AB 2714
Unemployment compensation.
Vote required
Majority
Fiscal committee
No
Appropriation
No
Current location
Pending Referral
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Sign in to take action- Introduced
- Passed Assembly
- Passed Senate
- To Governor
- Became Law
Bill overview
This bill makes a minor technical adjustment to California’s Unemployment Insurance Code. Specifically, it clarifies that employer contributions to the Unemployment Fund are not permitted to be deducted from employees’ wages. The change ensures the existing prohibition against wage deductions remains clear and consistent. This bill focuses on a procedural aspect of unemployment compensation funding.
Key provisions
- Clarifies that employer contributions to the Unemployment Fund cannot be deducted from employee wages.
- Amends Section 976 of the Unemployment Insurance Code.
- Addresses a technical detail in the existing law regarding employer contributions.
- Maintains the prohibition against wage deductions for unemployment insurance.
Who is affected
- Employers
- Employees
- The Employment Development Department
Notable changes
- No substantive changes to unemployment compensation benefits or eligibility are included.
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AB2714:v99#DOCUMENT
Bill Start
CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION
Assembly Bill
No. 2714
| Introduced by Assembly Member Hart |
| February 20, 2026 |
An act to amend Section 976 of the Unemployment Insurance Code, relating to unemployment compensation.
LEGISLATIVE COUNSEL'S DIGEST
AB 2714, as introduced, Hart. Unemployment compensation.
Existing law establishes the Employment Development Department, administered by the Director of Employment Development who is vested with certain duties relating to unemployment compensation. Under existing law, employer contributions to the Unemployment Fund accrue and become payable by every employer, except as specified, for each calendar year with respect to wages paid for employment. Existing law prohibits employers from deducting the required employer contributions from the wages of their employees.
This bill would make a nonsubstantive change to that latter provision.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO
Bill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 976 of the Unemployment Insurance Code is amended to read:
976.
Employer contributions to the Unemployment Fund shall accrue and become payable by every employer, except an employer as defined by Section 676, for each calendar year with respect to wages paid for employment. The contributions are due and shall be paid to the department for the Unemployment Fund by each employer in accordance with this division and shall not be deducted in whole or in part from the wages of individuals in his employ. their employees.