[Federal Register Volume 63, Number 217 (Tuesday, November 10, 1998)]
[Notices]
[Pages 63082-63083]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-30138]
-----------------------------------------------------------------------
DEPARTMENT OF LABOR
Employment and Training Administration (ETA)
Unemployment Compensation for Ex-servicemembers (UCX) Program:
Unemployment Insurance Program Letter Amending the Consolidated List of
``Acceptable'' Narrative Reasons for Separation Transmitted in UIPL No.
3-95, Change 1 to Include Those Dealing With ``Inaptitude.''
ETA has responsibility for administration of the UCX program,
providing unemployment compensation benefits for ex-servicemembers. ETA
issues interpretations affecting the UCX program in Unemployment
Insurance Program Letters (UIPLs) to the State Employment Security
Agencies (SESAs). The UIPL described below is published in the Federal
Register in order to inform the public.
UIPL 3-95, Change 2
To be eligible for UCX, an ex-servicemember must, among other
requirements, meet the definition of ``Federal service.'' This requires
that the servicemember be separated under honorable conditions and have
completed a first full term of service. If separated before completing
the first full term, the separation must be for, among other reasons,
``inaptitude,'' but only if the service was continuous for at least 365
days. On December 6, 1994, UIPL No. 3-95 was issued to all 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.
UIPL No. 3-95 informed the SESAs that ETA would amend the list of
``acceptable'' narrative reasons for separation when it was determined
which narrative reasons for separation were for ``inaptitude.'' DOL has
now finalized the list of ``acceptable'' narrative reasons for
separation dealing with ``inaptitude'' in UIPL No. 3-95, Change 2.
Dated: November 5, 1998.
Raymond L. Bramucci,
Assistant Secretary of Labor.
DIRECTIVE: Unemployment Insurance Program Letter No. 3-95, Change 2
TO: All State Employment Security Agencies
FROM: Grace A. Kilbane, Director, Unemployment Insurance Service
SUBJECT: UCX Narrative Reasons for Separation from Military Service
1. Purpose. To amend the consolidated list of ``acceptable''
narrative reasons for separation transmitted in Unemployment
Insurance Program Letter (UIPL) No. 3-95 and UIPL No. 3-95, Change 1
to include those dealing with ``inaptitude.''
2. References. UIPL No. 3-95; UIPL No. 3-95, Change 1; 5 U.S.C.
8521(a)(1); and 20 CFR Part 614.
3. Background. On December 6, 1994, UIPL No. 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 indi-vidual eligibility for UCX benefits.
The military services began to use exclusively the consolidated list
of ``acceptable'' narrative reasons for separation after October 1,
1993.
After the issuance of UIPL No. 3-95, the Department of Labor
(DOL) 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 No. 3-95. UIPL No. 3-95 stated that the new consolidated list
of acceptable narrative reasons for separation was 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 No. 3-95,
some SESAs assumed that UIPL No. 25-83 and Changes 1-12 were
controlling for the period October 1, 1993, to December 5, 1994.
Consequently, UIPL No. 3-95, Change 1 was issued revising the
effective date of UIPL No. 3-95 and provided clarifying instructions
concerning the effective dates of lists of ``acceptable'' narrative
reasons for separation.
Further, UIPL No. 3-95 informed the SESAs that the DOL would
amend the list of ``acceptable'' narrative reasons for separation
when it was determined which narrative reasons for separation were
for ``inaptitude.'' DOL has now finalized the list of ``acceptable''
narrative reasons for separation dealing with ``inaptitude.''
The contents of this directive will also be issued as a Change
14 to ET Handbook No. 384, Second Edition.
4. DOL Definition of ``Inaptitude.'' DOL defines ``inaptitude''
as being ``unsuitable for military service for reasons largely
related to personal characteristics not reflected by acts of serious
misbehavior.''
5. Narrative Reasons for Separation Meeting DOL's Definition of
Inaptitude. DOL determined that 20 narrative reasons, listed in the
attachment to this directive, constitute ``inaptitude'' under the
above definition for UCX qualifying purposes. DOL estimates that
this broader definition will allow approximately 2,500 to 3,000
additional claimants per year to qualify for UCX.
