# Labor and Employment (GLE)

## Title 8. Unemployment Insurance

### Subtitle 3. Administration

#### Section 8-301

This title shall be administered under the supervision of the Secretary by 2 coordinate units, the Division of Unemployment Insurance and the Division of Workforce Development, established by the Secretary.

#### Section 8-302

(a) There is a Division of Unemployment Insurance.

(b) The Division of Unemployment Insurance shall perform any function that the Secretary assigns to it to carry out this title.

#### Section 8-303

(a)

  (1) "Public employment office" means an employment office that does not charge a fee to provide services and is:

    (i) operated by the Department; or

    (ii) maintained as part of a local, State, or federal system of employment offices.

  (2) "Public employment office" includes a branch public employment office.

(b) The General Assembly accepts the provisions of the Wagner-Peyser Act for establishment of a national employment system and for cooperation in promotion of the system in conformity with Sec. 4 of the Act.

(c) The Division of Workforce Development, established under Sec. 11-102 of this article, is the unit of the State designated to carry out Sec. 4 of the Wagner-Peyser Act.

(d) The Secretary shall employ a staff for the Division of Workforce Development in accordance with Sec. 8-304 of this subtitle and regulations adopted by the United States Secretary of Labor.

(e) As necessary for administration of this title, the Division of Workforce Development shall establish and maintain public employment offices that do not charge a fee to individuals who seek employment.

(f) To establish and maintain public employment offices, the Secretary:

  (1) may enter into an agreement with the Railroad Retirement Board or any other federal unit that is responsible for administration of an unemployment insurance law, a political subdivision of the State, or any private nonprofit organization; and

  (2) as part of the agreement, may accept money, services, or office space as a contribution to the Unemployment Insurance Administration Fund.

(g) Money in the Unemployment Insurance Administration Fund that the State receives under the Wagner-Peyser Act is available to the Division of Workforce Development for use under this section in accordance with that Act.

#### Section 8-304

The Secretary may delegate to an employee of the Department any power or duty that is reasonable and proper for the administration of this title.

#### Section 8-305

(a) The Secretary may adopt any regulation that is necessary to carry out this title.

(b)

  (1) In accordance with the provisions of the State Personnel and Pensions Article, the Secretary may employ the staff necessary to carry out this title.

  (2) In accordance with the State budget, the Secretary may set the compensation of an employee under this subsection in a position that:

    (i) is unique to the Department;

    (ii) requires specific skills or experience to perform the duties of the position; and

    (iii) does not require the employee to perform functions that are comparable to functions performed in other units of the Executive Branch of State government.

  (3) The Secretary of Budget and Management, in consultation with the Secretary, shall determine the positions for which the Secretary may set compensation under paragraph (2) of this subsection.

  (4) Subject to other applicable provisions of this title, the Secretary may appoint employees and set their powers and duties as necessary to carry out this title.

(c) The Secretary shall determine whether an employee who handles money for the Department under this title should be covered under a bond.

(d)

  (1) The Secretary shall print:

    (i) this title;

    (ii) each annual report that the Secretary submits to the Governor; and

    (iii) any other material that the Secretary considers relevant and suitable.

  (2) On request by any person, the Secretary shall give the person a copy of:

    (i) any material that the Secretary prints under this subsection; and

    (ii) the current regulations adopted to carry out this title.

#### Section 8-306

(a) To enforce this title, the Secretary may conduct investigations.

(b) To enforce this title, the Secretary may:

  (1) administer an oath;

  (2) certify to an official act; and

  (3) take a deposition.

(c)

  (1) To enforce this title, the Secretary may issue a subpoena for the attendance of a witness to testify or the production of books, correspondence, memoranda, papers, or other records.

  (2) A subpoena issued under this subsection shall be served in any manner in which a subpoena of a court may be served.

  (3) If a person fails to comply with a subpoena issued under this subsection, on a complaint filed by the Secretary, the circuit court for the county where the investigation is being conducted or where the person resides, is present, or transacts business may pass an order directing compliance with the subpoena or compelling testimony.

(d)

  (1) Subject to paragraph (2) of this subsection, a person may not be excused from complying with a subpoena issued under subsection (c) of this section on the ground that the evidence or testimony required may tend to incriminate the person or subject the person to a forfeiture or penalty.

  (2) After claiming the privilege against self-incrimination a person may not be prosecuted or subjected to any forfeiture or penalty because of any matter, thing, or transaction about which the person is compelled to produce evidence or testify except that if the person commits perjury while giving testimony, the person is subject to prosecution for that offense.

