Retroactive use of military separation reasons for UCX claims

U.S. Department of Labor
Employment and Training Administration
Washington, D.C. 20210
Classification: UI
Correspondence symbol: TEUMI
Issue date: April 20, 1995
Rescissions: [blank in source]
Expiration date: April 30, 1996
Directive: UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 03-95, Change 1
To: ALL STATE EMPLOYMENT SECURITY AGENCIES
From: MARY ANN WYRSCH, Director, Unemployment Insurance Service
Subject: UCX Narrative Reasons for Separation from Military Service

1. Purpose. To revise the effective date of UIPL 3-95 and to provide clarifying instructions concerning the effective dates of lists of "acceptable" narrative reasons for separation.

2. References. UIPL 3-95, 5 U.S.C. 8521(a)(1) and 20 CFR Part 614.

3. Background. On December 6, 1994, UIPL 3-95 was issued to all State Employment Security Agencies (SESAs) formally transmitting a new consolidated list of acceptable narrative reasons for separation, except those for "inaptitude," and instructions for their use in determining individual eligibility for UCX benefits. The military services began to use exclusively the consolidated list of "acceptable" narrative reasons for separation shortly after October 1, 1993.

   Since the issuance of UIPL 3-95, the Department of Labor (DOL) has received several inquiries from SESAs regarding the effective date of the new instructions for using the consolidated list of acceptable narrative reasons for separation that was contained in UIPL 3-95. UIPL 3-95 states that the new consolidated list of acceptable narrative reasons for separation is effective for all separations from military service on or after December 6, 1994, the date of the directive. Since the DOL did not provide for a retroactive application of the consolidated list in UIPL 3-95, some SESAs are assuming that UIPL 25-83 and Changes 1-12 are controlling for the period October 1, 1993, to December 5, 1994.

   The DOL has reconsidered its position concerning the effective date of UIPL 3-95 in light of several factors. First, there is some confusion among the SESAs regarding which list of "acceptable" narrative reasons for separation is to be used for the October 1, 1993, through December 5, 1994 period. Second, the military services began to use exclusively the consolidated list of "acceptable" narrative reasons for separation shortly after October 1, 1993 (some military separation centers continued to use the old lists applicable to each branch of the military for a brief period after October 1, 1993). Third, when the DOL amends the consolidated list of "acceptable" narrative reasons for separation to include those dealing with "inaptitude," the effective date of the amended list may predate the issuance date of UIPL 3-95.

   The contents of this directive will also be issued as a Change 1 to ET Handbook No. 384. Second Edition.

4. Revised Effective Date. SESAs shall use the Attachment to this Change 1 to UIPL 3-95 containing the revised consolidated list of "acceptable" narrative reasons for separation for determining UCX eligibility for all separations from the military services on and after October 1, 1993. SESAs should note that due to the retroactive effective date of the Attachment to this Change 1 to UIPL 3-95, the DOL has determined that the narrative reason for separation, "Intradepartmental Transfer," is "acceptable" for UCX qualifying purposes for separations from the military services on and after September 1, 1994.

5. Implementation. SESAs shall follow the operating instructions in section 4. of this directive. In addition, SESAs shall also follow the instructions contained in UIPL 25-83 and Changes 1-12 to UIPL 25-83 for the period from October 1, 1993, to December 4, 1994.

   For separations from the military services occurring between October 1, 1993 through December 4, 1994, the lists of "acceptable" narrative reasons for separation in both UIPL 3-95 and UIPL 25-83 and Changes 1-12 to UIPL 25-83 will be utilized by the SESA in determining UCX eligibility for ex-service-members who do not complete their first full term of service. For separations from the military service occurring after December 4, 1994, the SESA shall only use the list of "acceptable" narrative reasons for separation in UIPL 3-95 (and any future changes thereto) in determining UCX eligibility.

