President Trump’s Executive Order on UI Would be a Challenge to Implement
On Saturday, August 8, 2020, President Trump signed a series of Executive Orders (EOs), including an EO to address the extension of additional unemployment compensation payments. The EO seeks to provide authority for an additional $400 per week through the end of the year under a new program that would be funded under a federal/state match agreement and use state [...]
Business Representatives Ask Congress for Relief from Increasing Unemployment Taxes Due to COVID
Business representatives from state and national business associations by letter dated August 3, 2020 joined to ask Congress to provide unemployment tax relief from the dramatic increases in unemployment taxes and costs to employers due to unemployment compensation paid because of the COVID-19 shut downs. The closing of businesses due to COVID-19 was made by Governors and the federal government, [...]
President Trump Signs Legislation Providing Benefit Charging Relief for Reimbursing Employers
On August 3, 2020 President Trump signed the Protecting Nonprofits from Catastrophic Cash Flow Strain Act of 2020 (S 4209) into law. The Act was previously passed by unanimous consent in the US House or Representatives. The new law provides a much-needed fix to help reimbursing employers manage the required payments in lieu of contributions charged to their accounts for [...]
UWC urges Congress to Address UI Trust Fund Solvency – Join this Request!
In a letter dated July 24, 2020, UWC urged Congress to address UI Solvency issues with four specific provisions that should be enacted to reduce the tremendous financing burden on employers and state unemployment trust funds caused by COVID-19 closures. The request includes the following: Provide for a transfer of federal funds to state UI trust funds equal to the [...]
US DOL Addresses PUA Integrity in Updated Q and A
On July 21, 2020 the U.S. Department of Labor released Unemployment Insurance Program Letter No. 16-20 Change 2. The UIPL seeks to answer a number of questions posed by states in the administration of the Pandemic Unemployment Assistance (PUA) program and also addresses integrity issues that have been raised by the Office of Inspector General, employers, states and UWC. The [...]
UI Taxes Are Going Up due to the COVID-19 Recession
Attention is needed to Charging and Rates Many State UI agencies had difficulty managing the dramatic increases in unemployment compensation claims arising from lay-offs and the recession. Just as states are catching up with UI benefit payment issues, many are also having difficulty matching charges with employer accounts. The additional $600 payment required under Section 2104 of the CARES Act [...]