#### Section 8-307

(a) In a civil action to enforce this title, the Secretary or Board of Appeals and the State may be represented by:

  (1) the Attorney General; or

  (2) any qualified attorney who:

    (i) is a salaried employee of the Secretary or Board of Appeals; and

    (ii) on recommendation of the Attorney General, is designated to represent the Secretary or Board of Appeals and the State.

(b) A criminal action for violation of any provision of this title or regulation adopted under this title shall be prosecuted by the State's Attorney of the county in which:

  (1) the employer has a place of business;

  (2) the violator resides; or

  (3) the violator has filed for benefits to which the violator was not entitled.

#### Section 8-308

(a) With the approval of the Governor, the Secretary shall appoint a State Advisory Council.

(b) The State Advisory Council shall consist of:

  (1) an equal number of members who represent employees and who represent employers; and

  (2) the number of members who represent the general public that the Secretary sets.

(c) Each member of the State Advisory Council who represents employees or who represents employers shall be an individual who is regarded as a representative of employees or employers because of affiliation, employment, or vocation.

(d)

  (1) The term of a member of the State Advisory Council is 4 years.

  (2) At the end of a term, a member continues to serve until a successor is appointed and qualifies.

  (3) A member who is appointed after a term has begun serves only for the rest of the term and until a successor is appointed and qualifies.

(e) Each member of the State Advisory Council is entitled to:

  (1) $50 for each day that the Council is in session, not exceeding $1,500 per year; and

  (2) reimbursement for expenses under the Standard State Travel Regulations, as provided in the State budget.

(f) The State Advisory Council shall help the Secretary to:

  (1) develop policies and discuss problems related to the administration of this title; and

  (2) ensure impartiality and freedom from political influence in the solution of those problems.

#### Section 8-309

(a) The Secretary shall appoint local advisory councils.

(b) Each local advisory council shall consist of:

  (1) an equal number of members who represent employees and who represent employers; and

  (2) the number of members who represent the general public that the Secretary sets.

(c) Each member of a local advisory council who represents employees or who represents employers shall be regarded as a representative of employees or employers because of affiliation, employment, or vocation.

(d) A member of a local advisory council:

  (1) may not receive compensation; but

  (2) is entitled to reimbursement for necessary expenses.

(e) The local advisory councils shall help the Secretary to:

  (1) develop policies and discuss problems related to the administration of this title; and

  (2) ensure impartiality and freedom from political influence in the solution of those problems.

#### Section 8-310

(a)

  (1) In the administration of this title, the Secretary shall cooperate with the United States Secretary of Labor to the fullest extent that this title allows.

  (2) The Secretary shall:

    (i) make each report in the form and containing the information that the Secretary of Labor requires;

    (ii) comply with each provision that the Secretary of Labor considers necessary to ensure the accuracy of a report; and

    (iii) comply with each regulation that the Secretary of Labor adopts to govern the expenditure of any money that may be allotted and paid to the State under Chapter 7, Subchapter III of the Social Security Act to assist in the administration of this title.

(b)

  (1) The Secretary may afford reasonable cooperation with each federal unit that administers an unemployment insurance law.

  (2) On request, the Secretary shall provide to a federal unit that administers public works or assistance through public employment:

    (i) the name, address, usual occupation, and employment status of each recipient of benefits; and

    (ii) information about the right of the individual to receive benefits.

(c) The Secretary:

  (1) may make available to the Railroad Retirement Board any record of the State that relates to administration of this title; and

  (2) at the expense of the Railroad Retirement Board, may provide to the Board a copy of any record that the Board considers necessary for its purposes.

#### Section 8-311

(a) On or before January 1 of each year, the Secretary shall submit to the Governor an annual report on the administration and operation of this title during the previous fiscal year.

(b) The annual report shall include:

  (1) a balance sheet for the Unemployment Insurance Fund;

  (2) a table that shows the amount of any benefit that was ineffectively charged or not charged to the experience rating record of an employer;

  (3) the reason for not charging the amount of any benefit to the experience rating record of an employer;

  (4) by category of disqualification, the amount of any benefit that was paid after a disqualification under Subtitle 10 of this title; and

  (5) any recommendation for an amendment to this title that the Secretary considers proper.

#### Section 8-311.1

(a) On or before the first day of each month, the Department shall post on its website a report on the administration and operation of this title during the immediately preceding month.

