Unemployment Insurance for Workers

and Compliance

Unemployment insurance is a joint federal/state program that

provides temporary financial assistance for eligible workers

who have lost their job through no fault of their own. It provides

temporary compensation to unemployed workers who meet

certain eligibility requirements under State law. Unemployment

insurance is provided for a specified period of time or until the

worker finds another job.

This article provides information about the eligibility conditions,

compensation information, how to file a claim and compliance

requirements for employers.

Duration and eligibility

Unemployment benefits vary by state. It is best to check with the

State Employment Office to determine eligibility for benefits.

Most states provide benefits for up to 26 weeks.

Eligibility for unemployment compensation is determined by

state laws. Most states have requirements for wages earned or

time worked during an established period of time known as the

base period.

Compensation (amount paid as unemployment insurance)

The law of the state determines unemployment compensation.

Wage assistance varies based on an individual’s previous earnings.

States use different calculations to determine the amount to be paid.

Some states consider the worker’s prior annual earnings made from

previous employment, others consider the worker’s earnings during

two quarters of the base period or during the highest paid quarter.

Some states provide additional unemployment benefits to workers

with dependents.

Each state has an upper limit on the total weekly benefit amount. In

many cases, the compensation is half the individual’s previous

earnings, up to a maximum amount that is often based on the

average earnings in the state.

What the applicant has to do

As soon as an individual becomes unemployed he/she must file

a claim with the State Employment Service/Department of

Labor. In some states, the applicant can file a claim by telephone

or over the Internet, others accept a specified form by mail.

The applicant should file an unemployment claim with the state

where he/she has worked. If the applicant has worked in

multiple states or has worked in a state other than the one where

he/she lives, it is best to contact the state unemployment office

where the applicant resides now to determine how to file a claim

with other states.

When the applicant files a claim, he/she must provide certain

information such as the applicant's full name, mailing address,

names and addresses of previous employers, date of

employment, and prior earnings. Information must be complete

and accurate to avoid delays in the claim process.

Compliance with unemployment insurance laws

Employers must comply with unemployment insurance laws of

their state. Most states require employers to display a notice

stating that the company is covered under the unemployment

insurance laws of the state. The poster should explain how to

apply for benefits as well as the rights and responsibilities of

employees.

Labor laws can change from time to time. In such a reality,

employers must comply with them and must display the

recently updated labor law posters. This is because, whether it is

deliberate or otherwise, noncompliance results in liabilities for

employers.

Purchase compliance services

Employers should consider purchasing compliance services

from reputable labor law compliance services as they help

employers maintain compliance with federal/state laws.

Labor Law Center provides labor law poster & compliance

solutions to any size business, corporate resellers and

government institutions across the United States since 1999.

Labor law posters at Laborlawcenter.com make it easy for the

businesses to stay compliant with the latest labor laws and

regulations. Also, Laborlawcenter.com offers Texas labor law

posters. To learn more, visit our website.