Transcript UNEMPLOYMENT INSURANCE

UNEMPLOYMENT
INSURANCE
BENEFITS
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What is Unemployment Insurance?
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Federal/State program developed in the
1930’s
Designed to stabilize the economy
Benefits cannot be denied to claimant
unless we have evidence showing the
claimant is not eligible to receive them
Insurance - funded by employers through
payroll tax – NOT an entitlement program
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Partnership
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The UI Program is a partnership between
employers and the UI Division (UID)
Timely and detailed information from the
employers is vital to making the correct eligibility
decision
UID determines claimant eligibility for benefits
based on information provided and application of
UI laws and Administrative Rules
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Program Integrity continued
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Overpayments caused by:
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Employers not responding timely or
adequately prior to the initial determination
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New legislation 39-51-605 MCA
Failure to seek work
Failure to correctly report hours and gross
earnings
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Who Can File a Claim?
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Anyone can file a UI claim – anytime
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File online at UI4U.mt.gov, or
By Calling the Claims Processing Center
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406-444-2545 or 406-247-1000
UID determines if the claim is eligible.
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Base Period Wages
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UI claims are based on wages in the
claimants’ base period
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first four of the last five completed quarters
The claimant could have worked for you as
far back as 18 months, and wages you
reported quarterly would appear in their base
period
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Alternative Base Period (ABP)
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When a claimant does not have enough wages to
be monetarily eligible in the regular base period,
he/she can possibly use an ABP
The ABP is the last four completed quarters
The employer may be asked to provide the wage
information for the last quarter completed if they
haven’t been reported yet
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Base Period Information
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Wages reported during the base period or
alternate base period are used to determine
claimant’s benefit amount, and
Any employer who paid wages during the base
period of a claim is potentially chargeable for
benefits paid on the claim
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Weekly Benefit Amount
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In most cases the weekly benefit amount is
1% of the total base period wages
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Maximum benefit amount: $464 per week
Minimum benefit amount: $ 132 per week
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Duration of Benefits
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Claims last for one year from the week
filed
Maximum of 28 weeks of full benefits
Minimum of 8 weeks
Can draw benefits on the claim until their
monetary entitlement is exhausted or the claim
year ends – if continue to be eligible
Every UI claim has a waiting week
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Emergency Unemployment
(EUC08)
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Currently Montana has EUC benefits for
claimants that have exhausted their UI claim
These benefits are paid by the federal government
We currently have one Tier of emergency
benefits
EUC program is scheduled to expire 12/28/2013
EUC benefits are not chargeable to employers
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Non-”Monetary” Qualifications
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Able and available for full time work
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Actively seeking work – full time work unless
UID has allowed them to seek part-time, unless
job/union attached
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Actively registered with Job Service
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Must report refusals of work
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Job Attached
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If a claimant is not working at all, they can
be job attached if they will be returning to
30 hours or more a week and there is at
least an estimated date of return, or
If the claimant is working part-time, they
can be job attached if they will be returning
to full time (40) hours per week est. date
Employer can elect not to job attach a
claimant
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Partial Benefits
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Working Part-time
Claimant worked less than their customary
hours per week and earned less than two times
the weekly benefit amount
 Claimants are required to report hours and
gross earnings on the payment requests
 Claimants receive a reduced benefit based on
reported earnings. Benefits are reduced by
$0.50 for each dollar earned over ¼ of their
weekly benefit amount
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Customary Hours
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Individuals who regularly work less than full time (40
hours/week) are considered to be fully employed during
any week they work their customary hours or more
Customary Hours are a calculation of the average number
of hours available to the claimant per week during their
base period
Base period employers are asked to provide the hours the
claimant worked each week of the base period plus hours
available but not worked due to weather conditions,
holidays, sick or personal leave
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Unpaid Leave of Absence
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Leave of Absence (LOA) must be requested by
the claimant and approved by employer
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An administrative leave imposed by the employer is a
suspension for UI purposes
Claimant is not considered separated from the
employment
Claimant is ineligible to receive benefits unless
the LOA is due to an on-the-job injury
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LOA continued
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If the claimant doesn’t return to work at the
end of the LOA, a separation has occurred
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If work is not available – layoff
If claimant chooses or is not able to return –
quit
If the employer doesn’t let the claimant return
to work – discharge
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Unpaid Suspension
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If the claimant is placed on a suspension,
benefits are denied for up to the first 2
weeks of the suspension
If the suspension last longer than 2 weeks,
the suspension becomes a discharge for UI
purposes
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Suspension – Employer
Information
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Dates the claimant was suspended
If the suspension is paid or unpaid
If the claimant is expected to return to work
for you
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Separations Investigated by UI
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Last employment
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No matter when that separation occurred
Any employment within six weeks prior to
the initial or reactivation date
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There can be multiple separations during this
period and all the separations must be found
to be non-disqualifying for the claimant to be
eligible to receive benefits
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Separations
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In order to allow benefits when a separation has
occurred, UI Law requires:
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If the claimant quit the job, the reason for quitting
must be attributable to the employment
 With a few exceptions
 Claimants bear the burden of proof
If the claimant is discharged, the reason for discharge
must be for misconduct as defined by UI law
 Employer bears the burden of proof
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Examples of Qualifying Separations
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Lay off due to a lack of work
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Lay off/end of a temporary job or contract
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Quit for work related reasons
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Discharge for reasons other than misconduct –
regardless of probationary period
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Temporary Employment
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Completion of the agreed upon assignment,
contract, or project – layoff - lack of work
If the claimant leaves prior to the agreed
upon end of the work – quit
If the employer terminates the employment
prior to the agreed upon end date –
discharge