(b) The report shall include:

  (1) a balance sheet for the Unemployment Insurance Fund;

  (2) the number of claims for benefits filed under Sec. 8-805(a) of this title in the immediately preceding month;

  (3) the number of claims pending adjudication and the number of claims pending adjudication that were resolved since the immediately preceding month;

  (4) the number of final determinations that were made under Sec. 8-806 of this title in the immediately preceding month; and

  (5) the number of claims processed by the Department during the immediately preceding month.

(c)

  (1) Once per week, the Department shall post on its website a weekly report that includes the number of:

    (i) open claims;

    (ii) claims pending adjudication;

    (iii) claims for which the first payment has not been made within 21 days after the week ending date of the first compensable week in the benefit year;

    (iv) claims closed;

    (v) claims resolved by adjudication; and

    (vi) claims for which the claimant encountered technological problems with the online portal.

  (2) The Department shall retain on its website the weekly reports for at least the immediately preceding 8 weeks.

#### Section 8-311.2

(a) For the purposes of this section, a disaster exists if the Department, for 4 consecutive weeks, fails to pay at least 82% of first payments within 21 days after the week ending date of the first compensable week in the benefit year.

(b)

  (1) The Department shall monitor the Unemployment Insurance Fund for a disaster.

  (2) When the Assistant Secretary of the Division of Unemployment Insurance determines that there is a disaster, the Department shall comply with the reporting requirements established under subsection (c) of this section.

  (3)

    (i) The disaster reporting requirements shall remain in effect until the Department, for 4 consecutive weeks, is paying at least 87% of first payments within 21 days after the week ending date of the first compensable week in the benefit year, in accordance with guidelines published by the U.S. Department of Labor.

    (ii) When the disaster reporting requirements are no longer in effect under subparagraph (i) of this paragraph, the Assistant Secretary of the Division of Unemployment Insurance shall announce that the Department is no longer required to issue the disaster report under subsection (c) of this section.

(c)

  (1) The Department shall submit a disaster report to the presiding officers, the Senate Finance Committee, and the House Economic Matters Committee, in accordance with Sec. 2-1257 of the State Government Article:

    (i) within 7 days after the disaster determination; and

    (ii) every 30 days thereafter while the disaster is ongoing.

  (2) The report shall include:

    (i) the Unemployment Insurance Fund balance immediately preceding the disaster determination;

    (ii) the current balance of the Unemployment Insurance Fund; and

    (iii) the Department's anticipated office staffing needs over the next 30, 60, and 90 days;

  (3) the Department's plan for meeting staffing needs; and

  (4) an update on federal funding and support for the Unemployment Insurance Fund.

(d) During a disaster, the Department shall:

  (1) be exempt from requirements under the State Finance and Procurement Article for staffing; and

  (2) hire additional full-time or part-time staff who are State employees, contractual employees, or individuals under contract with a third-party vendor as needed to meet staffing needs and to respond to issues raised by claimants and employers.

(e) During a disaster, the Assistant Secretary for the Division of Unemployment Insurance shall oversee compliance with the requirements of this section.

#### Section 8-311.3

(a) In this section, "Program" means the Child Support Arrearage to Work Pilot Program.

(b) There is a Child Support Arrearage to Work Pilot Program in the Department.

(c) The purpose of the Program is to connect individuals who are unemployed and in arrears under a child support order with employment opportunities in the State, including employment opportunities in State government.

(d) The Department, in consultation with the Department of Human Services and the Department of Budget and Management, shall:

  (1) implement the Program; and

  (2) establish the procedures and safeguards necessary to securely share information related to the Program and participants in the Program.

(e) The Department may adopt regulations to carry out this section.

(f) On or before July 1, 2026, the Department shall report to the Governor and, in accordance with Sec. 2-1257 of the State Government Article, the General Assembly, on the Department's findings and any recommendations related to the continuation of the Program.

#### Section 8-312

(a)

  (1) The balance sheet for the Unemployment Insurance Fund that the Secretary includes in the annual report shall include, if possible, a reserve against liability in future years to pay benefits in excess of the then current contributions.

  (2) A reserve under this subsection shall be set up by the Secretary in accordance with accepted actuarial principles on the basis of statistics of employment, business activity, and other relevant factors for the longest possible period.

(b) Whenever the Secretary believes that a change in rates of contributions or benefits will become necessary to protect the solvency to the Unemployment Insurance Fund, the Secretary promptly shall inform the Governor and legislature and make recommendations with respect to the change.

---

Md. Code Ann., Lab. & Empl. (as displayed at mgaleg.maryland.gov, October 16, 2026)
