstanding the foregoing, no person under 16 years of age shall work any hours that interfere with his or her school performance.
(b) Any person, firm, agency, or corporation that employs, permits, or suffers any person under 18 years of age to be used in any type of modeling shall have written consent from the parent or guardian of the person, and shall notify the Child Labor Division on a form authorized by the department, and shall comply with all of the following conditions:
(1) The parent of the person shall not let the modeling interfere with that person’s school performance.
(2) The activities enumerated shall not be detrimental to the life, health, safety, welfare, or morals of the person.
(3) A parent, guardian, or a responsible adult so designated by the parent or guardian shall accompany each person under 16 years of age to all sessions.
(Acts 1995, No. 95-604, p. 1263, §30; Act 2000-706, p. 1479, §1; Act 2009-565, p. 1654, §3.)
This chapter shall be known as the “Alabama Coal Mine Safety Law of 1975.” The purpose of this chapter is to provide reasonable laws to promote the safety and health of those engaged in the mining of coal and for the protection and preservation of property.
(Acts 1949, No. 207, p. 242, §1; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
Unless the context clearly requires otherwise, as used in this chapter, the following terms have the following meanings:
(1) SECRETARY. The Secretary of the Department of Labor or such other public officer, employee, board, commission, or other authority that may by law be assigned the duties and authority of the Secretary of Labor under this chapter.
(2) CHIEF. The Chief of the Division of Safety and Inspection of the Department of Labor or such other public officer, employee, board, commission, or other authority that may in emergencies be acting in the stead of the chief or may by law be assigned the duties and authority of the Chief of the Division of Safety and Inspection of the Department of Labor.
(3) HEAD MINE INSPECTOR. The employee of the Division of Safety and Inspection in charge of mine inspection or such other public officer, employee, board, commission, or other authority that may by law be assigned the duties and authority of the head mine inspector.
(4) MINE INSPECTOR. A public employee assigned by the head mine inspector with the approval of the chief to make mine inspections as required by this chapter and other laws from time to time in such cases made and provided.
(5) SUPERINTENDENT. The person placed in overall charge of the operation of a coal mine or mines.
(6) OPERATOR. The owner, part owner, operator or lessee to whom the superintendent reports and is accountable for the operation. The operator may also be the superintendent.
(7) MINE FOREMAN. A person holding a valid certificate of qualification duly issued by action of the board of mine examiners. Such term also includes the person acting in the stead of a mine foreman appointed as provided under this chapter when a certified mine foreman is unavailable.
(8) SUPERVISOR. Such term may be used to designate mine foremen, assistants, section foremen, trafficmen, maintenance foremen, etc., and is restricted in this chapter to mean those persons employed by the operator or superintendent to manage all or a part of the mine operations.
(9) FIRE BOSS. A person holding a valid certificate of qualification duly issued by action of the board of mine examiners and also includes the person acting in the stead of a fire boss appointed as provided under this chapter when a certified fire boss is unavailable.
(10) APPROVED COMPETENT PERSON. A person who has at least nine months of practical experience, has knowledge of mine roof, timbering, and ventilation, has good judgment and who has demonstrated knowledge of mine gases and use of permissible flame safety lamps, methane and oxygen detectors, such demonstration to be given and made of record in a manner prescribed by the chief of the division.
(11) APPROVED. A device, process, equipment, or method approved by the chief; provided, that if any interested person so requests, the secretary shall review such approval.
(12) PERMISSIBLE. A device, process, or equipment or method heretofore or hereafter classified by such term by the United States Bureau of Mines when such classification is adopted by the chief and includes, unless otherwise expressly stated in this chapter, all requirements, restrictions, exceptions, limitations, and conditions attached to such classification by said bureau.
(Acts 1949, No. 207, p. 242, §2; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
There shall be appointed by the Secretary of Labor a sufficient number of mine inspectors and other employees, including at least one qualified mining engineer.
(Acts 1949, No. 207, p. 242, §3; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
No person shall be appointed mine inspector, head mine inspector, or Chief of the Division of Safety and Inspection who, or the spouse of whom, has any pecuniary interest in any coal mine in Alabama.
(Acts 1949, No. 207, p. 242, §3; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) The Chief of the Division of Safety and Inspection shall:
(1) Be a qualified elector;
(2) Have had 12 or more years’ experience in the working, ventilating and drainage of coal mines in this state or eight years of such experience plus four years’ experience as a state or federal coal mine inspector;
(3) Have a practical scientific knowledge of all noxious and dangerous gases found in such mines;
(4) Have a mine foreman certificate of competency of the State of Alabama; and
(5) Be not less than 30 years of age.
(b) The chief shall be stationed in a city or town as near the center of the mining industry as is practical.
(Acts 1949, No. 207, p. 242, §3; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Each mine inspector and head mine inspector shall:
(1) Be a qualified elector;
(2) Possess a mine foreman certificate of competency of the State of Alabama;
(3) Have had eight or more years’ practical experience in coal mines; and
(4) Be not less than 28 years of age.
(b) The mine inspectors shall reside at points convenient to their respective districts.
(Acts 1949, No. 207, p. 242, §3; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
The duties of mine inspectors are to make examinations of mines to see that all the requirements of this chapter are strictly observed and carried out. They shall examine the equipment, works, and machinery connected with said mines; examine into the state of coal mines as to transportation, ventilation, circulation, and conditions of air, electricity, explosives, timbering, drainage, practices, and general security and perform such other duties as are required by the secretary. At the commencement of any inspection of a coal mine as provided herein, the authorized representative of the miners at the mine at the time of such inspection shall be given an opportunity to accompany the mine inspectors on any such inspection. The mine inspectors shall make a record of all examinations of coal mines, showing the date when made, the condition in which the coal mines are found, the extent to which the laws relating to coal mines and mining are observed or violated, the progress made in the improvements and security of life and health sought to be secured by the provisions of this chapter, the number of accidents, injuries received, or deaths in or about the coal mines, the number of persons employed in or by each coal mine, together with all such other facts and information of public interest concerning the condition of coal mines, development, and progress of coal mining in this state as they may think useful and proper, and so much thereof as may be of public interest to be included in their reports. A comprehensive report of each inspection of each coal mine shall promptly be made by the chief to the operator, superintendent, and mine foreman of said coal mine, and said report shall be posted in a conspicuous place at the mine. This report shall be on a form provided for that purpose and compiled by the said chief. The form may be changed by the chief from time to time, as may seem desirable.
(Acts 1949, No. 207, p. 242, §3; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Except as otherwise provided in this chapter, no person shall act as fire boss in any coal mine in this state unless he is in possession of a certificate of competency.
(b) No person shall be employed as mine foreman in any coal mine in this state unless he is in possession of a certificate of competency as provided for in this article.
(Acts 1949, No. 207, p. 242, §5.)
(a) There shall be appointed by the Governor a board of examiners, all of whom shall be citizens of this state and hold Alabama mine foreman’s certificates, consisting of the chief or the head mine inspector, as the secretary may designate, together with three active practical miners, three operators of coal mines, and one practicing mining engineer. The membership of the board shall be inclusive and reflect the racial, gender, geographic, urban/rural, and economic diversity of the state. The members of this board shall be appointed by the Governor and shall hold office for three years and until their successors are appointed and qualified, and, as nearly as possible, two members shall be appointed one year and three the succeeding year. No member of the board shall serve more than two consecutive terms of office. The chief or the head mine inspector shall be ex officio chair of the board. The chair shall vote only in the case of a tie vote, and, in the absence of one member of the board, a majority of whom shall act. In the event of the failure to have a quorum, the chair shall have the authority to select a qualified person or persons. There shall be paid to each member of the board, except the ex officio chair, who shall serve without extra pay, ten dollars ($10) per day. Each board member shall also be entitled to the same per diem and travel allowance as is provided by law for state employees for each day’s attendance at meetings of the board. The board of examiners shall meet every six months at the office of the chief and shall remain in session not longer than eight days, and special meetings may be called by the chair or a majority of the members of the board. The department shall preserve in its office a record of the meetings and transactions of the board and all certificates issued and revoked.
(b) Commencing on March 7, 2016, the Board of Examiners of Mine Personnel is not subject to review as an enumerated agency under the Alabama Sunset Law.
(Acts 1949, No. 207, p. 242, §4; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1; Acts 1981, No. 81-201, p. 242, §4; Acts 1984, 2nd Ex. Sess., No. 85-15, p. 17, §1; Acts 1988, No. 88-135, p. 194, §3; Act 2008-147, p. 238, §3; Act 2016-68, §§3, 4.)
The board of examiners created by Section 25-9-9 shall examine qualified applicants and give certificates of competency to persons who pass the required examinations to act as mine foremen or fire bosses in any coal mine in this state. A reasonable fee, as established by the board, shall be charged for each examination given by the board, and such fee shall be paid to the Treasury of the state before the examination is begun. The examinations shall be conducted under such uniform rules, conditions, and regulations as the board shall deem most efficient for carrying into effect the spirit and intent of this chapter. Such rules, when formulated, shall be made a part of the permanent record of the board, and such of them as relate to candidates shall be published for their information and governance prior to each examination. Such rules shall be of uniform application to all candidates.
(Acts 1949, No. 207, p. 242, §4; Acts 1981, No. 81-201, p. 242, §4; Act 2012-106, p. 179, §3.)
(a) Each applicant for a mine foreman’s certificate of competency shall be at least 23 years old and be a citizen of the United States or, if not a citizen of the United States, a person who is legally present in the United States with appropriate documentation from the federal government, and shall satisfy one of the following:
(1) Have had at least four years of practical mining experience.
(2) Have had at least two years of practical experience in or around coal mines and hold a bachelor level degree in mining engineering, geology, or a related field of study from a school accredited by the American Association of Universities, a successor organization, or by a national or regional accrediting agency that is recognized by the Secretary of the United States Department of Education.
(3) Have had at least two years and six months of practical mining experience in or around a coal mine and a bachelor level degree in any field of engineering other than mining engineering.
(4) Have had at least three years of practical experience in or around coal mines and hold an associate level degree in engineering, geology, or a related field of study from a school accredited by the American Association of Universities, a successor organization, or by a national or regional accrediting agency that is recognized by the Secretary of the United States Department of Education.
(b) Each applicant must also submit with his or her application an affidavit reflecting that he or she has met the requirements described in this section and attesting to his or her good moral character and known temperate habits. This affidavit shall be signed by three reputable citizens, at least one of whom shall be the holder of a mine foreman’s certificate.
(Acts 1949, No. 207, p. 242, §4; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1; Act 2008-147, p. 238, §3; Act 2019-225, §1.)
(a) Each applicant for a fire boss’s certificate of competency shall be at least 22 years old and be a citizen of the United States or, if not a citizen of the United States, a person who is legally present in the United States with appropriate documentation from the federal government, and shall satisfy one of the following:
(1) Have had at least three years of practical mining experience.
(2) Have had at least one year of practical experience in or around coal mines and hold a bachelor level degree in mining engineering, geology, or a related field of study from a school accredited by the American Association of Universities, a successor organization, or by a national or regional accrediting agency that is recognized by the Secretary of the United States Department of Education.
(3) Have had at least one year and six months of practical mining experience in or around a coal mine and a bachelor level degree in any field of engineering other than mining engineering.
(4) Have had at least two years of practical experience in or around coal mines and hold an associate level degree in engineering, geology, or a related field of study from a school accredited by the American Association of Universities, a successor organization, or by a national or regional accrediting agency that is recognized by the Secretary of the United States Department of Education.
(b) Each applicant must also submit with his or her application an affidavit reflecting that he or she has met the requirements described in this section and attesting to his or her good moral character and known temperate habits. This affidavit shall be signed by three reputable citizens, at least one of whom shall be the holder of a mine foreman’s certificate.
(Acts 1949, No. 207, p. 242, §4; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1; Act 2019-225, §1.)
In case of the loss or destruction of a certificate of competency, the department may supply a copy thereof to the person losing same upon the payment of $1.00, provided that it shall be shown to the satisfaction of the department that the loss has actually occurred and that the loser was the holder of such certificate.
(Acts 1949, No. 207, p. 242, §4.)
Any person who shall forge or counterfeit a certificate or knowingly make or cause to be made any false statement in any certificate of competency provided for in this chapter or in any official copy of the same, or who shall utter or use any false certificate or unofficial copy thereof or shall make, give, utter, produce, or make use of any false declaration, representation, or statement in any such certificate or copy thereof or any document containing the same or shall make any false statement or misrepresentation in his application before the examining board for any certificate, shall be guilty of a misdemeanor, and his certificate shall be cancelled or annulled by the examining board.
(Acts 1949, No. 207, p. 242, §4.)
(a) The board may issue an official written reprimand of any person certified under this chapter as a disciplinary measure for a first violation of any requirement of this chapter.
(b) In addition, for any subsequent violation or for any serious first violation, the certificate of any person may be cancelled or revoked by the board of examiners, whenever it shall be established to the satisfaction of the board that the holder of the certificate has become unworthy of official endorsement by reason of violation of this chapter, intemperate habits, manifest incapacity, abuse of authority, or for other causes satisfactory to the board. Any person against whom charges are made shall have an opportunity to be heard in his or her own behalf. He or she shall have at least 30 days’ notice in writing of the charges by the ex officio chairman, and, if the holder of a certificate is convicted on the hearing of the charge of violating any part of this chapter, his or her certificate shall be revoked by the board. The director, after a thorough investigation, may suspend the holder pending a meeting of the board of examiners and its final action.
(c) In addition to the reasons specified in subsection (b) for revocation of a certificate, a certificate holder may voluntarily surrender his or her certificate upon written request to the board for any reason acceptable to the board, and subsequent approval by the board. Pursuant to administrative rule, the board shall specify those reasons that are acceptable to the board for the voluntary surrender of a certificate.
(Acts 1949, No. 207, p. 242, §4; Acts 1988, No. 88-135, p. 194, §3; Act 2004-72, p. 88, §3.)
Any fire boss in a mine who fails to perform any duty imposed on him by the laws of this state as fire boss shall be guilty of a misdemeanor.
(Acts 1949, No. 207, p. 242, §5; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Except as otherwise provided in this chapter, no person shall act as fire boss in any coal mine in this state unless he or she is in possession of a fire boss’s certificate of competency or a mine foreman’s certificate of competency.
(b) If it is impossible for an operator, owner, or lessee to secure the immediate service of a certified mine foreman or fire boss, he or she may employ a person, who holds a valid underground coal mine foreman certification issued by another state, has worked in an underground mine in Alabama for at least 30 calendar days, and meets the qualifications to work as a mine foreman in this state, as concurred in by the chief, or mine inspector delegated by the chief, to act as a temporary mine foreman or fire boss until the date of the next mine foreman examination that the person is eligible to take.
(c) The requirements for a temporary mine foreman or fire boss shall be no more stringent than those contained in federal regulations.
(Acts 1949, No. 207, p. 242, §5; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1; Act 2019-225, §1.)
No person shall be employed as mine foreman in any underground coal mine in this state unless he is in possession of a certificate of competency as provided for in this chapter.
(Acts 1949, No. 207, p. 242, §5; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
The mine foreman or subordinate supervisor shall visit each working place on operating days to assure that proper conditions are maintained in the mine as to timbering, ventilation, supplies, and all other conditions pertaining to the safety of the men. He shall further direct and cause to be made a weekly inspection, and more often if necessary, of all accessible abandoned areas in the mine.
(Acts 1949, No. 207, p. 242, §5; Acts 1975, 4th Ex. Sess. No. 147, p. 2866, §1.)
Mines shall be given one complete inspection every 45 days, and more often if necessary. Special or partial or complete inspections shall be made when deemed necessary by the chief.
(Acts 1949, No. 207, p. 242, §3; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
The department shall be furnished by the state all necessary instruments for measurement of the air and gases in coal mines, mine rescue equipment, and whatever other apparatus the said department may need.
(Acts 1949, No. 207, p. 242, §3; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) The chief has the authority to administer oaths and to issue subpoenas requiring the attendance of witnesses to testify under oath in any proceeding and to require witnesses to answer all questions propounded to them. The sheriff or constable in the county in which such witnesses may reside or be found shall execute subpoenas issued as above provided, and they shall each receive for their services in executing such subpoenas the same fees as are allowed them respectively for executing subpoenas in other cases. Any witnesses summoned as above mentioned shall be entitled to the same mileage and per diem as is now allowed by law to such witnesses attending trials in the circuit court.
(b) If any witness subpoenaed as above mentioned shall fail to attend without good excuse, in accordance with the subpoena served on him, or shall fail to testify when attending, the chief before whom said proceedings are being had shall certify to the failure of any witness to attend and testify to a judge of the circuit court in the county where such proceeding is being held. The judge to whom such certificate is made shall cause such witness to appear before him at a time fixed by said judge to show cause why he should not be punished for contempt and shall fine or imprison such witness as such judge may deem proper in case he is found guilty of contempt in the premises.
(Acts 1949, No. 207, p. 242, §§8, 9.)
The expenses of executing subpoenas and the attendance of witnesses as well as contempt proceedings under Section 25-9-22 shall be paid out of any funds in the Treasury of the state on certificate of the Secretary of Labor Relations, approved by the Governor.
(Acts 1949, No. 207, p. 242, §10.)
Unsafe conditions, known to any persons underground, that cannot be corrected by them in the course of their normal duties, shall be promptly reported to the mine foreman or direct supervisor. The supervisor to whom unsafe conditions are reported or who detects them in the course of his duties shall be responsible for seeing that they are corrected promptly and that exposure to danger of any person is prevented except as necessary in correcting the condition.
(Acts 1949, No. 207, p. 242, §70.)
Persons not employees of a coal mine or duly authorized employees of the Department of Labor shall not enter such mine unless the consent of the operator or his authorized representative has been secured and shall not stand on the tracks or go near the machinery or other place of danger.
(Acts 1949, No. 207, p. 242, §102.)
Whoever shall, while under the influence of intoxicating liquor, enter any coal mine or any of the buildings connected with the operation of same within the state, where miners or other workmen are employed, or whoever shall carry intoxicating liquors into the same shall be guilty of a misdemeanor.
(Acts 1949, No. 207, p. 242, §103.)
Any person acting as coal mine superintendent, mining engineer, other official or supervisor who gives orders that will require violation of this chapter, shall be guilty of a misdemeanor.
(Acts 1949, No. 207, p. 242, §105.)
Any coal mine superintendent, mine foreman or assistant mine foreman, or any other person or persons operating or controlling a coal mine, who shall receive or solicit any sum of money or other valuable consideration from any of his or their employees for the purpose of continuing such employee in his or their employ or for the purpose of procuring employment for such employee or procuring or keeping places for such employee shall be guilty of a misdemeanor and, upon conviction, shall be fined not less than $50.00, nor more than $300.00 and shall be sentenced to hard labor for the county for a term of not less than six months.
(Acts 1949, No. 207, p. 242, §104.)
No person under the age of 18 shall be employed to work or labor in or about any coal mine in this state.
(Code 1896, §2933; Code 1907, §1035; Acts 1911, No. 493, p. 500; Code 1923, §1724; Acts 1935, No. 193, p. 241; Code 1940, T. 26, §158; Acts 1949, No. 207, p. 242, §106; Acts 1971, No. 2486, p. 3983; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Welders and helpers shall use proper shields or goggles to protect their eyes.
(b) Employees engaged in haulage operations and other persons employed around moving equipment on the surface and underground shall wear snug-fitting clothing.
(c) Protective gloves shall be worn when material which may injure the hands is handled, but gloves with gauntleted cuffs shall not be worn around moving equipment.
(d) Men exposed for short periods to gas, dust, fume, and mist inhalation hazards shall wear permissible respiratory equipment. When the exposure is for prolonged periods, other measures to protect workmen or to reduce the hazard shall be taken.
(Acts 1949, No. 207, p. 242, §67.)
Each mine shall have a check-in and check-out system that will provide positive identification upon the person of every individual underground. An accurate record of the men in the mine, which shall consist of a written record, a check board or a time clock record, shall be kept on the surface in a place that will not be affected in the event of an explosion. Said record shall bear a number identical to the identification check carried by the person underground.
(Acts 1949, No. 207, p. 242, §68.)
(a) New shafts and partitions therein, made after August 12, 1949, shall be fireproof.
(b) Mine openings, where there is danger of fire entering the mine, shall have adequate protection against surface fires or dangerous volumes of smoke entering the mine.
(c) There shall be at least two travelable passageways out of each section of each mine, one of which may be the haulage road.
(d) Escapeways shall be equipped with stairways, ladders, or cleated walkways when needed, installed in such manner that men using them in emergencies may do so quickly and without undue hazard. Direction signs shall be posted conspicuously to indicate manways and designated escapeways.
(Acts 1949, No. 207, p. 242, §69; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Each mine shall have an adequate supply of first aid equipment to be used only in case of injury to employees or on the job sickness. These supplies shall be located at points on the surface, at the bottom of main shafts and main slopes, if over 1,000 feet from the surface, and at other suitable locations convenient to each working section. One stretcher and one broken-back board (or a splint-stretcher combination), 24 triangular bandages (or 15, if a splint-stretcher combination is used), eight four-inch bandage compresses, 12 one-inch adhesive compresses, an adequate approved burn remedy, two cloth blankets, one rubber blanket or equivalent substitute, two tourniquets, one one-ounce bottle of aromatic spirits of ammonia or one dozen ammonia ampules and necessary complements of arm and leg splints or two each inflatable plastic arm and leg splints shall be kept at each location designated and shall be accessible to the miners.
(b) No person shall tamper with or remove any first aid supplies other than for use in caring for injured persons and those who become sick while in the mine.
(c) When an injury occurs, prompt first aid shall be given, and, if immediate medical attention is indicated, a doctor shall be notified and the injured person brought to the surface without delay other than the time needed for rendering first aid. Any person injured sufficiently to deprive him of complete control of his faculties or limbs will be adequately attended by designated persons until he is brought to the surface and turned over to a doctor.
(d) Each employee shall promptly notify his supervisor of all injuries.
(Acts 1949, No. 207, p. 242, §6; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Each operator shall report promptly to the chief of the division the occurrence at any mine of any fatal accident or accident involving serious personal injury to any person or persons, whether employed or not. The scene of the accident shall not be disturbed pending an investigation except to prevent suspension of use of a slope, entry, or facility vital to the operation of a section of a mine. In cases where reasonable doubt exists as to whether to leave the scene unchanged, the operator shall secure prior approval from the chief before any changes are made.
(b) The chief shall go personally or dispatch one or more mine inspectors to the scene of the accident or accidents, investigate causes, and issue such orders as may be needed to insure safety of other persons.
(c) Representatives of the operator shall render such assistance as may be needed and shall act in a consulting capacity at the investigation. An employee designated by the employees of the mine shall be notified and as many as three employees designated as representatives of the employees may be present at the investigation in a consulting capacity.
(d) The division shall render a complete report of circumstances and causes of each accident investigated and shall make recommendations for prevention of similar accidents. The division shall furnish one copy of the report to the operator and one copy to the employee representative when he has been present at the investigation. The chief of the division shall maintain a complete file of all accident reports and may give such further publicity as ordered by the director in an effort to prevent coal mine accidents.
(Acts 1949, No. 207, p. 242, §7.)
In any coal mine or coal mines or parts thereof wherein water may have been allowed to accumulate in large and dangerous quantities, putting in danger the adjoining or adjacent coal mines and the lives of the miners working therein, and when such can be tapped and set free and flow by its own gravity to any point of drainage, any operator or person having a mine so endangered, with the approval of the department, may proceed and remove the said danger by driving a drift or drifts protected by bore holes as provided by this chapter, and, in removing said danger, it shall be lawful to drive across property lines if needful. All coal removed in such driving from adjacent lands shall be paid for on the basis of $.25 per ton of 2,000 pounds. No person shall dam or in any way obstruct the flow of water from said mine or parts thereof when so set on any part of its passage to point of drainage.
(Acts 1949, No. 207, p. 242, §11.)
(a) If a disaster occurs in a mine, the chief of the division and the nearest office of the United States Bureau of Mines shall be notified by the quickest available means. All facilities of the mine shall be made available for rescue and recovery operations.
(b) No work other than rescue and recovery work may be attempted or started until and unless authorized by the chief of the division or his designated representatives.
(c) After a disaster, operations may not be resumed until authorized by the chief of the division.
(d) If an explosion occurs in a mine, the fan shall not be reversed except by authority of the official in charge of disaster work and then only after a study of the effect of reversing the fan on survivors who are still underground.
(e) The chief of the division shall make available all the facilities at his disposal in effecting rescue and recovery work, and shall act as a consultant or take personal charge where, in his opinion, the circumstances warrant or where the managerial official’s status is either incompetent or inadequate.
(f) The orders of the official in charge of disaster work shall be respected and obeyed by all persons engaged in rescue and recovery work.
(g) The chief of the division shall maintain an up-to-date disaster plan for prompt and adequate employment at any coal mine in the state. All employees of the division shall be kept fully informed and trained in their respective duties in making the disaster plan work effectively. The division’s plan shall be published annually and furnished to all operators of coal mines and to representatives of the employees. Changes in the plan shall be published promptly when made and furnished to all operators of coal mines and to representatives of the employees.
(Acts 1949, No. 207, p. 242, §12.)
The Chief of the Division of Safety and Inspection of the Department of Labor shall establish and maintain within the State of Alabama and within said division such mine rescue stations as he may determine necessary to carry out rescue and recovery operations of mine disasters and to comply with federal requirements. The mine rescue stations shall be located as near the center of the mining industry as is practical. The station shall have sufficient room to handle equipment and personnel for at least two teams.
(Acts 1982, No. 82-439, p. 689, §1.)
Said chief is hereby authorized to have trained and employed at the rescue stations operated by said division within the state, rescue crews as he may determine necessary. Each member of such crews shall devote at least four hours each month, or eight hours bimonthly, for training purposes and shall be available at all times to assist in rescue work. Regular crew members shall receive for such services the highest prevailing hourly wage rate in the industry and shall receive the same per diem and expenses as provided to state employees. Workers’ compensation benefits as prescribed by Alabama workers’ compensation laws shall be provided for all employees engaged in carrying out the mandates of this section and coal mining laws of the State of Alabama. Sufficient funds shall be appropriated to carry out the provisions of this section, Section 25-9-64 and Sections 25-9-66 through 25-9-70.
(Acts 1982, No. 82-439, p. 689, §2.)
It shall be the duty and responsibility of the chief to see that all crews be properly trained by qualified instructors who have a certificate of training from the Mine Safety and Health Administration. The chief may remove any crew member at any time.
(Acts 1982, No. 82-439, p. 689, §3.)
Members of said crews shall have one year underground experience, be less than 50 years of age and pass a physical examination by a licensed physician annually. A record that such examination was taken shall be kept on file by the operator who employs the crew members and a copy shall be furnished to the chief.
(Acts 1982, No. 82-439, p. 689, §4.)
All rescue or recovery work performed by these crews shall be under the jurisdiction of the chief. The division shall consult with company officials, representatives of the Mine Safety and Health Administration and representatives of the miners, and all should be in agreement as far as possible on the proper procedure for rescue and recovery. In all instances, procedures shall be guided by the mine rescue apparatus and auxiliary equipment manuals.
(Acts 1982, No. 82-439, p. 689, §5.)
When engaged in rescue or recovery work during an emergency at a mine, all crew members assigned to the work shall be considered during the period of their work, employees of the mine where the emergency exists and shall be compensated by the operator at the rate established in the area for such work. In no event shall this rate be less than the prevailing wage rate in the industry for the most skilled class of inside mine labor. During the period of their emergency employment, all crew members shall be protected by the workers’ compensation benefits of such emergency employer.
(Acts 1982, No. 82-439, p. 689, §6.)
(a) During recovery work and prior to entering any mine, all recovery crews shall be properly informed of existing conditions.
(b) Mine rescue and recovery work shall be carried out under provisions of the applicable federal regulations.
(c) The chief may assign rescue and recovery work to inspectors, instructors, or other qualified employees of said division as the chief may determine desirable.
(Acts 1982, No. 82-439, p. 689, §7.)
(a) All main fans shall be installed on the surface, in fireproof housings, the fan situated not less than 30 feet from its air shaft or air course and on one side of the line of such opening so that the fan will not be in direct line of the force of a blast or explosion. The air duct connecting the fan with the mine opening shall be fireproof and provided with self-closing explosion doors.
(b) In mines ventilated with multiple fans, each main fan shall be equipped with fireproof doors automatically closing in the event of a fan failure to prevent air reversal through the fan.
(c) Every main fan installed after August 12, 1949, ventilating a mine classed as gassy, must have an auxiliary drive mechanism that will operate the fan at not less than 80 percent of its regular volume. Dual fan installations, independently powered so that one is operative at 80 percent of regular volume during electrical failures, meet this requirement.
(d) All main fans are required to be provided with a pressure-recording gauge, or water gauge, and, unless attended constantly, an automatic device to give alarm when the fan slows down or stops. This device shall be placed so that its alarm will be seen or heard by a responsible person.
(e) Each main fan ventilating all or part of a mine shall be on a separate power circuit, independent of the underground circuit.
(f) Main fan installations shall be protected from wood fire, grass fire, and rubbish fire for at least 100 feet in all directions from the fan installations, where physical conditions permit.
(g) The main fan shall be inspected daily and a record kept of the inspection. This inspection may be made by any competent person so designated.
(h) In mines, when the main fan fails or stops, immediate action shall be taken to cut off power from the mine or the area of the mine ventilated by that main fan, and the men shall be withdrawn from the face regions. If ventilation is restored in a reasonable time, the face regions and other places where methane is likely to accumulate shall be reexamined by certified persons, and, if found to be free from explosive gas, power may be restored and work resumed. If the interruption continues for an indefinite or extended period, all underground employees shall be required to leave the mine or the part of the mine ventilated by the main fan that is out of operation. Mines ventilated by more than one main fan shall be considered as having only one fan in the application of this section unless all returns to the fans are entirely separated and escapeways to the surface are available from the areas ventilated by other fans without necessity for any person passing through any area not properly ventilated.
(i) Main fans ventilating mines shall be operated continuously, except when the mine is shut down with all power underground cut off and with all men out of the mine. When the fan is started again, the mine shall be examined for gas and other hazards by certified persons and declared safe before underground power may be restored and men other than the examiners permitted to enter the mine.
(Acts 1949, No. 207, p. 242, §13; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Methane detectors used for examining in coal mines shall be permissible. When not in use, they shall be in the care of certified officials or other competent designated persons, who shall examine, clean, and deliver them in a safe condition to their users before they enter the mine.
(b) Permissible methane detectors shall be entrusted for use only to certified persons or to approved competent persons who have been accredited as users of methane detectors.
(c) An individual knowing his methane detector to be injured or defective shall immediately report its condition to his supervisor, mine foreman, or to the designated attendant.
(Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Air in which men work or travel must promptly be improved if it contains less than 19.5 percent oxygen, more than one percent carbon dioxide, or is contaminated with noxious or poisonous gases.
(b) If the air immediately returning from a split that ventilates any active workings contains more than one percent methane or more, the ventilation shall be improved, and, if it contains 1.5 percent or more of methane, the power shall be cut off from the portion of the mine affected, and the employees shall be required to withdraw until ventilation is improved.
(c) Face work must be stopped, power to face equipment cut off, and the employees ordered and required to withdraw until ventilation is improved, whenever one percent or more of methane can be detected on an approved type methane detector or whenever gas can be detected on a permissible flame safety lamp at any point not less than 12 inches from the roof, face, or rib. This does not apply to other faces in the entry or slope in which work can be safely continued.
(d) When entries or faces are stopped on account of gas for ventilation to be improved, only employees designated to work on improving the ventilation under competent direction may be permitted in the affected area. Power shall not be restored until ventilation is improved.