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Valid Notice
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If a claimant gives a valid notice of
leaving, but the employer lets them go
prior to the end of the notice period, the
separation is considered a quit
If an employer gives a valid notice of
termination (discharge/layoff), but the
claimant leaves prior to the end of the
notice period, the separation is considered a
discharge
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Quit for Work Related Reasons
Benefits May Be Allowed
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If the claimant can show things like:
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Adverse working conditions
Change in working agreement
On-the-job injury
Did not receive pay
A compelling reason in itself, is not sufficient to
show good cause. The claimant must show they
gave their employer a reasonable opportunity to
correct the problem prior to leaving
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Employer Documentation
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Document employee complaints/concerns
Include what steps you took to resolve the
problem
If you could not resolve the problem
explain why
If you conducted an investigation of the
problem, document that in the employee
file – what you did and the result
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Quit for Personal Reasons
Benefits May Be Denied
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To move
To accept or seek other work
To care for a family member
Child care or transportation problems
Dissatisfaction with working conditions
Not given promotion
Conflict with supervisor or co-worker
After reprimand
Distance to work – unless the job site moved and that is
not normal to the occupation
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Allowable Personal Reasons
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Domestic violence
Quit to follow military spouse
Leaves temporary work to immediately
return to their regular employer
Leaves work because of being ordered to
military service of less than 6 weeks
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Quit Requalification
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A quit disqualification can be ended if:
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The claimant has worked and earned 6 times
their weekly benefit amount, in employment
covered by UI, after the disqualifying
separation occurred
If the claimant has attended school for 3
consecutive months at an accredited
educational institution after the separation
occurred
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Personal Medical Quit
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If the claimant was unable to work due to a
medical condition for 7 consecutive work days, it
is considered a medical quit.
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If the claimant was advised to leave by a licensed and
practicing health care provider, and
They have been released to return to their previous or
similar position without restrictions, and
They check back with the employer and offer to
return to work but no work is available
Disqualification can be ended
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Medically Unsuitable
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If the medical condition is permanent or
long term and the claimant’s health care
provider advised them to change
occupations or work environments, the
work is no longer suitable for the
individual and benefits can be allowed
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Discharge for Misconduct
Benefits May Be Allowed
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Missing money or items
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Absence or tardiness that claimant could not
control
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Employer not able to show claimant took the missing money or
items
Illness
Weather related
Employer’s statement not provided
Unintentional property damage
Inability to do the job satisfactorily
Seeking other work
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Discharge for Misconduct
Benefits May Be Denied
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Refused to perform work as instructed
Absent, failure to notify employer
Excessive absence or tardiness within their control
Decline in the quality of work
Rude or offensive behavior
Conduct on the job
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Off Duty Conduct
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In order for off duty conduct to be determined as
misconduct, the conduct must:
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Significantly and adversely affect the claimant’s
ability and capacity to perform job duties; and
Significantly and adversely affect the employer’s
business to a substantial degree
Connection between the misconduct and its affect on
the employer’s business must be reasonable and
discernible. Speculation is not sufficient
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Discharge Requalification
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A discharge disqualification can be ended
if:
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The claimant has worked and earned 8 times
their weekly benefit amount, in employment
covered by UI, since the disqualifying
separation occurred
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Employer Documentation
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Detailed description of the final incident
that directly led to the discharge – including
what happened, when, who was involved and
witness statements if possible
Company Policy – if the discharge was for a
violation of a company policy, you must provide
a copy of the policy and documentation showing
the claimant was aware of the policy
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Warnings
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Warnings can be verbal or written but the
same components should be documented:
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A description of the incident that led to the
warning
Date of the incident
Date the warning was issued
Expectations for correction of that particular
problem, and
The consequences if the problem continues
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Warnings continued
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Written warnings should:
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Be signed and dated by the person issuing the
warning
Ask the employee to sign and date an
acknowledgement that they received it – even if they
don’t agree with it. (giving them an opportunity to
respond to it can work in the employer’s favor)
Good idea to have a witness present who can attest to
the fact that the warning was issued
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Warnings continued
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Remember warnings must have
consequences attached to them or they are
just discussions
Discussions (formal or informal) for ongoing training or performance
enhancement are not warnings
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Employer Tips
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Company policies are great, but they should be
reasonable and they must be followed
If you do not follow your policy, your actions or
inaction overrides the policy and sets the
expectations for your employees
If your policy says termination will occur after 7
absences, but the 7th absence is not within their
control, UI will not consider the discharge to be
for misconduct
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Gross Misconduct
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A criminal act other than a traffic violation for
which the claimant:
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has been convicted in a criminal court, or
has admitted ,or
conduct that demonstrates a flagrant and wanton
disregard of and for the rights, title or interest of a
fellow employee or the employer
Theft of property or funds - $100 or more
constitutes gross misconduct for UI purposes
Disqualification is for 52 weeks
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Separation Investigations
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Claims Examiners contact employers by phone,
fax or mail to obtain separation information
Information from you is vital to making the
correct eligibility determination
If you fail to respond timely or adequately,
without showing good cause for your late or
inadequate response, you risk losing your
interested party status and if an overpayment
results, it will not be credited to your account
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Good Cause
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Reasonably compelling circumstances
which did not result from an act or
omission on the part of the person claiming
good cause and which could not be
overcome by reasonable diligence on the
part of the person
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Employer Responses
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Be sure you answer all the questions that
are asked
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Even if you don’t think the question applies
Provide details – dates are extremely
important
Saying something like the final incident
was for poor performance is not sufficient
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Need details – what happened, when etc.
