South Dakota Association of School Business Administrators

April 29, 2010

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Unemployment Insurance Program Goal

• Temporary benefit to unemployed workers• Unemployed through no fault• Attached to labor force, available for employment

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Attachment to Labor Force

• Measured by base period wages• Average: Minimum five months work in 12 month

base period

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2008OctNovDec

2009JanFebMar

2009AprMayJun

2009Jul

AugSep

2009OctNovDec

2010JanFebMar

Claim Filed

1 2 3 4 5

Base Period

Wages Not Used

Base period changes every quarter.

• First four of last five completed quarters• Eligibility requires earnings in two base period quarters

Base Period

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• Last four completed quarters• Eligibility remains the same, earnings in two quarters

2008OctNovDec

2009JanFebMar

2009AprMayJun

2009Jul

AugSep

2009OctNovDec

2010JanFebMar

Claim Filed1 2 3 4

Alternative Base PeriodBase period changes every quarter.

Alternative Base Period

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Benefit Amounts

• Weekly benefit:• Minimum $28• Maximum $309

• Total benefit paid during benefit year:• 1/3 total base-period earnings, up to 26 times

weekly benefit.• Maximum of 26 x $309 = $8,034

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Additional Stimulus Benefits

• Additional $25 in weekly benefit payments from federal stimulus funding.

• Additional 34 week benefit extension from federal stimulus funding; 20 weeks, additional 14 weeks.

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Work Separations and Claimant Eligibility

• Voluntarily Quit• Claimant must establish “good cause” for quitting

employment.• Discharge

• Employer must establish work-connected misconduct.

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Employer Process

• Notification of a claim.• 15 day period to respond.

• Report separation pay.• Quit or Discharge. • Documentation – Not required but could support

employer.

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Employer Process

• UI Division may call for more information or clarification.

• Decision on eligibility.• 15 day appeal period.• Administrative Appeals Office in Pierre, Aberdeen first

point of contact.

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• Serve “Waiting Week.”• Must be able and available for work.• Conduct an active search for work:

• Two job contacts a week.• Register with the South Dakota Department of

Labor.• Willing to accept “Suitable Work.”

Claimant Responsibilities

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• A claimant must be physically able to work in their usual occupation or other work for which the claimant is reasonably fitted.

• A claimant must be available for work the majority of the week.

Able and Available For Work

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Refusal of Suitable Work

• The Division will consider the following factors in determining suitable work:

• Risk involved:• Prior earnings.• Distance from residence.• Prior experience and training.• Local job market.• Length of unemployment.

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• 15 day appeal period.• 7 day advance notice of hearing • Attend the hearing - person with direct knowledge.

Appeals

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• Administrative Law Judge (ALJ)• Teleconference• ALJ issues written decision• Appeal to Secretary, Circuit Court

Appeal Hearings

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Billing Statement

• Quarterly• Individuals paid, weeks, amounts

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Financing Options

• Reimbursing – self-insured, billed for actual claims paid.

• Tax Paying – pay mandatory quarterly premium.• Insure against no-fault claims.

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General Eligibility

• Not paid in summer if contract or reasonable assurance or re-employment.

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Substitute Teachers

• Wages used on claims.• Eligibility? Week by week during school year.

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UI Modernization

• ARRA legislation• Option 1, $5.8 million

• Alternative Base Period• Implemented 2009

• Option 2, $11.7 million• Part-time workers• Additional training – $800,000 cost.

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Don Kattke - Unemployment Insurance Director (605) 626-2452 Sharon Schnabel, Deputy UI Director (605) 626-2452Mike Buske - Tax Administrator (605) 626-2312

www.sdjobs.org

DOL Staff Contacts

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Gerry Davis - Benefits Administrator (605) 626-2452James Marsh - Director of Labor and Management

(605) 773-3681Rebecca Stoltenburg - New Hire Reporting Manager

(888) 827-6078

www.sdjobs.org

DOL Staff Contacts