Unemployment Services Corporation (USC) Offers Ten Tips that Can Save Companies Thousands in Unemployment Claims Overcharges

According to a report issued by the U.S. Department of Labor, more than 2,300 employers nationwide laid off 50 plus employees in November 2008. Unemployment Services Corporation (USC) says the news isn't about to get better any time soon. Economic analysts predict an additional 1 - 3 million layoffs during 2009.

"Even in times like these unemployment claims management typically doesn't get a lot of attention," observes Steve Camuso, President of Unemployment Services Corporation (USC). "Unless someone is carefully monitoring the state rates, claims and benefit charges, instead of rubber-stamping paperwork, an employer can wind up overpaying a significant amount in unmerited claims."

Here are ten best practices that USC says can make a real bottom-line difference:
1. When budgeting for a layoff prepare for the worst but hope for what is realistic. For the worst case multiply 50% of the weekly wage for each laid off individual times 30 weeks. 50% of the weekly wage (to a maximum of $628) is the weekly unemployment benefit rate and you can be charged for up to 30 weeks.
2. If paying severance or vacation, make sure that you report the amount if asked on the claim. Both will affect your costs. Signing a separation agreement will also determine when benefits will be charged.
3. Check the due date for responding on the claim. A late response will result in loss of appeal rights.
4. Respond immediately to calls from the state unemployment agency requesting information. You only have 48 hours before the state makes a decision based solely on what your former employee told them.
5. Complete all information corrected on the unemployment claim. Incomplete information will result in loss of appeal rights.
6. Examine each claim and correct any errors with your address and account number. Failure to do this could result in loss of appeal rights if the state approves the payment of unemployment benefits.
7. If you are an educational institution most employees should not collect unemployment between school breaks and summer recess. You have to complete the form correctly otherwise benefits could be paid.
8. Part time employees can file and collect if they tell the state they are available for full time work but you only have part time work for them. If they limit their hours of work let the state know and they will not collect unmerited pay.
9. Review your claims for accuracy. It is not unusual for the state to make an error in charging you when another company should have been charged.
10. For best results centralize the responsibility of processing unemployment claims with one individual, making sure he or she understands the importance of timely and accurate claims review, that separations must be investigated, phone calls must be returned in a timely manner, and that benefits need to be properly assigned.

About USC: Founded in 1976, Unemployment Services Corporation is a national unemployment services firm headquartered in Massachusetts. Unemployment Services Corporation.