Because the work programs are limited and are integrated with the regular school curriculum. there is no true emploveremployee relationship that hould be covered by the unemployment insurance system. Therefore. the Grassley amendment. by removing the present age December 16. 1.981 22 limitation. more accurately reflects the study nature of such intern programs. The Grassley amendment also extends for 2 years the exclusion from the FUTA wages paid to aliens admitted to the United States to perform agricultural work. pursuant to the Immigration and Nationality Act. The present exemption expires on December 31. 1981. Under current law. the Federal Unemployment Tax is imposed on farmers who employ 10 or more workers in 20 weeks. or have a quarterly payroll of $20.000 or more. The exclusion for alien farmworkers was enacted as a part of the Immigration and Nationality Act and recognizes the fact that the alien workers return to their own countries and do not collect unemployment compensation. Therefore. farmers should not be required to pay FUTA taxes for such workers. Finally. the Grassley amendment extends the socalled Reed Act (section 903(c) (2) of the Social Security Act) for 10 years.
Keywords matched
Immigration