HB535 Alabama 2025 Session

Summary

Primary Sponsor

Ontario J. TillmanRepresentative

Democrat

Session

2025 Regular Session

Title

Unemployment compensation benefits, employer lockout during labor dispute, benefits authorized

Summary

HB535 would allow unemployment benefits for workers who are locked out by their employer during a labor dispute, removing the disqualification that normally applies.

What This Bill Does

HB535 would amend Alabama's unemployment benefits law to carve out employer lockouts from the rule that workers are disqualified during a labor dispute. It broadens the definition of labor dispute to include issues about terms, tenure, or conditions of employment and union representation, even when not in a direct employer-employee relationship, and clarifies that disputes between an individual worker and their employer are not covered by this definition. The bill preserves existing disqualification rules for other situations (such as voluntary quitting or misconduct) and establishes an effective date of October 1, 2025.

Who It Affects

• Employees who are locked out by their employer during a labor dispute would be eligible for unemployment benefits for the weeks of the lockout.
• Employers and the unemployment insurance system may see changes in benefit payments during lockouts; the bill does not specify how employer experience ratings or overpayments would be affected beyond existing rules.

Key Provisions

• Carves out employer lockouts from the unemployment benefits disqualification during a labor dispute, so workers locked out would be eligible for benefits for weeks affected.
• Defines labor dispute to include controversies over terms, tenure, or conditions of employment or representation, regardless of the employer-employee relationship, but excludes disputes between an individual worker and their employer.
• Preserves other existing disqualification provisions (such as voluntary quitting and misconduct) and sets an effective date of October 1, 2025.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Labor & Employment