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 [...]
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 [...]
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 [...]
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, [...]
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 [...]
On July 9, 2020 the US House or Representatives passed S. 4209 by unanimous consent to provide a much-needed fix to help reimbursing employers manage the required payments in lieu of contributions charged to their accounts for unemployment compensation. The passage came after the US Senate had also passed the bill by unanimous consent. This remarkable [...]
On June 1, 2020, Congressman Kevin Brady (R-TX), the Ranking Member on the House Committee on Ways and Means, announced introduction of the Reopening America by Supporting Workers and Businesses Act of 2020. Background: As part of the CARES Act, Congress provided $600/week in supplemental unemployment benefits to provide much needed support and economic relief for [...]
On May 26, 2020 the US DOL Inspector General released an Alert Memorandum identifying serious problems in interpretation and administration of the Pandemic Unemployment Assistance (PUA) program created in the CARES Act. The primary concern identified is that US DOL’s interpretation that entitlement to PUA benefit payments may be based solely on a check the box [...]
The COVID-19 recession is already so deep as to not only have triggered special expanded benefits through congressional action but now is beginning to trigger “on” in an increasing number of states to regular extended benefits (EB) under permanent federal law. For the week ending April 26, 2020 Connecticut, Michigan and Rhode Island triggered on up [...]
The Office of Inspector General at the U.S. Department of Labor has released a Fraud Alert. Fraud Alert Be aware that your personal information may be used fraudulently without your permission. Fraudsters are perpetrating numerous schemes related to the COVID-19 pandemic. In one scheme, scammers have offered to help individuals file claims for unemployment benefits. The [...]