(Acts 1949, No. 207, p. 242, §14; Acts 1959, No. 347, p. 937; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
Sufficient air must be circulated and conducted through all entries, slopes, travelways, working places, air courses, and open abandoned areas to dilute, render harmless, and carry off noxious and explosive gases emitted in the mine, including smoke from blasting, and shall be not less than 150 cubic feet per man per minute. If mules or horses are used in a mine, 500 cubic feet per animal per minute must be provided in addition to the minimum volume specified for men.
(Acts 1949, No. 207, p. 242, §15; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Two available openings to the surface are required from each seam or stratum of coal worked. In drift or slope mines, such openings provided after August 12, 1949, must be separated by not less than 40 feet of natural strata, and all crosscuts between them shall be closed with stoppings of fireproof material. In shaft mines, such openings provided after August 12, 1949, must be separated by not less than 200 feet of natural strata. The second opening may be made through an adjoining mine. Until these provisions are met, not over five men in a drift, 10 men in a slope, and 20 men in a shaft shall work in the mine at one time, and no additional development shall be permitted until the connection is made to the second opening. In mines wherein final pillar robbing operations necessitate closing the second opening, the above limitations as to the number of men permitted to work will apply until the mine is worked out and abandoned.
(b) Both openings shall be kept in good condition and shall at all times be reasonably safe and convenient for entering and leaving the mine. At all points where the passageway to the escapeway or escapement shaft is intercepted by roadways, entries or other passageways, conspicuous signboards shall be placed indicating the direction to the place of exit.
(c) Not more than 80 persons may be assigned or permitted to work on any split of air.
(d) Stations or rooms containing electrical transformers, rectifiers, motor generator sets, battery chargers, permanent pumps or air compressors, control rooms, and such other stationary and semipermanent equipment as would endanger lives of employees in event of equipment fire shall be ventilated by a separate split of air, returning directly to the surface.
(e) Changes in ventilation that may affect the safety of the men shall be made when the mine is idle. Only those men and supervisors engaged in major ventilation changes will be permitted in the mine during the change.
(f) In mines, the doors, other than man doors, used for deflecting and conducting the ventilation shall be installed in pairs in a manner approved by the division. They shall be so spaced as to prevent interruption to the regular coursing of air, and they shall be hung and maintained so that they will be self-closing by gravity or by effective mechanical means. An emergency door, to be used in case of damage to a regular door, shall be provided at all points where doors are in use.
(g) Mine doors in use must not be propped or latched open or by any other means used to be prevented from being self-closing.
(h) Proper breaks-through shall be made in all pillars as necessary to meet ventilation requirements at the working faces. The maximum distance between breaks-through shall be 105 feet and closer when required by the chief of the division. Permission to exceed 105 feet between breaks-through may be granted by the chief of the division only in exceptional conditions and must be in writing. Requests for permission must be initiated by the operator and recommended by the mine inspector.
(i) On entries, stoppings in crosscuts between intakes and returns shall be built solidly, substantially, and of incombustible material.
(j) Dead ending of rooms, slopes, or entries in mines classed as gassy is prohibited unless it is manifestly impracticable to drive crosscuts at or close to faces.
(k) Workings shall not be turned off slopes or entries in by the last crosscut; except, that the places may be necked during development of slopes and entries and when good mining practice justifies the practice in order to establish a main airway.
(l) Line brattice and ventilation tubing used to conduct air to the faces of working places shall be substantially erected and shall be of flame-resistant materials.
(m) In the event that diffuser or auxiliary fans and tubing are used in lieu of or in conjunction with a line brattice system to provide ventilation of the working face:
(1) The fan shall be of a permissible type, maintained in permissible condition, so located and operated to avoid any recirculation of air at any time and inspected frequently by a certified person when in use.
(2) In places where auxiliary fans are used, accumulations of methane resulting from unscheduled stoppage of the main fan shall be removed after restoration of normal mine ventilation by conducting air current into the place with line brattice or equivalent. Auxiliary fans shall not be operated in such place during stoppage of normal mine ventilation and until methane accumulations have been removed.
(3) If the auxiliary fan is stopped or fails and the ventilation of the working face is inadequate, the electric equipment in the place shall be stopped and the power disconnected at the power source until adequate ventilation is restored. During such stoppage the ventilation shall be by means of the primary air current conducted into the place in a manner to prevent an accumulation of methane.
(4) In places where auxiliary fans are used, the ventilation during scheduled idle periods such as weekends and idle shifts shall be by means of the primary air current conducted into the place in a manner to prevent accumulation of methane.
(5) If the air passing through the auxiliary fan or tubing contains one percent or more of methane, the provisions of subsection (b) of Section 25-9-82 shall be applied.
(6) To insure that an adequate volume and velocity of air are supplied continuously to the working face where auxiliary fan and tubing are used for face ventilation, a line brattice or other approved device shall be installed before the auxiliary fan is stopped.
(7) All face ventilation systems using auxiliary fans and tubing or machine-mounted diffusers approved by the Mining Enforcement and Safety Administration shall be filed with the chief of the division.
(8) Any variance in the above diffuser and auxiliary fan and tubing use must be approved in writing by the chief of the division.
(n) Overcasts shall be constructed tightly of incombustible materials and of sufficient strength to withstand falls of roof, or protected against falling roof, and shall be of ample area to pass the required volume of air.
(Acts 1949, No. 207, p. 242, §16; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1; Acts 1976, No. 391, p. 496.)
(a) Abandoned workings that cannot be ventilated adequately with safety to employees must be sealed. The chief of the division will prescribe rules for sealing and periodic testing of air and water behind seals. Failure to comply with rules for sealing and periodic testing will be a violation of this section.
(b) Abandoned workings shall be posted to warn persons against entering, and all accessible abandoned workings shall be examined semimonthly or more often if necessary. When posting is inadequate to warn persons against entering, abandoned workings shall be properly fenced off at all such entrances.
(Acts 1949, No. 207, p. 242, §17.)
(a) Operators of mines are required to employ one or more certified fire bosses and to have a preshift examination made. The duties of the fire boss are to examine for dangerous conditions all manways, slopes, and entries used by men in traveling to and from work and to examine for gas and other dangerous conditions all working places, adjoining abandoned places, and accessible pillar falls for accumulation of gas. The fire boss will ascertain that the air is traveling in its proper course and that all ventilation appliances are in good condition and working effectively. The fire boss will indicate his examination of working and abandoned places, pillar falls, and ventilating appliances by marking his initial and the date conspicuously in or on such places.
(b) Whenever gas is detected or danger exists to men entering any place, the fire boss shall leave at each entrance to the place a conspicuous DANGER sign.
(c) Examination of the first working place in mines shall take place not more than three hours before the men are permitted to enter the mine or to pass a designated station underground.
(d) The fire boss shall meet the oncoming shift at the point or station designated and inform each man as to the condition of his working place or the place in which his machine is parked. Each face boss and direct supervisor shall be informed by the fire boss as to the condition of all places under his direction or control. When man trip schedules or other compelling factors make it impractical for the fire boss to check each man, the fire boss will furnish to responsible supervisors written signed reports of his inspection and these supervisors will be responsible for informing each man as to the condition of his working place.
(e) In multiple shift operations, certified supervisors may be used to make the fire boss examination for the next or succeeding shift. Responsible supervisors of the next or succeeding shift may be used to inform each man as to the condition of his working place and may be held responsible, provided the certified supervisors who made the examination furnish a written, signed report as to condition of each working place.
(f) The fire boss shall record the results of his inspection in ink or indelible pencil in a book kept on the surface for that purpose. Similar records may be kept at designated stations or offices underground. This book shall be countersigned daily by the mine foreman. The mine superintendent or his assistant shall also read and countersign the reports.
(g) Idle and abandoned parts of any mine shall be examined by a certified person immediately before employees are permitted to enter or work in such areas.
(h) Examination for gas and other dangerous conditions shall be made by a certified official or approved competent person before taking loading or cutting machines in by the open breakthrough nearest the face or before applying power to machinery that remains at or near the face at not more than 20-minute intervals during cutting, drilling, or mechanical loading, before drilling with electric drills, before blasting, after blasting, and before other work is resumed and at such other times as may be necessary or designated by the operator or mine inspector for adequate safety.
(i) All persons underground shall use only permissible electric cap lamps for portable illumination that is worn on the person. This does not preclude the use of other types of permissible electric lamps, permissible flashlights, permissible safety lamps, or any other portable illumination classed as permissible.
(j) Open cap lights and smoking and smokers’ articles, including matches, are prohibited in underground mines.
(Acts 1949, No. 207, p. 242, §18; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) All flame safety lamps used for examining coal mines or for working therein shall be permissible. When not in use, they shall be in the care of certified officials or other competent designated persons who shall disassemble, examine, clean, fill, and deliver them, locked and in safe condition, to their users before they enter the mine. Flame safety lamps shall not be unlocked or disassembled inside any coal mine.
(b) At least two permissible flame safety lamps shall be kept in serviceable condition at each coal mine. Not less than 25 percent of those in use or one, whichever is greater, shall be kept in reserve at each mine for use in emergency.
(c) Permissible flame safety lamps shall be entrusted for use only to certified persons or to approved competent persons who have been accredited as users of flame safety lamps as required in this chapter.
(d) Every person who knows his flame safety lamp to be injured or defective shall immediately extinguish it and promptly report its condition to his supervisor, the mine foreman, or to the designated lamp attendant. Defective lamps must be kept separate from others until repaired.
(Acts 1949, No. 207, p. 242, §19; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) The operator of each coal mine shall send to the division a report monthly, or more often if necessary, showing the amount of ventilation and methane content at the inlet and outlet, the amount of ventilation and the methane content of return air at or near the last crosscut in each working entry, the number of splits and the number of men and animals on each split and the places gas has been detected in old workings. The report shall include a record of the pressure gauge readings at the fan.
(b) A prompt report, by the quickest available means, must be made by the operator to the division upon detection of any dangerous accumulation of methane in any coal mine, whether accompanied by explosion or not. This report shall state precautions taken to safeguard employees and action taken or planned to remove the dangerous accumulation. The division shall issue such supplementary orders as may be indicated and dispatch one or more inspectors promptly to the mine if the circumstances warrant.
(c) A report shall be made by the operator to the division prior to opening any new or reopening any abandoned coal mine or abandoning any coal mine.
(d) A report shall be made by the operator to the division when the workings of any coal mine are approaching an abandoned coal mine, shaft, or other underground passages that are known to contain or may contain dangerous accumulations of water or gas.
(e) A report shall be made by the operator to the division upon the accidental closing or prior to the intended abandonment or closing of any passageway to an escapement outlet.
(f) A report shall be made by the operator to the division before breaking through any opening into a coal mine whether from or to the surface or through other mine shafts or other passages.
(Acts 1949, No. 207, p. 242, §20; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
When workings are being driven toward any worked out and inaccessible or abandoned area or a shaft, that may contain accumulations of gases or water and cannot be inspected, they shall be narrowed to eight feet or less in width. Persons driving these workings shall constantly keep one bore hole near the center of the working and 20 feet in advance and one bore hole 15 feet deep in each rib at a 45 degree angle and at intervals of six feet as the face is advanced. These test holes shall not be used for blasting. Separate blasting holes, not over four feet deep, must be drilled. These precautions must begin at least 100 feet from the probable source of danger.
(Acts 1949, No. 207, p. 242, §21.)
Each employee shall promptly inform his supervisor or the mine foreman of damage to or unsafe condition of any ventilation appliance when known by the employee or of any obstruction in air passages or other interference with normal ventilation of which he has knowledge. The supervisor or mine foreman who knows of or to whom such damage or unsafe condition is reported is responsible for prompt correction.
(Acts 1949, No. 207, p. 242, §22.)
It shall be a misdemeanor for any person to enter, without an order from an authoritative official, or go dangerously near any mine or part of a mine of which he has been warned personally or by danger board of the presence of gas in dangerous quantities, or knowingly to destroy, damage, or lessen the effectiveness of any ventilation appliance or facility, or to open a ventilating door that is in use without promptly closing the same, or to do any willful act knowing that the consequence of his act might result in accumulation or ignition of gas.
(Acts 1949, No. 207, p. 242, §22.)
(a) Coal dust shall not be allowed to accumulate excessively along conveyor lines, roadways, at loading points or at underground tipples, but shall be loaded and sent out of the mines. Coal dust in dangerous quantities in abandoned areas shall, where practicable be rendered inert.
(b) Where mining operations raise an excessive amount of dust into the air currents, water or water with a wetting agent added to it or other effective methods shall be used to allay such dust at its source.
(Acts 1949, No. 207, p. 242, §23.)
(a) Rock dust to be used to render coal dust inert shall come within the following specifications:
Combustible matter not more than five percent by volume, quartz or free silica particles not more than five percent by volume, and not unduly absorbent of moisture and preferably light in color. Rock dust shall be pulverized so that 100 percent will pass through a 20 mesh screen and 70 percent or more will pass through a 200 mesh screen.
(b) Rock dust shall be applied and maintained upon the top, floor, and sides of all open places, passages, and haulageways in such quantities that the incombustible contents of mine dust that could initiate or propagate an explosion will not be less than 65 percent, but the incombustible content in the return air courses shall be no less than 80 percent. Rock dust shall be so applied and maintained to include the last open breakthrough of rooms and entries and to within 40 feet of the faces or closer if necessary.
(c) In back entries and air courses, rock dust barrier protection in lieu of generalized rock dusting may be authorized by the chief of the division upon request by the operator. The chief of the division will prescribe the methods of protection that may be substituted.
(d) Where methane is present in any ventilating current, the percentage of incombustible content shall be increased one percent and four-tenths percent for each one-tenth percent of methane where 65 and 80 percent, respectively, of incombustibles are required.
(e) Mines or locations in mines that are too wet or too high in incombustible content for a coal dust explosion to initiate or propagate are not required to be rock dusted during the time such conditions prevail.
(Acts 1949, No. 207, p. 242, §24; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Permissible explosives or permissible blasting methods only shall be used in blasting coal or coal and other material in all mines where on shift.
(b) Black blasting powder shall not be stored or used in underground coal mines.
(c) Prior to use of Cardox or Airdox, both of which are classed as permissible blasting methods, or any other blasting device or method that may later be classed as permissible, the operator must secure written approval from the chief of the division. The chief in granting approval will issue instructions as to storage, transportation, handling, charging, tamping, detonating, and handling misfires. These instructions will be made conditions of the approval, and violations of any of them will be considered violations of this section.
(d) Prior to use of dynamite or any other nonpermissible explosive for blasting in rock tunnels, shafts, etc., the operator must secure written approval from the chief of the division. The chief in granting approval shall issue instructions as to storage, transportation, handling, charging, tamping, detonating, and handling misfires. These instructions shall be made conditions of the approval, and violations of any of them will be considered violations of this section.
(Acts 1949, No. 207, p. 242, §25; Acts 1951, No. 204, p. 465; Acts 1959, No. 80, p. 488; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Separate surface magazines shall be provided for the storage of explosives and detonators and shall be kept in good repair.
(b) Magazines shall be constructed of or covered with fire and weather resistant material, shall be reasonably bullet proof and shall have no metal or sparking material exposed inside the magazine. When a magazine is used for more than one type of explosive, each type shall be stored separately.
(c) The only openings shall be doors for entrance, which shall be securely locked when unattended, and properly screened vents.
(d) If artificial light is needed, only an electric flashlight, electric lantern, or electric cap lamp shall be used. Smoking, carrying of smokers’ articles, or open flame are prohibited in or within 25 feet of any magazine. Combustible materials, including rubbish and dry grass, shall be kept clear of any magazine for a distance of 25 feet in all directions.
(e) Other material shall not be stored with explosives or detonators and metallic tools shall not be used for opening containers of explosives.
(f) Distributing magazines, constructed of two-inch hardwood, or metal lined with nonsparking material or an equivalent may be used for storage or distribution of not more than 125 pounds of explosives or 5,000 detonators. No magazine shall be placed in a building containing any highly flammable material or waste and shall be at least 20 feet from a stove, furnace, open fire, or flame.
(g) All magazines shall be not less than 200 feet from any mine opening, unless effectively barricaded, and suitable danger signs shall be placed near all magazines.
(Acts 1949, No. 207, p. 242, §26.)
(a) Individual containers used to carry permissible explosives or detonators shall be constructed of substantial, nonconductive material, kept closed and maintained in good condition.
(b) When explosives or detonators are transported underground by locomotive, rope, or shuttle car they shall be in covered cars or in special containers.
(1) The bodies and covers of special cars and containers shall be constructed of nonconductive material.
(2) If explosives and detonators are hauled in the same explosives car or in the same special containers, they shall be separated by at least a four-inch substantially fastened hardwood partition or the equivalent.
(3) Where quantities of explosives and detonators are transported in special cars or in special containers in cars, they shall be hauled on a special trip not connected to any other trip, and shall not be hauled into or out of a mine within five minutes preceding or following a man-trip or any other trip.
(4) Explosives or detonators shall not be transported on the same trip with workmen other than those required in the transportation of the explosives or detonators.
(c) Explosives and detonators shall be transported underground by belt only under the following conditions:
(1) In the original and unopened case, in special closed cases constructed of nonconductive material or in suitable individual containers.
(2) Clearance requirements shall be the same as those for transporting men on belts.
(3) Suitable loading and unloading stations shall be provided.
(4) There shall be an attendant at loading and unloading points and stop controls at these points.
(d) Explosives or detonators shall not be transported on flight or shaker conveyors or by scraper or mechanical loading machines.
(Acts 1949, No. 207, p. 242, §27.)
(a) Underground section boxes or magazines shall be constructed of substantial nonsparking material and shall be placed in a crosscut or idle room neck at least 25 feet from roadways, trolley wires, or power lines, at least 75 feet from any working face and in a reasonably dry and well rock dusted place, free of oil, grease, or other debris.
(b) Explosives and detonators shall be stored separately and at least five feet apart. Not more than a 48-hour supply of explosives and detonators, including any surplus remaining from the previous day, shall be stored underground in section boxes or magazines. This maximum 48-hour supply will include supplies in individual or face boxes where used.
(c) A one day’s supply of explosives and detonators may be kept in individual or face boxes. Those boxes shall be wooden with hinged lids and shall be kept not less than 15 feet from roadways, trolley wires, or power lines; provided, that 15 feet may be reduced to five feet when the boxes are kept in a niche in the rib at least 75 feet from any working face and in a location out of line of blast where they will not likely be subjected to shock. Separate boxes, kept at least five feet apart, shall be used for explosives and detonators.
(d) Explosives and detonators shall be kept in their containers until removed for use at the working faces.
(e) Care shall be exercised to use the oldest explosives from storage before new supplies are used so that explosives will not remain in underground storage long enough to deteriorate.
(Acts 1949, No. 207, p. 242, §28; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Only competent persons shall be designated or permitted to handle explosives or do blasting. Only electric detonators of proper strength may be used and the use of delay electric detonators is prohibited for blasting coal or coal and other material. Primers shall be made up as needed for blasting and prepared in accordance with the safety standards of the Institute of Makers of Explosives or of the manufacturer of the explosives as approved by the chief; provided, however, that nothing provided in this subsection shall prohibit the use of permissible millisecond blasting in conformity with the requirements, exceptions, limitations, conditions, and restrictions on the use thereof established or hereinafter established by the Bureau of Mines of the United States Department of the Interior.
(b) Care shall be used in placement and drilling of holes. Test roof, face, ribs and timbers for dangerous conditions before drilling or preparing holes. Certified official or approved competent persons must test for methane with approved methane detectors before drilling with electric powered drills and before charging bore holes.
(1) Bore holes shall not be drilled beyond the back of the cut or cutting shot nor into the solid ribs, roof, or floor.
(2) Where it is impractical to undercut, top cut, or shear the coal face and solid shooting is necessary, depending shots are prohibited. The method of placing and firing holes is subject to approval by the chief.
(3) Bore holes shall be cleaned and checked to see that they are placed properly and are of correct depth in relation to the cut before being charged.
(4) To prevent blown-out or windy shots, all portions of the bore holes, where the height of the coal permits, shall have a burden in all directions of at least 18 inches before being fired.
(c) Charges shall not exceed one and one-half pounds in bore holes under six feet in depth. Charges exceeding one and one-half pounds but not exceeding three pounds may be used only if bore holes are six feet or more in depth, have a burden in all directions of at least 18 inches and Class A or Class B permissible explosives are used.
(d) Bore holes shall be charged with explosives in a continuous train with no cartridges deliberately deformed or crushed, with all cartridges in contact with each other, and with the end cartridges touching the back of the hole and the stemming respectively.
(e) Bore holes shall be tamped with wooden tamping bars, and shall be stemmed with at least 24 inches of incombustible material or at least one half of the length of the hole shall be so stemmed if the hole is less than four feet in depth. Water-filled plastic bags for stemming may be used under the following conditions:
(1) The bags shall be made of polyvinyl chloride not less than six mils in thickness or equivalent in tear resistance and noninflammability.
(2) The bore hole shall be stemmed with at least one water-filled bag not less than 15 inches in length and within one fourth of one inch of the bore hole diameter. Short bore holes may not accommodate the entire bag, but this shall be acceptable.
(3) The bags shall be equipped with self-closing valves or equivalent leakproof protection.
(4) To prevent puncturing, the water-filled bag shall be pushed gently into the bore hole until it touches the charge of explosives and shall not be tamped or forced.
(f) In mines where shooting is done on shift, all shots or series of shots shall be fired promptly after charging and in the following manner:
(1) Remove shunts or untwist ends of leg wires of electric detonators and connect to firing cable.
(2) Move away from face, paying out cable and being sure cable does not contact pipe, pan line or other material that may carry stray currents. Keep leg wires and firing cable up out of water.
(3) Take firing position in protected place around at least one solid corner or in an adequate shelter hole.
(4) Give ample warning before shots are fired and ascertain that all persons are in the clear. See to it that men are removed from adjoining working places when there is possibility of a shot breaking through.
(5) Unshunt ends of firing cable, attach to blasting unit, call “Fire! Fire!” with intervals between each warning and set off charge.
(6) Disconnect firing cable and reshunt ends.
(7) Wait for smoke to clear and immediate roof effect to take place.
(8) Return to face, reeling up firing cable and make tests of face, roof, ribs, and timbers for dangerous conditions. In mines classed as gassy, a certified official or approved competent person must make a gas examination on return to the face after blasting.
(9) If gas or other dangerous conditions are found that cannot be made safe in normal course of work, mark place out with DANGER sign and report to mine foreman or supervisor in charge.
(g) Holes shall not be drilled, charged, or fired in any place where methane gas can be detected at one percent or more on an approved methane detector.
(h) In mines where shooting is done from the surface with all men out of the mine, a separate blasting circuit must be provided with a switch kept locked when not in use for blasting or written approval of the chief of the division must be secured. Requests to use power or a signal circuit for blasting with all men out of the mine, shaft, or slope must state precautions taken to guard against electrocution and premature detonation hazards. Approval by the chief will be conditioned on compliance with these precautions, violations of which will be considered violations of this section of the law.
(i) Mixed charges shall not be charged or fired in any bore hole.
(j) The firing of adobe (mudcap) or other open, unconfined shots is prohibited in any mine.
(Acts 1949, No. 207, p. 242, §29; Acts 1957, No. 197, p. 256; Acts 1965, No. 34, p. 51; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
Blasting cables shall be:
(1) Kept well insulated and as long as may be necessary to permit the shot firer to get in a safe place around a corner.
(2) Short circuited at the battery end until ready to attach to the blasting unit.
(3) Staggered as to length or kept well separated when attached to the detonator leg wires.
(4) Kept clear of power wires and all other possible sources of active or stray currents.
(Acts 1949, No. 207, p. 242, §30.)
(a) Where misfires occur with electric detonators, the person firing the shots shall disconnect his firing cable from the source of power and short circuit it by reshunting the ends of the cable. No person shall return to the shot until five minutes has elapsed from the misfire, and the firing cable must not be left behind anyone returning to the face.
(b) If a defect in the firing cable or connections is found, another attempt may be made to fire the shot or shots, exercising such cautions as covered in Section 25-9-134, subsection (f), subdivision (5).
(c) If the misfire is definite, explosives shall be removed by drilling and firing the bore hole for a separate charge at least two feet away from and parallel to the misfired charge, or by washing the stemming and the charge from the bore hole with water or by inserting and firing a new primer after the stemming has been washed out.
(d) A very careful search of the working place, and if necessary, of the coal after it reaches the tipple, shall be made after blasting a misfired hole, to recover any undetonated explosive.
(e) The handling of a misfired shot shall be under the direct supervision of the mine foreman, his assistant, or any competent person designated by the mine foreman or his assistant.
(f) If fuses and caps are used for blasting on the surface, misfires may not be approached by anyone until six hours have elapsed, and handling of the misfire must be done with due care and under direction of a supervisor or other competent person.
(Acts 1949, No. 207, p. 242, §31.)
A prompt report shall be made to the chief of the division in any case of premature detonation or explosion of explosives, whether or not any person is injured.
(Acts 1949, No. 207, p. 242, §32.)
(a) No person shall build a fire or cause a fire to be built in any coal mine, except as provided hereinafter.
(b) Torches may be used by competent persons in mines for splicing trailing cables, provided suitable precautions are taken against ignition of methane, coal dust, or combustible materials. Torches must be maintained at all times in good operating condition and leakproof.
(c) Welding and burning may be done in mines provided all equipment and gauges are maintained in good order and not abused and suitable precautions are taken against ignition of methane, coal dust, or combustible materials. Only persons who have demonstrated competence in welding and burning are entrusted to do this work. Adequate eye protection will be used by all persons doing welding or burning, and precautions shall be taken to prevent other persons from exposure that might be harmful to their eyes.
Certified officials or approved competent persons shall examine for gas with approved methane detectors before welding or burning and at 20-minute intervals until work is complete.
When torches are used and welding and burning is done, a minimum of 150 pounds of rock dust and/or a 2A 10-B:C fire extinguisher shall be provided for prompt extinguishing of fires accidentally started.
(d) Approval of the chief of the division will be secured before firing coal seams in connection with gassification or other mining methods that may be practiced experimentally or commercially entailing controlled burning of coal in mines. Before granting approval, the chief will ascertain that the proposal entails no undue hazards to persons and that public property and property of other owners will not be endangered.
(Acts 1949, No. 207, p. 242, §33; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
In any mine or part of a mine which will be neither fire-bossed nor worked on the following shift, a supervisor or other responsible person shall examine all working places after face work ceases for evidence of fire.
(Acts 1949, No. 207, p. 242, §34.)
(a) Oiling or greasing of mine cars inside coal mines is permitted only when the work and storage areas are kept reasonably clean at all times. Storage of oil or grease for this purpose is limited to three barrels, and must be in a fireproof compartment connecting with return airway direct to the surface and without contacting active workings.
(b) Lubricants for use in underground shops must be kept in approved portable containers, kept securely closed when not in use and are not to exceed a one day’s supply; provided, that more than a one day’s supply may be stored underground in reasonable quantities if stored in a fireproof compartment connecting with return airway to the surface and without contacting active workings.
(c) Lubricants for use in sections using mechanical equipment must be kept in approved portable containers, kept securely closed when not in use in minimum quantities required for operations, not exceeding 48 hours.
(d) All points at which lubricants are used, kept, or stored shall be kept reasonably clean and free of avoidable spillage.
(e) Five hundred pounds of rock dust or sand or a 2A 10-B:C fire extinguisher shall be kept convenient to each oil or grease storage area in mines.
(f) Two hundred pounds of rock dust or sand or a fire extinguisher suitable for use in Class A fires will be kept convenient to each set of doors used for ventilation in mines.
(g) Five hundred pounds of rock dust or sand or a 2A 10-B:C fire extinguisher shall be kept convenient to each station or room containing mine transformers, rectifiers, motor generator sets, battery chargers, permanent pump, or air compressor control rooms and such other stationary and permanent or semipermanent equipment as may be classed by the chief of the division as a serious hazard in event of fire.
(Acts 1949, No. 207, p. 242, §35; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
No underground stables shall be constructed or used in coal mines after August 12, 1949, and straw for bedding or hay for feeding animals shall not be sent into coal mines. This does not apply to mines stabling animals underground on August 12, 1949. Rules for preventing fires and for maintenance of such stables and for handling straw and hay shall be prescribed in writing by the chief. Failure to comply with these rules shall constitute a violation of this chapter.
(Acts 1949, No. 207, p. 242, §36.)
(a) The first person to discover a fire and any person in the vicinity shall take prompt steps to extinguish the fire.
(b) If the fire cannot be quickly extinguished, word shall be sent immediately to a competent official of the mine, who shall take charge and order all workmen out of the affected area except those designated for fire fighting.
(c) If the fire gets out of control, workmen shall be withdrawn pending action to flood or seal off the affected area. The phase shall be under the direction of the senior mine official available, in consultation with the chief of the division or a designated inspector.
(Acts 1949, No. 207, p. 242, §37.)
Immediately upon knowledge of serious fire in or about a mine, the operator shall report by the quickest available means to the chief of the division giving all information known to him. Based on the information, the chief shall take prompt action to go in person or dispatch qualified subordinates to the scene of the fire for consultation, and assist in the extinguishing of the fire and the protection of exposed persons. In event of difference of opinion as to measures required, the decision of the chief or his designated subordinate shall be final, but must be given to the operator in writing to have the force of an order.
(Acts 1949, No. 207, p. 242, §38.)
(a) All surface transformers, unless of “dead front” construction or if installed at least eight feet above ground, shall be enclosed in a house or surrounded by a fence at least six feet high. If the enclosure is of metal, it shall be grounded effectively. The gate or door to the enclosure shall be kept locked at all times unless authorized persons are present.
(b) Underground transformers installed after August 12, 1949, shall be aircooled or nonflammable liquid cooled.
(c) Underground stations containing transformers or circuit breakers filled with inflammable oil shall be provided with door sills or their equivalent which will confine the oil if leakage or explosion occurs, and shall be of fireproof construction.
(d) Transformers shall be provided with automatic cutouts.
(e) All underground transformers or conversion equipment, whether permanent or portable, shall be kept in housings of fireproof construction; provided, that equipment designed and constructed to be fireproof is exempted from this requirement.
(f) The operator of every mine where permanent transformers or conversion equipment is installed underground shall designate or cause to be designated on the map provided for by law the locations of transformer and conversion equipment stations.
(g) “Danger - High Voltage” signs shall be posted conspicuously on all transformer enclosures, high-potential switchboards, and other high-potential installations.
(Acts 1949, No. 207, p. 242, §39; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) All power circuits entering a mine shall be protected against lightning by lightning arrestors at or near the points of entrance to the mine. All power circuits shall be protected against lightning or other surges by adequate circuit breakers, fuses, or both.
(b) All power wires, except trailing cables and ground wires, whether bare or insulated, shall be supported on well-installed insulators and shall not touch combustible material, roof, or ribs. Power wires or cables installed prior to August 12, 1949, in locations inaccessible without prohibitive expense may be continued in use if approved by the division.
(c) Power wires shall be insulated properly when passing through doors and stoppings and where they cross other power circuits.
(d) Signal wires and telephone wires shall be run at a safe distance and, where possible, shall be placed on the opposite side of the slope or heading from the power wires.
(e) Where track is used as a power conductor:
(1) Tracks shall be bonded and cross-bonded in such manner as to assure adequate return.
(2) Switches on entries shall be well bonded.
(f) Employees called upon to do work on energized electric circuits or energized parts of electrical equipment shall use properly tested lineman’s electric gloves and leather protector gloves.
(g) Trolley and feeder wires shall be installed as follows:
(1) Aligned properly and where installed after August 12, 1949, at least six inches outside the track gauge line.
(2) Provided with cutout switches at intervals of not more than 2,000 feet and near the beginning of all branch lines.
(3) Kept taut and not permitted to touch roof, rib, or cross bars. Particular care should be taken where they pass through door openings to preclude bare wires coming in contact with combustible material.
