AN ACT RELATING TO LABOR AND LABOR RELATIONS -- TEMPORARY DISABILITY INSURANCE -- GENERAL PROVISIONS (Provides that Rhode Island state employees be eligible for temporary disability insurance effective January 1, 2027.)

S2927

2026 -- S 2927
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LC005296
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STATE OF RHODE ISLAND
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2026
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A N A C T
RELATING TO LABOR AND LABOR RELATIONS -- TEMPORARY DISABILITY
INSURANCE -- GENERAL PROVISIONS

Introduced By:
Senators Vargas, Thompson, LaMountain, Quezada, Lauria, DiPalma,
Pearson, Kallman, Mack, and Burke

Date Introduced:
March 04, 2026

Referred To:
Senate Labor & Gaming
It is enacted by the General Assembly as follows:
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SECTION 1. Section 28-39-2 of the General Laws in Chapter 28-39 entitled "Temporary
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Disability Insurance — General Provisions" is hereby amended to read as follows:
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28-39-2. Definitions.
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The following words and phrases, as used in chapters 39 — 41 of this title, have the
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following meanings unless the context clearly requires otherwise:
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(1) “Average weekly wage” means the amount determined by dividing the individual’s
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total wages earned for services performed in employment within his or her base period by the
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number of that individual’s credit weeks within the base period.
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(2) “Base period” with respect to an individual’s benefit year when the benefit year begins
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on or after October 7, 1990, means the first four (4) of the most recently completed five (5) calendar
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quarters immediately preceding the first day of an individual’s benefit year; provided, that for any
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individual’s benefit year when the benefit year begins on or after October 4, 1992, and for any
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individual deemed monetarily ineligible for benefits under the “base period” as defined in this
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subdivision, the department shall make a re-determination of entitlement based upon an alternate
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base period that consists of the last four (4) completed calendar quarters immediately preceding the
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first day of the claimant’s benefit year. Notwithstanding anything contained to the contrary in this
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subdivision, the base period shall not include any calendar quarter previously used to establish a
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valid claim for benefits; provided, however, that the “base period” with respect to members of the

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United States military service, the Rhode Island National Guard, or a United States military reserve
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force, and who served in a United States declared combat operation during their military service,
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who file a claim for benefits following their release from their state or federal active military service
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and who are deemed to be monetarily ineligible for benefits under this section, shall mean the first
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four (4) of the most recently completed five (5) calendar quarters immediately preceding the first
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day the individual was called into that state or federal active military service; provided, that for any
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individual deemed monetarily ineligible for benefits under the “base period” as defined in this
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section, the department shall make a re-determination of entitlement based upon an alternative base
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period that consists of the last four (4) completed calendar quarters immediately preceding the first
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day the claimant was called into that state or federal active military service. Notwithstanding any
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provision of this section of the general or public laws to the contrary, the base period shall not
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include any calendar quarter previously used to establish a valid claim for benefits.
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(3) “Benefit” means the money payable, as provided in chapters 39 — 41 of this title, to an
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individual as compensation for his or her unemployment caused by sickness.
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(4) “Benefit credits” means the total amount of money payable to an individual as benefits,
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as provided in § 28-41-7.
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(5) “Benefit rate” means the money payable to an individual as compensation, as provided
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in chapters 39 — 41 of this title, for his or her wage losses with respect to any week during which
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his or her unemployment is caused by sickness.
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(6) “Benefit year” with respect to any individual who does not already have a benefit year
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in effect, and who files a valid claim for benefits as of November 16, 1958, or any later date, means
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fifty-two (52) consecutive calendar weeks, the first of which shall be the week containing the day
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as of which he or she first files that valid claim in accordance with regulations adopted as
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subsequently prescribed; provided, that for any benefit year beginning on or after October 7, 1990,
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the benefit year shall be fifty-three (53) consecutive calendar weeks if the subsequent filing of a
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new valid claim immediately following the end of a previous benefit year would result in the
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overlapping of any quarter of the base period of the prior new claim. In no event shall a new benefit
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year begin prior to the Sunday next following the end of the old benefit year.
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(i) For benefit years that begin on or after July 1, 2012, an individual’s benefit year will
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begin on the Sunday of the calendar week in which an individual first became unemployed due to
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sickness and for which the individual has filed a valid claim for benefits.
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(7) “Board” means the board of review as created under chapter 16.1 of title 42.
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(8) “Calendar quarter” has the same definition as contained in chapter 42 of this title.
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(9) “Credit week” means any week within an individual’s base period in which that

