![]() If it isn’t written down, it didn’t happen. ![]() Jeffrey Martin, G&A Partners’ resident UI expert, has compiled a list of tips and suggestions for employers who are facing a UI claim: Even employers who only have employees in one state are struggling to understand and comply with the changes in unemployment insurance claims administration. This variance in application from state to state can make it difficult for businesses with employees in multiple states to manage unemployment claims and appeals, particularly those without a UI expert on staff. What this means is that employers in this situation will have no way to recoup the money spent on the benefits that have already been paid out, even if they win the appeal.Īll 50 states have since passed the required legislation, each with varying definitions of what it means to respond in an “accurate and timely” fashion. Under the new regulations, if an initial ruling that awards benefits to a claimant is reversed upon appeal but the hearing officer finds that the employer failed to respond accurately or timely to the initial request, the claimant will not have to repay the benefits that have already been allocated from the employer’s SUTA account. ![]() What it is doing, however, is putting an added burden on employers. So, although the UI Integrity Act’s main purpose (reducing the amount of unemployment benefits paid to ineligible claimants) may seem noble, it isn’t addressing the root cause of the overpayments. According the US Department of Labor’s statistics about improper UI payments, claimants are solely responsible for the vast majority of unemployment insurance overpayments in each state. The Act required each state to pass legislation by the end of 2013 that puts an obligation on employers to respond “timely and accurately” to requests for information from UI agencies and penalizes employers who demonstrate a pattern of failing to respond to these requests.Įmployers aren’t the UI program’s main problem, though. Signed into law by President Obama in 2011 as part of the Trade Adjustment Assistance Extension Act (TAAEA), the UI Integrity Act was designed to curb the overpayment of benefits to claimants and address the issue of employer indifference to the UI program. Although the Unemployment Insurance Integrity Act may seem like old news, many employers are still struggling to deal with the changes it brought to the unemployment insurance claims management process.
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