(4) Trolley or bare feeder cables shall be guarded adequately where it is necessary for men to pass or work under them regularly unless the wires are more than six and one-half feet above the top of the rail. They shall also be guarded adequately on both sides of doors and regardless of height at all stations designated for loading and unloading of mantrips and at sand boxes.
(Acts 1949, No. 207, p. 242, §40.)
Where grounding wires are used to ground metallic sheaths, armors, conduits, frames, casings and other metallic enclosures, such grounding wires must comply with the following conditions:
(1) The cross-sectional area (size) of the grounding wire shall be at least one-half the cross-sectional area (size) of the power conductor where the power conductor used is No. 6 A.W.G. or larger.
(2) Where the power conductor used is less than No. 6 A.W.G., the cross-sectional area (size) of the grounding wire shall be equal to the cross-sectional area (size) of the power conductor.
(Acts 1949, No. 207, p. 242, §41; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Circuit breakers or other overload devices shall be provided to protect power circuits.
(b) Insulating platforms of dry wood, rubber, or other suitable nonconductive material shall be kept in place at each switchboard, underground telephone station, power control switches, and at stationary machinery where shock hazards exist; provided, that metal plates on which a person normally would stand and which are kept at the same potential as the grounded, metal noncurrent-carrying parts of the power switches to be operated may be used.
(Acts 1949, No. 207, p. 242, §42; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
Telephone service or approved equivalent means of communication shall be provided at the bottom of each main shaft or slope and in all mines from the surface to the working sections of the mine where the mine workers are more than 1,500 feet from the surface.
(Acts 1949, No. 207, p. 242, §43.)
(a) Electric drills or other electrically operated rotating tools intended to be held in hands shall have the electric switch constructed so as to break the circuit when the hand releases the switch or shall be equipped with friction or safety clutches.
(b) All new trailing cables installed after November 21, 1975, shall meet the requirements set out by the Secretary of the Interior in Bureau of Mines schedule 2G and in subsequent revisions.
(c) Cables for portable underground electric equipment shall be provided with suitable overload protection and power taps, unless properly connected to permissible junction or distribution boxes.
(Acts 1949, No. 207, p. 242, §44; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
Electric lights shall be installed so that they cannot come in contact with combustible materials. The wires shall be supported by suitable insulators and fastened securely to the power conductors.
(Acts 1949, No. 207, p. 242, §45.)
(a) It shall be the duty of the mine foreman and his subordinate supervisors to ascertain that all workmen are trained in proper methods of testing the roof, face, and ribs. The mine foreman shall designate the tool or tools to be used for testing.
(b) Face workers and other employees whose work exposes them to hazards of falls of rock and coal shall thoroughly test the roof, face, and ribs before starting work or before starting a machine and frequently thereafter. The required test may be made by any competent person for a crew. No person shall start work in a place tested by another unless he is satisfied as to the thoroughness of the test, or until after he himself has made a test.
(c) If the roof, face, or rib conditions are found to be unsafe, they shall be corrected by taking down loose material or securely supporting the same before work is started.
(d) If roof, face, or rib conditions are found to be unsafe and cannot be corrected by normal taking down or supporting practices, the place shall be guarded or danger boarded to prevent unauthorized entrance and the supervisor shall be promptly notified. The supervisor shall take the necessary action to correct the dangerous condition, delegating for this work only men who are capable.
(e) Precautions as outlined in subsections (b), (c), and (d) of this section shall be taken at any time during work that unsafe roof, face, or rib conditions are found to exist.
(f) At least once each shift the supervisor shall examine the roof, faces, ribs, and timbers or supports of all working places for unsafe conditions. Unsafe conditions found shall be corrected promptly.
(g) The mine foreman or subordinate supervisor shall examine or cause to be examined by a competent person the condition of the roof and ribs of passageways where men travel, at least once each 24 hours of operation. Unsafe conditions found shall be corrected promptly.
(Acts 1949, No. 207, p. 242, §46.)
(a) Timbering or other adequate roof support systems suitable to the roof conditions and mining system of each mine or part of a mine shall be adopted, complied with, and required. Additional timbering or supporting will be done where necessary.
(b) It shall be the duty of the mine foreman and his subordinate supervisors to ascertain that all workmen are trained in the proper methods of setting timbers or placing supports.
(Acts 1949, No. 207, p. 242, §47.)
(a) The operator of each mine shall keep on hand at the mine a sufficient supply of timbers of suitable length and cap pieces to be used as required in timbering underground workings. Timbers and cap pieces in required quantities and lengths as ordered shall be delivered to the working places designated or in cars to the point at which cars are accepted by the miners.
In hand loading mines, the miner shall order timbers and cap pieces at least one day in advance in order to have in his working place a sufficient supply for his needs. He shall place his order with the mine foreman or subordinate supervisor, stating the number and length of timbers needed. In mechanical mining, the mine foreman shall set up a systematic procedure for ordering and supplying of timbers and cap pieces. When timbers are needed in any working place and are not available, no person shall work in that place.
(b) In mines using roof supports other than timber, it shall be the responsibility of the operator to maintain an adequate supply of materials required and to insure their delivery in sufficient quantities to the working places as needed.
(Acts 1949, No. 207, p. 242, §48.)
(a) Only competent engineers shall be placed in charge of or permitted to operate any engine used for conveying into and hoisting out of any coal mine. When men are being lowered or hoisted, an additional engineer competent to act in emergencies shall be present at the hoist controls. At all times when men are in the mine, a competent hoist engineer shall be available to receive notice or signals requiring his presence at the hoist engine controls. No engineer shall be required for automatically operated cages, elevators, or platforms.
(1) Only authorized persons shall enter the hoist engine room and no person shall interfere with or intimidate the hoist engineer in the discharge of his duties. No person shall speak to the hoist engineer while the engine is in motion, except to give signals to him. This subdivision shall be posted on the door of each hoist engine house.
(2) Assigned and relief hoist engineers shall be given and required to take annual physical examinations to ascertain that no disability or infirmity has arisen that might expose others to hazards. No hoist engineer shall be removed as a result of a physical examination unless it is recommended by the examining doctor and it is established that his physical condition renders continued employment as hoist engineer potentially hazardous to lives and/or property.
(b) There shall be a dependable method of signaling, audible to the hoist engineer, from all landings in shafts and slopes. Signal codes, approved by the division, shall be used and posted prominently in the engine house and at all places where signals are given.
(c) Cages used for lowering and hoisting men shall have the following safety features:
(1) Approved safety catches, which shall at all times be kept in good working condition.
(2) Suitable covers of sheet iron or equivalent covers, at least one fourth of an inch thick, or its equivalent, and hinged to open upward.
(3) Bars or rings in sufficient numbers and so located that every person permitted on the cage will have a secure handhold.
(4) Bridle chains attached to the main hoisting rope above the socket, from the top crosspiece of the carriage or cage, so that no single chain may be used for lowering or hoisting persons.
(5) Automatic self-detaching hooks, unless the hoisting engine be equipped with automatic stopping device, effective to prevent overwinding.
(6) Secure floor or platform that will not tip or dump or effective locking device to prevent tipping or dumping, kept locked whenever men or supplies are being lowered or hoisted.
(7) Floor adequate to carry the load and constructed so that it will be impossible for a person’s foot or body to enter any opening in the floor.
(8) Enclosed sides and gates, safety chains or bars across the ends of the cage.
(9) Daily inspection and a written record kept. A test of safety catches and of rope attachments shall be made on each inspection by the division in a manner approved by the chief, and results shall be noted in the report of inspection.
(d) Hoist engines shall have the following safety features:
(1) Adequate brakes capable of stopping and holding the fully loaded unbalanced cage or trip at any point in the shaft, slope, or on the incline.
(2) An accurate and reliable indicator showing the position of the cage or trip shall be placed in clear view of the engineer.
(3) When men are being lowered or hoisted, the maximum speed shall not exceed 900 feet per minute.
(4) One round trip shall be made not more than one-half hour before hoisting or lowering men. Chainer may ride this check trip in slope hoisting.
(5) Inspected daily by a designated competent person and a record made of inspections.
(e) Hoist ropes shall have the following safety features:
(1) Adequate size to handle the load and a proper factor of safety as defined in the American Standards Association wire rope standards, and shall be replaced when use becomes dangerous as determined by inspection.
(2) The rope shall have at least three full turns on the drum when extended to its maximum working length and shall make at least one full turn on the drum shaft or around the spoke of the drum (in case of a free drum) and be fastened securely by means of clamps or other means approved by the chief of the division.
(3) The hoisting rope shall be fastened to its load by a zinc-filled socket, thimbles, and clamps or other means approved by the chief of the division.
(4) Ropes shall be examined daily by a competent person and replaced when necessary. A record shall be made of all inspections showing condition of ropes and fastenings. Hoist ropes in shafts shall be kept well lubricated.
(f) Hoist shafts shall have the following features:
(1) All landings shall be kept clear and free from loose materials, and shall be securely fenced with automatic or other gates to prevent men or materials from falling into the shaft.
(2) At the bottom of each hoisting shaft and at all intermediate landings, a “run-around” shall be provided for safe passage from one side of the shaft to the other so that men or animals are not required to pass under or across the cage. This passageway shall not be less than five feet in height and three feet in width.
(3) Positive stop blocks or derails shall be placed near all shaft landings.
(4) An attendant shall be on duty at the surface when men are being hoisted or lowered at the beginning and end of each operating shift and when men are working in the shaft. Where automatic elevators or cages are used, no attendants shall be required at the elevator or cage stations.
(5) Persons engaged in deepening a shaft in which hoisting from an upper level is going on shall be protected from the danger of falling material by a suitable covering extending over the whole area of the shaft, sufficient openings being left in the covering for the passage of men or a bucket or other conveyance used in the sinking operations. No hoisting shall be done in any compartment of a shaft while repairs are being made in that compartment, except such hoisting as is necessary in order to make such repairs.
(g) No person shall ride upon a cage, elevator, skip, or bucket that is loaded with tools, timber, powder, coal rock, or other material except as follows:
(1) When tools and supplies are required for repairs to the shaft, or when a rider is required to assist in passing materials through a shaft or incline. In those cases a special signal must be used and extra care exercised by the hoist engineer.
(2) When hand tools or small amounts of supplies are carried by workmen in one hand, leaving the other free to hold onto the bar or ring provided.
(h) When tools, timber, or other materials are loaded so that their ends project above, they shall be securely fastened to the hoisting rope or to the upper part of the cage, skip, or bucket.
(i) No coal or rock shall be hoisted in any shaft while men are being lowered.
(j) No person shall ride on a cage containing a loaded car or on a single deck cage with an empty car.
(k) When a bucket is used for hoisting, safety hooks must be used and adequate means must be employed to control the bucket against spinning or excessive swinging.
(l) No driver or other person shall be permitted to descend or ascend a shaft with any horse or mule, unless the said horse or mule is secured in a suitable box or safely penned, and only the driver in charge of said horse or mule and such assistants as he may need shall accompany it in any case.
(m) Workmen repairing shafts or tipples shall use safety belts when they are exposed to hazards of falls.
(Acts 1949, No. 207, p. 242, §49; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Mine locomotives must be maintained so that brakes are adequate and in good order, sand riggings are operative, and locomotives are in safe operating condition.
(b) Other rolling stock must be maintained so that its condition does not entail undue hazards to transportation crews or to workmen whose duties require them to work around the haulage.
(c) Cars must be kept reasonably tight to hold coal spillage within practical limits.
(d) Motormen shall inspect locomotives before operating and report conditions found that make operation hazardous. They shall exercise a degree of care of haulage equipment consistent with the type of service and conditions of operation.
(Acts 1949, No. 207, p. 242, §50; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) The roadbed, rails, joints, switches, frogs, and other elements of the track of all haulage roads shall be constructed, installed, and maintained in a manner consistent with speed and the type of haulage operations being conducted to insure safe operation.
(b) Track switches, except room and entry development switches, shall be provided with properly installed throws, bridle bars, and guard rails. Switch throws and stands, where possible, shall be placed on the clearance side.
(Acts 1949, No. 207, p. 242, §51.)
(a) Haulage roads on entries developed after August 12, 1949, shall have a continuous unobstructed clearance of at least 24 inches from the farthest projection of moving equipment, on the clearance side.
(b) On haulage roads where trolley lines are used, the clearance shall be on the side opposite the trolley lines.
(c) On the trolley wire or “tight” side, there shall be six inches of clearance on track haulages developed prior to March 30, 1970, and 12 inches of clearance on track haulages developed after that date.
(d) After August 12, 1949, all new sidetracks, partings, or entries equipped with more than one track shall have a clearance of at least 24 inches between the outermost projection of moving traffic.
(e) The clearance space on all haulage roads on entries driven before or after August 12, 1949, shall be kept free of loose rock, coal, supplies, or other materials; provided, that not more than 24 inches need be kept free of such obstructions.
(f) In those exceptional instances where extremely thin seams of coal entail taking more rock than coal, the provisions of subsections (a) and (e) of this section shall be modified for room entries, such modification to be by the chief in writing; provided, that all persons shall be instructed to and required to use shelter holes when trips or cars are passing.
(g) In those exceptional instances where extremely bad roof conditions in thin seams require special timbering, the unobstructed clearance provided for in subsections (a) and (e) of this section may be regarded as measured from the rib or gob line, collar legs notwithstanding.
(h) Ample clearance shall be provided at all points where supplies are loaded or unloaded along haulage roads or conveyors.
(i) Where it is necessary for men to cross conveyors regularly and where the width of conveyors or low roof introduces a hazard, suitable crossover bridges shall be provided.
(j) Shelter holes shall be provided along haulage entries driven after August 12, 1949, where locomotive, rope, or animal haulage is used. Such shelter holes shall be spaced not more than 80 feet apart. Except where the trolley wire is six feet six inches or more above the roadbed or guarded effectively at the shelter holes, they shall be on the side of the entry opposite the trolley wire.
(k) Shelter holes made after August 12, 1949, shall be at least five feet in depth, not more than four feet in width and six feet in height or as high as the traveling space if the traveling space is less than six feet high. Room necks and cross cuts may be used as shelter holes even though their width exceeds four feet.
(l) Shelter holes shall be kept clear of refuse and other obstructions.
(m) Shelter holes shall be provided at switch throws, except where more than six feet of clearance is maintained and at room switches.
(n) At each landing of a slope where men are passing and cars are handled, a shelter hole at least 10 feet deep, four feet wide, and six feet high shall be provided.
(o) Where the only travelway to or from work is an incline plane, rope, or locomotive roads on which men travel on foot while such incline planes, rope, or locomotive roads are used for hoisting or haulage, shelter holes as specified in subsection (k) of this section shall be provided at not more than 80 foot intervals. These shelter holes shall be provided even though the travelway was driven prior to August 12, 1949; except, that they will not be required on locomotive roads where six feet or more clearance exists from the outermost projection of moving traffic, nor in those cases where adequate safeguards have been provided to secure men against exposure to danger from wrecks and such safeguards are approved by the division.
(Acts 1949, No. 207, p. 242, §52; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
Nonpermissible internal combustion engines or other machinery which gives off noxious fumes shall not be permitted underground in any coal mine.
(Acts 1949, No. 207, p. 242, §53.)
(a) Locomotives shall be equipped with proper devices for the rerailing of locomotives and cars.
(b) An audible warning device and headlights shall be provided on each locomotive.
(c) Approved trip markers shall be used on the rear of trips pulled or pushed and on the front of trips lowered into slopes. Markers are not required to be used during gathering operations at working faces. Permissible trip lights, efficient reflectors, or closed nonpermissible trip lights are acceptable as trip markers.
(d) Other than the motorman and trip rider, no person shall ride on a locomotive unless authorized by the mine foreman, and no person shall ride on loaded cars or between cars of any trip; except, that the trip rider may ride on the part of the trip adjudged safest by the mine foreman and concurred in by the mine inspector, preferably the first or the last car. When officials or other persons authorized by the mine foreman, trafficman, haulage boss, or dispatcher are transported on loaded trips, an empty car shall be placed between the locomotive and the first loaded car, or when physical conditions of haulage require it as a safety measure, the mine foreman may designate the rear of trips for the empty to be placed.
(e) Motormen and trip riders shall not get on or off the cars, trips, or locomotives in motion; except, that a trip rider may get on or off the rear end of a slowly moving trip to throw a switch or perform other necessary haulage duties.
(f) Slides, skids, or other adequate means shall be used on descending trips on grades where the locomotive or car tugger hoist is not adequate to control the trip.
(g) On any slope or plane where the grade is against loaded trip, a drag or other suitable device, adequate to derail cars or the trip of cars in case they break loose and run back, shall be used.
(h) Uniform haulage signals shall be adopted for each mine or mines operated, and shall be complied with by all haulage crews.
(i) Flying or running switches are forbidden. Mine rules as to block signals and other haulage practices not covered in these laws shall be complied with by all officials, haulage crews, and other workmen.
(Acts 1949, No. 207, p. 242, §54.)
(a) Man-trips shall be operated at safe speeds consistent with the condition of roads and type of equipment used, but not to exceed 12 miles an hour in mine cars or 15 miles an hour when special, substantially covered man-trip cars are used.
(b) Each man-trip shall be under the charge of a responsible person and it shall be operated independently of any loaded trip of coal or other material.
(c) Cars on the man-trip shall not be overloaded and sufficient cars in good mechanical condition shall be provided.
(d) No person shall ride under the trolley wire unless suitably covered man-cars are used.
(e) No material or tools shall be transported in the same mine car with men and all persons shall ride inside of man-trip cars, except the motorman and brakeman or person in charge of the man-trip. Where compartmented man-cars are used, tools or supplies, other than explosives, secured so that they cannot cause injury to men in other compartments, may be transported in a compartment designated for that purpose.
(f) Men shall not load or unload before the cars in which they are to ride or are riding come to a full stop and men shall proceed in an orderly manner to and from man-trips.
(g) A waiting station shall be provided where men are required to wait for man-trips or man-cages. At places where men enter or leave man-trip conveyances, ample clearance shall be provided and provisions made to prevent persons from coming into contact with energized electric circuits. Adequate seating facilities shall be provided.
(h) Where hoists are used for handling men in underground slopes, in pitching beds or on slopes between two or more beds, the provision as to man-trips applies and special care shall be exercised to insure that cars do not break loose while being hoisted or lowered.
(i) Where belts are used for transporting men, a minimum clearance of 18 inches shall be maintained between the belt and the roof or crossbars, projecting equipment, cap pieces, overhead cables, wiring, and other objects, but where the height of the coal bed permits, the clearance shall not be less than 24 inches.
(j) The belt speed shall not exceed 300 feet a minute when vertical clearance is less than 24 inches and shall not exceed 350 feet a minute where clearance is more than 24 inches while men are being transported. Belt conveyors shall be stopped while men are loading or unloading.
(k) The space between men riding on a belt line shall be not less than five feet.
(l) Loading and unloading stations shall be illuminated properly.
(m) An official or some other person designated by the mine foreman shall supervise the man-trip loading and unloading of belts.
(Acts 1949, No. 207, p. 242, §55; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) The cutter chains of mining machines shall be locked securely at all times except when the machine is cutting, the chain is being oiled or tested after repairs, or when the chain is moved to spot bits.
(1) When the chain is being oiled or tested after repairs, an operator must be at the controls ready to stop movement of the chain instantly. When the chain is being oiled, the bar must be free of the kerf and of material that might cause it to deflect, the person oiling must position himself before the chain is started, the chain must run in reverse and slowly and must be stopped and the lock replaced immediately after oiling is completed. Oiling devices or other methods that do not expose a workman to hazard from the moving chain may be used.
(2) When the chain is moved to spot bits, all persons must be in the clear of the bar and the lock must be replaced after the chain is moved and before the bits are spotted.
(3) When the chain is operated to test it after repairs, all persons must be in the clear of the bar and the lock must be replaced immediately after testing is completed.
(b) Care must be exercised at all times in the operation of mining and loading machines. Shields must be kept in place. Timbers removed by a cutting or loading crew must be reset or the roof otherwise secured. Care must be exercised to prevent persons not engaged in operation of machines from exposing themselves dangerously near the machines. Operators of machines that are self-tramming or machines that are loaded for tramming shall be alert to clearances and will observe all applicable laws and rules pertaining to haulage or movement of traffic.
(c) Conveyors and duckbills shall be properly installed and operated with care. Timbers removed in installing, moving, or sluicing a conveyor shall be reset promptly or the roof otherwise adequately secured.
(d) Care must be exercised in setting of and working around jack pipes used in operation of mining machines, conveyors, and loading machines.
(e) Operators of shuttle cars will satisfy themselves that brakes are adequate before and during operation and will exercise care to prevent knocking out timbers. They will promptly reset or report timbers unavoidably knocked out, will keep cars under control during operations, and give warning before making turns or passing through curtains or other points of obstructed vision.
(f) Face equipment must be stopped before being lubricated, wiped, or repaired, except as provided in subdivision (a) (1) of this section, and must not be restarted until persons oiling, wiping, or repairing have given a clear signal. This does not apply to lubrication of equipment that is designed or modified so that lubrication may be performed without exposure to moving parts.
(g) The mine foreman and his assistants are responsible that operators of face equipment are trained in the requirements of their work before they are entrusted with operation of face equipment, other than while undergoing training by competent operators.
(h) The mine operator and the mine officials are responsible for seeing that face equipment is adequately maintained as to safe operating conditions. Equipment operators are responsible for exercising reasonable care in the operation of the equipment entrusted to them and for reporting defects known to them.
(i) All junction or distribution boxes used for making multiple power connections inby the last open crosscut shall be permissible.
(j) All handheld electric drills, blower and exhaust fans, electric pumps, and such other low horsepower electric face equipment which are taken into or used inby the last open crosscut of any coal mine shall be permissible.
(k) All other electric face equipment which is taken into or used inby the last open crosscut of any coal mine shall be permissible.
(l) The operator of each coal mine shall maintain in safe condition all permissible type electric face equipment which is taken into or used inby the last open crosscut of any such mine.
(m) Trailing cables used in coal mines shall meet the requirements established for flame-resistant cables.
(n) Short-circuit protection for trailing cables shall be provided by an automatic circuit breaker or other no less effective device, approved by the chief of the division, of adequate current-interrupting capacity in each underground conductor. Disconnecting devices used to disconnect power from trailing cables shall be plainly marked and identified, and such devices shall be equipped or designed in such a manner that it can be determined from visual observation that the power is disconnected.
(o) When two or more trailing cables junction to the same distribution center, means shall be provided to assure against connecting a trailing cable to the wrong size circuit breaker.
(p) One temporary splice may be made in any trailing cable. Such trailing cable may only be used for the next 24-hour period. No temporary splice shall be made in a trailing cable within 25 feet of the machine, except cable reel equipment. Temporary splices in trailing cables shall be made in a workmanlike manner and shall be mechanically strong and well insulated. Trailing cables or hand cables which have exposed wires or which have splices that heat or spark under load shall not be used.
(q) When permanent splices in trailing cables are made, they shall be mechanically strong with adequate electrical conductivity and flexibility, effectively insulated, and sealed so as to exclude moisture and vulcanized or otherwise treated with suitable materials to provide flame-resistant qualities and good bonding to the outer jacket.
(r) Trailing cables shall be clamped to machines in a manner to protect the cables from damage and to prevent strain on the electrical connections. Trailing cables shall be adequately protected to prevent damage by mobile equipment.
(s) Trailing cable and power cable connections to junction boxes shall not be made or broken under load.
(t) All electrical equipment shall be frequently examined, tested, and properly maintained by a qualified person to assure safe operating conditions. When a potentially dangerous condition is found on electrical equipment, such equipment shall be removed from service until such condition is corrected. A record of such examinations shall be kept and made available to an authorized representative of the chief of the division and to the miners in such mine.
(Acts 1949, No. 207, p. 242, §§56, 57; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Gears, sprockets, friction devices, and couplings with protruding bolts or nuts, shafting and projecting shaft ends that are within seven feet of floor or platform level, belt or rope drives that are within seven feet of floor or platform level, fly wheels, and circular and band saws, and planers shall be guarded adequately.
(b) Grinders shall be installed and maintained in such manner that wheel speeds will not exceed rated speeds and reasonable protection is afforded against danger of flying particles and wheel disintegration.
(c) Repair pits shall be kept covered or guarded at all times when not in use to prevent falls into them.
(d) Machinery must be stopped before being lubricated, wiped, or repaired and reasonable precautions must be taken to prevent other persons from restarting them while such work is in progress. This does not apply as to lubrication of machinery that is designed or modified so that lubrication may be performed without exposure to danger from moving parts.
(Acts 1949, No. 207, p. 242, §58.)
Repairmen shall not operate machinery unless they are thoroughly familiar with requirements for safe operation. No person will order or require repairmen to operate machinery for moving or testing without ascertaining that the repairmen are thoroughly familiar with requirements for safe operation.
(Acts 1949, No. 207, p. 242, §59.)
(a) In dangerously dusty locations, electric motors, switches, and controls shall be of dust-tight construction or enclosed with reasonably dust-tight housing or enclosures. Open-type motors, switches, or controls now in use in tipples and cleaning plants in dusty locations may be continued in use until such dust-tight equipment can be procured or until they can be corrected with reasonably dust-tight housing or enclosures.
(b) Structures shall be kept free of excessive coal dust accumulations.
(c) Where coal is dumped at or near air intake openings, reasonable provisions shall be made to prevent the dust from entering the mine.
(d) Where repairs are being made to the plant, proper scaffolding and proper overhead protection shall be provided for workmen wherever necessary.
(e) Welding shall not be done in dusty atmosphere or dusty locations, and firefighting apparatus shall be readily available during welding.
(Acts 1949, No. 207, p. 242, §60.)
Naphtha or other flammable liquids in lamp houses shall be kept in approved containers or other safe dispensers.
(Acts 1949, No. 207, p. 242, §61.)
(a) Stairways, elevated platforms, and runways shall be equipped with handrails.
(b) Elevated platforms and stairways shall be provided with toeboards where necessary, and they shall be kept clear of refuse and maintained in good repair.
(Acts 1949, No. 207, p. 242, §62; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
Good housekeeping shall be practiced in and around mine buildings and yards. Such practices include cleanliness, orderly storage of materials, and the removal of possible sources of injury, such as stumbling hazards, protruding nails, and broken glass.
(Acts 1949, No. 207, p. 242, §63.)
(a) Oil, grease, and similar flammable materials shall be stored in closed containers, separate from other materials so as not to create a fire hazard to nearby buildings or mines. If oil or grease is stored in a building, the building or the room in which it is stored shall be of fire-resistive material and well-ventilated. Tight metal receptacles shall be provided for oily waste.
(b) Smoking in or about surface structures shall be restricted to places where it will not cause fire or an explosion.
(c) Unless existing structures located within 100 feet of any mine opening are of reasonably fireproof construction, fire doors shall be erected at effective points in mine openings to prevent smoke or fire from outside sources endangering men working underground. These doors shall be tested at least monthly to insure effective operation.
(Acts 1949, No. 207, p. 242, §64.)
All other provisions of this chapter, except those obviously peculiar to underground operations and also those specifically provided for in this article, are applicable to surface mining operations. All provisions contained in this article applicable to surface operations of underground coal mines and not specifically covered elsewhere in this chapter apply to all coal mines.
(Acts 1949, No. 207, p. 242, §72; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Guards. Excavations shall be provided with substantial barriers at points where passageways, tracks, roadways, or buildings adjoin such excavation.
(b) Loose material. All pit walls shall be kept free of unsafe loose materials. Hazardous areas shall be flagged, and no work shall be permitted in such areas.
(c) Scaling. Safe, acceptable methods shall be used for removing loose materials from the highwalls.
(d) Slope of material. Spoil piles shall be kept safely sloped to prevent loose material from sliding into the work area.
(e) Overburden. The area immediately above the highwall shall be cleared to a safe distance to prevent loose hazardous material from falling into the pit.
(Acts 1949, No. 207, p. 242, §73; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Access. Safe means of access shall be provided to all working places in any pit.
(b) Fastening ladders. All fixed ladders shall be properly installed, securely fastened and provided with back guards where necessary. At least three inches of toe clearance shall be provided.
(c) Incline of ladders. Under no circumstances shall any ladder inclining backward from the vertical be installed or used.
(d) Maintenance. Ladderways where used shall be maintained in safe condition and shall be inspected regularly.
(e) Steps. Where stairs are used, they shall comply with the requirements set forth in the basic safety manual, State of Alabama.
(f) Travel. Access to pits over railway haulage shall be provided with adequate warning signs.
(g) Walkway. Where access to pits is by walkway, it shall be properly graded, and if travel along the walkway is unsafe by reason of danger of falling into the pit, the walkway shall be protected by handrails. Drain ditches shall be laid out and both walk and drain ditches shall be kept free of broken stone, trash, and debris at all times.
(Acts 1949, No. 207, p. 242, §74; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Inspection. Shovels and draglines shall be inspected at the beginning of each shift, and such inspection shall include all mechanical equipment. Electrical equipment shall be regularly inspected by a qualified person.
(b) Maintenance. Where mechanical shovels and draglines are used at night, all lights shall be inspected before darkness, defective globes replaced, and defective wiring repaired.
(c) Oiling. Mechanical equipment on shovels and draglines shall not be cleaned or oiled while in motion, except where so designed or modified as to make lubrication while in motion safe.
(d) Steps, etc. All steps, handrails, grab irons, and floors shall be kept free from grease and extraneous material.
(e) Unauthorized person. No unauthorized person shall be allowed on any power shovel or dragline.
(f) Passage of persons. No person shall pass under the boom or bucket of a shovel or dragline while in operation.
(g) Warning. The operator of a shovel or dragline shall sound a warning prior to placing the machine in operation.
(Acts 1949, No. 207, p. 242, §75; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Installations and inspections. All electrical equipment installations shall be approved and all electrical inspections made by a qualified person.
(b) Grounding.
(1) Where grounding wires are used to ground metallic sheaths, armors, conduits, frames, casings, and other metallic enclosures, such grounding wires will be approved if:
a. The cross-sectional area (size) of the grounding wire is at least one-half the cross-sectional area (size) of the power conductor where the power conductor used is No. 6 A.W.G. or larger.
b. Where the power conductor used is less than No. 6 A.W.G., the cross-sectional area (size) of the grounding wire is equal to the cross-sectional area (size) of the power conductor.
(2) The protective grounding of electrical circuits and equipment to water pipe systems, when available, is desired as such grounding offers the most effective protection to life and property. Gas or air pipelines shall not be used for grounding circuits. Metal well casings, metal drain pipes, and similar buried metal structures of considerable extent may be used in lieu of extended buried water piping systems.
(3) The ground connection to metallic piping systems shall be made by means of a suitable connection firmly attached to the pipe after all rust and scale have been removed, or by means of a brass plug which has been tightly screwed into a pipe fitting or, where the pipe is of sufficient thickness, screwed into a hole in the pipe itself or by other equivalent means. The grounding conductor shall be attached to the clamp or to the plug by means of solder or a suitable solderless connector.
(4) If conduit, couplings, or fittings having protective coatings of nonconducting material, such as enamel, are used, such coating shall be thoroughly removed from couplings, conduits, and such surfaces of fittings where the conduit or ground connection is secured in order to obtain a good connection.
(5) Artificial grounds should be located where practicable below permanent moisture level, or, failing in this, a suitable means of grounding shall be used.
(6) Where copper ground plates are used, they should be at least six hundredths of an inch thick. When driven pipes are used, they should be of galvanized iron and not smaller than three fourths of an inch internal diameter, and when cast iron plates are used they should be at least twenty-five hundredths of an inch thick.
(c) Insulation.
(1) All fixed electric light and power lines, regardless of voltage, shall be properly supported on standard insulators.
(2) Drop cord extension light lines shall be flexible with heavy rubber insulation, equipped with a heavy wire light globe shield, hook, and heavy rubber handle.
(d) Trailing cables.
