In this economic climate it is no secret that reimbursers are looking for ways to cut unemployment costs. Some best practices to keep in mind include:
Send All Details at the Claim Level
Winning claims at the first level will save money since reimbursers do not automatically receive benefit credits if a decision is reversed at the hearing level. Hearings can take 4-6 weeks to get scheduled and a decision rendered. This means you would pay 4-6 weeks of benefits you might not get back.
For Schools: The Importance of Reasonable Assurance Letters
An overriding consideration in determining employees’ eligibility for UI benefits is whether or not they have “reasonable assurance” of returning to work in the next school term. We continue to recommend that the “reasonable assurance” be in written form. Having these letters distributed before the end of the school year can result in more favorable decisions and avoid the need for a hearing.
Continue to Manage Your Human Resources Wisely
Practices such as performing good reference checks before hiring and following an employee’s progress from the moment the person is hired is critical. See previous blog serious on The Hiring Process - "Part I - Reviewing the Job Application", "Part II - Test Skills" and "Part III - The Interview".
Provide Timely Information to the State
An untimely response will result in loss of appeal rights and you being charged for benefits collected. Ensuring timeliness when contesting unemployment claims can save you money. There is usually only a 10-day timeframe to reply before benefits go through.
Proper Management of Layoffs
It is never a good time to lay someone off. Helping severed employees find another job through coaching or reviewing their resume is beneficial to the employee as well as the employer. The less time individuals remain unemployed the lower the employer’s cost will be. See previous blog "What Should be the Focus of your Unemployment Cost Management Program".
Tammy Mullin