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N.H. House OKs Layoff Pay Change

New Hampshire employers would have to pay workers the day they are laid off, as opposed to the next regular payday, if House Bill 103 becomes law.
Under the measure – which was approved Wednesday in the House, 194-164, workers who are fired would still have to be paid within 72 hours, and those who quit would have to be paid at the next pay period. Supporters argued that that it is bad enough that a worker gets thrown out of work, so they at least should be able to leave with paycheck in hand. Opponents said that employers are set up to pay their workers during a certain period, sometimes doing so through a third party. They might not able to get the money in a day.

“More restrictions on the hands that feed us is a huge mistake, especially this time when the economy is in the tank,” said Rep. Dudley Dumaine, R-Auburn.

But the bill’s prime sponsor, Rep. Thomas Buco, D-Conway, said that the bill is especially needed in the construction industry, when workers can be laid off every few weeks, and may have to wait two or three weeks before being paid.

The Senate takes up the bill next.
In the Senate, the big debate was over cuts in Medicaid reimbursements for outpatient care – in other words, hospital-owned medical practices. This could cost hospitals about $3.6 million over two years, but become of the federal government’s involvement and the timing of the bill, the state might only be able to save a $1 million for fiscal year 2009.

Sen. Bob O’Dell, R-Lempster, who has generally supported Governor Lynch’s budget-cutting initiatives, led the fight against this one, arguing that hospitals would be a permanent hit for scant savings.

At the very least, he argued, the change should be limited the current budget year. He also noted that there are provisions in the federal stimulus bill that could throw off all assumptions, and urged lawmakers to wait until things are more clear.

But Sen. Kathy Sgambati, D-Tilton, said the state couldn’t afford to wait, since each day the state budget gap grows larger, “and we will have to hit the hospital, or someone else, even harder.”

The Senate passed that provision, 20-4, along with the rest of the bill to balance the current year’s budget. It now goes to Governor Lynch, who is expected to sign it.

In other business, the House passed:

• HB 216, which would allow workers’ comp attorneys to collect legal fees if a case is settled less than 21 days before a hearing. Attorneys have complained when insurers settle right before a hearing that they prepared for, thus denying them compensation. It now goes to the Senate. • HB 343, which would allow employers to make wage deductions to pay for an employee’s legal services and identity theft plans offered at the workplace. It now goes to the Senate. • HB 392, which would allow smoking cigarettes in “cigar bars” -- retailers with a liquor license who get 60 percent of their income from cigar related projects. The bill mainly pertains to one cigar bar in Conway that was caught up in the smoking cigarettes restaurant ban. The bill now goes to the House Ways and Means Committee. • HB 564, which would require businesses with more than 50 parking spaces to maintain a number of spaces for ramp/lift vans, which only those with special vans could use. The new law will only apply to parking lots built or repaved after 2010. The bill is now in the Public Works and Highways Committee. • HB 232, which would allow the pesticide control board to set fees, which are currently set in statute. Fee increases would still have to be approved by the joint legislative committee on administrative rules. The bill is now in Ways and Means Committee.

The Senate passed bills:

• Senate Bill 129, which would establish a committee to look into raising unemployment taxes for companies with a negative unemployment trust balance -- seasonal employers, primarily construction and school bus companies. The measure now goes to the House. • SB 79, which would increase the allowable reimbursement for game operators from $25 to $60 per game date, and reduce the maximum value of prizes for certain games and the capacity requirement for raffles held at bingo games. • SB 116, which would allow insurance companies to make direct contributions to political campaigns. A law that has been on the books for decades bars such contributions, but supporters said that, since a general ban on direct corporate giving was overturned by a state Supreme Court ruling, it isn’t fair to single out insurance companies. The bill now goes to the House. – BOB SANDERS/NEW HAMPSHIRE BUSINESS REVIEW

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