(1) Where employees are required to handle energized high voltage trailing cables, they shall be required to use cable tongs and wear rubber gloves. Where surroundings are wet, such employees shall also be required to wear rubber boots.
(2) Damage to the insulation of trailing cables shall be promptly reported and repairs made. Splicing shall be done only by a competent electrician or person competent to splice cables, and splices shall be made moisture-proof. Where it is necessary for mechanical equipment to cross a cable, safe cable bridges shall be provided and used. Where armored cables or conduit are used, the armor or metal conduit shall be electrically continuous, and, when necessary to splice armored cable, the broken section of the armor shall be bonded to insure electrical continuity.
(Acts 1949, No. 207, p. 242, §76; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) All exposed engines, wheels, screens, shafting, gears, belting, or other moving equipment shall be covered or adequately guarded in such a way as to make employees safe from injury through contact with such equipment.
(b) The operator shall be responsible for the safe condition of tools furnished employees by the operator and shall not permit the use of tools which are unsafe or permit the misuse of any tools.
(c) The employee shall be responsible for the safe condition of tools he furnishes and shall not use any such tools which are not in safe condition for use.
(d) The employee shall promptly report to the superintendent or foreman any tool being used by him which is in an unsafe condition, and said tool shall be promptly replaced or made safe by the person furnishing it.
(Acts 1949, No. 207, p. 242, §77.)
(a)(1) “Blasting agent,” as used in this article, means any material consisting of a mixture of fuel and oxidizer which:
a. Is used or intended for use in blasting;
b. Is not classed as an explosive by the State Department of Transportation;
c. Contains no ingredients classed as an explosive by the State Department of Transportation; and
d. Cannot be detonated by a No. 8 blasting cap when tested as recommended in Bureau of Mines information circular 8179.
(2) The term “explosives,” as used in this article, includes blasting agents, unless blasting agents are expressly excluded.
(b) Main explosive storage magazines shall be located outside of the pit and shall comply with Section 25-9-131. Blasting agents shall be stored in the manner prescribed by Part 181, Title 26, Code of Federal Regulations, U.S. Department of the Treasury, and administered by the Internal Revenue Service.
(c) Explosives, excluding blasting agents, transported in motor trucks or other conveyances shall be transported in their original containers, and the motor trucks, vehicles, and other conveyances shall be so constructed that the explosives will be protected against shock and friction and the containers against contact with any exposed metal. Motor trucks, vehicles, or conveyances transporting explosives shall be plainly marked or placarded on both sides and the rear with the words “Explosives - Dangerous” in letters not less than three inches high.
(d) Motor trucks, vehicles, or other conveyances transporting explosives shall he handled in a safe and careful manner, and no person while smoking or under the influence of intoxicating liquor shall ride upon, drive, load, or unload a vehicle carrying explosives.
(e) No person other than those authorized to transport, load, or unload motor trucks, vehicles, or other conveyances carrying explosives shall ride with any load of explosives.
(f) No tools, other than for truck repairs, detonators, matches, or other flame producing materials shall be carried in any motor truck, vehicle, or other conveyance transporting explosives unless adequately protected against sparking.
(g) Explosives, excluding blasting agents, shall not be transported in any form of trailer nor shall any trailer be attached to a motor truck, vehicle, or other conveyance hauling explosives.
(h) All detonators shall be transported into the pit in the original containers or in suitable containers provided for the express purpose of transporting detonators or electric detonators.
(i) Persons engaged in transporting explosives, charging drill holes, or handling explosives for any purpose shall not be permitted to smoke or to use or carry any open flame.
(j) Where explosives are transported by hand, the explosives shall be carried in the original or a suitable container and capped fuse or electric detonators shall be carried separately in a separate container.
(Acts 1949, No. 207, p. 242, §78; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Only designated persons shall cut, cap, and issue capped fuses and explosives.
(b) When cutting fuse, it shall be cut square across with a sharp clean instrument and the cap crimper used shall be of a type recommended by explosive manufacturers. A bench type crimper is recommended.
(c) No explosives container shall be opened with any metallic instrument.
(d) No person shall remove any explosives from a pit magazine without permission of the pit superintendent, foreman, or a person designated by the operator.
(e) Capped fuse or electric detonators shall not be stored within 50 feet of other explosives, power lines, cables, or other electrical conductors.
(f) Oils or other combustible substances shall not be stored within 50 feet of any explosives.
(g) Detonators shall not be removed from containers except as they are used for capping fuses or, in the case of electric detonators, as they are used in preparing primers, except when placed in other containers as recommended by manufacturers.
(h) Fuse shall not be cut and capped nearer than 50 feet to any explosives magazine.
(i) Paper, sawdust, wooden boxes, or cartons shall be placed at a safe distance from any magazine, and each day’s accumulation shall be removed at the end of the shift.
(j) Fuse shall be cut long enough to extend beyond the collar of a loaded drill hole, and in no case shall it be less than four feet in length.
(k) Small supplies of explosives or detonators stored in a pit shall be stored in magazines constructed in accordance with the specifications set forth in Section 25-9-131. In no case shall more than 200 pounds of explosives be stored at one time in such magazine.
(l) Magazines located in the pit should not be nearer than those standards set forth in the American Table of Distances for Storage of Explosives, a publication of the Institute of Makers of Explosives.
(m) No fuse shall be used that burns faster than one foot in 30 seconds or slower than one foot in 55 seconds according to the manufacturer’s rating.
(n) In capping fuse, at least one inch shall be cut from the end of each coil or roll of fuse used.
(Acts 1949, No. 207, p. 242, §79; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) All blasting shall be done in a safe manner after all persons have been removed to a safe place.
(b) All blasting should be done electrically or with detonating fuse.
(c) Primers shall be made up near the working place by competent persons experienced in handling explosives. Competent persons shall also load, assist in loading, or supervise the loading or charging of drill holes.
(d) Primers shall be prepared in accordance with safety standards of the Institute of Makers of Explosives or of the manufacturer of the explosives as approved by the chief. Holes made in the primer cartridge for the purpose of inserting the detonator shall be made with a wooden or other nonsparking implement.
(e) In tamping holes, only a wooden tamping bar or other nonsparking tamping bar shall be used. Before charging drill holes, except well holes, they shall be thoroughly cleaned. Explosives shall not be violently tamped in the drill hole but may be firmly charged; except, that undue pressure shall not be used against the primer cartridge when placing it in a drill hole. The primer cartridge shall not be slit.
(f) When a drill hole has been charged with explosives, it shall be filled to the collar with stemming material, as nearly free from rock as practical. The stemming material should be well tamped.
(g) No loading operations shall be carried on in working places where rock falling from the face or rolling rock is likely to endanger the loading operations. Working places shall be made safe for loading operations before loading is begun.
(h) Fuse igniters of the “hot wire” type or punk or their equivalent shall be used for igniting safety fuse.
(i) The number of detonations shall be counted as far as possible. Misfires shall be reported to the authorized person responsible for blasting, and no person shall return to the vicinity of the suspected misfire until 30 minutes have elapsed in the case of fuse blasting and until 15 minutes have elapsed in the case of electrical blasting. No regular pit operations shall be conducted in the area where an unexpected detonation of a misfired hole shall endanger employees. Misfires, except in the case of vertical holes, shall be reblasted by inserting a new primer in the drill hole. In such case, stemming or tamping material may be washed from the drill hole with water before inserting the new primer.
(j) In case of misfire in a vertical hole, if it is not possible or safe to insert a new primer, a new hole may be drilled under the personal supervision of the person responsible for blasting, and such hole shall be started not less than two feet from the original drill hole and shall be drilled at such an angle as to eliminate all danger of meeting or coming closer than two feet of the original drill hole. In the case of sprung holes, the new drill hole shall be placed and carried at such an angle that there will be no possibility of its meeting any part of the misfire charge; provided, that in case of a misfired vertical drilled hole, it shall not be disturbed, nor any attempt made to fire it, without permission of the superintendent or person responsible for blasting.
(k) “Bootlegs” or “guns,” if the bottom of the hole cannot be seen, shall be washed out with water or cleaned with a wooden stick whether or not explosives remain in them. If explosives are found in such “bootleg” or “gun,” the hole shall be treated as a misfired shot. All persons working in an area where explosives are found in the muck pile shall be alerted, and caution shall be exercised in recovering such explosives. Such recovered explosive shall be removed and later destroyed following procedure recommended by the explosive manufacturers. Any leftover explosive, capped fuse, or detonators remaining after loading the drill holes shall be returned to the storage magazine after loading operations have been completed.
(l) Oversize rock material set aside for blasting shall be examined to determine whether or not any unexploded powder remained in such rock or boulder. The person responsible for blasting shall determine whether or not rocks or boulders set aside for blasting are safe to drill.
(m) Boulders which must be broken by blasting shall be block holed. “Adobe,” “plaster,” or “mud-capped” shots shall be prohibited, except, that such shots may be permitted where no means of drilling such boulders is available; provided, that they shall then be fired under supervision of the person responsible for blasting.
(n) Where drill holes are sprung, the temperature of the chamber shall be determined before placing the final charge, and no hole shall be loaded with the final charge until the chamber has been cooled to 80 degrees Fahrenheit. No drill holes shall be sprung when adjacent to a loaded sprung hole.
(o) Cartridges shall not be forced into drill holes. Cartridges shall be placed in drill holes in the original wrapper.
(p) Where detonators are used, nothing less than No. 6 detonators or electric detonators shall be used to explode charges. Electric detonators from different manufacturers shall not be used in the same shot.
(q) One person shall not be allowed to light more than 10 fuses at one time.
(Acts 1949, No. 207, p. 242, §80; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) When loading or charging blast holes with electric detonators, all electric power within an unsafe distance of the place to be blasted shall be deenergized.
(b) Electric blasting with blasting machines or special circuit is permissible. With blasting machines, connections shall be made in series or in a combination connection recommended by the manufacturer. With power currents, connections shall be made in series, parallel, or a combination of the two.
(c) When blasting is by means of a special blasting circuit, no one shall enter the place in which the blasting has been done until the permanent blasting wires have been disconnected from the source of electrical energy and the blasting switch has been locked in the open position.
(d) The person responsible for blasting shall be in charge of the blasting machine when it is in the pit. No other person shall connect the blasting machine to the leading wires, and such connection shall not be made until the area has been made safe preparatory to the firing. An audible warning shall be sounded prior to the blasting.
(e) Electric current from power circuits shall not be used for firing shots in a pit except when the electric connections to power circuits are made within the enclosed switch box described in these rules.
(f) Permanent blasting lines shall be kept well in the clear from all power circuits and from all pipes, rails, etc., and shall be run or strung at least 20 feet away from all power circuits.
(g) Grounded circuits or systems shall not be used for electrical blasting.
(h) Permanent blasting lines, safety switches, and blasting switches shall be maintained by a competent electrician or other competent and experienced person.
(i) Leading wires from portable generating blasting devices or approved type batteries shall be not less than those recommended by the Institute of Makers of Explosives.
(j) Permanent blasting wires shall be so installed and maintained that they provide the current capacity required by the electrical firing device. All such wires shall be in conduit, shall consist of type “S” cable or equivalent or shall consist of two rubber covered wires strung on glass insulators or porcelain knobs. If rubber covered wires are used, they shall be kept at least five inches apart.
(k) Connecting wires shall be not less than those recommended by the Institute of Makers of Explosives.
(l) At the location where the shot firing is to be controlled, there shall be installed a suitable blasting circuit enclosed externally operated pole switch with the handle or lever arranged to be locked in the “off” position only.
(m) Where the blasting lines run to a single face to be blasted, a “safety” switch of the same type as required for the blasting switch shall be installed between the switch and the face. This switch shall be installed in a safe location guarded from flying rock.
(n) Where a single blasting switch is used for several blasting circuits, a safety switch shall be installed in each circuit immediately adjacent to the blasting switch. In addition, a second safety switch shall be installed in the circuit adjacent to the area to be blasted.
(o) A blasting galvanometer or circuit tester especially designed for blasting work shall be used for testing.
(p) Leg wires of electric detonators shall be kept short circuited by means of a short-circuiting device or by twisting the ends of the leg wires together, except that the short-circuiting devices may be removed temporarily for the purpose of testing detonators with the galvanometer.
(q) Before connecting the temporary wires to the leg wires or bus wires, the ends of the temporary wires that are to be connected to the safety switch shall be “shorted” by being twisted together. The man making or supervising the connection at the face must have the “shorted” ends of the temporary wires in his possession, and, after making the connections at the face, he shall run the temporary wires to the safety switch. He shall never attach the temporary wires to the safety switch before attaching them to the leg wires or bus wires.
(r) At the safety switch, said man shall untwist the temporary wires, unlock the safety switch, attach the temporary wires to the safety switch and then place the safety switch in the “on” position. He shall then proceed or signal to a designated person at the blasting switch, and he or such designated person shall unlock the blasting switch, throw it in the “on” position to fire the shot, then immediately return the blasting switch to the “off” position and lock it in that position. After blasting, no one shall go nearer the face that has been blasted than the safety switch until the safety switch has been opened, the temporary wires disconnected, and the safety switch locked in the “off” position.
(s) Loading and charging of blasting holes shall cease upon the approach of an electrical storm and shall not resume until conditions are safe. All persons shall be removed a safe distance from the charged area until conditions are safe.
(t) The minimum necessary number of persons shall be at the loading places when making the blasting connections. All other persons shall be a safe distance away from the loading place when blasting connections are made.
(Acts 1949, No. 207, p. 242, §81; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Explosives, excluding blasting agents, must be unloaded in a safe manner and at a safe distance from the blasting place.
(b) If several boxes of explosives, except blasting agents, are deposited near the blasting circuit, the boxes shall be stacked in an orderly manner and protected from the sun by means of canvas or similar material so placed as to allow free circulation of air under the canvas and around the stacked boxes.
(c) Where blasting is carried on in dangerous proximity to public thoroughfares, such thoroughfares shall be blocked off previous to blasting or guards shall be stationed at each end of the endangered portion of such thoroughfare and all traffic shall be halted, with no person or vehicle allowed within the danger zone. Guards shall be provided with a metal sign having the words “Stop - Blasting” plainly printed thereon and shall also use a red flag for warning purposes.
(d) Packages containing explosives shall not be handled roughly, shall not be slid across floors, rocks, or other packages of explosives and shall not be thrown or dropped. Frozen explosives shall not be thawed or used but must be destroyed.
(Acts 1949, No. 207, p. 242, §82; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) All compressed air receivers, cylinders, or other vessels used in or around surface mining operations shall be protected by safety or relief valves to insure safe operation. All oxygen, acetylene, or similar compressed gas cylinders shall comply with manufacturer’s recommendations.
(b) Safety or relief valves shall be tested once each operating day.
(c) All compressed air receivers, tanks, etc., shall be equipped with a drain valve and a pressure gauge.
(d) Drain valves shall be operated at least once each operating day.
(Acts 1949, No. 207, p. 242, §83; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) At or near every pit there shall be adequate approved first aid materials as follows: One stretcher and one broken-back board, or, if a splint stretcher combination is used, it will satisfy both the stretcher and broken-back board requirement; 24 triangular bandages (15, if a splint-stretcher combination is used); eight four-inch bandage compresses; an adequate approved burn remedy; two cloth blankets; one rubber blanket or equivalent substitute; two tourniquets; one one-ounce bottle of aromatic spirits of ammonia and one dozen ammonia ampules; and necessary complements of arm and leg splints or two each inflatable plastic arm and leg splints. All such supplies shall be kept at each location designated and shall be accessible to the miners. First aid materials shall be kept in a sanitary and usable condition. The cloth and waterproof blankets shall be kept in a moisture and dustproof container. A portable first aid kit shall be kept as near the working place as feasible.
(b) Adequate and suitable first aid equipment shall be kept at or near every pit and placed at some convenient location about the pit for use only in caring for persons needing first aid attention.
(c) Selected personnel at each surface mining operation shall be trained in first aid methods.
(Acts 1949, No. 207, p. 242, §84; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
(a) Approved sanitary toilets shall be provided and kept in a clean and sanitary condition. Such toilets should be in a central location for use by employees.
(b) Potable drinking water shall be provided for all employees.
(c) Individual drinking cups or bubbling fountains shall be provided.
(Acts 1949, No. 207, p. 242, §85; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
In case of any occurrence or change of conditions tending materially to increase the hazards of pit operations, whether or not personal injury results, a report thereof shall be promptly sent to the department by the operator.
(Acts 1949, No. 207, p. 242, §86.)
The owner, operator, or lessee of any underground coal mine in this state shall make or cause to be made by a competent engineer an accurate and exact detail map of said mine, showing the exact position of said mine in reference to the section line, which shall be connected with known boundary lines of the section or subdivision of the section. Such map shall show accurately the position of any branches, creeks, rivers, railroads, oil and gas pipelines under which said mine workings extend and, as near as possible, the position of any coal mines nearby. The location of all oil and gas wells shall be shown on said map. Said maps shall show all shafts, slopes, tunnels, or other openings to the surface or to the workings of a contiguous coal mine; all excavations, entries, rooms, and crosscuts; the location of the fan and the direction of the air currents; the location of pumps, hauling engines, engine planes, abandoned works, fire walls, and standing water; and, the boundary line of any surface outcrop of the seam. A separate and similar map, drawn to the same scale in all cases, shall be made of each and every seam which shall be worked in any coal mine and the maps of all such seams shall show all shafts, inclined planes, or passageways connecting the same. Each map shall also show by elevation in feet and decimals thereof the rise and dip of the seam from the opening in either direction to the face of the workings. Said map shall be sworn to by the engineer making the same. The map provided for in this section shall be filed with the department during the month of January next after the opening of said mine and shall show its condition on said January 1. All new work inside of the mine must be added to said map or a new map filed each year thereafter, showing the condition of the mine on January 1 of the same year and this provision for additions to maps shall apply to all maps which have heretofore been filed in the office of the department. Said maps shall be filed in the office of the department, which shall provide a suitable and safe place for keeping them. The department shall refuse to accept maps when made by persons known to be incapable of doing such work. The engineer preparing such map shall certify on each map as to the correctness of such map to the best of his knowledge and belief. Said map shall be made on a legible scale. The persons entitled to examine maps, plats, and records of a coal mine shall be the owner, operator, or lessee, or agent of such coal mine, the person financially interested in such mine, the owner or owners of land adjacent to such mine, the owner, operator or lessee, or agent of a coal mine adjacent to such mine and the authorized representative of the employees of such or the employees driving any breakthrough liable to break into an adjacent mine. The department shall not permit such maps, plans, records, and papers to be removed from its office, and shall not furnish copies thereof to any person except by request of the owner, operator, lessee, or agent of the mine to which such maps, plans, and records pertain.
(Acts 1949, No. 207, p. 242, §89; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
Whenever the operator of any coal mine shall neglect or refuse or for any cause not satisfactory to the department fails to furnish to it the map or plan of such mine or a copy thereof or of the extension thereto, as provided for in this article, such operator shall be deemed guilty of a misdemeanor. In addition thereto, the department may make or cause to be made an accurate map or plan of such mine at the expense of the owner thereof, and the cost of the same may be recovered by law from the operator in the same manner as other debts by civil action in the name of the Secretary of Labor and for its use.
(Acts 1949, No. 207, p. 242, §90; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
If the department shall find that any map or plan of any coal mine made or furnished in pursuance of the provisions of this article is materially incomplete, inaccurate, or imperfect, then it may cause a correct survey and map or plan of said mine to be made at the expense of the operator thereof, the cost of which shall be recoverable from said operator as other debts are recoverable by law. When the department shall cause a new survey and map or plan of such coal mine and it is found that the map or plan furnished by the operator was substantially correct, then the cost of the survey, map, or plan caused to be made by the department shall be paid by the state.
(Acts 1949, No. 207, p. 242, §91.)
The department shall order a survey to be made between the regular survey periods of the workings of any coal mines and the results to be extended on the maps of the same and the copies thereof whenever, in its judgment, the safety of the employees, the support of the surface, and the conservation of the property or the safety of an adjacent coal mine require it.
(Acts 1949, No. 207, p. 242, §92; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
When any coal mine is worked out or is about to be abandoned or indefinitely closed, the operator of the same shall make or cause to be made a final survey where not already made of all parts of such mine, and the results of the same shall be duly extended on all maps of the mine and copies thereof, so as to show all excavations and the most advanced workings of the mine and their exact relation to the boundary or section lines on the surface, and such openings of abandoned mines shall be properly barricaded.
(Acts 1949, No. 207, p. 242, §93; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
In no case shall the workings of any coal mine be driven nearer than 15 feet to the boundary line of the coal rights of the owner of said mine, except for the purpose of establishing an underground communication between contiguous mines as provided for elsewhere in this chapter. By mutual consent of adjacent property owners, this distance may be reduced or eliminated entirely, and any operator working up to an abandoned coal mine may be permitted to work to his property line, if approved by the department, but in such cases proper precautions must be taken as provided in this chapter.
(Acts 1949, No. 207, p. 242, §94.)
Whenever the owner, operator, or lessee of any land adjacent to other land on which any coal mine is being worked shall have reason to believe that such mine is being so worked as to encroach upon his land and has been refused by the owner, operator, or manager of the mine permission at reasonable times to enter said mine with a competent engineer for the purpose of inspecting and surveying such mine, he may make appeal under oath to the probate court of the county in which the mine is situated, setting out the facts and praying for an order that such mine shall be surveyed. Upon the hearing, after such notice to the owner, operator, or lessee of the mine as the court may prescribe, the court may make an order requiring the department to employ a competent engineer to make a survey of such mine and file such survey in the office of the judge of probate and such survey when filed shall be received in any court as prima facie correct. The court may at any time during the progress of the proceedings require security for costs and may tax the costs in such manner as may be just and equitable.
(Acts 1949, No. 207, p. 242, §95.)
Any owner, operator, or manager of any mine who refuses to permit an adjacent owner or lessee of land or a competent engineer selected by him to enter and inspect such mine for the purpose of ascertaining whether the same is being so worked as to encroach upon the land of such adjacent owner or lessee must, on conviction, be fined not more than $100.00.
(Acts 1949, No. 207, p. 242, §96.)
The owner or operator of each coal mine at which the miners are paid by weight shall provide such mines with suitable scales of standard make for the weighing of all coal when contracted to be weighed.
(Acts 1949, No. 207, p. 242, §97.)
All coal mined in this state contracted for payment by the ton or other measure shall be weighed or measured and the full weight or measure thereof shall be credited to the miner of such coal and 2,000 pounds shall constitute a ton of coal.
(Acts 1949, No. 207, p. 242, §98.)
In all coal mines the miners employed and working therein may furnish a check weighman or check measurer who shall at all times have full access to and the right to examine the scales, and to see all measures and weights and accounts kept of same, and shall keep an accurate account of the coal, but not more than the above authorized persons shall have such right of access, examination, and inspection of scales, measures, and accounts at the same time.
(Acts 1949, No. 207, p. 242, §99.)
The weighman and check weighman shall properly test the scales with U.S. standard test weights before coal is weighed thereon.
(Acts 1949, No. 207, p. 242, §99.)
The mine inspector, miners employed in the coal mines, and the owner of the land or persons interested in the rental and royalty of such mines shall at all times have full right of access to scales used at said mines, including tally sheets or tally books in which the weight of the coal is kept, to examine the amount of coal mined for the purpose of testing the accuracy thereof.
(Acts 1949, No. 207, p. 242, §100.)
Any person or corporation operating any coal mine in which miners or other laborers are employed to mine or cut coal for a compensation to be determined by the weight of the coal mined or cut, who fails to weigh or causes to be weighed accurately and correctly any coal so mined or cut by such miners or laborers, must, on conviction, be fined for each offense not less than $10.00 nor more than $100.00.
(Acts 1949, No. 207, p. 242, §101.)
(a) Whenever any equipment or supplies required by this chapter, including rock-dusting machines, flame safety lamps, and permissible electric equipment are unobtainable, compliance with the requirements of this chapter with respect thereto is suspended to the extent that such items remain unobtainable until they are obtainable. Due allowance shall also be made for planning, institution of change procedures, and installation of new equipment.
(b) Compliance with the requirements of this chapter shall be started promptly and prosecuted diligently until the provisions of the chapter have been fulfilled.
(Acts 1949, No. 207, p. 242, §113.)
It shall be the duty of the superintendent, mine foreman, subordinate supervisors, fire bosses, or mine examiners, and other officials to comply with and to see that others comply with the provisions of this chapter.
(Acts 1949, No. 207, p. 242, §65.)
It shall be the duty of all employees and check weighmen to comply with this chapter and to cooperate with management and the division in carrying out the provisions of this chapter. Reasonable rules and regulations of the operators for the protection of employees and preservation of property that are in harmony with the provisions of this chapter or other applicable laws shall be complied with. They shall be printed on cardboard or in book form in the English language and posted at some conspicuous place about the mine or mines or given to each employee.
(Acts 1949, No. 207, p. 242, §66.)
The operator of every coal mine shall make to the department a correct report each three months of the calendar year specifying the name of the owner and operator of the mine and the location of the offices of said coal mine or mines and the quantity and kind of coal produced in each such mine for each such calendar quarter. Said report shall be furnished on or before April 15, July 15, October 15, and January 15, covering the previous three months’ operation of said mine. Said report shall be prima facie evidence of the information contained therein and shall be in such form and give such additional information regarding said mines as may be, from time to time, required and prescribed by the department. Blank forms for such reports shall be furnished to said owner or operator by the department.
(Acts 1949, No. 207, p. 242, §88; Acts 1975, 4th Ex. Sess., No. 147, p. 2866, §1.)
For the purpose of making known the rules and provisions of this chapter to all persons employed in or about coal mines to which this law applies, an abstract of the law and rules shall be furnished by the department and posted up in legible character in some conspicuous place or places at or near the mines where they may be conveniently read by the persons employed and so often as they become obliterated or destroyed, the owner, operator, lessee, or superintendent shall cause them to be renewed with all reasonable dispatch. It is unlawful for any person to pull down, injure, or deface such abstract of the law or rules when put up in pursuance of the provisions of this chapter.
(Acts 1949, No. 207, p. 242, §88.)
Any mine inspector shall have the authority to order suspension of operations of a coal mine or pit or any part thereof when violations of this chapter are of such gravity as to be or become imminently hazardous to workmen therein. Upon correction of such hazardous conditions, the mine or part thereof may resume operations.
(Acts 1949, No. 207, p. 242, §107.)
The decisions and orders of an inspector shall take effect as he shall specify in a written notice to the superintendent of said mine and shall not be subject to review unless within 10 days after giving such notice the owner or operator shall have appealed to the chief for such review, who shall render a decision within 10 days of notice of appeal.
(Acts 1949, No. 207, p. 242, §108.)
If the chief shall, upon review, continue or modify such order, the owner or operator may apply to the circuit court of the county wherein the mine is located for a trial de novo without jury as to whether or not (1) the order to close the mine was justified and (2) conditions in the mine at the time of trial justify a continuance, modification, or withdrawal of such order. Appeals may be taken from the ruling of the circuit court in the manner provided for other appeals.
(Acts 1949, No. 207, p. 242, §109.)
In addition to any other remedy, the secretary may, for persistent, continued or imminent violations of this chapter, apply for a permanent injunction.
(Acts 1949, No. 207, p. 242, §110.)
The department may be represented by its general counsel or other attorneys, district attorneys, or the Attorney General.
(Acts 1949, No. 207, p. 242, §111.)
Any unlawful act for which no other penalty is provided in this chapter shall be a misdemeanor punishable by a fine of not less than $10.00 and not more than $500.00 or by imprisonment in jail for not more than one year, or by both such fine and imprisonment.
(Acts 1949, No. 207, p. 242, §112.)
This chapter shall be known and may be cited as “The Small Business Assistance Act of 1975.”
(Acts 1975, No. 1229, p. 2582, §1.)
The legislative intent of this chapter is declared to be as follows: The most important element of the American economic system of private enterprise is free and vigorous competition. Only through the existence of free and vigorous competition can free entry into business and opportunities for personal initiative and individual achievement be assured. The preservation and expansion of such competition is essential for our economic well-being. In order to insure such competition, small business concerns must be encouraged and developed, and it is the declared policy of the state to aid, counsel, and assist, in every practical manner, the interests of small business concerns in order to preserve free competitive enterprise and to insure that a fair proportion of the total purchases and contracts or subcontracts for property, commodities, and services for the state be placed with small businesses.
(Acts 1975, No. 1229, p. 2582, §2.)
For the purposes of this chapter, the following terms shall have the following meanings, respectively, unless the context clearly indicates a different meaning:
(1) SMALL BUSINESS. A business which is independently owned and operated. In addition, such business must have either fewer than 50 employees or less than $1,000,000.00 in gross receipts per year.
(2) DIVISION. The Division of Purchases and Stores of the Department of Finance.
(3) DEPARTMENT. The Department of Labor.
(Acts 1975, No. 1229, p. 2582, §3.)
The department is authorized and empowered to:
(1) Provide technical and managerial assistance to small business concerns, by advising and counseling on matters in connection with state procurement policies, practices of good management, including, but not limited to, cost accounting, methods of financing, business insurance, accident control, wage incentives, methods engineering and legal questions, by cooperating and advising with voluntary business, professional, educational and other organizations, associations and institutions and with federal and state agencies, by maintaining a clearinghouse for information concerning the managing, financing, and operation of small business enterprises, by disseminating such information and by such other activities as are deemed appropriate;
(2) Make a complete inventory of all productive facilities of small business concerns in the state;
(3) Coordinate and ascertain the means by which the productive capacity of small business concerns can be most effectively utilized;
(4) Obtain information as to the methods and practices of prime contractors in letting subcontracts and take action to encourage the letting of subcontracts by prime contractors to small business concerns at prices and on conditions and terms which are fair and equitable;
(5) Determine the concerns, firms, persons, corporations, partnerships, cooperatives, or other business enterprises which are to be designated small business concerns for the purposes of effectuating the provisions of this chapter; and to carry out the purposes of this chapter, the office shall designate individual concerns as small business concerns in accordance with the provisions of this chapter. Any such designation shall be subject to revocation when the concern covered thereby ceases to be a small business;
(6) Obtain from any state department or agency engaged in procurement or in the financing of procurement such reports and information concerning the letting of contracts and subcontracts, purchases or procurement of articles, commodities, materials, supplies, or services as it may deem pertinent in carrying out its functions under this chapter;
(7) Make studies, conduct workshops and seminars, and make recommendations to state agencies or the Legislature to insure that a fair proportion of the total purchases and contracts for articles, commodities, supplies, and services for the state is placed with small business enterprises;
(8) Promote the mobilization of activities and resources of state and local governments, businesses and trade associations, universities, foundations, professional organizations and volunteer and other groups toward the growth of small business enterprises and facilitate the coordination of the efforts of these groups with those of federal departments and agencies; and
(9) Promulgate such rules and regulations as are necessary to administer and effectuate the purposes of this chapter.
(Acts 1975, No. 1229, p. 2582, §4.)
In the administration of this chapter, the department shall have the power to conduct public hearings for the purposes of determining the law’s effectiveness, determining methods and standards of administration and to otherwise assist in carrying out the purposes of this chapter.
The department shall have the authority to administer oaths and affirmations, take depositions, issue subpoenas, and compel the attendance of witnesses and production of books, papers, correspondence, memoranda, and other records deemed necessary as evidence.
(Acts 1975, No. 1229, p. 2582, §7.)
There is hereby created an advisory council to the department to be composed of representatives of designated small business enterprises to be named as follows: Five by the Governor, two each by the President of the Senate and the Speaker of the House of Representatives, and one by the secretary of the department to serve ex officio as chairman of the council. The members of the council shall serve without compensation but may be reimbursed for travel and other necessary expenses out of any funds appropriated to the department. The council shall meet at least quarterly or more often when necessary at the call of the chairman in consultation with the secretary of the department, who shall also serve without additional compensation as executive director of the council.
(Acts 1975, No. 1229, p. 2582, §10.)
