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Bill

HB 1694

Relating to the eligibility of school bus drivers and cafeteria workers for unemployment compensation benefits.

89th Legislature (2025) Introduced by Terry Canales

Expands unemployment compensation eligibility to Texas school bus drivers and cafeteria workers during work gaps, providing income support for seasonal school employees.

Referred to Trade, Workforce & Economic Development
#education--primary&secondary--otherschoolpersonnel(i0246) #labor--unemployment(i0475) #schoolbuses&schoolbusdrivers(s1346)
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Bill Summary · HB 1694

Legislative bill overview

HB 1694 modifies Texas unemployment compensation eligibility rules for school bus drivers and cafeteria workers, two groups traditionally excluded from standard unemployment benefits. The bill would expand access to unemployment compensation for these school employees during periods when they are not actively working, such as summer breaks or between contracts.

Why is this important

School bus drivers and cafeteria workers often face seasonal or part-time employment with significant gaps in work and income throughout the year. Current Texas law treats these workers differently than other employees, potentially leaving them without income support during extended breaks. This change could provide economic security for a workforce that is predominantly lower-wage and may struggle during non-work periods.

Potential points of contention

  • School district costs: School districts may face higher unemployment insurance tax rates if more claims are filed, which could impact operating budgets already facing fiscal pressures
  • Definitional challenges: The bill may need to clarify what constitutes "unemployment" for seasonal workers who have guaranteed positions returning—does time off between contracts count as unemployment?
  • Program sustainability: Expanding eligibility increases state unemployment trust fund obligations and may affect benefit levels or duration for other workers if the fund faces constraints

Compiled from official sources — confirm details with the bill’s official record.

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