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SB 5540

Momentum Bucket Early Stage
Legal Title AN ACT Relating to students' eligibility to receive unemployment insurance benefits;
Bill Description Concerning students' eligibility to receive unemployment insurance benefits.
What this bill does
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The bill (Senate Bill 5540) would repeal RCW 50.20.095, the existing statutory section titled "Disqualification for attending school or institution of higher education." In other words, it is a legislative repeal of an existing provision that relates to students' eligibility to receive unemployment insurance benefits; this is a modification of existing law by deleting that specific section rather than creating a new offense or adding penalties. The bill was introduced in the 69th Legislature, read for the first time on 01/28/25, sponsored by Senators Hasegawa and Nobles, and referred to the Senate Committee on Labor & Commerce. The extracted material does not include the text of the repealed RCW, any effective date or transition provisions, or any fiscal or administrative implementation details, so the precise legal effect on unemployment insurance eligibility cannot be determined from the provided information.
Why it matters
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If passed, the bill would remove the legal rule that currently bars people from getting unemployment benefits because they are attending school or a college, so some students who previously could not claim UI may become eligible and receive benefits while enrolled. That change would likely lead to more claims from students and could increase benefit payments, but the exact impact on claim numbers or costs is unclear because the original statute language and any transition rules are not provided. The groups most affected are students and the state unemployment insurance program: students may gain a new income option while in school, and the agency will likely need to change eligibility reviews, train staff, and could face higher administrative workload and program costs. There is no effective date, fiscal analysis, or implementation guidance in the provided text, so timing and practical agency actions remain uncertain.
Official Documents View Full Bill Text
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SB 5540 Details and Bill Topics

Details

Date Introduced 01/28/2025
Originating Chamber Senate
Biennium 2025-26
Total Campaign Dollars Backing Bill $1,709,627.62

Bill Topics

UNEMPLOYMENT COMPENSATION

SB 5540 Sponsors and Committee Hearings

Sponsors

Senator Hasegawa (Primary)
Senator Nobles

Committee Hearings

Hearing Senate Labor & Commerce (Public)
Hearing Senate Labor & Commerce (Executive)
Go to SB 5540 at leg.wa.gov

SB 5540 Bill Timeline

Early Stage
1/11/2026
SRules X
By resolution, reintroduced and retained in present status.
3/16/2025
SRules X
Senate Rules "X" file.
2/17/2025
SRules X
Passed to Rules Committee for second reading.
2/13/2025
SRules X
Minority; without recommendation.
2/13/2025
SRules X
Minority; do not pass.
2/13/2025
SRules X
LC - Majority; do pass.
1/27/2025
SRules X
First reading, referred to Labor & Commerce.

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