The department shall make a written report to the Governor, the President of the Senate, the Speaker of the House of Representatives, and the chairman of the Senate and House commerce committees at least once each year, such report to be made no later than December 1. The report shall advise the Governor, the Speaker, the president, and the designated chairmen concerning the administration and operation of this chapter and shall contain such recommendations for amendment of this chapter as the department and the advisory council provided for in Section 25-10-6 deem proper.
(Acts 1975, No. 1229, p. 2582, §9.)
In the administration of this chapter, the department shall cooperate to the fullest extent consistent with the provisions of this chapter with those agencies of the United States government whose programs are complimentary to the objectives and purposes hereof, and shall take such action, through the adoption of administrative rules, regulations, and standards, as may be necessary to secure to this state and its citizens all advantages available under such federal programs and to otherwise assist the citizens of this state in realizing their full economic potential. Each department or other agency of the state shall cooperate with the department in carrying out the purposes of this chapter and shall, when so requested by the department, submit such reports and information as may be necessary or helpful.
(Acts 1975, No. 1229, p. 2582, §6.)
Notwithstanding the provisions of the state bid law or other conflicting statutes of this state, it is herewith provided:
(1) It shall be the policy of the state that, whenever practical, a meaningful percentage of each department’s or agency’s total purchases of articles, equipment, commodities, supplies, materials, services, or contracts be procured or otherwise awarded to small businesses.
(2) This meaningful percentage shall not be less than 10 percent of the annual value of any department’s or agency’s total purchases of articles, materials, commodities, supplies, services, or contracts unless that department or agency files with the division a statement explaining the reasons why that agency cannot meet the requirements of this policy. If the division is satisfied that the department’s or agency’s reasons for its inability to comply with the requirements of this chapter are supported by substantial evidence, it may issue a waiver for that department or agency to the extent it cannot comply. However, such waiver shall be granted for a period not to exceed one year; provided, however, that such waiver may be renewed upon application by the department or agency, review and approval by the division.
(3) The only reasons that shall justify a department or agency being granted a waiver from the provisions of this section are:
a. Impossibility or unreasonable difficulty in procuring such articles, commodities, supplies, materials, services, or contracts from small business enterprises;
b. Inability to procure such articles, supplies, materials, services, or contracts from such small business enterprises at the lowest bid; or
c. Substantial differences in the quality of such articles, supplies, materials, services, or contracts available from small business enterprises as compared to the quality of such items if procured otherwise.
(Acts 1975, No. 1229, p. 2582, §5.)
This chapter shall be liberally construed to carry out its purposes and objectives of assisting small businesses to successfully enter and remain in the economic mainstream and to otherwise achieve the statement of legislative policy contained herein.
(Acts 1975, No. 1229, p. 2582, §8.)
This chapter shall be known and cited as the New Hire Act of 1997.
(Acts 1997, No. 97-228, p. 373, §1.)
The Legislature finds that individuals need to take more personal responsibility for their actions.
The Legislature further finds that certain individuals are not meeting their legal child support obligations. It is the express intent of the Legislature that individuals with legal child support obligations be located and required to take financial responsibility for their children by paying these child support obligations. A “new hire” reporting procedure shall require employers to obtain certain information from newly hired, recalled, or rehired individuals. This information shall be reported to the Department of Labor which shall form a State Directory of New Hires and the information shall be used by the Department of Human Resources to cross-match these individuals with individuals having outstanding legal child support obligations.
The Legislature further finds that there are certain individuals being overpaid unemployment compensation. This can occur when an individual is drawing unemployment compensation, obtains employment, and fails to notify the Department of Labor. This individual continues to draw unemployment compensation while receiving wages for his or her employment. The Legislature expressly intends to curtail this practice by using the “new hire” information to cross-match individuals being entered in the new hire directory against a master unemployment compensation claim file to stop individuals who are concurrently working and drawing unemployment compensation benefits.
The Legislature further finds that in some instances individuals are drawing workers’ compensation benefits and working for wages over the same period of time. The Legislature expressly intends to curtail this practice by using the “new hire” information to cross-match individuals entered in the new hire directory against a master workers’ compensation benefit file to stop individuals from receiving workers’ compensation benefits when they are simultaneously employed.
The Legislature further finds that there are individuals receiving more food stamp benefits than they are entitled to receive. It is the express intent of the Legislature that these food stamp overissuances be repaid by the individuals. Persons with overissuances shall be identified at the time of application for unemployment compensation. Repayment shall be accomplished through deduction and withholding of unemployment benefits.
The Legislature specifically finds that the above requirements are mandated by federal law, specifically “The Personal Responsibility and Work Opportunity Reconciliation Act of 1996″ (P.L. 104-193). It is the express intent of this Legislature to pass this chapter to remain in conformity with federal law and as a condition for receiving federal administrative funds to operate the employment security programs of the Alabama Department of Labor; as a condition for Alabama employers continuing to receive Federal Unemployment Tax Act credits; and as a condition for receiving federal funds for Alabama Department of Human Resources’ programs.
(Acts 1997, No. 97-228, p. 373, §2.)
When used in this chapter, the following words and phrases shall have the following meanings:
(1) CLAIM INFORMATION. Data related to whether an individual is receiving, has received, or has made application for unemployment compensation, the amount of such compensation being received or to be received by the individual, and the individual’s current or most recent home address.
(2) COMMISSIONER. The Commissioner of the State of Alabama, Department of Human Resources.
(3) CUSTODIAN OF RECORDS. The person within the Department of Labor authorized to maintain the data collected under this chapter, including, but not limited to, all employment hiring data entered into the State Directory of New Hires, wage information, and unemployment claim and compensation information.
(4) DEPARTMENT. The State of Alabama, Department of Industrial Relations.
(5) EMPLOYEE. An individual in the employ of another who performs a service for hire and receives wages. For purposes of this chapter, the term “employee” shall not include an individual employed by a federal, state, or local agency performing intelligence or counterintelligence functions if the head of the agency determines that to consider the individual as an “employee” for purposes of this chapter could endanger the safety of the individual or compromise an ongoing investigation or intelligence mission.
(6) EMPLOYMENT SECURITY RECORDS. Information maintained by the Department of Labor’s Employment Service Division and Unemployment Compensation Division relating to an individual’s search for employment and unemployment benefits.
(7) EMPLOYER. A person or entity, including a state or local government entity or labor organization, who employs an individual to perform a service for hire and pays wages directly to the individual.
(8) FOOD STAMP OVERISSUANCE. The receipt by an individual of food stamp benefits in excess of the amount the individual is entitled to receive, as authorized under the Federal Food Stamp Act of 1977.
(9) LABOR ORGANIZATION. As defined in Section 2(5) of the National Labor Relations Act (NLRA) as “any organization of any kind, or any agency or employer representation committee or plan in which employees participate and which exists for the purpose, in whole or in part of dealing with employers concerning grievances, labor disputes, wages, rate of pay, hours of employment or conditions of work.” Section 453(a)(2)(B)(ii), Social Security Act, provides that “labor organization” shall have this meaning and shall also include any entity, also known as “hiring hall,” which is used by the organization and an employer to carry out requirements described in Section 8(f)(3) of the NLRA of an agreement between the organization and the employer.
(10) NATIONAL DIRECTORY OF NEW HIRES. A directory maintained at the federal level to receive certain data and information from the states as required pursuant to Section 453(i)(1) of the Social Security Act and other federal statutes.
(11) NEW HIRE. An individual who is employed by a particular employer for the first time.
(12) RECALL. An individual who was temporarily separated from an employer but who is called back to work for that same employer.
(13) REHIRE. An individual who was separated from an employer on other than a temporary basis but who is returning to work for that same employer.
(14) SECRETARY. The Secretary of the State of Alabama, Department of Labor.
(15) SECRETARY OF AGRICULTURE. The Secretary of the Federal Department of Agriculture.
(16) SECRETARY OF HEALTH AND HUMAN SERVICES. The Secretary of the Federal Department of Health and Human Services.
(17) SECRETARY OF LABOR. The Secretary of the Federal Department of Labor.
(18) SOCIAL SECURITY ACT. The Federal Social Security Act.
(19) STATE. The State of Alabama.
(20) STATE DIRECTORY OF NEW HIRES. A directory containing the name, address, Social Security number, and date of hire of each newly hired, recalled, or rehired individual, as reported by employers to the Department of Labor. This directory shall also contain the name, address, state and federal identification numbers of the employer.
(21) UNEMPLOYMENT COMPENSATION. Any compensation payable under Section 25-4-1 et seq., and other related federal statutes, including amounts payable by the secretary pursuant to an agreement under any federal law providing for compensation, assistance, or allowances with respect to unemployment.
(22) WAGE INFORMATION. Data related to the compensation an individual receives for employment, including wages paid to the individual, the individual’s Social Security number, and the name, address, state and federal employer identification numbers of the individual’s employer.
(Acts 1997, No. 97-228, p. 373, §3.)
There is hereby established, within the department, a State Directory of New Hires.
(Acts 1997, No. 97-228, p. 373, §4.)
(a) An employer shall report to the department, within seven days of hiring, each new hire, recall, or rehire. The information to be reported shall include the name, address, Social Security number, and date of hire of each newly hired, recalled, or rehired individual and the name, address, and state and federal identification numbers of the employer. The information shall be reported on forms supplied by the department or by such other method as approved by the secretary. Notwithstanding the foregoing, employers may transmit reports to the department magnetically or electronically twice a month, not less than 12 days nor more than 16 days apart, when required.
(b) The department shall enter into the State Directory of New Hires the information received from an employer within five days of receipt.
(c) The department shall provide this information to the Department of Human Resources in a timely manner as agreed upon by the secretary and the commissioner, for purposes of identifying individuals with outstanding legal child support obligations.
(d) Upon entry into the State Directory of New Hires, the department shall have two days to cross-match the new hire information to identify individuals receiving unemployment compensation or workers’ compensation benefits.
(e) Within three days of entry into the State Directory of New Hires, the department shall forward the new hire, recall, and rehire information to the Federal Department of Health and Human Services for inclusion in the National Directory of New Hires.
(Acts 1997, No. 97-228, p. 373, §5.)
The State Directory of New Hires shall furnish on a quarterly basis, to the National Directory of New Hires, extracts of the reports required under Section 303(a)(6) of the Social Security Act to be made to the Secretary of Labor concerning the wages and unemployment compensation paid to individuals. The extracts shall be furnished by such dates, in such format, and containing such information as the Secretary of Health and Human Services shall specify in regulations.
(Acts 1997, No. 97-228, p. 373, §6.)
(a) The following entities shall have access to the information contained in the State Directory of New Hires:
(1) The Department of Human Resources.
(2) State agencies operating employment security and workers’ compensation programs.
(3) State agencies responsible for administering a program specified in Section 1137(b), Social Security Act, pertaining to the Income Eligibility Verification System.
(b) If approved by the Secretary of Health and Human Services, the custodian of records may gain access to information contained in the National Directory of New Hires. The cost of obtaining the information shall be paid by the department at a rate determined to be reasonable by the Secretary of Health and Human Services.
(Acts 1997, No. 97-228, p. 373, §7.)
(a) Pursuant to Section 3304(a)(16), Federal Unemployment Tax Act, in order for the state to be certified for tax credit, the custodian of records is specifically authorized to do the following, notwithstanding any law to the contrary:
(1) Provide wage and unemployment compensation information to the Secretary of Health and Human Services, in accordance with regulations promulgated by the secretary, as necessary for the purposes of the National Directory of New Hires.
(2) Provide wage information and welfare assistance information, as provided through a state program funded under Part A of Title IV, Social Security Act, or the Food Stamp Act of 1977, to the state or any of its political subdivisions upon request and for the purpose of determining an individual’s eligibility for welfare assistance. The information to be provided shall be that which the Secretary of Health and Human Services has determined in regulations as necessary for the purpose of determining eligibility.
(3) Establish safeguards, as are necessary, as determined by the Secretary of Health and Human Services in regulations, to ensure that information furnished under this section is used only for the purposes authorized under this section.
(b) The custodian of records shall supply only wage and unemployment compensation information that is already contained in its records and the records of the department’s Unemployment Compensation Division.
(Acts 1997, No. 97-228, p. 373, §8.)
(a) Pursuant to Section 303(h), Social Security Act, in order for the state to receive administrative grants for unemployment compensation programs, the custodian of records shall, on a reimbursable basis, do the following:
(1) Disclose quarterly to the Secretary of Health and Human Services, wage and claim information as required by Section 453(i)(1), Social Security Act.
(2) Ensure that information provided pursuant to subdivision (1) meets the standards of correctness and verification as required by the Secretary of Health and Human Services, with the concurrence of the Secretary of Labor.
(3) Establish safeguards as the Secretary of Labor determines are necessary to ensure that information disclosed under this section is used only for purposes of Section 453(i)(1), Social Security Act, in carrying out the child support enforcement program under Title IV.
(b) The custodian of records shall supply only wage and claim information that is already contained in its records.
(Acts 1997, No. 97-228, p. 373, §9.)
Pursuant to Section 303(h), Social Security Act, the unemployment compensation information shall be provided to the National Directory of New Hires on a reimbursable basis to the department in an amount which is determined by the Secretary of Health and Human Services to be a reasonable payment for the information exchange. The department shall not be required to disclose unemployment compensation information unless it is reimbursed by the Secretary of Health and Human Services or USDA Food and Consumer Services.
(Acts 1997, No. 97-228, p. 373, §10.)
Section 303(e), Social Security Act, requires states to provide certain unemployment compensation information to child support enforcement agencies.
(1) The custodian of records is authorized to provide unemployment compensation information to a state or local child support agency, upon request, and for the purpose of enforcing legal child support obligations.
(2) The custodian of records is authorized to provide unemployment compensation information to a state or local child support agency that turns the information over to a private contractor for purposes of establishing and collecting legal child support obligations from, and locating, individuals owing obligations.
(3) This authorization is contingent upon the existence of safeguards consistent with Section 303(e)(1)(B), Social Security Act, as determined in regulations issued by the Secretary of Labor. Until such time as these regulations are issued and adopted, the department shall assure compliance with Section 303(e)(1)(B), Social Security Act, by following the confidentiality provisions of 20 C.F.R. 603.7 pertaining to requesting agencies.
(Acts 1997, No. 97-228, p. 373, §11.)
State and local child support agencies may obtain access to department employment security records. Access shall be subject to safeguards, privacy, nonliability of entities that grant the access, and payment of any costs associated with granting the access.
(Acts 1997, No. 97-228, p. 373, §12.)
(a) The state shall maintain an Income Eligibility Verification System (IEVS), which meets the requirements of Section 1137(a), Social Security Act, for the purpose of verifying income for determining welfare assistance eligibility.
(b) Employers, including state and local government entities and labor organizations, shall submit quarterly wage reports to the department. The Secretary of Labor, in consultation with the Secretary of Health and Human Services and the Secretary of Agriculture, may waive this reporting requirement if he or she determines that the state has in effect an alternative system which is as effective and timely for purposes of providing employment related income and eligibility data.
(Acts 1997, No. 97-228, p. 373, §13.)
(a) An individual filing a new claim for unemployment compensation shall disclose at the time of filing such claim, on a form provided, whether he or she owes an uncollected food stamp overissuance. The secretary shall notify the appropriate Department of Human Resources agency of any individual who discloses that he or she owes an uncollected food stamp overissuance and who is determined to be eligible for unemployment compensation.
(b) The secretary shall deduct and withhold from any unemployment compensation payable to an individual who owes an uncollected food stamp overissuance:
(1) The amount specified as owed by the individual;
(2) The amount, if any, determined pursuant to an agreement submitted to the Department of Human Resources under Section 13(c)(3)(A) of the Food Stamp Act of 1977; or
(3) Any amount otherwise required to be deducted and withheld from unemployment compensation pursuant to Section 13(c)(3)(B) of the Food Stamp Act of 1977.
(c) Any amount deducted and withheld under subsection (b) shall be paid by the secretary to the appropriate agency within the Department of Human Resources.
(d) Any amount deducted and withheld under subsection (b) shall be treated for all purposes as if it were paid to the individual as unemployment compensation and paid by the individual to the Department of Human Resources as repayment of the individual’s uncollected food stamp overissuance.
(e) This section shall apply only if arrangements have been made for reimbursement by the Department of Human Resources for the administrative costs incurred by the secretary under this section, which are attributable to the repayment of uncollected food stamp overissuances.
(Acts 1997, No. 97-228, p. 373, §14.)
(a) The State Department of Revenue shall furnish to the department information on all employers doing business in the state. This information shall identify all employers who have paid wages, as indicated by the Department of Revenue’s tax records.
(b) The Department of Revenue shall be reimbursed a reasonable fee, as determined by the department and the Department of Revenue, for furnishing this information.
(Acts 1997, No. 97-228, p. 373, §15.)
The secretary or the commissioner may promulgate rules and regulations for the implementation and administration of this chapter pursuant to the Alabama Administrative Procedure Act.
(Acts 1997, No. 97-228, p. 373, §16.)
Any person or entity violating any provision of this chapter may be subject to an administrative penalty not to exceed twenty-five dollars ($25) per violation. The secretary shall have the authority to collect and deposit an administrative penalty in the Employment Security Administration Fund to be used in accordance with state law.
(Acts 1997, No. 97-228, p. 373, §17.)
This chapter shall be known and may be cited as the “Boiler and Pressure Vessel Safety Act” and, except as otherwise provided in this chapter, shall apply to all boilers and pressure vessels.
(Act 2000-315, p. 488, §1.)
As used in this chapter, the following terms shall have the following meanings:
(1) BOARD. The Board of Boilers and Pressure Vessels.
(2) BOILER. A closed vessel in which water or other liquid is heated, steam or vapor is generated, or steam is superheated, or in which any combination of these functions is accomplished, under pressure or vacuum, for use externally to itself, by the direct application of energy from the combustion of fuels or from electrical, solar, or nuclear energy. The term “boiler” shall include fired units for heating or vaporizing liquids other than water where these units are separate from processing systems and are complete within themselves. The term “boiler” is further defined to include any of the following terms:
a. Heating boiler. A steam or vapor boiler operating at pressures not exceeding 15 psig or a hot water boiler operating at pressures not exceeding 160 psig or temperatures not exceeding 250 degrees Fahrenheit.
b. High pressure, high temperature water boiler. A water boiler operating at pressures exceeding 160 psig or temperatures exceeding 250 degrees Fahrenheit.
c. Power boiler. A boiler in which steam or other vapor is generated at a pressure of more than 15 psig.
(3) CERTIFICATE OF INSPECTION. An inspection, the report of which is used by the chief inspector to determine whether or not a certificate as provided by subsection (c) of Section 25-12-15 may be issued.
(4) DEPARTMENT. The Department of Labor.
(5) PRESSURE VESSEL. A vessel other than those vessels defined in subdivision (2) in which the pressure is obtained from an external source or by the application of heat.
(6) SECRETARY. The Secretary of Labor.
(Act 2000-315, p. 488, §2.)
There is created within the Department of Labor a Board of Boilers and Pressure Vessels, which shall be referred to in this chapter as the board. The board shall consist of nine members, the majority of whom shall have experience in design, construction, inspection, repair, or operation of boilers or pressure vessels. Eight of these members shall be citizens of this state and appointed by the Secretary of Labor, two for a term of one year, two for a term of two years, two for a term of three years, and two for a term of four years. The membership of the board shall be inclusive and reflect the racial, gender, geographic, urban/rural, and economic diversity of the state. At the expiration of their respective terms of office, they or their successors identifiable with the same interest respectively as provided in this chapter shall be appointed for terms of four years each. The secretary may at any time remove any member of the board for inefficiency or neglect of duty in office. Upon the death or incapacity of any member, the secretary shall fill the vacancy for the remainder of the unexpired term with a representative of the same interests with which his or her predecessor was identified. Of these eight appointed members, the majority of whom shall be registered professional engineers when available, one shall be a representative of owners and users of power boilers having experience with the boilers; one shall be a representative of owners and users of heating boilers; one shall be a representative of owners and users of pressure vessels having experience with the vessels; one shall be a representative of boiler or pressure vessel manufacturers; one shall be a representative of the crafts involved in the construction, repair, or operation of boilers or pressure vessels; one shall be a representative of the heating contractors; one shall be a representative of a company licensed to insure and insuring in this state boilers and pressure vessels; and one shall represent the public, for example, a mechanical engineer on the faculty of a recognized engineering college within the state or a licensed professional engineer. The ninth member of the board shall be the secretary or his or her designee.
(Act 2000-315, p. 488, §3; Act 2008-143, p. 230, §3; Act 2009-26, p. 85, §3.)
(a)(1) The department, with the advice of the board, shall formulate definitions, rules, and regulations for the safe construction, installation, inspection, maintenance, and repair of boilers and pressure vessels in this state.
(2) The definitions, rules, and regulations formulated for new construction shall be based upon and at all times follow the generally accepted nationwide engineering standards, formulas, and practices established and pertaining to boiler and pressure vessel construction and safety. The department, with the advice of the board, may adopt an existing published codification, known as the Boiler and Pressure Vessel Code of the American Society of Mechanical Engineers, with the amendments and interpretations made and approved by the council of the society, and may adopt the amendments and interpretations subsequently made and published by the same authority. When adopted, the codification shall be deemed to be incorporated into and shall constitute a part of the definitions, rules, and regulations of the department. Amendments and interpretations to the code shall be effective immediately upon being promulgated, to the end that the definitions, rules, and regulations shall at all times follow the generally accepted nationwide engineering standards.
(3) The department, with the advice of the board, shall formulate the rules and regulations for the inspection, maintenance, and repair of boilers and pressure vessels which were in use in this state prior to the date upon which the first rules and regulations under this chapter pertaining to existing installations become effective or during the 12-month period immediately thereafter. The rules and regulations shall be based upon and at all times follow generally accepted nationwide engineering standards and practices and may adopt the applicable sections of the Inspection Code of the National Board of Boiler and Pressure Vessel Inspectors or API 510 of the American Petroleum Institute.
(b) The rules and regulations and any subsequent amendments formulated by the department shall be adopted pursuant to the Alabama Administrative Procedure Act, except the board shall allow a hearing by interested parties prior to adoption. The rules when promulgated shall have the force and effect of law, except that the rules applying to the construction of new boilers and pressure vessels shall not become mandatory until 12 months after their promulgation by the department. Notice of the hearing shall give the time, the place, and state the matters to be considered at the hearing.
(c) Subsequent amendments to the rules and regulations adopted by the department shall be permissive immediately and shall become mandatory 12 months after their promulgation.
(Act 2000-315, p. 488, §4.)
No boiler or pressure vessel which does not conform to the rules and regulations of the department governing new construction and installation shall be installed and operated in this state after 12 months from the date upon which the first rules and regulations under this chapter pertaining to new construction and installation shall have become effective, unless the boiler or pressure vessel is of special design or construction and is not inconsistent with the spirit and safety objectives of the rules and regulations, in that event, a special installation and operating permit may be granted by the department.
(Act 2000-315, p. 488, §5.)
(a) The maximum allowable working pressure of a boiler carrying the ASME Code symbol or of a pressure vessel carrying the ASME or API-ASME symbol shall be determined by the applicable sections of the code under which it was constructed and stamped. Subject to the concurrence of the enforcement authority at the point of installation, the boiler or pressure vessel may be rerated in accordance with the rules of a later edition of the ASME Code and in accordance with the rules of the National Board Inspection Code or API 510, as applicable.
(b) The maximum allowable working pressure of a boiler or pressure vessel which does not carry the ASME or the API-ASME Code symbol shall be computed in accordance with the Inspection Code of the National Board of Boiler and Pressure Vessel Inspectors.
(c) This chapter shall not be construed to prevent the use, the sale, or the reinstallation of a boiler or pressure vessel referred to in this section, provided it has been made to conform to the rules and regulations of the board governing existing installations and has not been found upon inspection to be in an unsafe condition.
(Act 2000-315, p. 488, §6.)
AMENDED BY ACT 2026-539, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) This chapter shall not apply to the following boilers and pressure vessels:
(1) Boilers and pressure vessels under federal control or under regulations of Title 49 of the Code of Federal Regulations, Parts 192 and 193.
(2) Pressure vessels used for transportation and storage of compressed or liquefied gases when constructed in compliance with specifications of the United States Department of Transportation and when charged with gas or liquid, marked, maintained, and periodically requalified for use, as required by appropriate regulations of the United States Department of Transportation.
(3) Pressure vessels located on vehicles operating under the rules of other state or federal authorities and used for carrying passengers or freight.
(4) Air tanks installed on the right of way of railroads and used directly in the operation of trains.
(5) Pressure vessels that do not exceed any of the following weights and measures:
a. Five cubic feet in volume and 250 psig pressure.
b. One and one-half cubic feet in volume and 600 psig pressure.
c. An inside diameter of six inches with no limitation on pressure.
(6) Pressure vessels having an internal or external working pressure not exceeding 15 psig with no limit on size.
(7) Pressure vessels with a nominal water containing capacity of 120 gallons or less for containing water under pressure, including those containing air, the compression of which serves only as a cushion.
(8) Pressure vessels containing water heated by steam or any other indirect means when none of the following limitations are exceeded:
a. A heat input of 200,000 BTU per hour.
b. A water temperature of 210 degrees Fahrenheit.
c. A nominal water containing capacity of 120 gallons.
(9) Hot water supply boilers, equipped with ASME-National Board approved safety relief valves, which are directly fired with oil, gas, or electricity when none of the following limitations are exceeded:
a. Heat input of 200,000 BTU per hour.
b. Water temperature of 210 degrees Fahrenheit.
c. Nominal water containing capacity of 120 gallons.
(10) Pressure vessels in the care, custody, and control of research facilities and used solely for research purposes which require one or more details of noncode construction or which involve destruction or reduced life expectancy of those vessels.
(11) Pressure vessels or other structures or components that are not considered to be within the scope of ASME Code, Section VIII.
(12) Boilers and pressure vessels operated and maintained for the production and generation of electricity. A person, firm, partnership, or corporation operating such a boiler or pressure vessel shall have insurance or shall be self-insured. The boiler or pressure vessel shall be regularly inspected in accordance with the minimum requirements for safety as defined in the ASME Code by an inspector who has been issued a certificate of competency by the secretary in accordance with Section 25-12-10.
(13) Boilers and pressure vessels operated and maintained as a part of a manufacturing process. A person, firm, partnership, or corporation operating such a boiler or pressure vessel shall have insurance or shall be self-insured.
(14) Boiler or pressure vessels that are subject to OSHA standards of compliance.
(15) Boilers and pressure vessels operated and maintained by a public utility, including, but not limited to, boilers and pressure vessels operated and maintained for the production of electricity.
(16) Autoclaves used only for the sterilization of reusable medical or dental implements in the place of business of any professional licensed by the laws of this state.
(b) The following boilers and pressure vessels shall be exempt from the requirements of subsections (b), (c), and (d) of Section 25-12-14 and Sections 25-12-15 and 25-12-16:
(1) Boilers or pressure vessels located on farms and used solely for agricultural or horticultural purposes.
(2) Heating boilers or pressure vessels which are located in private residences or in apartment houses of less than six family units.
(3) Any pressure vessel used as an external part of an electrical circuit breaker or transformer.
(4) Pressure vessels on remote oil or gas-producing lease locations that have fewer than 10 buildings intended for human occupancy per 0.25 square mile and where the closest building is at least 220 yards from any vessel.
(5) Pressure vessels used for storage of liquid propane gas under the jurisdiction of the State Fire Marshal, except for pressure vessels used for storage of liquefied petroleum gas, 2,000 gallons or above, which have been modified or altered.
(6) Air storage tanks not exceeding 16 cubic feet, 120 gallons, in size and under 250 psig pressure.
(7) This chapter exempts and shall not regulate any and all pressure vessels associated in any way with oil, natural gas, and related by-products, feedstock, and product manufacturing operations; including exploration, production, gas processing, treating refining chemical, pipeline, supply, storage, and transportation. This subdivision shall not apply to buildings or businesses, or both, subject to public utilization.
(Act 2000-315, p. 488, §7.)
(a) The secretary may appoint as chief inspector a citizen of this state who at the time of the appointment shall have not less than five years’ experience in the construction, installation, inspection, operation, maintenance, or repair of high pressure boilers and pressure vessels as a mechanical engineer, steam operating engineer, boilermaker, or boiler inspector and who shall pass the same type of examination prescribed under Section 25-12-11. The chief inspector may be removed for cause after due investigation by the board and its recommendation to the secretary.
(b) The chief inspector, if authorized by the secretary, shall be charged, directed, and empowered to do all of the following:
(1) To take action necessary for the enforcement of the laws of the state governing the use of boilers and pressure vessels to which this chapter applies and of the rules and regulations of the department.
(2) To keep a complete record of the name of each owner or user and his or her location and, except for pressure vessels covered by an owner or user inspection service, the type, dimensions, maximum allowable working pressure, age, and the last recorded inspection of all boilers and pressure vessels to which the chapter applies.
(3) To publish and make available to anyone requesting them copies of the rules and regulations promulgated by the department.
(4) To issue or to suspend or revoke for cause inspection certificates as provided for in Section 25-12-15.
(5) To cause the prosecution of all violators of this chapter.
(Act 2000-315, p. 488, §8.)
The secretary may employ deputy inspectors who shall be responsible to the chief inspector. A deputy inspector at the time of appointment shall have three years of experience in the construction, installation, inspection, operation, maintenance, or repair of high pressure boilers and pressure vessels as a mechanical engineer, steam operating engineer, boilermaker, or boiler inspector. A deputy inspector shall pass the examination provided for in Section 25-12-11.
(Act 2000-315, p. 488, §9.)
(a) In addition to the deputy inspectors authorized by Section 25-12-9, the secretary, upon the request of any company licensed to insure and insuring in this state boilers and pressure vessels, or upon the request of any company operating pressure vessels in this state for which the owner or user maintains a regularly established inspection service which is under the supervision of one or more technically competent individuals whose qualifications are satisfactory to the department and causes the pressure vessels to be regularly inspected and rated by the inspection service in accordance with applicable provisions of the rules and regulations adopted by the department pursuant to Section 25-12-4, shall issue to each inspector of the insurance company a certificate of competency as a special inspector and to each inspector of the company operating a pressure vessel a certificate of competency as owner or user inspectors. Each inspector before receiving his or her certificate of competency shall satisfactorily pass the examination provided for by Section 25-12-11 or, in lieu of the examination, shall hold a commission or a certificate of competency as an inspector of boilers or pressure vessels from a state that has a standard of examination substantially equal to that of this state, or a commission as an inspector of boilers and pressure vessels issued by the National Board of Boiler and Pressure Vessel Inspectors. A certificate of competency as an owner or user inspector shall be issued to an inspector of a company operating pressure vessels in this state only if, in addition to meeting the requirements stated in this section, the inspector is employed full time by the company and is responsible for making inspections of pressure vessels used or to be used by the company and which are not for resale.
(b) The expenses or salary of special inspectors or owner or user inspectors shall not be paid by the state. The continuance of their certificates of competency shall be conditioned upon the special inspectors or owner or user inspectors continuing in the employ of the boiler insurance company or in the employ of the company operating pressure vessels in this state and upon their maintenance of the standards imposed by this chapter.
(c) The special inspectors or owner or user inspectors may inspect all boilers and pressure vessels insured or all pressure vessels operated by their respective companies. When inspected, the owners and users of the boilers and pressure vessels shall be exempt from the payment to the state of the inspection fees as prescribed in rules and regulations promulgated by the secretary.
(Act 2000-315, p. 488, §10.)
The examination for chief, deputy, special, or owner or user inspectors shall be in writing and shall be held by the board or by an examining board appointed in accordance with the requirements of the National Board of Boiler and Pressure Vessel Inspectors, with at least two members present at all times during the examination. The examination shall be confined to questions the answers to which shall aid in determining the fitness and competency of the applicant for the intended service and may be those prepared by the National Board of Boiler and Pressure Vessel Inspectors. If an applicant fails to pass the examination, the applicant may appeal to the board for another examination which shall be given by the board after 90 days. The record of an applicant’s examination shall be accessible to the applicant and employer of the applicant.
