UNEMPLOYMENT COMPENSATION 3527

subject to this Article, with respect to wages payable for employment
(as defined in section 19 (g)) occurring during such calendar year. Such
contributions shall become due and be paid by each employer to the Board
for the fund in accordance with such regulation as the Board may pre-
scribe, and shall not be deducted, in whole or in part, from the wages of
individuals in his employ.

(2) In the payment of any contributions, a fractional part of a cent
shall be disregarded unless it amounts to one-half cent or more, in which
case it shall be increased to 1 cent.

(b) (Rate of Contribution.) Each employer shall pay contributions
equal to the following percentages of wages payable by him with respect
to employment:

(1) Nine-tenths of 1 per centum with respect to employment during
the calendar year 1936;

(2) One and eight-tenths per centum with respect to employment dur-
ing the calendar year 1937;

(3) Two and seven-tenths per centum with respect to employment dur-
ing the calendar years 1938 and thereafter.

(c) (Records of Employer.) The Board shall maintain a separate
account for each employer, and shall credit his account with all the con-
tributions which he has paid on his own behalf. But nothing in this Article,
shall be construed to grant any employer or individuals in his service prior
claims or rights to the amounts paid by him into the fund either on his
own behalf or on behalf of such individuals.

(d) (Study of Merit Rating.) The Board shall investigate and study
the operation of this Article and the experience hereunder with a view to
determining the advisability of establishing a rating system which would
equitably rate the unemployment risk and fix the contribution to the fund
of each employer and would encourage the stabilization of employment.
The Board shall submit its report and recommendations to the Governor
and the Legislature not later than February 1, 1941.

Employers.

1936 (Dec. Sp. Sess.), ch. 1, sec. 8. 1937 (Sp. Sess.), ch. 2, sec. 8.

8. (a) Any employing unit which is or becomes an employer subject
to this Article within any calendar year shall be subject to this Article
during the whole of such calendar year.

(b) Except as otherwise provided in sub-section (c) of this section, an
employing unit shall cease to be an employer subject to this Article only
as of the first day of January of any calendar year, if it files with the Board
prior to the fifth day of January of such year, a written application for
termination of coverage, and the Board finds that as of the first day of
January, 1936 and 1937, there were no 20 different weeks within the
preceding calendar year within which such employing unit employed eight
or more individuals in employment subject to this Article, or that as of
the first day of January of the calendar year 1938 or any calendar year
thereafter, there were no 20 different weeks within the preceding calendar
year within which such employing unit employed four or more individuals
in employment subject to this Article. For the purpose of this sub-section
the two or more employing units mentioned in paragraph (2) or (3) or
(4) of Section 19 (f) shall be treated as a single employing unit.