   It is possible that an ex-service-member was denied UCX eligibility during the October 1, 1993 through December 4, 1994 period because the SESA utilized only one of the lists of "acceptable" narrative reasons for separation during this period. If the SESA had followed the operating instructions contained in this directive, the SESA would not have denied the ex-service member's UCX claim. SESAs shall redetermine these UCX denials. In such case, the DOL has determined that it would be inconsistent with Federal law to apply the State law redetermination time limitation to UCX claims that were denied due to SESA actions inconsistent with the operating instructions contained in this directive. The authority for the retroactive application of this change to UIPL 3-95 is contained at 20 CFR 614.9(a).

   In order to implement the redetermination requirement noted in this section 5., the SESAs shall take the actions contained in section 6.c. of this directive. Specifically, the announcement shall indicate that the time period permitted for these redeterminations shall be the time period for redetermination permitted in the applicable State's UI law, and this time period for redetermination begins with the date the announcement first appears in a newspaper of general circulation and in appropriate media.

6. Action Required. SESAs are required to:

   1. Distribute the contents of this directive and the attachment to all appropriate staff members.

   2. Destroy the Attachment to UIPL 3-95 and utilize the Attachment to this Change 1 to UIPL 3-95.

   3. Announce in a newspaper of general circulation, and in appropriate media, the application of the operating instructions contained in this directive and their effect on UCX eligibility. The announcements shall include mention of the authority under 20 CFR 614.9(a) to issue redeterminations of previously denied UCX claims. This announcement should indicate that ex-servicemembers separated on and after October 1, 1993 and before December 5, 1994, whose UCX claims were denied because their narrative reason for separation was not on a list of the "acceptable" narrative reasons for separation previously used by the SESAs may file for a redetermination of the denial.

   4. Take appropriate actions to redetermine all UCX claims with respect to which the decisions on ex-servicemember's eligibility are inconsistent with the operating instructions in this directive.

7. Inquiries. Direct inquiries to the appropriate Regional Office.

8. Attachment. Revised list of "Acceptable" Narrative Reasons for Separation Meeting the Requirements of 5 U.S.C. 8521(a)(l)(B)(ii)(I)-(IV).

ATTACHMENT

ET HANDBOOK NO. 384
APPENDIX D

NARRATIVE REASONS FOR SEPARATION

"ACCEPTABLE" Narrative Reasons for Separation Meeting the Requirements of 5 U.S.C. 8521(a)(1)(B)(ii)(I)-(IV)

For the convenience of the government under an early release program (5 U.S.C. 8521(a)(1)(B)(ii)(I))

Medal of Honor Recipient

Completion of Required Active Service

Insufficient Retainability (Economic Reasons)

Reduction in Force

To Attend School

Holiday Early Release Program

Defective Enlistment Agreement

Erroneous Entry (Other)

*Intradepartmental Transfer

Because of medical disqualification. pregnancy, parenthood, or Service-incurred injury or disability (5 U.S.C. 8521(a)(1)(B)(ii)(II))

Pregnancy or Childbirth

Parenthood or Custody of Minor Children

Conditions, not Disability

Disability, Severance Pay

Disability, Permanent

Disability, Temporary

Disability, Existed Prior to Service, PEB

Disability, Existed Prior to Service, Med BD

Disability, Aggravated

Disability, Other

Because of hardship (5 U.S.C. 8521(a)(1)(B)(ii)(III))

Surviving Member

Hardship

Because of personality disorders or inaptitude. but only if the service was continuous for 365 days or more (5 U.S.C. 8521(a)(1)(B)(ii)(IV))

Personality Disorder

*Effective for separations on or after September 1, 1994

ET HANDBOOK NO 384
APPENDIX D

Effective Dates :

The list contained in this Appendix D is effective for all separations from the military services (including the U.S. Coast Guard) on and after October 1, 1993, with the exceptions noted.

In addition, for separations from the military services occurring between October 1, 1993 through December 4, 1994, the lists of "acceptable" narrative reasons for separation in both this Appendix D and UIPL 25-83 and Changes 1-12 to UIPL 25-83 will be utilized by the SESAs in determining UCX eligibility for ex-servicemembers who do not complete their first full term of service. For separations from the military services occurring after December 4, 1994, the SESA shall only use the list of "acceptable" narrative reasons for separation in this Appendix D (and any future changes thereto) in determining UCX eligibility.