(Act 2000-315, p. 488, §11.)
(a) An inspector’s certificate of competency may be suspended by the secretary after investigation and recommendation by the board for the incompetence or untrustworthiness of the holder of the certificate, for willful falsification of any matter or statement contained in the application of the inspector, or in a report of any inspection he or she made. Written notice of any suspension shall be given by the secretary within 10 days of the suspension to the inspector and the employer of the inspector. A person whose certificate of competency has been suspended shall be entitled to an appeal to the board pursuant to Section 25-12-19 and shall be present in person and may be represented by counsel at the hearing of the appeal.
(b) If the board believes that an inspector is no longer qualified to hold his or her certificate of competency, the board, upon 10 days’ written notice to the inspector and the employer of the inspector, shall hold a hearing at which the inspector and his or her employer shall have an opportunity to be heard. If, as a result of the hearing, the board shall find that the inspector is no longer qualified to hold his or her certificate of competency, the board shall recommend to the secretary that the certificate of competency be revoked and the secretary shall immediately revoke the certificate of competency.
(c) A person whose certificate of competency has been suspended shall be entitled to apply, after 90 days from the date of the suspension, for reinstatement of the certificate of competency.
(Act 2000-315, p. 488, §12.)
If a certificate of competency is lost or destroyed, a new certificate of competency shall be issued without further examination.
(Act 2000-315, p. 488, §13.)
(a) The secretary, the chief inspector, or any deputy inspector shall have free access, during reasonable hours, to any premises in the state where a boiler or pressure vessel is being constructed for use in, or is being installed in, this state for the purpose of ascertaining whether the boiler or pressure vessel is being constructed and installed in accordance with the provisions of this chapter.
(b)(1) On and after January 1, 2002, each boiler and pressure vessel used or proposed to be used within this state, except for pressure vessels covered by an owner or user inspection service as described in subsection (d) or except for boilers or pressure vessels exempt under Section 25-12-7, owners and users may request to waive this exemption, shall be thoroughly inspected as to their construction, installation, and condition as follows:
a. Power boilers and high pressure, high temperature water boilers shall receive a certificate inspection annually which shall be an internal inspection where construction permits; otherwise it shall be as complete an inspection as possible. The boilers shall also be externally inspected while under pressure, if possible.
b. Low pressure steam or vapor heating boilers shall receive a certificate inspection biennially with an internal inspection every four years where construction permits.
c. Hot water heating and hot water supply boilers shall receive a certificate inspection biennially with an internal inspection at the discretion of the inspector.
d. Pressure vessels subject to internal corrosion shall receive a certificate inspection every three years with an internal inspection at the discretion of the inspector. Pressure vessels not subject to internal corrosion shall receive a certificate of inspection at intervals set by the board.
e. Nuclear vessels within the scope of this chapter shall be inspected and reported in the form and with the appropriate information as designated by the board.
(2) A grace period of two months beyond the periods specified in paragraphs a. and b. of subdivision (1) may elapse between certificate inspections.
(3) The department may provide for longer periods between certificate inspection in its rules and regulations.
(4) Pursuant to this chapter, the department shall be responsible for providing for the safety of life, limb, and property and shall have jurisdiction over the interpretation and application of the inspection requirements as provided for in the rules and regulations which it has promulgated. The person conducting the inspection during construction and installation shall certify as to the minimum requirements for safety as defined in the ASME Code. Inspection requirements of operating equipment shall be in accordance with generally accepted practice and compatible with the actual service conditions, which shall include all of the following:
a. Previous experience, based on records of inspection, performance, and maintenance.
b. Location, with respect to personnel hazard.
c. Quality of inspection and operating personnel.
d. Provision for related safe operation controls.
e. Interrelation with other operations outside the scope of this chapter.
(5) The board may permit variations in the inspection requirements based upon documentation of the actual service conditions by the owner or user of the operating equipment.
(c) The inspections required in this chapter shall be made by the chief inspector, by a deputy inspector, by a special inspector, or by an owner or user inspector provided for in this chapter.
(d) Owner or user inspection of pressure vessels shall be permitted. The owner or user inspection service shall be regularly established, and shall be under the supervision of one or more individuals whose qualifications are satisfactory to the board. The owner or user shall cause the pressure vessels to be inspected in conformance with the National Board Inspection Code or API 510, as applicable.
(e) If the inspector deems a hydrostatic test shall be necessary, it shall be made by the owner or user of the boiler or pressure vessel.
(f) All boilers, other than cast iron sectional boilers, and pressure vessels to be installed in this state after the 12-month period from the date upon which the rules and regulations of the board shall become effective, shall be inspected during construction as required by the applicable rules and regulations of the board by an inspector authorized to inspect boilers and pressure vessels in this state or, if constructed outside of the state, by an inspector holding a commission issued by the National Board of Boiler and Pressure Vessel Inspectors.
(Act 2000-315, p. 488, §14.)
(a) Each company employing special inspectors, within 30 days following each certificate inspection made by the inspectors, shall file a report of the inspection with the chief inspector upon appropriate forms as promulgated by the secretary. The filing of reports of external inspections, other than certificate inspections, shall not be required except when the inspections disclose that the boiler or pressure vessel is in a dangerous condition.
(b) Each company operating pressure vessels covered by an owner or user inspection service meeting the requirements of subsection (a) of Section 25-12-10 shall maintain in its files an inspection record which shall list, by number and any abbreviated description necessary for identification, each pressure vessel covered by this chapter, the date of the last inspection of each pressure vessel, and the approximate date for the next inspection. The inspection record shall be available for examination by the chief inspector or his or her authorized representative during business hours.
(c) If the report filed pursuant to subsection (a) shows that a boiler or pressure vessel is found to comply with the rules and regulations of the department, the chief inspector, or his or her duly authorized representative, shall issue to the owner or user an inspection certificate bearing the date of inspection and specifying the maximum pressure under which the boiler or pressure vessel may be operated. The inspection certificate shall be valid for not more than 14 months from its date in the case of power boilers, 26 months in the case of heating and hot water supply boilers, and 38 months in the case of pressure vessels. In the case of those boilers and pressure vessels covered by paragraphs a. to d., inclusive, of subdivision (1) of subsection (b) of Section 25-12-14, for which the board has established or extended the operating period between required inspections pursuant to the provisions of paragraphs c. and d. of subdivision (1) of subsection (b) of Section 25-12-14, the certificate shall be valid for a period of not more than two months beyond the period set by the board. Certificates for boilers shall be posted under glass, or similarly protected, in the room containing the boiler. Pressure vessel certificates shall be posted in like manner, if convenient, or filed where they will be readily accessible for examination.
(d) No inspection certificate issued for an insured boiler or pressure vessel based upon a report of a special inspector shall be valid after the boiler or pressure vessel for which it was issued shall cease to be insured by a company duly authorized by this state to provide the insurance.
(e) The secretary or his or her authorized representative may at any time suspend an inspection certificate after showing cause that the boiler or pressure vessel for which it was issued cannot be operated without menace to the public safety or when the boiler or pressure vessel is found not to comply with the rules and regulations adopted pursuant to this chapter. Each suspension of an inspection certificate shall continue in effect until the boiler or pressure vessel shall conform to the rules and regulations of the department and until the reinstatement of the inspection certificate.
(f) The secretary or his or her authorized representative may issue a written order for the temporary cessation of operation of a boiler or pressure vessel if it has been determined after inspection to be hazardous or unsafe. Operations shall not resume until the conditions are corrected to the satisfaction of the secretary or his or her authorized representative.
(Act 2000-315, p. 488, §15.)
(a) Boilers and pressure vessels subject to operating certificate inspections by special inspectors, or owner or user inspectors, shall be inspected within 60 calendar days following the required reinspection date. Inspections not performed within this 60 calendar day period shall result in a fine of five hundred dollars ($500) for each boiler or pressure vessel not inspected.
(b)(1) Inspection fees due on boiler and pressure vessels subject to inspection by the chief or deputy inspectors or operating certificate fees due from inspections performed by special inspectors, or owner or user inspectors, shall be paid within 60 calendar days of completion of the inspections.
(2) Inspection fees or operating certificate fees unpaid within 60 calendar days shall bear interest at the rate of 1.5 percent per month or any fraction of a month. Interest shall continue to accrue until all amounts due, including interest, are received by the secretary.
(c) The secretary may waive the collection of the penalties and interest assessed as provided in subsections (a) and (b) when it is reasonably determined that the delays in inspection or payment were unavoidable or due to the action or inaction of the department.
(Act 2000-315, p. 488, §16.)
After 12 months for power boilers, 24 months for low pressure steam heating, hot water heating, and hot water supply boilers, and 36 months for pressure vessels following July 1, 2001, it shall be unlawful for any person, firm, partnership, or corporation to operate in this state a boiler or pressure vessel, except a pressure vessel covered by owner or user inspection service as provided for in Section 25-12-15, without a valid inspection certificate. The operation of a boiler or pressure vessel without the inspection certificate or at a pressure exceeding that specified in the inspection certificate or in violation this chapter shall constitute a misdemeanor.
(Act 2000-315, p. 488, §17.)
AMENDED BY ACT 2026-539, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
The owner or user of a boiler or pressure vessel required by this chapter to be inspected by the chief inspector or his or her deputy inspector shall pay directly to the chief inspector, upon completion of inspection, fees as prescribed in rules and regulations promulgated by the secretary. Pressure vessel certificates of inspection fees shall not exceed ten dollars ($10) annually. The chief inspector shall transfer all fees received to a separate fund in the State Treasury to the credit of the department for its operation. All funds, pursuant to this chapter, deposited in the State Treasury shall be appropriated by the Legislature to the Secretary of Labor pursuant to the Budget Management Act and Article 4 of Chapter 4 of Title 41. All fees collected above the appropriated amount shall be transferred to the General Fund at the end of each fiscal year.
(Act 2000-315, p. 488, §18; Act 2009-26, p. 85, §3.)
The chief inspector shall furnish a bond in the sum of five thousand dollars ($5,000) and each of the deputy inspectors employed and paid by the state shall furnish a bond in the sum of two thousand dollars ($2,000) conditioned upon the faithful performance of their duties and upon a true account of moneys handled by them, respectively, and the payment thereof to the proper recipient.
(Act 2000-315, p. 488, §19.)
(a) Any person aggrieved by an order or an act of the secretary or the chief inspector under this chapter may, within 15 days of notice thereof, appeal from the order or act to the board which, within 30 days thereafter, shall issue an appropriate order either approving or disapproving the order or act. A copy of the order by the board shall be given to all interested parties.
(b) After any order or act of the board, any person aggrieved thereby may file a petition in the Circuit Court of Montgomery County for review pursuant to the Alabama Administrative Procedure Act.
(Act 2000-315, p. 488, §20.)
No county, municipality, or other political subdivision shall have the power to make any laws, ordinances, or resolutions providing for the construction, installation, inspection, maintenance, and repair of boilers and pressure vessels within the limits of the county, municipality, or other political subdivision.
(Act 2000-315, p. 488, §21.)
[Repealed]
Repealed by Act 2016-30, §3, effective February 29, 2016.
(Act 2000-315, p. 488, §22.)
(a) The purpose of this chapter is to provide for the safety of life and limb and to promote public safety awareness. The use of unsafe and defective lifting devices imposes a substantial probability of serious and preventable injury to employees and the public exposed to unsafe conditions. The prevention of these injuries and protection of employees and the public from unsafe conditions is in the best interest of the people of this state. Elevator personnel performing work covered by this chapter shall by documented training or experience, or both, be familiar with the operation and safety functions of the components and equipment. Training and experience shall include, but not be limited to, recognizing the safety hazards and performing the procedures to which they are assigned in conformance with the requirements of this chapter. This chapter shall establish the minimum standards for elevator personnel.
(b) The provisions of this chapter are not intended to prevent the use of systems, methods, or devices of equivalent or superior quality, strength, fire resistance, code effectiveness, durability, and safety to those required by this chapter, provided that there is technical documentation to demonstrate the equivalency of the system, method, or device, as prescribed in ASME A17.1, ASME A18.1, or ASCE 21.
(c) The design or modification of equipment covered by this chapter shall be prepared by or under the direct control and personal supervision of a licensed professional engineer.
(Act 2003-349, p. 903, §1.)
(a) As used in this chapter, the following terms shall have the following meanings:
(1) ADMINISTRATOR. The Secretary of the Department of Labor or his or her designee.
(2) ASCE 21. American Society of Civil Engineers Automated People Mover Standards.
(3) ASME A17.1. The Safety Code for Elevators and Escalators, an American National Standard.
(4) ASME A17.3. The Safety Code for Existing Elevators and Escalators, an American National Standard.
(5) ASME A18.1. The Safety Standard for Platform Lifts and Stairway Chairlifts, an American National Standard.
(6) AUTOMATED PEOPLE MOVER. An installation as defined as an automated people mover in ASCE 21.
(7) BOARD. The Elevator Safety Review Board.
(8) CERTIFICATE OF OPERATION. A document issued by the administrator that indicates that the conveyance has had the required safety inspection and tests, and fees have been paid as set forth in this chapter.
(9) CERTIFICATE OF OPERATION; TEMPORARY. A document issued by the administrator which permits the temporary use of a non-complaint conveyance by the general public for a limited time while minor repairs are being completed.
(10) CONVEYANCE. Any elevator, dumbwaiter, escalator, moving sidewalk, platform lifts, stairway chairlifts, and automated people movers.
(11) DORMANT ELEVATOR, DUMBWAITER, OR ESCALATOR. An installation placed out of service as specified in ASME A17.1 and ASME A18.1.
(12) ELEVATOR. An installation as defined as an elevator in ASME A17.1.
(13) ELEVATOR CONTRACTOR. Any sole proprietor, firm, or corporation who possesses an elevator contractor’s license in accordance with Sections 25-13-7 and 25-13-8 and who is engaged in the business of erecting, constructing, installing, altering, servicing, repairing, or maintaining elevators or related conveyances covered by this chapter.
(14) ELEVATOR HELPER/APPRENTICE. Any person who works under the general direction of a licensed elevator mechanic. A license is not required.
(15) ELEVATOR INSPECTOR. Any person who possesses an elevator inspector’s license in accordance with this chapter.
(16) ELEVATOR MECHANIC. Any person who possesses an elevator mechanic’s license in accordance with Sections 25-13-7 and 25-13-8 and who is engaged in erecting, constructing, installing, altering, servicing, repairing, or maintaining elevators or related conveyances covered by this chapter.
(17) ESCALATOR. An installation as defined as an escalator in ASME A17.1.
(18) EXISTING INSTALLATION. An installation as defined as an installation, existing in ASME A17.1.
(19) LICENSE. A written license, duly issued by the administrator, authorizing a sole proprietor, firm, or company to carry on the business of erecting, constructing, installing, altering, servicing, repairing, or maintaining or performing inspections of elevators or related conveyances covered by this chapter.
(20) LICENSE, ELEVATOR CONTRACTOR’S. A license which is issued to an elevator contractor who has proven his or her qualifications and ability and has been authorized by the board to possess this type of license. It shall entitle the holder thereof to engage in the business of erecting, constructing, installing, altering, servicing, testing, repairing, or maintaining elevators or related conveyances covered by this chapter.
(21) LICENSE, ELEVATOR MECHANIC. A license which is issued to a person who has proven his or her qualifications and ability and has been authorized by the board to work on conveyance equipment. It shall entitle the holder thereof to install, construct, alter, service, repair, test, maintain, and perform electrical work on elevators or related conveyances covered by this chapter.
(22) LICENSE, LIMITED ELEVATOR MECHANIC. A license which is issued to a person who has proven his or her qualifications and ability, and has been authorized by the board to work on platform lifts and stairway chairlifts.
(23) LICENSE, INSPECTOR. A license which is issued to any person who has proven his or her qualifications and ability and has been authorized by the board to possess this type of license. It shall entitle the holder thereof to engage in the business of inspecting elevators or related conveyances covered by this chapter.
(24) LICENSE, LIMITED ELEVATOR CONTRACTOR’S. A license which is issued by the administrator, authorizing a sole proprietor, firm, or company who employs individuals to carry on a business of erecting, constructing, installing, altering, servicing, repairing, or maintaining platform lifts and stairway chairlifts within any building or structure, including, but not limited to, private residences.
(25) LICENSEE. An elevator mechanic, elevator contractor, or elevator inspector.
(26) MATERIAL ALTERATION. An alteration as defined in the referenced standards.
(27) MOVING WALK OR SIDEWALK. An installation as defined as a moving walk in ASME A17.1.
(28) PRIVATE RESIDENCE. A separate dwelling or a separate apartment in a multiple dwelling which is occupied by members of a single-family unit.
(29) REPAIR. A repair as defined in the referenced standards and which does not require a permit.
(30) TEMPORALLY DORMANT ELEVATOR, DUMBWAITER, OR ESCALATOR. An installation whose power supply has been disconnected by removing fuses and placing a padlock on the mainline disconnect switch in the OFF position. The car is parked and the hoistway doors are in the closed and latched position. A wire seal shall be installed on the mainline disconnect switch by a licensed elevator inspector. This installation shall not be used again until it has been put in safe running order and is in condition for use. Annual inspections shall continue for the duration of the temporally dormant status by a licensed elevator inspector. Temporally dormant status shall be renewable on an annual basis and shall not exceed a five-year period. The elevator inspector shall file a report with the chief elevator inspector describing the current conditions. The wire seal and padlock shall not be removed for any purpose without permission from the elevator inspector.
(b) All other building transportation terms are as defined in the latest edition of ASME A17.1 and ASME A18.1.
(Act 2003-349, p. 903, §2; Act 2005-69, p. 97, §3; Act 2017-70, §3.)
(a) Unless otherwise provided herein, this chapter covers the design, construction, operation, inspection, testing, maintenance, alteration, and repair of the following equipment, its associated parts, and its hoistways:
(1) Hoisting and lowering mechanisms equipped with a car or platform, which move between two or more landings. This equipment includes, but is not limited to, the following:
a. Elevators.
b. Platform lifts and stairway chairlifts.
(2) Power driven stairways and walkways for carrying persons between landings. This equipment includes, but is not limited to, the following:
a. Escalators.
b. Moving walks.
(3) Hoisting and lowering mechanisms equipped with a car which serves two or more landings and is restricted to the carrying of material by its limited size or limited access to the car. This equipment includes, but is not limited to, the following:
a. Dumbwaiters.
b. Material lifts and dumbwaiters with automatic transfer devices.
(b) This chapter covers the design, construction, operation, inspection, maintenance, alteration, and repair of automatic guided transit vehicles on guideways with an exclusive right-of-way including, but not limited to, automated people movers.
(c) Equipment not covered by this chapter includes, but is not limited to, any of the following:
(1) Personnel hoists within the scope of ANSI A10.4.
(2) Material hoists within the scope of ANSI A10.5.
(3) Manlifts within the scope of ASME A90.1.
(4) Mobile scaffolds, towers, and platforms within the scope of ANSI A92.
(5) Powered platforms and equipment for exterior and interior maintenance within the scope of ANSI 120.1.
(6) Conveyors and related equipment within the scope of ASME B20.1.
(7) Cranes, derricks, hoists, hooks, jacks, and slings within the scope of ASME B30.
(8) Industrial trucks within the scope of ASME B56.
(9) Portable equipment, except for portable escalators which are covered by ANSI A17.1.
(10) Tiering or piling machines used to move materials to and from storage located and operating entirely within one story.
(11) Equipment for feeding or positioning materials at machine tools, printing presses, etc.
(12) Skip or furnace hoists.
(13) Wharf ramps.
(14) Railroad car lifts or dumpers.
(15) Line jacks, false cars, shafters, moving platforms, and similar equipment used for installing an elevator by a contractor licensed in this state.
(16) Equipment otherwise covered under this chapter which is located at an industrial facility that is not accessible by the general public and which is used in the construction, operation, or maintenance of the facility.
(d) This chapter shall not apply to any entity engaged in the generation, transmission, or distribution of electric energy or any employee, agent, or contractor thereof when performing work for the utility or other entity described herein.
(e) The providers required to be licensed under Section 34-14C-4, shall be exempt from this chapter.
(Act 2003-349, p. 903, §3.)
(a) No person shall erect, construct, alter, replace, maintain, remove, or dismantle any conveyance contained within buildings or structures in the jurisdiction of this state unless an elevator mechanic license has been issued, as described herein, and the person is working under the direct supervision of a sole proprietor, firm, or corporation who is a licensed elevator contractor pursuant to this chapter. No person shall wire any conveyance, from the mainline feeder terminals on the controller, in the jurisdiction of this state, unless an elevator mechanic license has been issued as described herein and the person is working under the direct supervision of a sole proprietor, firm, or corporation who is a licensed elevator contractor pursuant to this chapter. No other license shall be required for this work. A licensed elevator contractor is not required for removing or dismantling conveyances which are destroyed as a result of a complete demolition of a secured building or structure or where the hoistway or wellway is demolished back to the basic support structure whereby no access is permitted therein to endanger the safety and welfare of a person.
(b) No person shall inspect any conveyance within buildings or structures, including, but not limited to, private residences, unless an inspector’s license has been issued as described herein.
(Act 2003-349, p. 903, §4.)
(a) There is created the Elevator Safety Review Board, herein referred to as the “board,” consisting of 10 members, one of whom shall be the State Secretary of the Department of Labor who shall serve as the administrator. The Governor shall appoint the remaining nine members of the board as follows: One representative from a major elevator manufacturing company or its authorized representative; one representative from an elevator servicing company; one representative of the architectural design profession; one representative of the general public; one representative of a municipality in this state; one representative of a building owner or manager; one representative who is physically handicapped; one licensed professional engineer; and one representative of labor involved in the installation, maintenance, and repair of elevators. Each member of the board shall be a citizen of this state and the membership of the board shall be inclusive and reflect the racial, gender, geographic, urban/rural, and economic diversity of the state.
(b) The initial members constituting the board shall serve for terms of three years, excluding the administrator who shall serve continuously. The board members shall serve without salary, but shall receive from the state expenses necessarily incurred by them in performance of their duties. The Governor shall appoint one of the members to serve as chair, and the chair shall be the deciding vote in the event of a tie vote.
(c) Upon the expiration of the initial terms of office, the terms of office shall be staggered so that three successors shall serve terms of office of one year each; three successors shall serve terms of office of two years each; and three successors shall serve terms of office of three years each. The Governor, by drawing lots, shall determine which successors shall serve one, two, and three-year terms of office. Thereafter, each successor member shall be appointed and serve a term of office of three years. The administrator shall continue to serve continuously.
(Act 2003-349, p. 903, §5; Act 2005-69, p. 97, §3; Act 2009-32, p. 105, §3.)
AMENDED BY ACT 2026-539, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) The board may consult with engineering authorities and organizations concerned with standard safety codes and rules governing the operation, maintenance, servicing, construction, alteration, installation, and inspection of elevators, dumbwaiters, escalators, and the qualifications which are adequate, reasonable, and necessary for an elevator mechanic, contractor, and inspector. Therefore, the board may recommend the amendments of applicable legislation, when appropriate, to legislators.
(b) The board shall adopt rules for the equipment regulated by this chapter. The rules shall include the Safety Code for Elevators and Escalators, American Society of Mechanical Engineers (ASME) A17.1; the Safety Code for Existing Elevators and Escalators, ASME A17.3; the Safety Standards for Platform Lifts and Stairway Chairlifts, ASME A18.1; and Automated People Mover Standards, American Society of Civil Engineers (ASCE) 21. After the date of publishing of the latest editions of the standards by the ASME, which is their effective date, the board shall review these editions within 12 months and determine whether to adopt the editions in part or in whole. Any modifications to the standards that the administrator deems necessary shall be justified in writing by the board. After adoption by the board, the latest editions of the standards by the ASME shall be effective on a date determined by the board but in no event more than six months after the board’s review date.
(c) The board may grant exceptions and variances from the literal requirements of applicable code and standards, rules, or local legislation, or any combination of these, in cases where the variances would not jeopardize the public safety and welfare. The board may hear appeals, hold hearings, and decide upon appeals within 30 days of the appeal.
(d) The board shall establish fee schedules for licenses, permits, certificates, and inspections. The fees shall reflect the actual costs and expenses to conduct the duties as described in this chapter. All fees collected by the administrator pursuant to this chapter shall be remitted to the Elevator Safety Review Board Operational Fund in the State Treasury to the credit of the board for its operation and for the operation of the Department of Labor. Any funds appropriated for the operation of the board that are not needed for current operations as determined by the administrator and within the appropriation ceiling of the board may be used for operation of the department. All fees collected in the Elevator Safety Review Board Operational Fund above the appropriated amount shall be transferred to the State General Fund within one quarter after the end of each fiscal year.
(e) In addition, the administrator may transfer unused funds in the Elevator Safety Review Board Operational Fund to the State General Fund.
(Act 2003-349, p. 903, §6; Act 2005-69, p. 97, §3; Act 2009-32, p. 105, §3; Act 2010-597, p. 1343, §1; Act 2011-559, p. 1063, §1; Act 2017-70, §3; Act 2018-76, §3; Act 2022-241, §1.)
(a) Elevator Contractor. Any sole proprietor, firm, or corporation wishing to engage in the business of elevator, dumbwaiter, escalator, moving sidewalk, or other conveyance installation, alteration, service, replacement, or maintenance within this jurisdiction shall make application for a license with the administrator on a form provided by the administrator.
(b) Elevator Mechanic. Any person wishing to engage in installing, altering, repairing, or servicing an elevator, dumbwaiter, escalator, moving sidewalk installation, alteration, service, replacement, or maintenance within the jurisdiction of this state shall make application for a license with the administrator on a form provided by the administrator.
(c) Inspector. Any person wishing to engage in the business of elevator, dumbwaiter, escalator, moving walk, or platform or stairway chairlift inspections within the jurisdiction of this state shall make application for a license with the administrator on a form to be provided by the administrator. An inspector shall possess those qualifications established by rule of the Department of Labor.
(d) The application for licenses shall contain information for the following provisions:
(1) If a person or sole proprietor, the name, residence address, and business address of the applicant.
(2) If a partnership, the name and residence and business addresses of each partner.
(3) If a domestic corporation, the name and business address of the corporation and the name and residence address of the principal officer of the corporation. If a corporation other than a domestic corporation, the name and address of a local agent who shall be authorized to accept service of process and official notices.
(4) The number of years the applicant has engaged in the business of installing, inspecting, and maintaining or servicing elevators or platform lifts.
(5) The approximate number of persons, if any, to be employed by the elevator contractor applicant and, if applicable, satisfactory evidence that the employees are or will be covered by workers’ compensation insurance.
(6) Satisfactory evidence that the applicant is or will be covered by general liability, personal injury, and property damage insurance.
(7) Criminal record of convictions, if any, as verified by the Department of Public Safety.
(8) If a person or sole proprietor, a statement that the applicant is a United States citizen or, if not a citizen of the United States, a person who is legally present in the United States with appropriate documentation from the federal government.
(9) Other information as the administrator may require.
(Act 2003-349, p. 903, §7; Act 2009-32, p. 105, §3; Act 2013-149, p. 283, §3.)
(a) No license shall be granted to any person who has not proven his or her qualifications and abilities. Applicants for a mechanic license must demonstrate the following qualifications:
(1) An acceptable combination of documented experience and education credits and not less than three years’ work experience in the elevator industry in construction, maintenance, and service and repair, as verified by current and previous employers licensed to do business in this state. Satisfactory completion of a written examination administered by the board on the most recent referenced codes and standards.
(2) Certificates of completion and successfully passing the mechanic examination of a nationally recognized training program for the elevator industry such as the National Elevator Industry Educational Program or its equivalent; or certificates of completion of an apprenticeship program for elevator mechanic, having standards substantially equal to those of this chapter, and registered with the Bureau of Apprenticeship and Training, U.S. Department of Labor, or a state apprenticeship council.
(b) Any person who furnishes the administrator with acceptable proof that he or she has worked as an elevator constructor or maintenance or repair person shall upon making application for a license and paying the license fee be entitled to receive a license without an examination. The person shall have worked without direct and immediate supervision for an elevator contractor licensed to do business in this state. This employment shall be not less than three years immediately prior to September 1, 2003. The person must make application within one year of September 1, 2003.
(c) A license shall be issued to an individual holding a valid license from a state having standards substantially equal to those of this chapter upon application and without examination.
(Act 2003-349, p. 903, §8.)
No inspector’s license shall be granted to any person unless he or she demonstrates to the satisfaction of the administrator or other officer designated by the board that he or she meets the qualifications established by rule of the Department of Labor for an elevator inspector.
(Act 2003-349, p. 903, §9; Act 2017-70, §3.)
No license shall be granted to any sole proprietor, firm, or corporation that has not demonstrated the requisite qualifications and abilities. Duly authorized applicants for an elevator contractor’s license must have in their employ licensed elevator mechanics who perform the work described herein and have proof of compliance with the insurance requirements as set forth in this chapter.
(Act 2003-349, p. 903, §10.)
A license may be issued to a sole proprietor, firm, or corporation holding a valid license from a state having standards substantially equal to those of this chapter, upon application.
(Act 2003-349, p. 903, §11.)
AMENDED BY ACT 2026-539, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) Upon approval of an application, the administrator may issue a license which shall be renewable biennially. The fee for such license and for any renewal thereafter shall be set by the board.
(b) Whenever an emergency exists in the state due to disaster, act of God, or work stoppage and the number of persons in the state holding licenses granted by the administrator is insufficient to cope with the emergency, the licensed elevator contractors shall respond as necessary to assure the safety of the public. Any person certified by a licensed elevator contractor to have an acceptable combination of documented experience and education to perform elevator work without direct and immediate supervision shall seek an emergency elevator mechanic license from the administrator within five business days after commencing work requiring a license. The administrator shall issue emergency elevator mechanic licenses. The licensed elevator contractor shall furnish proof of competency as the administrator may require. Each such license shall recite that it is valid for a period of 30 days from the date of issuance for particular elevators or geographical areas as the administrator may designate and shall entitle the licensee to the rights and privileges of an elevator mechanic license issued in this chapter. The administrator shall renew an emergency elevator mechanic license during the existence of an emergency. No fee shall be charged for any emergency elevator mechanic license or renewal thereof.
(c) A licensed elevator contractor shall notify the administrator when there are no licensed personnel available to perform elevator work. The licensed elevator contractor may request that the administrator issue temporary elevator mechanic licenses to persons certified by the licensed elevator contractor to have an acceptable combination of documented experience and education to perform elevator work without direct and immediate supervision. Any person certified by the licensed elevator contractor to have an acceptable combination of documented experience and education to perform elevator work without direct and immediate supervision shall immediately seek a temporary elevator mechanic license from the administrator and shall pay such fee as the board shall determine. Each such license shall recite that it is valid for 30 days from the date of issuance and while the person is employed by the licensed elevator contractor who certified the individual as qualified. The license shall be renewable as long as the shortage of license holders shall continue.
(d)(1) The renewal of all licenses granted under this section shall be conditioned upon the submission of a certificate of completion of a course designed to ensure the continuing education of licensees on new and existing provisions of the regulations of the board. The course shall consist of not less than eight hours of instruction and shall be attended and completed within one year immediately preceding any such license renewal.
(2) The course shall be taught by instructors through continuing education providers and may include, but not be limited to, association seminars and labor training programs. The board shall approve the continuing education providers. All instructors shall be approved by the board and exempt from the requirements of the preceding paragraph with regard to application for license renewal provided that the applicant was qualified as an instructor at any time during the year immediately preceding the scheduled date for such renewal.