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What to Provide…
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When a claim is filed, provide all separation
information, including copies of disciplinary
actions and policies
Address the issue that resulted in the termination
– the final incident
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Even if there was an accumulation of incidents, there
must be a final incident that finally led you to decide
to discharge
Prior warnings/incidents should be related to the
actual reason for discharge
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Questions to Answer
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Tardiness and/or Absence
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How many times the claimant was tardy
and/or absent, including dates, and the
reasons the claimant gave for each incident
The procedure the claimant was given for
notifying your business of tardiness and/or
absence, and if the claimant followed that
procedure
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Drug or Alcohol Violation
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Describe how you determined the claimant
was under the influence of drugs or alcohol
Provide a copy of the company Drug/Alcohol
Policy
If the claimant was tested, explain why (preemployment, suspicion, post accident etc.)
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Drug or Alcohol continued
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If the test was for a pre-employment
requirement, explain why you allowed the
claimant to work prior to receiving the test
results
Benefits cannot be denied if the claimant
failed or refused to take a drug/alcohol test
unless the employer’s drug/alcohol testing
policy meets the requirements of state law or
federal regulations
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Drug or Alcohol continued
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If the claimant’s position does not meet the
definition of an employee who can be
drug/alcohol tested under the law, benefits
will not be denied unless the employer can
show the claimant’s behavior/performance
meets the definition of misconduct
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Theft
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Provide evidence to show:
Theft occurred
 The claimant was responsible for the theft
 Witness statements
 Charges have been filed
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Job Performance
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Describe the job the claimant was hired to do, and the
training you provided, including dates
The length of time the claimant worked in the job
If the claimant had done the job satisfactorily in the
past, describe the circumstances that led to a decline
in the quality of work
If the claimant was given a chance to improve,
explain and provide supporting documentation
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Loss of License or Insurability
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Describe the job requirements, and if the
claimant met those requirements at the time
of hire, or what efforts were made by the
claimant to meet the requirements
Describe the incident(s) that led to the loss of
license or insurability and subsequent
discharge, and how it affected your business
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Witness Statements
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Witness statements must be
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Signed and dated
In their own words
Include what they witnessed, when etc
Must be shared with the claimant to give
them an opportunity to respond to the
information
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Employer Accounts
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Experience Rated Employers
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Governmental Employers
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For profit employers
Funding comes from a governmental source
Reimbursable Employers
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Non-profit organization that qualify for a
501(c) (3) exemption with the IRS
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Proportional Charging
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Employers are charged based on the percentage
of wages paid as compared to the total wages paid
by all employers in the claimant’s base period
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If ABC Company paid 78 percent of the wages in the
claimant’s base period, they are potentially
chargeable for 78 percent of the benefits paid on the
claim
If your account is chargeable and another
employer’s account is relieved of charges, the
percentage your account is charged does not
change
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Governmental Employer
Charge Relief
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Charges are relieved if:
The claimant is still working at the time the
claim is filed and there is no reduction in
hours or wages or the
reduction is less than
10%
You will be asked to provide information for the
4 weeks prior to and the 4 weeks following
the effective date of the claim.
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Appeal Process
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Initial Determination
Re-determination
Hearings Bureau
Board of Labor Appeals (BOLA)
District Court
Supreme Court
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Programs In Place
To Detect Fraud
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Claims Investigations - quarterly
Tips – uid.mt.gov for fraud reporting form
Cross-matches
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Workers Comp
Jail
New Hire Report & rehires after more than 60
days
State Employees – when completed we will crossmatch state employees every payday
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Providing Information to
Unemployment Insurance
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Claims Processing Centers
 Helena
(406) 444-2545
 Billings
(406) 247-1000
 Fax: (406) 444-2699
Fraud investigation:
 Earnings: Jamie Valvoda (406) 444-1765
Sy Sundsted
(406) 444-2937
 Jerry Lord(406) 444-1709
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Questions?
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General Unemployment Insurance Benefit questions
 [email protected]
 Employer Charging
 (406) 444-0399
 UID DLI.UID.MT.GOV/Tax
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