§392-43  Authority to withholdcontributions, rate of contribution, maximum weekly wage base.  (a) Subject to the limitation set forth in subsection (b) an employer may deductand withhold contributions, from each employee of one-half the cost but not morethan .5 per cent of the weekly wages earned by the employee in employment andthe employer shall provide for the balance of the cost of providing temporarydisability benefits under this chapter over the amount of contributions of theemployer's employees.  Unless a different rule is prescribed by regulation ofthe director, the withholding period shall be equal to the pay period of therespective employee.

(b)  Weekly wages for the purposes of thissection shall not include:

(1)  Wages earned by an employee in employment duringany payroll period unless, during the fifty-two weeks immediately precedingsuch payroll period, the employee has earned wages of at least $400 and hasbeen in employment for at least fourteen weeks during each of which the employeehas received remuneration in any form for twenty or more hours; and

(2)  Remuneration in excess of one fifty-second of theaverage annual wage in the State as determined for the preceding year pursuantto section 383-61(b) multiplied by the factor 1.21, which amount the directorshall cause to be published annually prior to the first day of Januaryfollowing the determination.

(c)  The contributions of the employeesdeducted and withheld from their wages by their employer shall be held in aseparate fund or be paid to insurance carriers as premiums, for the purpose ofproviding benefits required by this chapter.

(d)  The director shall have authority toprescribe by regulation the reports and information necessary to determine thecost of providing temporary disability benefits under this chapter, especiallyin the case of employers or employer associations providing such benefits bymeans of self-insurance, and to determine the procedures for the determinationof such cost.

(e)  An employee from whose wages amountsgreater than those authorized by this chapter have been withheld by theemployee's employer shall be entitled to a refund or credit of the excess asprescribed by regulation of the director.

(f)  The contributions of employees deductedand withheld in amounts greater than those authorized by this chapter, shall bedeposited in the special fund for disability benefits if such employees are nolonger with the employer and cannot be located.  A refund of the excess shallbe paid from the special fund for disability benefits to the employees whenthey are located or if such employees remain unlocated for a period of twoyears from the date of deposit, such moneys shall become a part of the specialfund.

(g)  If an employer fails to provide coveragefor the employer's employees after deducting and withholding contributions fromthe employer's employees as prescribed by this chapter, the employer shalldeposit such contributions in the special disability fund. [L 1969, c 148, ptof §1; am L 1971, c 109, §1(f); gen ch 1985; am L 1999, c 30, §2]