(3) A licensee who is unable to complete the continuing education course required under this section prior to the expiration of his or her license due to a temporary disability may apply for a waiver from the board. This shall be on a form provided by the board which shall be signed under the penalties of perjury and accompanied by a certified statement from a competent physician attesting to the temporary disability. Upon the termination of the temporary disability, the licensee shall submit to the board a certified statement from the same physician, if practicable, attesting to the termination of the temporary disability. At that time a waiver sticker, valid for 90 days, shall be issued to the licensee and affixed to his or her license.
(4) Approved training providers shall keep uniform records, for a period of 10 years, of attendance of licensees following a format approved by the board, and the records shall be available for inspection by the board. Approved training providers shall be responsible for the security of all attendance records and certificates of completion; provided, however, that falsifying or knowingly allowing another to falsify such attendance records or certificates of completion shall constitute grounds for suspension or revocation of the approval required under this section.
(Act 2003-349, p. 903, §12; Act 2005-69, p. 97, §3.)
(a) A license issued pursuant to this chapter may be suspended, revoked, or subject to civil penalty by the administrator upon verification that any one or more of the following reasons exist:
(1) Any false statement as to material matter in the application.
(2) Fraud, misrepresentation, or bribery in securing a license.
(3) Failure to notify the administrator and the owner or lessee of an elevator or related mechanism of any condition not in compliance with this chapter.
(4) Violation of any provisions of this chapter.
(b) No license shall be suspended, revoked, or subject to civil penalty until after a hearing before the administrator upon notice to the licensee of at least 10 days at the last known address appearing on the license, served personally or by registered mail. The notice shall state the date, hour, and place of hearing and set forth a statement of facts constituting the grounds for the charges against the licensee. The administrator may suspend or revoke the license or dismiss the proceeding.
(c) Any person, sole proprietor, firm, or corporation whose license is revoked, suspended, or subject to civil penalty may appeal from such determination to the board, which shall, within 30 days thereafter, hold a hearing, of which at least 15 days’ written notice shall be given to all interested parties. The board shall, within 30 days after such hearing, issue a decision.
(Act 2003-349, p. 903, §13.)
Within six months after the date of the appointment of the board, the owner or lessee of every existing conveyance shall register with the board and the administrator each such elevator, dumbwaiter, platform lift, and escalator, or device described in Section 25-13-1 owned and operated by the owner or lessee, giving the type, rated load and speed, name of manufacturer, its location and the purpose for which it is used, and such additional information as the administrator may require. Elevators, dumbwaiters, platform lifts, escalators, and moving walks, or other conveyances on which construction has begun subsequent to the date of the creation of the board shall be registered at the time they are completed and placed in service.
(Act 2003-349, p. 903, §14.)
AMENDED BY ACT 2026-539, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
It shall be the responsibility of individuals, firms, or corporations licensed by this chapter to ensure that installation and/or service and maintenance of elevators and devices described in Section 25-13-1 are performed in compliance with the provisions contained in the state fire prevention and building codes and with generally accepted standards referenced in the code.
(Act 2003-349, p. 903, §15.)
(a) No conveyance covered by this chapter shall be erected, constructed, installed, or altered within buildings or structures within this jurisdiction unless a permit has been obtained from the administrator before the work is commenced. Where any material alteration, as defined herein, is made, the device shall conform to applicable requirements in ASME A17.1, ASME A18.1, or ASCE 21 for the alteration. No permit required hereunder shall be issued except to a sole proprietor, firm, or corporation holding a current elevator contractor’s license, duly issued pursuant to this chapter. A copy of the permit shall be kept at the construction site at all times while the work is in progress.
(b) The permit fee shall be as set by the board. Permit fees collected are non-refundable.
(c) Each application for a permit shall be accompanied by copies of specifications and accurately scaled and fully dimensioned plans showing the location of the installation in relation to the plans and elevation of the building; the location of the machinery room and the equipment to be installed, relocated, or altered; and all structural supporting members thereof, including foundations, and shall specify all materials to be employed and all loads to be supported or conveyed. Plans and specifications shall be sufficiently complete to illustrate all details of construction and design.
(d) The applicable fees shall accompany each permit application.
(e) New elevators installed on and after July 1, 2022, are required to conform to the applicable elevator safety codes in effect when the conveyance permit is issued. Modifications to existing elevators shall conform to the applicable elevator safety codes in effect at the time the permit for modification or alteration is issued. Portions of an elevator that are unaltered or unaffected by the alteration are only required to comply with the code requirements that existed at the time of installation.
(Act 2003-349, p. 903, §16; Act 2022-241, §1.)
(a) Permits may be revoked for the following reasons:
(1) Where any false statements or misrepresentations were made as to the material facts in the application, plans, or specifications on which the permit was based.
(2) Where the permit was issued in error and should not have been issued in accordance with this chapter.
(3) Where the work detailed under the permit is not being performed in accordance with the provisions of the application, plans, or specifications or with this chapter or conditions of the permit.
(4) Where the elevator contractor to whom the permit was issued fails or refuses to comply with a STOP WORK order.
(5) If the work authorized by the permit is not commenced within six months after the date of issuance or within a shorter period of time as the administrator, or his or her authorized representative in his or her discretion, may specify at the time the permit is issued.
(6) If the work is suspended or abandoned for 60 days, or shorter time as the administrator may specify at the time the permit is issued, after the work has been started.
(b) The administrator may allow an extension of time at his or her discretion.
(Act 2003-349, p. 903, §§17, 18.)
(a) All new conveyance installations shall be performed by a sole proprietor, firm, or corporation to which a license to install or service conveyances has been issued. Subsequent to installation, the licensed sole proprietor, firm, or corporation must certify compliance with the applicable sections of this chapter. Prior to any conveyance being used, the property owner or lessee must obtain a certificate of operation from the administrator. A fee as set forth in this chapter shall be paid for the certificate of operation. It shall be the responsibility of the licensed elevator contractor to complete and submit first-time registrations for new installations. The certificate of operation fee for newly installed elevators, platform lifts, and stairway chairlifts for private residences shall be subsequent to an inspection by a licensed third party inspection firm.
(b) The certificate of operation fee for all new and existing stairway chairlifts for private residences and any renewal fees shall be waived. The administrator, or his or her designee, shall inspect, in accordance with the requirements set forth in this chapter, all newly installed elevators, platform lifts, and stairway chairlifts for private residences. For newly installed residential elevators and residential elevators in locations other than private residences, the inspector shall note on the inspection report compliance with the applicable codes governing protection of hoistway openings, commonly known as the 3x5 rule.
(c) A certificate of operation is renewable annually. The administrator may require any conveyance out of compliance with this chapter to be placed out of service until it is reinspected and found to be in compliance. In addition, a private residence owner may request an annual inspection at his or her discretion. Certificates of operation must be clearly displayed on or in each conveyance.
(d) No county, municipality, or other political subdivision shall have the power to make any laws, ordinances, or resolutions providing for the construction, installation, inspection, maintenance, and repair of elevators and conveyances within the limits of the county, municipality, or other political subdivision.
(Act 2003-349, p. 903, §19; Act 2011-708, p. 2190, §1.)
(a) Elevator contractors shall submit to the administrator an insurance policy, or certified copy thereof, issued by an insurance company authorized to do business in the state to provide general liability coverage of at least one million dollars ($1,000,000) for injury or death of any number of persons in any one occurrence and with coverage of at least five hundred thousand dollars ($500,000) for property damage in any one occurrence and the statutory workers’ compensation insurance coverage.
(b) Elevator inspectors, not employed by the authority having jurisdiction, shall submit to the administrator an insurance policy, or certified copy thereof, issued by an insurance company authorized to do business in the state to provide general liability coverage of at least one million dollars ($1,000,000) for injury or death of any number of persons in any one occurrence and with coverage of at least five hundred thousand dollars ($500,000) for property damage in any one occurrence and the statutory workers’ compensation insurance coverage.
(c) The policies, or duly certified copies thereof, or an appropriate certificate of insurance approved as to form by the administrator shall be delivered to the administrator before or at the time of the issuance of a license. In the event of any material alteration or cancellation of any policy, at least 10 days’ notice shall be given to the administrator.
(Act 2003-349, p. 903, §20.)
(a) It shall be the duty of the administrator to develop an enforcement program which will ensure compliance with regulations and requirements referenced in this chapter. An enforcement program shall include, but is not limited to, regulations for identification of property locations which are subject to the regulations and requirements; issuing notifications to violating property owners or operators; random on-site inspections and tests on existing installations; witnessing periodic inspections and testing in order to ensure satisfactory performance by licensed persons, sole proprietors, firms, or corporations; and assisting in the development of public awareness programs.
(b) Any person may request an investigation into an alleged violation of this chapter by giving notice to the administrator of such violation or danger. The notice shall be in writing, shall set forth with reasonable particularity the grounds for the notice, and shall be signed by the person making the request. Upon the request of any person signing the notice, such person’s name shall not appear on any copy of the notice or any record published, released, or made available.
(c) If upon receipt of a notification, the administrator determines that there are reasonable grounds to believe that a violation or danger exists, the administrator shall cause to be made an investigation in accordance with this chapter as soon as practicable to determine if such violation or danger exists. If the administrator determines that there are no reasonable grounds to believe that a violation or danger exists, the administrator shall notify the party in writing of such determination.
(Act 2003-349, p. 903, §21.)
This chapter shall not be construed to relieve or lessen the responsibility or liability of any person, firm, or corporation owning, operating, controlling, maintaining, erecting, constructing, installing, altering, inspecting, testing, or repairing any elevator or other related mechanism covered by this chapter for damages to person or property caused by any defect therein, nor does the state assume any such liability or responsibility therefor or any liability to any person for whatever reason whatsoever by the enactment of this chapter or any acts or omissions arising hereunder.
(Act 2003-349, p. 903, §22.)
Any owner or lessee who shall violate any of the provisions of this chapter, upon conviction thereof, shall be fined in an amount not to exceed one thousand five hundred dollars ($1,500) or be imprisoned for a period not exceeding 30 days or both fined and imprisoned.
(Act 2003-349, p. 903, §23.)
The provisions of this chapter are not retroactive unless otherwise stated, and equipment shall be required to comply with the applicable code at the date of installation or within the period determined by the board for compliance with ASME A17.3, whichever is more stringent. If upon the inspection of any device covered by this chapter, the equipment is found to be in dangerous condition or there is an immediate hazard to those riding or using the equipment or if the design or the method of operation in combination with devices used is considered inherently dangerous in the opinion of the administrator, the administrator shall notify the owner of the condition and shall order such alterations or additions as may be deemed necessary to eliminate the dangerous condition.
(Act 2003-349, p. 903, §24.)
(a) It shall be the responsibility of the owners of all new and existing conveyances located in any building or structure to have the conveyances inspected annually (ASME A17.1, category one) by a licensed elevator inspector. Subsequent to inspection, the licensed elevator inspector shall supply the property owner or lessee and the administrator with a written inspection report describing any and all violations. Property owners shall have 30 days from the date of the published inspection report to be in full compliance with correcting the violations.
(b) It shall be the responsibility of the owners of conveyances to have a licensed elevator inspector, as described in this chapter, insure that the required tests are performed at intervals in compliance with ASME A17.1, ASME A18.1, and ASCE 21.
(c) All tests shall be performed by a licensed elevator mechanic.
(Act 2003-349, p. 903, §25.)
Whenever a provision in this chapter is found to be inconsistent with any provision of applicable state law, any rule or regulation promulgated thereunder, or any code, the applicable state law shall prevail. This chapter, unless specifically stated otherwise, is not intended to establish more stringent or more restrictive standards than standards set forth in the applicable state law.
(Act 2003-349, p. 903, §26.)
This chapter shall be known and may be cited as the “Alabama Professional Employer Organization Registration Act.”
(Act 2006-229, p. 397, §1.)
The Legislature finds and declares the following:
(1) That employee leasing is a growing industry in the State of Alabama and that professional employer organizations provide increased opportunities for employers to develop cost-effective methods of satisfying their personnel requirements and providing employees with access to certain employment benefits which might otherwise not be available to them.
(2) The Legislature deems it necessary, however, in the interest of the welfare of workers and employers to establish standards for the operation, regulation, and registration of professional employer organizations in Alabama to be administered by the Workers’ Compensation Division of the Department of Labor, and it is the intent of the Legislature that this be accomplished pursuant to the Alabama Professional Employer Organization Registration Act.
(3) That any allocation of the employer duties and responsibilities pursuant to this chapter will preserve all rights to which covered employees would be entitled under a traditional employment relationship.
(Act 2006-229, p. 397, §2.)
As used in this chapter, the following terms shall have the following meanings:
(1) ADMINISTRATIVE FEE. The fee charged to a client by a professional employer organization for professional employer services. The term does not include any amount of a fee by the professional employer organization that is for wages and salaries, benefits, workers’ compensation, payroll taxes, withholding, or other assessments paid by the professional employer organization to or on behalf of covered employees under the professional employer agreement.
(2) CLIENT. A person or entity that enters into a professional employer agreement with a professional employer organization, including a worksite employer.
(3) CONTROLLING PERSON. Any of the following:
a. An officer or director of a corporation operating as a professional employer organization, a shareholder holding 25 percent or more of the voting stock of a corporation operating as a professional employer organization, or a partner of a partnership operating as a professional employer organization.
b. An individual who possesses, directly or indirectly, the power to direct or cause the direction of the management or policies of a company operating as a professional employer organization through the ownership of voting securities, by contract or otherwise, and who is actively involved in the day-to-day management of the company.
(4) COVERED EMPLOYEE. An individual having a relationship with a professional employer organization and a client who meets all of the following criteria:
a. The individual has executed a written employment agreement with the professional employer organization.
b. The individual is a co-employee of both the professional employer organization and the client.
c. The individual’s relationship with a professional employer organization and a client pursuant to a professional employer agreement is subject to this chapter. Individuals who are officers, directors, shareholders, partners, and managers of the client are covered employees to the extent the professional employer organization and the client have expressly agreed in the professional employer agreement that the individuals would be covered employees and provided the individuals meet the criteria of this subdivision and act as operational managers or perform services for the client.
(5) DEPARTMENT. The Alabama Department of labor.
(6) PERSON. An individual, sole proprietorship, business, partnership, corporation, limited liability company, association, firm, or any other form of legally recognized entity.
(7) PROFESSIONAL EMPLOYER ORGANIZATION. A person engaged in the business of providing professional employer services through one or more professional employer organization arrangements. A person engaged in the business of providing professional employer services shall be subject to registering under this chapter regardless of its use of the term professional employer organization, PEO, staff leasing company, registered staff leasing company, employee leasing company, or any other name. The term does not include:
a. Arrangements where a person, whose principal business activity is not entering into professional employer arrangements and which does not hold itself out as a professional employer organization, shares employees with a commonly owned company within the meaning of Section 414(b) and (c) of the Internal Revenue Code of 1986.
b. Arrangements by which a person assumes responsibility for the product produced or service performed by the person or his or her agents and retains and exercises primary direction and control over the work performed by the individuals whose services are supplied under the arrangements.
c. Temporary help services, which consist only of: (i) recruiting and hiring their own employees; (ii) finding other organizations that need the services of those employees; (iii) assigning those employees to perform work at or services for the other organizations to support or supplement the other organizations’ workforces, or to provide assistance in special work situations such as, but not limited to, employee absences, skill shortages, seasonal workloads, or to perform special assignments or projects, and (iv) customarily attempting to reassign the employees to other organizations when they finish each assignment. However, notwithstanding any provision to the contrary, a temporary help service entity shall annually, at no cost, certify on a form approved by the secretary that the temporary help service is not providing professional employer organization services.
(8) PROFESSIONAL EMPLOYER ORGANIZATION ARRANGEMENTS. An arrangement under contract where an employee of a professional employer organization is assigned or leased, or both, to work at a client company. The assignment of the covered employee is intended to be of a long-term or continuing nature, rather than temporary or seasonal in nature. The term shall be liberally construed to include any and all arrangements meeting the criteria set forth by this chapter, by whatever term known.
(9) PROFESSIONAL EMPLOYER SERVICES. The service of entering into relationships under this chapter in which all or a majority of the employees providing services to a client or to a division or work unit of clients are covered employees. More specifically, professional employer services may include, but are not limited to, the payment of payroll, payment of payroll taxes, payment of unemployment compensation taxes, providing for workers’ compensation coverage, providing for health insurance coverage, and any and all other additional services as may be contracted for under the professional employer organization agreement. Exclusively providing, selling, or administering workers’ compensation and/or health insurance plans to one or more clients is not the provision of professional employer services.
(10) REGISTRANT. A person or entity registered as a professional employer organization under this chapter or renewing a registration under this chapter.
(11) SECRETARY. The Secretary of the Alabama Department of Labor.
(12) TEMPORARY EMPLOYEE. A person employed either through a staffing service or directly by an employer to support or supplement the existing work force in special situations such as employee absences, temporary skill shortages, seasonal workloads, and special assignments and projects with the expectation that the position of the person shall be terminated upon the completion of the task or function.
(Act 2006-229, p. 397, §3.)
(a) Neither this chapter nor a professional employer agreement may affect, modify, or amend any collective bargaining agreement, or the rights or obligations of any client, professional employer organization, or covered employee under the federal National Labor Relations Act, or any other similar law.
(b) Neither this chapter nor a professional employer agreement may affect, modify, or amend any state, local, or federal licensing, registration, or certification requirement applicable to any professional employer organization, client, or covered employee.
(c) A covered employee who is required to be licensed, registered, or certified according to law or regulation is solely an employee of the client for purposes of the license, registration, or certification requirement.
(d) A professional employer organization does not engage in any occupation, trade, profession, or other activity which is subject to licensing, registration, or certification requirements, or is otherwise regulated by a governmental entity solely by entering into and maintaining a professional employer organization arrangement with a covered employee who is subject to the requirement or regulation.
(e) Unless otherwise expressly agreed to by the client in the professional employer agreement, a client shall have the sole right to direct and control the professional or licensed activities of covered employees and of the business of the client.
(f)(1) After June 1, 2006, for the purpose of qualifying for the income tax capital credit allowed under Article 7, commencing with Section 40-18-190, of Chapter 18, Title 40, and for the purpose of determining other economic incentives based on employment as provided or administered by the State of Alabama or its political subdivisions, covered employees actually working full-time in the business operations of the client shall be deemed employees solely of the client. A client shall be entitled to the benefit of any tax credit, economic incentive, or other benefit arising as the result of the employment of covered employees of the client, subject to all other state and local laws controlling any benefit addressed in this sentence. When determining the Alabama apportionment factor, a client company shall include in the payroll factor the amount paid to the professional employer organization that is due to be paid to covered employees as wages earned.
(2) Any tax or fee upon professional employer services may only be imposed on the revenue from administrative fees.
(3) The tax assessed on a per capita or per employee basis shall be assessed against the client for covered employees and against the professional employer organization for its employees who are not a covered employee of a client.
(g) A bid, contract, purchase order, or agreement entered into with the state or a political subdivision of the state, a client company’s status or certification as a small, minority-owned, disadvantaged, or woman-owned business enterprise or as a historically under-utilized business is not affected because the client company has entered into an agreement with a professional employer organization or uses the services of a professional employer organization.
(h) Each professional employer organization shall provide, upon request by a client or an agency or department of this state, all employment information reasonably required by an agency or department of this state.
(Act 2006-229, p. 397, §4.)
(a)(1) A person may not provide, advertise, or otherwise hold itself out as providing professional employer services in this state unless the person is registered under this chapter to operate a professional employer organization.
(2) Each person desiring to operate as a professional employer organization shall file with the secretary a completed registration form to include the following information:
a. The name or names under which the professional employer organization conducts business.
b. The address of the principal place of business of the professional employer organization and the address of each office it maintains in this state.
c. The professional employer organization’s taxpayer or employer identification number.
d. A list by jurisdiction of each name under which the professional employer organization has operated in the preceding five years, including any alternative names, names of predecessors and, if known, successor business entities.
e. A statement of ownership, which shall include the name and evidence of the business experience of any person that, individually or acting in concert with one or more other persons, owns or controls, directly or indirectly, 25 percent or more of the equity interests of the professional employer organization.
f. A statement of management, which shall include the name and evidence of the business experience of any person who serves as president, chief executive officer, or otherwise has the authority to act as senior executive officer of the professional employer organization.
g. A financial statement setting forth the financial condition of the professional employer organization, as of a date not earlier than 180 days prior to the date submitted to the department, prepared in accordance with generally accepted accounting principles, and audited or reviewed by an independent certified public accountant licensed to practice in the jurisdiction in which such accountant is located. The secretary, by rule, may allow for a waiver of the audit or review procedures for new professional employer organizations in business for less than one year. In no event shall a professional employer organization be allowed a renewal of the waiver after its first year of existence.
(3) In addition to the completed registration form, the applicant shall also file any reasonable form, material, and information as is necessary to enable the secretary to ascertain whether individuals affiliated with the registrant are qualified to serve as controlling persons.
(4) The secretary shall determine, by rule, the registration process.
(5) Each professional employer organization operating within this state shall immediately, upon request by the secretary, furnish a complete and current listing of all client employers.
(b) The secretary shall determine, by rule, the financial requirements for a registrant or renewal of registration. The rule may require the submission of securities or guarantees securing the payment of all unemployment taxes and workers’ compensation claims payments due to or with respect to covered employees and may require that the security or assets to secure such payments be maintained by a financial institution located in the State of Alabama. The secretary may accept net worth based upon audited financial statements in whole or in part for the financial requirements. The financial requirements shall not exceed one hundred thousand dollars ($100,000).
(c) The rules may provide and may establish fees for the consolidated application and licensing of professional employer organizations that are majority owned by the same parent, entity, or persons provided that: (1) The department may require an application fee for each professional employer organization, and (2) the multiple professional employer organizations may file reports and meet financial requirements on a consolidated basis if each company that is a part of the multiple employer organization group guarantees the obligations of each.
(d) A professional employer organization may be eligible for limited registration under this chapter if the professional employer organization:
(1) Is domiciled outside this state and is licensed or registered as a professional employer organization in another state that has substantially the same or greater requirements as this chapter.
(2) Does not maintain an office in this state or solicit clients located or domiciled within this state.
(3) Does not have more than 50 covered employees employed or domiciled in this state on any given day.
(4) The secretary shall determine, by rule, the limited registration requirements and process.
(e) The department, by rule, may provide for the reciprocal acceptance of a professional employer organization license or registration from another state if the licensing, operational, financial, and reporting requirements are substantially similar to those of this state. Neither this subsection nor a rule may be construed to relieve a registrant of the requirement of paying a fee required by this chapter or from any requirement to provide additional securities.
(f)(1) The secretary shall determine, by rule or regulation, the fees allowed by this chapter. The fees may not exceed those reasonably necessary for the administration and regulation of professional employer organizations in this state.
(2) The fee for any initial registration may not exceed one thousand dollars ($1,000), and the fee for a renewal registration may not exceed five hundred dollars ($500). The fee for any limited registration may not exceed five hundred dollars ($500), and the fee for a renewal of a limited registration may not exceed two hundred fifty dollars ($250). Fees for an initial or renewal registration shall be submitted at the time of registration and made payable to the Professional Employer Organization Registration Administrative Trust Fund. All registration fees shall be nonrefundable.
(g)(1) Each professional employer organization operating within this state on June 1, 2006, shall complete its initial registration not later than 180 days after June 1, 2006.
(2) Each professional employer organization not operating within this state on June 1, 2006, shall complete its initial registration prior to commencement of operations within this state.
(3) Any transfer or sale of stock or other ownership interest in a registrant that results in a change in the ownership of a majority of voting power over the stock or other ownership interest within a 12-month period shall require a new registration.
(4) A notice shall be posted in each business office maintained within the state which states that the professional employer organization is registered and regulated by the department and that any questions or complaints should be directed to the secretary.
(5) A notice shall be maintained in the administrative office of a client employer maintained within the state and shall be made available to any covered employee or the department’s representative upon request which states the name of the professional employer organization the employer is associated with, that the professional employer organization is registered and regulated by the department, and that any questions or complaints should be directed to the secretary.
(6) Each professional employer organization shall maintain an agent within the state for service of process.
(7) Any registration or limited registration shall remain valid for a period of one year from the date of registration. Each professional employer organization continuing to operate within this state shall renew its registration every year. The registrant must demonstrate each year continued compliance with all requirements of this chapter, including, without limitation, all requirements set forth for the initial registration.
(h) All records, client listings, client reports, financial statements, and other information obtained from a professional employer organization under this chapter, except to the extent necessary for the proper administration of this chapter by the department, shall be confidential and shall not be published or open to public inspection.
(Act 2006-229, p. 397, §5.)
The following acts and omissions are deemed to constitute deceptive practices and are prohibited for a professional employer organization and its controlling person:
(1) Making, issuing, circulating, or causing to be made an estimate, illustration, circular, statement, advertisement, sales presentation, omission, or comparison which intentionally misleads, deceives, or misrepresents the benefits, advantages, disadvantages, conditions, or terms of any professional employer organization arrangement.
(2) Filing with the secretary or other public official, or making, publishing, disseminating, circulating, or delivering to a person any false statement of financial condition of a person or business with the intent to deceive.
(3) Knowingly making a false entry of a material fact in any book, report, or statement of any person or business or knowingly omitting to make a true entry of any material fact pertaining to the business of the person in any book, report, or statement of that person.
(4) Any other practice or behavior that is deemed to be deceptive by law.
(Act 2006-229, p. 397, §6.)
The following acts constitute grounds for which disciplinary action against a registrant or controlling person may be taken by the secretary:
(1) Being convicted of or entering a guilty plea or a plea of nolo contendere to, any of the following:
a. A crime in any jurisdiction which relates to the operation of a professional employer organization or the ability to engage in business as a professional employer organization.
b. Fraud, deceit, or misconduct in the classification of employees and reporting of employee wages under the workers’ compensation laws of this state.
c. Fraud, deceit, or misconduct in the establishment of or maintenance of workers’ compensation coverage, regardless of whether self-insured or otherwise.
d. Fraud, deceit, or misconduct in the operation of a professional employer organization.
(2) Failing to maintain evidence of the workers’ compensation insurance coverage required in accordance with this chapter.
(3) Violating this chapter or any lawful order or rule issued under this chapter.
(4) Failing to notify the secretary in writing of any change of the primary business address or the addresses of any of the registrant’s offices in the state.
(5) Being found guilty by a court of competent jurisdiction of a course of conduct or practices which show that the registrant is so incompetent, negligent, dishonest, or untruthful that the money, property, transactions, and rights of investors, or those with whom the registrant may sustain a confidential relation, may not safely be entrusted to the registrant.
(6) Failing to inform the secretary in writing within 30 days after being convicted, pleading guilty, or entering a plea of nolo contendere to a felony, regardless of adjudication.
(7) Found liable for civil fraud by any court of competent jurisdiction in any state.
(8) Failure to inform the secretary in writing within 30 days of an adverse material action by a state or federal regulatory agency.
(Act 2006-229, p. 397, §7.)
(a)(1) Upon a finding that a registrant has violated a provision of Section 25-14-6 or 25-14-7, the secretary may:
a. Impose an administrative fine not to exceed one thousand dollars ($1,000) for every count or separate offense.
b. Impose upon the registrant the cost of investigation and prosecution, including reasonable attorney fees.
c. Refuse to register or renew the registration of an offending professional employer organization.
(2) The secretary may make, or cause to be made, investigations, audits, or reviews within or without the state as the secretary deems necessary to determine whether a person has violated or is in danger of violating this chapter, including any regulation or rule to aid in the enforcement of this chapter, including any regulation or rule promulgated pursuant to this chapter.
(3) All civil penalties collected under this chapter shall be deposited in the Professional Employer Organization Registration Administrative Trust Fund.
(b) A person who engages in the business of or acts as a professional employer organization without first registering with the department, or otherwise violates this chapter or any rules and regulations promulgated by the secretary in accordance with this chapter, shall be liable for a civil penalty for each offense of one hundred dollars ($100) for each count or separate offense. Each day of continued violation shall constitute a separate offense.
(c) In addition to the penalties provided for in this chapter, the secretary may take whatever regulatory or legal action necessary to enjoin or restrain any person engaging in the business of or acting as a professional employer organization without having first registered with the department.
(d) The controlling person of a professional employer organization who collects payments from a client representing wages, taxes, benefit payments, or insurance payments and fails to remit the funds to the appropriate governmental or private entity shall be guilty of a Class C felony.
(e) The controlling person of a client of a professional employer organization who fraudulently or falsely procures payroll checks without having adequate funds to compensate and reimburse the professional employer organization shall be guilty of a Class C felony.
(Act 2006-229, p. 397, §8.)
(a) All professional employer organization arrangements shall have a written contract between the client and the professional employer organization recognizing the rights, responsibilities, and duties of each party. The contract shall disclose to the client the services to be rendered by the professional employer organization, including the total administrative fees charged for professional employer organization services, the respective rights and obligations of the parties, and shall provide the following:
(1) The professional employer organization reserves a right of direction and control over contract employees and exercises that right in the context of the need to do so according to the terms and conditions of the professional employment agreement. The client, however, as an employer, may retain sufficient direction and control over covered employees necessary to conduct its business, and, without which, the client would be unable to conduct its business, discharge any fiduciary responsibility, or comply with any applicable licensure, regulatory, or statutory requirement.
(2) The professional employer organization assumes responsibility to pay wages to covered employees, withhold, collect, report, and remit payroll-related and unemployment taxes to the extent that the client employer has funded the obligations; and, to the extent the professional employer organization has assumed responsibility in the professional employer agreement, to make payments for employee benefits for covered employees. As used in this section, the term wages does not include any obligation between a client and a covered employee for payments beyond or in addition to the covered employee’s salary, draw, or regular rate of pay, such as bonuses, commissions, severance pay, deferred compensation, profit sharing, vacation, sick leave, or other paid time off pay, unless the professional employer organization has expressly agreed to assume liability for the payments in the professional employer agreement.
(3) Under the terms and conditions of the professional employment agreement, the professional employer organization and the client shall both have a right to hire, terminate, and discipline the covered employees subject to the terms of any collective bargaining agreements which may exist.
(4) The responsibility to obtain workers’ compensation coverage for covered employees, from a carrier licensed to do business in this state and otherwise in compliance with all applicable requirements, shall be specifically allocated to either the client or the professional employer organization in the professional employer agreement.
(b) A professional employer organization shall provide written notice to each covered employee affected by any such professional employer agreement of the general nature of the co-employment relationship between and among the professional employer organization, the client, and the covered employee.
(c)(1) Except as specifically provided in this chapter or in the professional employer agreement, the client shall be entitled to exercise all rights, and shall be obligated to perform all duties and responsibilities otherwise applicable to an employer in an employment relationship.
(2) Unless otherwise expressly agreed by the professional employer organization and the client in a professional employer agreement, the client retains the exclusive right to direct and control the covered employees as is necessary to conduct the business of the client, to discharge the fiduciary responsibilities of the client, or to comply with any licensure requirements applicable to client or to the covered employees.
(3) Except to the extent otherwise expressly provided by the applicable professional employer agreement, a client shall be solely responsible for the quality, adequacy, or safety of the goods or services produced or sold in a client’s business.
(4) A client shall be solely responsible for directing, supervising, training, and controlling the work of the covered employees with respect to the business activities of the client and shall be solely responsible for the acts, errors, or omissions of the covered employees with regard to those activities.
(5) A client shall not be liable for the acts, errors, or omissions of a professional employer organization or of any covered employee of the client and a professional employer organization when the covered employee is acting under the express direction and control of the professional employer organization.
(d) Neither a professional employer agreement nor this chapter may be construed to diminish, abolish, or remove rights of covered employees as to clients or obligations of the client as to a covered employee existing prior to the effective date of a professional employer agreement.
(e) A covered employee is not, solely as the result of being a covered employee of a professional employer organization, an employee of the professional employer organization for purposes of general liability insurance, employment practices liability insurance, fidelity bonds, surety bonds, employer’s liability which is not covered by workers’ compensation, or liquor liability insurance carried by the professional employer organization unless the covered employees are included by specific reference in the professional employer agreement and applicable prearranged employment contract, insurance contract, or bond.
