Unemployment Compensation General Provisions

California’s Unemployment Insurance Code, in Division 1, Part 1, Chapter 1, Article 1, contains a number of general provisions related to unemployment compensation. Article 1 deals with policy and interpretation.

Section 100 provides that, as a guide to the interpretation and application of this division, the public policy of this State is declared as experience has shown that large numbers of the population of California do not enjoy permanent employment by reason of which their purchasing power is unstable. And, this is detrimental to the interests of the people of California as a whole.

The Legislature therefore declares that in its considered judgment the public good and the general welfare of the citizens of the State require the enactment of this measure under the police power of the State, for the compulsory setting aside of funds to be used for a system of unemployment insurance providing benefits for persons unemployed through no fault of their own, and to reduce involuntary unemployment and the suffering caused thereby to a minimum.

Section 101 states that this area of law is a part of a national plan of unemployment reserves and social security, and is enacted for the purpose of assisting in the stabilization of employment conditions. The imposition of the tax imposed upon California industry alone, without a corresponding tax being imposed upon all industry in the United States, would defeat the very purposes of this law.

Section 102 provides that all the rights, privileges or immunities conferred by this division or by acts deemed pursuant thereto exist subject to the power of the Legislature to amend or repeal this division at any time.

Article 2 deals with general definitions. Section 125 provides that the definitions set forth in this article govern the construction of the provisions of this division.

Section 125.3 defines the term “American aircraft.”

Section 125.4 defines the term “American employee.”

Section 125.5 defines the term “American vessel.”

Section 126 defines the term “appeals board.”

Section 127 defines the term “authorized regulations.”

Section 128 defines the term “benefits.”

Section 129 defines the term “calendar quarter.”

Section 130 defines the term “contingent fund.”

Section 130.5 defines the term “benefit audit fund.”

Section 131 defines the term “contributions.”

Section 133 defines the term “department.”

Section 133.5 defines the terms “Department of Benefit Payment” and “State Department of Benefit Payments.”

Section 134 defines the term “director.”

Section 134.1 defines the term “director of benefit payments.”

Section 134.5 defines the term “disability fund.”

Section 135 defines the term “employing unit.”

Section 135.1 prohibits a new employing unit from being created when there is an acquisition or change in the form or organization of an existing business enterprise, or severable portion thereof, and there is a continuity of control of the business enterprise. Control of a business enterprise is described, as well as a continuity of control.

Section 135.2 provides that, if two or more business enterprises are united by factors of control, operation, and use, the director may determine that the business enterprises are one employing unit. Control of a business enterprise is defined, along with operation of the business enterprise, control of two or more business enterprises, and unity of operation.

Section 136 defines the term “Federal Unemployment Tax Act.”

Section 137 defines the term “public employment office.”

Section 139 defines the term “state.”

Section 140 defines the term “unemployment compensation benefits.”

Section 140.5 defines the term “unemployment compensation disability benefits” and “disability benefits.”

Section 141 defines the term “unemployment insurance.”

Section 142 defines the term “Unemployment Trust Fund.”

Section 142.5 defines the term “United States.”

Section 143 defines the term “week.”

Section 144 defines the terms “worker contributions,” “contributions by workers,” “employee contributions,” and “contributions by employees.”