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individual earns wages amounting to at least twenty (20) times the minimum hourly wage as
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defined in chapter 12 of this title, for performing services in employment for one or more employers
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subject to chapters 39 — 41 of this title.
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(10) “Director” means the director of the department of labor and training.
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(11) “Employee” means any person who is or has been employed by an employer subject
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to chapters 39 — 41 of this title and in employment subject to those chapters.
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(12) “Employer” means any employing unit that is an employer under chapters 42 — 44
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of this title.
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(13) “Employing unit” has the same definition as contained in chapter 42 of this title and
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includes any governmental entity that elects to become subject to the provisions of chapters 39 —
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41 of this title, in accordance with the provisions of §§ 28-39-3.1 and 28-39-3.2.
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(14) “Employment” has the same definition as contained in chapter 42 of this title
and
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notwithstanding any provision of the general laws to the contrary, for purposes of this chapter the
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term “employment” shall include service performed by any individual in the employ of the State
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of Rhode Island, including all departments, agencies, boards, commissions, and instrumentalities
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thereof, whether such service is performed on a full-time, part-time, seasonal, or temporary basis,
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unless specifically excluded under this chapter.
.
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(15) “Employment office” has the same definition as contained in chapter 42 of this title.
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(16) “Fund” means the Rhode Island temporary disability insurance fund established by
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this chapter.
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(17) “Partial unemployment due to sickness.” For weeks beginning on or after January 1,
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2006, an individual shall be deemed partially unemployed due to sickness in any week of less than
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full-time work if he or she fails to earn in wages for services for that week an amount equal to the
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weekly benefit rate for total unemployment due to sickness to which he or she would be entitled if
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totally unemployed due to sickness and eligible.
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(i) For the purposes of this subdivision and subdivision (22) of this section, “Wages”
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includes only that part of remuneration for any work, which is in excess of one-fifth (1/5) of the
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weekly benefit rate for total unemployment, rounded to the next lower multiple of one dollar
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($1.00), to which the individual would be entitled if totally unemployed and eligible in any one
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week, and “services” includes only that part of any work for which remuneration in excess of one-
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fifth (1/5) of the weekly benefit rate for total unemployment, rounded to the next lower multiple of
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one dollar ($1.00), to which the individual would be entitled if totally unemployed and eligible in
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any one week is payable; provided, that nothing contained in this paragraph shall permit any
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individual to whom remuneration is payable for any work performed in any week in an amount

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equal to, or greater than, his or her weekly benefit rate to receive benefits under this subdivision
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for that week.
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(18) “Reserve fund” means the temporary disability insurance reserve fund established by
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§ 28-39-7.
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(19) “Services” means all endeavors undertaken by an individual that are paid for by
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another or with respect to which the individual performing the services expects to receive wages or
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profits.
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(20) “Sickness.” An individual shall be deemed to be sick in any week in which, because
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of his or her physical or mental condition, including pregnancy, he or she is unemployed and unable
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to perform his or her regular or customary work or services.
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(21)(i) “Taxes” means the money payments required by chapters 39 — 41 of this title, to
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be made to the temporary disability insurance fund or to the temporary disability insurance reserve
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fund.
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(ii) Wherever and whenever in chapters 39 — 41 of this title, the words “contribution”
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and/or “contributions” appear, those words shall be construed to mean the “taxes,” as defined in
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this subdivision, that are the money payments required by those chapters to be made to the
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temporary disability insurance fund or to the temporary disability insurance reserve fund.
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(22) “Wages” has the same definition as contained in chapter 42 of this title; provided, that
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no individual shall be denied benefits under chapters 39 — 41 of this title because his or her
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employer continues to pay to that individual his or her regular wages, or parts of them, while he or
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she is unemployed due to sickness and unable to perform his or her regular or customary work or
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services. The amount of any payments, whether or not under a plan or system, made to or on behalf
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of an employee by his or her employer after the expiration of six (6) calendar months following the
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last calendar month in which the employee performed actual bona fide personal services for his or
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her employer, shall not be deemed to be wages either for the purpose of paying contributions
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thereon under chapter 40 of this title, or for the purpose of being used as a basis for paying benefits
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under chapter 41 of this title.
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(23) “Week” has the same definition as contained in chapter 42 of this title.
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SECTION 2. Chapter 28-41 of the General Laws entitled "Temporary Disability Insurance
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— Benefits" is hereby amended by adding thereto the following section:
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28-41-43. Mandatory coverage of state employees.

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(a) Notwithstanding the provisions of § 28-39-3 to the contrary, effective January 1, 2027,
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the State of Rhode Island shall be deemed an employer for purposes of this chapter and shall
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participate in the temporary disability insurance program administered by the department of labor

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and training.
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(b) All employees of the State of Rhode Island shall be covered under the temporary
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disability insurance program and shall be eligible for benefits in the same manner and subject to
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the same conditions as other covered employees under this chapter.
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(c) The state shall remit employer and employee contributions to the temporary disability
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insurance fund in accordance with any applicable provision of this chapter or title 28.
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(d) Payroll deductions for employee contributions shall be made in the same manner as
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required of other employers subject to this chapter.
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(e) The director of the department of labor and training is authorized to promulgate rules
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and regulations necessary to implement the provisions of this section.
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(f) The provisions of this section shall apply notwithstanding the provisions of any
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collective bargaining agreement entered into prior to the effective date of this section; provided,
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however, that nothing herein shall prohibit the negotiation of supplemental disability benefits
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through collective bargaining.
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(g) The general treasurer, in coordination with the department of administration and the
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department of labor and training, shall take all administrative steps necessary to ensure
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implementation of this section, including modification of payroll systems and contribution
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reporting mechanisms.
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SECTION 3. This act shall take effect on January 1, 2027, and shall apply to wages earned
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on or after that date.
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EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO LABOR AND LABOR RELATIONS -- TEMPORARY DISABILITY
INSURANCE -- GENERAL PROVISIONS
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This act would provide that Rhode Island state employees be eligible for temporary
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disability insurance effective January 1, 2027.
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This act would take effect on January 1, 2027, and would apply to wages earned on or after
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that date.
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