SF2224 Summary

• Modifies employer penalty exceptions for overpaid unemployment benefits by requiring a pattern of failure to respond to information requests before penalty waiver applies, effective July 1, 2013.

• Changes fraud overpayment collection procedures by crediting 62.5% of penalty payments to the contingent account and 37.5% to the trust fund, effective July 1, 2013.

• Reduces the earnings deduction rate from 55% to 50% for applicants with earnings less than their weekly benefit amount, effective July 1, 2013.

• Shortens the fraud overpayment cancellation period from 15 years to 10 years and limits fraud determinations to benefits paid within the four years preceding the determination.

• Prohibits employers from making agreements with employees to not contest unemployment benefits in exchange for employee separation or withdrawal of grievances, effective July 1, 2012.

• Updates experience rating history transfer procedures for business acquisitions and adds penalties for successor employers failing to notify the commissioner, effective July 1, 2012 (penalties effective July 1, 2013).