(f)(1) A professional employer organization shall be entitled to exercise only those rights and obligated to perform only those duties and responsibilities specifically required by this chapter and/or set forth in the professional employer agreement.
(2) A professional employer organization shall be deemed an employer of its worksite employees and perform the responsibilities designated in the professional employer organization arrangement and this chapter. A professional employer organization may not be liable for the acts, errors, or omissions of a client, or of any covered employee of the client and a professional employer organization when the covered employee is acting under the express direction and control of the client.
(3) A client and a professional employer organization shall each be deemed an employer for purposes of sponsoring retirement and welfare benefit plans for their covered employees, however, in no case shall a health care benefit plan be deemed to be jointly sponsored by both the client and the professional employer organization. The professional employer agreement shall identify whether the client or the professional employer organization is the sponsor of any given health care benefit plan.
a. Any single employer health care plan sponsored by a professional employer organization that is required under the federal Employee Retirement Income Security Act “ERISA” to be governed exclusively by federal law shall not be subject to this chapter.
b. Any health care plan sponsored by the professional employer organization that is not required under the federal Employee Retirement Income Security Act “ERISA” to be governed exclusively by federal law shall be governed by the laws of the State of Alabama.
(4) A professional employer organization shall pay wages and collect, report, and pay employment related taxes and report and pay unemployment taxes for covered employees to the extent that the client employer has funded those obligations.
(5)a. For purposes of unemployment compensation, covered employees of a professional employer organization are considered the employees of the professional employer organization, which shall be responsible for the payment of contributions, penalties, and interest on wages paid by the professional employer organization to its covered employees during the term of the applicable professional employer agreement.
b. The professional employer organization shall report by client and pay all required contributions to the Unemployment Compensation Trust Fund using the state employer account number and the contribution rate of the professional employer organization.
c. On the termination of a contract between a professional employer organization and a client or the failure by a professional employer organization to submit reports or make tax payments as required by this chapter, the client shall be treated as a new employer without a previous experience record unless that client is otherwise eligible for an experience rating.
(6)a. A professional employer organization shall assure to the satisfaction of the secretary that workers’ compensation coverage is provided for all covered employees employed in this state pursuant to the laws of this state. Failure to provide the secretary with proof of workers’ compensation coverage shall subject the professional employer organization to a civil penalty of one thousand dollars ($1,000). In the event individual coverage is obtained for each client employer, failure to provide proof of coverage for each client employer shall constitute a separate finable offense.
b. If the responsibility to obtain workers’ compensation coverage for covered employees is allocated in the professional employer agreement to the professional employer organization, the agreement shall require that the professional employer organization maintain and provide to each client, at the termination of the agreement if requested by the client, records regarding the loss experience related to workers’ compensation insurance provided to covered employees pursuant to the agreement.
c. Each professional employer organization shall within 30 days notify the secretary and the workers’ compensation insurance carrier, if applicable, of the initiation of a new client or the termination of the professional employer organization’s relationship with any client for which the professional employer organization provides services for covered employees within this state.
d. Each professional employer organization shall further notify the secretary and its clients within 10 days of any notice of cancellation of workers’ compensation coverage. Failure to provide notices shall subject the registrant to an administrative penalty of one hundred dollars ($100) per day for each day past the required notice.
e. Both the client and the professional employer organization shall be considered the employer for the purpose of workers’ compensation coverage, and shall each be entitled to protection of the exclusive remedy provision of the workers’ compensation laws of this state.
(7)a. The sale and provision of professional employer services in conformance with this chapter shall not constitute the sale of insurance. However, the following activities shall not be considered the sale or provision of professional employer services: (i) Exclusively providing, selling, or administering workers’ compensation and/or health insurance plans to one or more clients; (ii) soliciting prospective clients based solely or primarily on representations of insurance coverage or cost advantages; or (iii) offering for sale or selling a policy of insurance to a client or employee. No professional employer organization shall function or hold itself out as an insurer or insurance producer unless appropriately licensed by this state. The Alabama Department of Insurance shall have exclusive control of determining what defines the sale of insurance.
b. A self-insured professional employer organization may not extend the use of its self-insurance certificate to any other person, firm, or corporation not specifically authorized by such certificate.
(Act 2006-229, p. 397, §9.)
(a) There is established in the State Treasury a fund entitled the Professional Employer Organization Registration Administrative Trust Fund. Fees and assessments provided by this chapter collected by the department shall be deposited in the fund. The fund shall constitute a separate fund to be disbursed by the state Comptroller on order of the secretary. All expenses incurred by the department under this chapter, including the salaries of all employees, travel costs, and any other cost of administration and enforcement as may become necessary, either within or without the state, shall be paid from the separate fund in the State Treasury upon warrants of the state Comptroller drawn upon the State Treasury from time to time when vouchers therefor are approved by the secretary. The State Treasurer shall pay monies from the separate fund upon the order of the secretary. The total expense for every purpose incurred may not exceed the total fees and assessments collected and paid into the fund. All monies remaining unexpended in the separate fund at the end of the fiscal year shall remain in the State Treasury to be expended as provided by this chapter.
(b) The State Treasurer shall determine if the money in the trust fund shall be kept in cash or invested. The monies in the fund may be invested by the State Treasurer and all monies and interest remaining unexpended in the separate fund provided at the end of the fiscal year shall remain in the State Treasury to be expended as provided by this chapter.
(c) The secretary is designated as trustee of the fund and the State Treasurer is designated as custodian of the fund, and both shall furnish bonds in amounts deemed appropriate. The cost of bonds for the trustee, custodian, and other employees or officials required to post bond in connection with the program shall be paid out of the fund.
(d) No monies shall be withdrawn or expended from the fund for any purpose unless the monies have been appropriated by the Legislature and allocated pursuant to this chapter. Any monies appropriated shall be budgeted and allotted pursuant to the Budget Management Act in accordance with Article 4, commencing with Section 41-4-80 of Chapter 4 of Title 41, and only in the amounts provided by the Legislature in the general appropriations act or other appropriations act.
(Act 2006-229, p. 397, §10.)
(a) The department shall adopt rules necessary for the administration of this chapter in compliance with the Administrative Procedure Act.
(b) All registrants are governed and controlled by this chapter and the rules adopted by the department.
(c) The secretary shall adopt all rules in accordance with the intent and spirit of this chapter.
(Act 2006-229, p. 397, §11.)
(a) The Governor shall establish the Alabama Workforce Board as the State Workforce Development Board for purposes of Section 101 of the Workforce Innovation and Opportunity Act of 2014 (P.L. 113-128), 29 U.S.C. § 3111, as amended, and to carry out its purposes pursuant to state law; provided, that in the event of a conflict between state law and WIOA, WIOA shall prevail.
(b) It is the intent of the Legislature that all state and local entities that receive state-appropriated funding and are engaged in workforce development activities will fully participate in and cooperate with the activities and recommendations of the board, but the board shall not directly exercise governing control of state and local agencies, departments, educational institutions, boards, commissions, and other workforce development entities except as otherwise prescribed by federal law or regulation.
(c) For purposes of this chapter, “WIOA” means the Workforce Innovation and Opportunity Act of 2014 (P.L. 113-128), as amended.
(Act 2024-115, §5.)
The duties of the Alabama Workforce Board include:
(1) Advising and supporting the Governor, Legislature, and state agencies concerning the administration, development, and continual improvement of the state’s workforce development system consistent with the Strategic Workforce Plan, WIOA, and other federal workforce development programs.
(2) Assisting the Governor in performing the functions set forth in 20 C.F.R. § 679.130 and as contemplated by any other WIOA provision or regulation.
(3) Coordinating the federal WIOA funding component of the state’s workforce development programs.
(4) Developing accountability metrics for state and federal workforce programs, in addition to the metrics already prescribed by law.
(5) Supporting the efforts of the Secretary of Workforce, who shall serve as the principal point of contact for state agencies and departments, public officials, businesses, and the public with respect to all aspects of the state’s workforce development activities.
(6) Consulting with officials, leaders, and experts in workforce development including, but not limited to, federal, state, and local agencies, departments, educational institutions, boards, commissions, the private sector, and other leaders and experts.
(Act 2024-115, §5.)
AMENDED BY ACTS 2026-327 AND 2026-538, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) The Alabama Workforce Board shall consist of no more than 40 members, or their designees, and meet the membership criteria established by WIOA. All members, unless otherwise provided in this subsection, shall be appointed by the Governor, subject to confirmation by the Senate. A majority of members shall be representatives of business and industry, at least one of which shall represent small business. Twenty percent of the members shall be representatives of workforce, including two labor representatives and one apprenticeship program representative. The board shall also include one representative of the WIOA Title I-b programs; the State Adult Education Director; one representative of the Wagner-Peyser Program; the Commissioner of the Alabama Department of Rehabilitation Services; the Chancellor of the Alabama Community College System; the Secretary of Workforce; one member of the Alabama Senate appointed by the presiding officer of the Senate; one member of the Alabama House of Representatives appointed by the Speaker of the House of Representatives; one county commissioner appointed by the Governor; one mayor appointed by the Governor; and the Governor or his or her designee. The overall membership of the board shall be inclusive and reflect the racial, gender, geographic, urban/rural, and economic diversity of the state.
(b) The Governor shall appoint a chair from the business representatives on the board as set forth in WIOA. In addition, the Governor shall appoint a vice chair from the business representatives on the board.
(c) The Governor shall establish bylaws governing the membership and activities of the board as required by WIOA and its implementing regulations, including 20 C.F.R. § 679.110(d).
(d) Members may serve no more than two four-year terms as provided in the bylaws established pursuant to subsection (c).
(Act 2024-115, §5.)
(a) The Alabama Workforce Board shall meet at least four times per year but may meet more frequently at the call of the chair or the Governor.
(b) Meetings of the board and any committee established pursuant to this section shall be conducted pursuant to the Open Meetings Act.
(c) The Governor, or the chair with the consent of the Governor, may establish and dissolve standing and ad hoc committees. The Governor, or the chair with the consent of the Governor, shall appoint the chair and members of all standing and ad hoc committees.
(Act 2024-115, §5.)
AMENDED BY ACT 2026-538, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) There is established the Executive Committee of the Alabama Workforce Board which shall be comprised of seven members, including the Governor or the Governor’s designee, the Chair of the Alabama Workforce Board, and five executive level business leaders who shall be appointed by the Governor, and who may or may not be members of the Alabama Workforce Board. The Secretary of Workforce shall serve as a non-voting ex officio member of the executive committee.
(b)(1) The appointed members of the executive committee shall be appointed to serve a five-year term, provided that the initial appointees’ terms shall be designated by the Governor as follows: one member shall serve a term of one year, one member shall serve a term of two years, one member shall serve a term of three years, one member shall serve a term of four years, and one member shall serve a term of five years.
(2) Any appointed member may be re-appointed, but no appointed member may serve on the executive committee for more than a total of 10 consecutive years from the date of initial appointment. Terms shall begin on July 1 of the first year of the appointed member’s term and end on June 30 of the final year of that member’s term.
(3) Notwithstanding subdivision (2), appointed members of the executive committee may continue to serve after the expiration of their term until their successors have been appointed. Vacancies shall be filled by the Governor for the unexpired term.
(c) The Governor shall appoint a chair and vice chair of the executive committee.
(d) The executive committee shall meet at least two times per year but may meet more frequently at the call of the chair or the Governor.
(e) The executive committee shall be responsible for reviewing budget requests, making recommendations for the expenditure of state and federal funds for workforce development activities, assisting the Secretary of Workforce in preparing the consolidated workforce development budget recommendation, working with the Secretary of Workforce to prepare the Strategic Workforce Plan, developing recommended performance goals and evaluation metrics related to the expenditure of state and federal funds for workforce development activities, and working with the Secretary of Workforce to provide oversight of the Alabama Workforce Board.
(f) Meetings of the executive committee shall be subject to the Open Meetings Act.
(Act 2024-115, §5.)
(a) It is the intent of the Legislature that a single, unified Strategic Workforce Plan should guide state and federal workforce development policies and budget priorities that are administered by the State. The Strategic Workforce Plan shall be prepared by the executive committee, with support from the Secretary of Workforce, and published by the Department.
(b) The Secretary of Workforce shall submit the Strategic Workforce Plan to the Governor and the Legislature on or before February 1 of the first year of each legislative quadrennium. The four-year Strategic Workforce Plan shall include, among other things, statewide labor market projections for the quadrennium and recommendations for meeting labor market demand. The plan should also include recommendations for expenditure of state and federal funds for workforce development activities; analyze previous expenditures for workforce development activities and programs; make recommendations for sunsetting existing programs and developing new programs; and provide recommendations for performance and accountability metrics for all state and federal workforce programs.
(c) The plan may be updated through an annual addendum, which shall be submitted to the Governor on or before November 1 of each year. The annual addendum to the four-year Strategic Workforce Plan should include recommendations for the next fiscal year, including the expenditure of state and federal funds for workforce development activities, and should make recommendations for sunsetting existing programs and developing new programs.
(d) The board shall assist the Governor and the Secretary of Workforce in preparing the WIOA State plan, as required by federal law. The WIOA State Plan shall demonstrate that the membership of the Alabama Workforce Board satisfies the WIOA state workforce development board membership requirements, including the requirements set forth in 20 C.F.R. § 679.110(b). The executive committee may approve the WIOA State Plan. The WIOA State Plan shall be included as an addendum to the four-year Strategic Workforce Plan.
(e) When submitting a budget pursuant to Section 41-4-82, the Governor shall certify that he or she has reviewed and considered the WIOA State Plan, the Strategic Workforce Plan, and the annual addendum to the Strategic Workforce Plan as approved by the executive committee.
(Act 2024-115, §5.)
AMENDED BY ACT 2026-538, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) At the direction of the Governor, the Secretary of Workforce shall establish seven regional workforce boards to serve as Alabama’s local workforce development boards for purposes of Section 107 of the Workforce Innovation and Opportunity Act of 2014 (P.L. 113-128), as amended, 29 U.S.C. § 3122. The Department of Workforce shall establish bylaws governing the membership and activities of the regional workforce boards in compliance with WIOA. The local workforce development boards shall be certified by the Governor pursuant to 29 U.S.C. § 3122(a).
(b) The Secretary of Workforce shall establish geographic boundaries of the regional workforce boards and criteria for the appointment of members to the regional workforce boards consistent with WIOA, including 29 U.S.C. § 3122 and 20 C.F.R. § 679.110. One such criterion shall be a duty for an appointing official to consult with the Secretary of Workforce before making an appointment to a regional workforce board.
(c) The Department of Workforce may adopt rules pursuant to the Alabama Administrative Procedure Act to carry out this section.
(d) A regional workforce board shall perform the functions set forth in WIOA, including each of the following:
(1) Develop a local plan as provided in WIOA, consistent with the WIOA State Plan and the Strategic Workforce Plan.
(2) Publish, for core and partner agency and public use, workforce research and regional labor market analysis using primary state labor market information provided by the department.
(3) Convene local workforce development system stakeholders to assist in the development of the local plan.
(4) Lead local efforts to engage with a diverse range of employers.
(5) Lead local efforts to develop and implement career pathways.
(6) Lead local efforts to identify and promote promising workforce development strategies.
(7) Lead local efforts to integrate data and technology systems.
(e) A regional workforce board shall submit an annual budget request to the Secretary of Workforce and the executive committee that is consistent with the Strategic Workforce Plan. A regional workforce board’s annual budget submission shall demonstrate that the membership of the board satisfies the relevant WIOA state workforce development board membership requirements, including the requirements set forth in 29 U.S.C. § 3122 and 20 C.F.R. § 679.320. The membership of any regional workforce board may not exceed twenty members. A regional workforce development board may not expend state or federal workforce development funds except pursuant to a categorical annual budget approved by the Secretary of Workforce.
(Act 2024-115, §5.)
The members of the Alabama Workforce Board, including members of the executive committee, and members of the regional workforce boards shall not receive a salary or per diem allowance but may receive reimbursement for reasonable expenses incurred in the performance of the duties of the office at the same rate allowed state employees.
(Act 2024-115, §5.)
For the purposes of this chapter, the following terms have the following meanings:
(1) COUNCIL or STEM COUNCIL. The Alabama Science, Technology, Engineering, and Mathematics (STEM) Council created by this chapter.
(2) DEPARTMENT. The Alabama Department of Workforce.
(3) EXECUTIVE COMMITTEE. The executive committee of the council.
(4) STEM. Science, technology, engineering, and math.
(5) STEM CAREERS. Careers that utilize concepts from the STEM fields including, but not limited to, engineering, life science, accounting, astronomy, physics, chemistry, earth science, math and computing, information science, artificial intelligence, health and medicine, including physicians, nurses, technicians, and social sciences, including political science and economics.
(6) STEM EDUCATION. Education that entails more than achieving competency in individual STEM subject areas and requires students to be able to integrate concepts from multiple disciplines and use that knowledge to solve complex problems. The term often includes instructional practices that actively engage all students in an interdisciplinary project or problem-based approach, tied to a real world, authentic challenge through which students use various technologies to assist their inquiry, research, and communication.
(Act 2025-449, §1.)
(a) The Alabama Science, Technology, Engineering, and Mathematics (STEM) Council is established as a state entity within the department to advise the Governor, Lieutenant Governor, Secretary of Workforce, Executive Director of the Alabama Commission on Higher Education, Chancellor of the Alabama Community College System, State Superintendent of Education, Chair of the Alabama Workforce Board, and the Legislature on ways to improve STEM-related education, career awareness, and workforce development across the state.
(b) The Chief of the Workforce Pathways Division of the department shall be responsible for the administrative functions of the council and, upon recommendation of the Executive Committee of the STEM Council, shall hire an individual employed by the department to serve as the Director of the STEM Council. The director shall serve in that position at the pleasure of the Executive Committee of the STEM Council.
(Act 2025-449, §2.)
(a) The membership of the STEM Council shall consist of all of the following:
(1) Two members appointed by the Governor with expertise in STEM education or workforce development.
(2) Two members appointed by the Secretary of Workforce with expertise in workforce development.
(3) The following public officials or their designees:
a. The Chair of the Alabama Workforce Board.
b. The Secretary of Commerce.
c. The Secretary of Early Childhood Education.
d. The State Superintendent of Education.
e. The Chancellor of the Alabama Community College System.
f. The Executive Director of the Alabama Commission on Higher Education.
(4) One member appointed by the Governor from each of the state’s workforce regions.
(5) Additional members appointed by the Governor and Secretary of Workforce as representatives of the state’s STEM stakeholders, including STEM industry representatives, formal STEM education organizations, and informal STEM education organizations.
(b) The appointing authorities shall coordinate their appointments to assure the council membership is inclusive and reflects the racial, gender, geographic, urban, rural, and economic diversity of the state.
(c) STEM Council members shall serve until their successors are appointed. A vacancy shall be filled in the manner provide for the original appointment. An individual appointed to fill a vacancy on the council shall serve only for the remaining unexpired portion of the term.
(d) Each council member shall serve at the pleasure of the appointing authority for a four-year renewable term.
(e) Members of the STEM Council shall serve without compensation except for reimbursement for reasonable travel and other expenses actually incurred as an incident to their service on the council as approved by the Chair of the STEM Council. Expenses shall be paid using any funds appropriated for use by the council in the same manner as is provided by law for state officers and employees.
(Act 2025-449, §3.)
The STEM Council shall have the following committees:
(1) THE EXECUTIVE COMMITTEE. The STEM Council shall be under the direction of an executive committee, consisting of the individuals identified in subdivisions (a)(1), (a)(2), and (a)(4) of Section 25-16-3, and shall be led by the Chair of the STEM Council, appointed by the Governor. The business of the council shall be conducted by the executive committee, which may launch initiatives, make final recommendations, approve budgets, evaluate the director, and take any other action in furtherance of the council’s purpose and duties, consulting with the other members of the council and the Secretary of Workforce, as the executive committee deems appropriate.
(2) ADDITIONAL COMMITTEES. The chair of the council may form additional committees to address issues concerning the purpose and duties of the council. For each committee formed, the chair shall designate a serving member of the council as committee chair and shall provide for the membership and duties of the committee. Members appointed to additional committees may also be serving as members of the council.
(Act 2025-449, §4.)
(a) Regular meetings of the council shall be held at least annually and from time to time at the call of the council chair. Committee meetings shall be held at the call of the committee chair. Members of the council may participate in a meeting of the council by means of telephone conference, video conference, or similar communications equipment by means of which all individuals participating in the meeting may hear each other at the same time. Participation by electronic means shall constitute presence in person at a meeting for all purposes. The council shall establish procedures and other policies necessary to perform the business of the council, including the establishment of a quorum.
(b) All regular and special meetings of the council, including committee meetings, shall comply with the Open Meetings Act.
(Act 2025-449, §5.)
The duties of the Director of the STEM Council, with guidance from the council and the Chief Workforce Officer, shall include all of the following:
(1) Revise, as needed, and oversee the implementation of the state STEM strategic plan, working in concert with the Alabama Workforce Board’s State Strategic Plan.
(2) Serve as the primary point of contact for communicating with state and national STEM organizations.
(3) Coordinate communication efforts to increase STEM awareness, illustrate the value of STEM learning, and highlight STEM careers across the state.
(4) Develop and implement the Governor’s STEM “Seal of Approval,” using an evidence-based rubric to recognize individual programs or periodic events that advance STEM principles and learning across the state.
(5) Develop, implement, and maintain a digital registry of evidence-based and effective STEM instructional and professional learning strategies including summer, after-school, and out-of-school programs, project-based lesson plans, inquiry driven modules, and professional learning opportunities.
(6) In collaboration with the Alabama Commission on the Evaluation of Services, conduct comprehensive, external evaluations, as needed or requested, of STEM-based curricula and educational initiatives that receive funding from the Education Trust Fund, beginning with the Alabama Math, Science, and Technology Initiative; Technology in Motion; Office of Mathematics Improvement; and the Alabama Science in Motion programs. Assessment rubrics should incorporate criteria relevant to the goals and outcomes of each initiative including, but not limited to, the impact on learning, effectiveness of human capital and organizational performance, cost per participant, fidelity of implementation, equitable access, the potential for engendering interest and engagement in STEM activities, and other criteria.
(7) Develop continuous improvement plans for the Alabama Math, Science, and Technology Initiative; Technology in Motion; Office of Mathematics Improvement; and the Alabama Science in Motion programs based on the data gathered from the external evaluations.
(8) In collaboration with the Alabama Commission on the Evaluation of Services, conduct comprehensive evaluations, as needed or requested, of state preservice preparation and in-service programs for educators teaching STEM subjects, including both traditional and alternate pathways.
(9) Expand opportunities for STEM career exploration and discovery, especially among groups that are under-represented in STEM professions.
(10) Collaborate with the Alabama Commission on Higher Education, the State Board of Education, and the deans of two-year and four-year institutions of higher education to develop and enact an effective plan to encourage and support an increase in the number of college students choosing a STEM teaching career.
(11) In collaboration with the Alabama Commission on the Evaluation of Services and the Office of Education and Workforce Statistics, collect, aggregate, and analyze relevant STEM data to track progress against the state STEM strategic plan, including data from the Alabama Terminal on Linking and Analyzing Statistics (ATLAS) on career pathways, state agencies, including student STEM enrollment, learning, and achievement data, STEM labor market information, and measures of both STEM and STEM career awareness, attitudes, and perceptions from learners across the education and workforce continuum.
(12) Collaborate with business and industry in the state to determine current and future STEM workforce needs.
(13) Promote in-demand Alabama STEM careers, aligning them with viable educational opportunities.
(14) Provide an annual report on progress toward implementing the state STEM strategic plan, with recommendations for improvement, to all of the following:
a. The Governor.
b. The Lieutenant Governor.
c. The Secretary of Workforce.
d. The State Workforce Board.
e. The Speaker of the House of Representatives.
f. The President Pro Tempore of the Senate.
g. The Chairs of the Senate Finance and Taxation Education and House Ways and Means Education Committees.
h. The State Superintendent of Education.
i. The Chancellor of the Alabama Community College System.
j. The Executive Director of the Alabama Commission on Higher Education.
(15) Perform other tasks as requested by the Governor, the Secretary of Workforce, and the Legislature.
(Act 2025-449, §6.)
(a) The council shall receive administrative, legal, and clerical support from the Chief of the Workforce Pathways Division of the department.
(b) The department may retain the services of outside experts, using funds appropriated for use by the council, on behalf of the council.
(c) Upon request of the council, state agencies and other state-funded entities shall cooperate with the council and provide any requested information and data.
(Act 2025-449, §7.)
The council may establish a foundation to assist in the development and implementation of the programs to promote STEM education, STEM workforce development, and STEM careers. The foundation may solicit and receive contributions from private organizations to accomplish objectives provided in this chapter.
(Act 2025-449, §8.)
This chapter shall be known and may be cited as the Renewing Coal-Impacted Communities Act.
(Act 2026-167, §1.)
The Legislature finds and declares all the following:
(1) The Federal Lands Program regulates coal mining and reclamation operations on federal lands pursuant to the Surface Mining Control and Reclamation Act of 1977 (SMCRA) and the Mineral Leasing Act of 1920 (MLA).
(2) The United States Department of the Interior Office of Natural Resources Revenue (ONRR) collects royalties and other revenues from coal production on federal lands and pays a portion of this revenue to the state where the mineral was extracted.
(3) The primary intent of the royalties is to compensate states that host federal mineral extraction activities, including the communities most impacted by mineral extraction. Costs to these communities, include, but are not limited to, infrastructure, increased demand on public services, and workforce-related costs.
(4) The McDuffie Coal Terminal at the Port of Mobile serves as the primary export terminal for coal extracted from federal lands in Alabama, handling the majority of coal shipped from mining operations in coal-impacted communities. The movement of coal through the McDuffie Coal Terminal at the Port of Mobile generates significant economic activity, creates jobs in transportation and logistics sectors, and contributes substantial tax revenue to state and local governments. Infrastructure improvements and maintenance at the Port of Mobile are essential to maintaining the competitiveness of Alabama’s coal industry, ensuring efficient market access for coal production, and supporting the broader economic ecosystem dependent on coal mining activities.
(5) It is the intent of the Legislature, by the passage of this chapter, to require that all federal funds made available to the state through 30 U.S.C. § 191(a), be expended within coal-impacted communities, the Port of Mobile, and the State General Fund.
(Act 2026-167, §2.)
As used in this chapter, the following terms have the following meanings:
(1) COAL-IMPACTED COMMUNITIES. Areas or jurisdictions of the state that meet one or more of the following criteria:
a. Areas where coal is currently being mined on federal lands.
b. Areas where a significant population of the workforce is engaged in the mining of coal on federal lands.
c. Areas that have experienced substantial economic impact due to the decline or cessation of coal mining operations on federal lands.
d. Jurisdictions where coal mining on federal lands has historically been a major source of employment or tax revenue.
e. For purposes of this definition, Fayette County, Jefferson County, Tuscaloosa County, and Walker County are designated as coal-impacted communities.
(2) DEPARTMENT. The Alabama Department of Workforce.
(3) FUND. The fund created in Section 25-17-6.
(4) LOCAL DEVELOPMENT ORGANIZATION. Any organization that is determined by the advisory committee to meet both of the following criteria:
a. The organization is an Alabama entity not operating for profit, including, but not limited to, a municipality, county, industrial development board, industrial development authority, chamber of commerce, institution of higher education, or some other foundation or nonprofit organization charged with improving a community or region of the state.
b. The organization has a record of supporting or otherwise participating in economic or workforce development in some parts of the state.
(5) PERSON. One or more individuals, corporations, partnerships, associations, legal representatives, mutual companies, joint-stock companies, trusts, unincorporated organizations, trustees, bankruptcy, receivers, and fiduciaries.
(6) SECRETARY. The Secretary of the Department of Workforce.
(Act 2026-167, §3.)
(a) The Coal-Impacted Communities Economic and Workforce Development Grant Program is established for the purpose of awarding grants to eligible local development organizations for regional economic and workforce development initiatives in coal-impacted communities in the state.
(b) The Secretary of the Department of Workforce shall implement and administer the grant program.
(c) Grant funds awarded under this program may be used to support coal-impacted communities through any of the following:
(1) Workforce development and training programs.
(2) Quality of place initiatives that enhance community livability and economic competitiveness.
(3) Public works, infrastructure, and public services.
(4) Capital improvement that support community resilience and economic development.
(5) Operations of the Alabama Surface Mining Commission.
(Act 2026-167, §4.)
(a) To ensure that coal-impacted communities have meaningful input into the expenditure of grant funds, a Coal-Impacted Communities Economic and Workforce Development Grant Program Advisory Committee is established to review applications and make recommendations to the secretary. Each advisory committee member shall be appointed to a four-year term and shall serve at the pleasure of their respective appointing authority. The advisory committee shall meet at least annually. Additional meetings may be called at the discretion of the secretary.
(b) The committee shall consist of the following members:
(1) One member appointed by the Governor from a coal-impacted community.
(2) One member appointed by the Lieutenant Governor from a coal-impacted community.
(3) One member appointed by the President Pro Tempore of the Senate from a coal-impacted community.
(4) One member appointed by the Speaker of the House of Representatives from a coal-impacted community.
(5) One member appointed by the Fayette County Legislative Delegation.
(6) One member appointed by the Jefferson County Legislative Delegation.
(7) One member appointed by the Tuscaloosa County Legislative Delegation.
(8) One member appointed by the Walker County Legislative Delegation.
(9) The President of the Alabama Mining Association.
(c) The appointing authorities shall coordinate their appointments to assure the advisory board membership is inclusive and reflects the racial, gender, geographic, urban, rural, and economic diversity of the state.
(Act 2026-167, §5.)
(a) The Renewing Coal-Impacted Communities Act Fund is created within the State Treasury to provide grant funds to local development organizations for the purpose of improving economic and workforce development in coal-impacted communities. The fund shall be administered by the department and shall be comprised of revenues received from rent and royalties derived from federal coal lease sales in the state beginning after January 1, 2027, or allocated by the Legislature from other funds for the purposes of this chapter. Amounts deposited into the fund shall be budgeted and allotted in accordance with Sections 41-4-80 through 41-4-96 and Sections 41-19-1 through 41-19-12. All funds received into the fund shall remain in the fund and not revert or be expended for any other purposes other than those set out in this chapter.
(b) The department may retain up to 10 percent of the total funds allocated for the Coal-Impacted Communities Economic and Workforce Development Grant Program for actual expenses relating to administering the program and conducting financial audits. Members of the advisory committee shall serve without compensation but may be reimbursed for expenses incurred for the performance of official advisory committee duties, including expenses incurred in attending meetings or otherwise conducting advisory committee business. Reimbursement shall be made in accordance with the per diem and travel expense rates authorized for state officers and employees under applicable state law and any rules or policies adopted pursuant thereto.
(Act 2026-167, §6.)
The Secretary of the Department of Workforce shall adopt rules as necessary to implement and administer the provisions of this chapter.
(Act 2026-167, §7.)
Notwithstanding any other law to the contrary, beginning January 1, 2027, and ending December 31, 2030, the revenues derived from the payment of rent and royalties of federal coal lease sales occurring in the state after January 1, 2027, shall be distributed annually as follows:
(1) The first one million dollars ($1,000,000) shall be deposited in the State General Fund.
(2) The next five hundred thousand dollars ($500,000) shall be distributed to the Alabama Port Authority for the McDuffie Coal Terminal at the Port of Mobile.
(3) The next two hundred fifty thousand dollars ($250,000) shall be distributed to the Alabama Surface Mining Commission.
(4) The remaining revenues shall be deposited in the Renewing Coal-Impacted Communities Act Fund and shall be used by the department to award grants to eligible local development organizations pursuant to this chapter.
(Act 2026-167, §8.)
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