HB 321: Revise Unemployment Compensation Law
This bill amends certain sections of the revised code to define what constitutes an employer for purposes of employment taxes. An employer is defined as an individual or organization that has at least one employee, or paid wages of $1,500 or more in any quarter, or paid cash remuneration of $1,000 or more in any quarter for domestic service. The definition also includes employers who pay wages of $20,000 or more in any quarter for agricultural labor. The bill clarifies that certain types of employers, such as those providing domestic service or agricultural labor, are not considered employers for certain purposes. The bill also repeals certain existing sections of the revised code.
| Jun. 04, 2025 | Referred to committee: Public Insurance and Pensions |
| Jun. 03, 2025 | Introduced |
As Introduced
136th General Assembly
Regular Session
H. B. No. 321
2025-2026
Representative Peterson
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section 1. That sections 4141.01, 4141.09, 4141.13, 4141.23, 4141.231, 4141.24, 4141.25, 4141.26, 4141.27, 4141.36, 4141.39, 5726.31, 5733.121, 5736.081, 5747.12, and 5751.081 be amended and section 4141.252 of the Revised Code be enacted to read as follows:
Sec. 4141.01. As used in this chapter, unless the context otherwise requires:
- (A) (1) "Employer" means the state, its instrumentalities, its political subdivisions and their instrumentalities, Indian tribes, and any individual or type of organization including any partnership, limited liability company, association, trust, estate, joint-stock company, insurance company, or corporation, whether domestic or foreign, or the receiver, trustee in bankruptcy, trustee, or the successor thereof, or the legal representative of a deceased person who subsequent to December 31, 1971, or in the case of political subdivisions or their instrumentalities, subsequent to December 31, 1973:
- (a) Had in employment at least one individual, or in the case of a nonprofit organization, subsequent to December 31, 1973, had not less than four individuals in employment for some portion of a day in each of twenty different calendar weeks, in either the current or the preceding calendar year whether or not the same individual was in employment in each such day; or
- (b) Except for a nonprofit organization, had paid for service in employment wages of fifteen hundred dollars or more in any calendar quarter in either the current or preceding calendar year; or
- (c) Had paid, subsequent to December 31, 1977, for employment in domestic service in a local college club, or local chapter of a college fraternity or sorority, cash remuneration of one thousand dollars or more in any calendar quarter in the current calendar year or the preceding calendar year, or had paid subsequent to December 31, 1977, for employment in domestic service in a private home cash remuneration of one thousand dollars in any calendar quarter in the current calendar year or the preceding calendar year:
- (i) For the purposes of divisions (A) (1) (a) and (b) of this section, there shall not be taken into account any wages paid to, or employment of, an individual performing domestic service as described in this division.
- (ii) An employer under this division shall not be an employer with respect to wages paid for any services other than domestic service unless the employer is also found to be an employer under division (A) (1) (a), (b), or (d) of this section.
- (d) As a farm operator or a crew leader subsequent to December 31, 1977, had in employment individuals in agricultural labor; and
- (i) During any calendar quarter in the current calendar year or the preceding calendar year, paid cash remuneration of twenty thousand dollars or more for the agricultural labor; or
- (ii) Had at least ten individuals in employment in agricultural labor, not including agricultural workers who are aliens admitted to the United States to perform agricultural labor pursuant to sections 1184 (c) and 1101 (a) (15) (H) of the "Immigration and Nationality Act," 66 Stat. 163, 189, 8 U.S.C.A. 1101 (a) (15) (H) (ii) (a), 1184 (c), for some portion of a day in each of the twenty different calendar weeks, in either the current or preceding calendar year whether or not the same individual was in employment in each day; or
- (e) Is not otherwise an employer as defined under division (A) (1) (a) or (b) of this section; and
- (i) For which, within either the current or preceding calendar year, service, except for domestic service in a private home not covered under division (A) (1) (c) of this section, is or was performed with respect to which such employer is liable for any federal tax against which credit may be taken for contributions required to be paid into a state unemployment fund;
- (ii) Which, as a condition for approval of this chapter for full tax credit against the tax imposed by the "Federal Unemployment Tax Act," 84 Stat. 713, 26 U.S.C.A. 3301 to 3311, is required, pursuant to such act to be an employer under this chapter; or
- (iii) Who became an employer by election under division (A) (4) or (5) of this section and for the duration of such election; or
- (f) In the case of the state, its instrumentalities, its political subdivisions, and their instrumentalities, and Indian tribes, had in employment, as defined in divisions (B) (2) (a) and (B) (2) (1) of this section, at least one individual;
- (g) For the purposes of division (A) (1) (a) of this section, if any week includes both the thirty-first day of December and the first day of January, the days of that week before the first day of January shall be considered one calendar week and the days beginning the first day of January another week.
Section 2. That existing sections 4141.01, 4141.09, 4141.13, 4141.23, 4141.231, 4141.24, 4141.25, 4141.26, 4141.27, 4141.36, 4141.39, 5726.31, 5733.121, 5736.081, 5747.12, and 5751.081 of the Revised Code are hereby repealed.