6. Effective Date. The narrative reasons for separation that DOL
has determined constitute ``inaptitude'' within the meaning of 5
U.S.C. 8521(a)(1)(B)(ii)(IV) shall be effective for all initial
claims filed on and after the date of this directive. However, where
State law permits, a monetary redetermination must be issued when:
(1) a claimant requests a redetermination on a new or previously
denied claim or files an additional or renewed claim for benefits,
and (2) the claimant's military service is within
[[Page 63083]]
the State's base period at the time of the request or effective date
of claim.
Any redetermination of monetary eligibility must be based upon
the ``new list'' of acceptable narrative reasons for discharge. This
applies to any claimant who has or who would have had a benefit year
in effect which would have included UCX wage credits, if not for the
denial based on the prior list of acceptable narrative reasons for
discharge. However, this new interpretation only impacts weeks of
unemployment after the date of this directive, i.e., although a
redetermination may result in future eligibility or a higher weekly
benefit amount, no back payments will be made as a result of wage
credits that were unavailable to the claimant prior to the date of
this directive.
The new list of ``acceptable'' narrative reasons for separation
constituting ``inaptitude'' represents a substantial expansion from
October 1, 1993, of both the types and the numbers, of separations
designated as ``inaptitude.'' Prior to October 1, 1993, there was
only one DOD narrative reason used to denote discharges for
``inaptitude.'' This reason was designated as ``Unsuitability--
Inaptitude.'' However, since October 1, 1993, the DOD had ceased
using this narrative reason.
Although it is a sound rule of administrative law to apply new
statutory interpretations prospectively, UIPL No. 3-95 announced an
intent to make retroactive the amended list of ``acceptable''
narrative reasons for separation constituting ``inaptitude.'' DOL
initially believed that a substantial number of ex-servicemembers
might have been prejudiced by having no discharges designated as
``inaptitude'' from late 1993 until the new ``inaptitude'' list was
released and thus examined whether to apply this expanded list
retroactively to October 1, 1993. However, as explained below, DOL,
in consultation with DOD, has since determined that very few
servicemembers would be prejudiced by an application that was only
prospective and, therefore, the public interest would not be served
by a retroactive application.
DOD has informed DOL that there were only seven discharges with
a narrative reason related to ``inaptitude'' (designated as
``Unsuitability--Inaptitude'') during the three fiscal years
immediately prior to October 1, 1993. This information suggests that
very few servicemembers likely would have been discharged after 1993
for the ``inaptitude'' narrative reason for separation had the pre-
October 1, 1993 narrative reason continued in use. Thus, very few
individuals dis-charged after October 1, 1993, but prior to the date
of this issuance, would have had any expectation of qualifying for
benefits under the prior inaptitude list.
7. Action Required. SESAs are required to:
a. Distribute the contents of this directive and the attachment
to all appropriate staff members.
b. Destroy the Attachment to UIPL 3-95 Change 1 and utilize the
Attachment to this Change 2 to UIPL 3-95.
c. Announce in a newspaper of general circulation, and in other
appropriate media such as veterans publications, 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.
8. Inquiries. Direct inquiries to the appropriate Regional
Office.
9. Attachment. Revised List of ``Acceptable'' Narrative Reasons
for Separation Meeting the Requirements of 5 U.S.C.
8521(a)(1)(B)(ii)(I)-(IV).
``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*
Miscellaneous/General Reasons**
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
*Effective for separations on or after September 1, 1994.
**Pertaining only to Army Officers' separations occurring from
October 1, 1994 through August 31, 1995 and November 14, 1995
through July 1, 1996.
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
The following are narrative reasons for separation that DOL has
determined constitute ``inaptitude'' within the meaning of 5 U.S.C.
8521(a)(1)(B)(ii)(IV) and which are effective for all separations
from military services on and after the date of this directive:
Conscientious Objector
Weight Control Failure
Ecclesiastical Endorsement
Secretarial Authority
Physical Standards
Erroneous Entry, Alcohol Abuse
Erroneous Entry, Drug Abuse
Non-selection, Permanent Promotion
Non-selection, Temporary Promotion
Failure to Complete a Commission or Warrant Program
Failure to Complete a Course of Instruction
Unsatisfactory Performance
Substandard Performance
Personal Alcohol Abuse
Alcohol Rehabilitation Failure
Drug Rehabilitation Failure
Military Personnel Security Program
Homosexual Admission
Homosexual Act
Non-retention on Active Duty
[FR Doc. 98-30138 Filed 11-9-98; 8:45 am]
BILLING CODE 4510-30-P