The tidal wave of unemployment charges is about to land on many employers’ desks, and few are prepared to audit the sheer volume of claims charged to their account over the last few months. Employers have one last chance to sift through the claims and protest inaccurate or fraudulent claims that lead to escalating unemployment liabilities. To add salt to the wound, the time employers have to complete the audit is shrinking from weeks to days due to postal delays and slower administration processes. Employers with automation and systems in place to complete a meticulous audit in record time will eliminate unnecessary payments and unjustified increases in tax rates.
A Meticulous Audit is Required
When a former employee submits a claim for unemployment benefits, the employer receives a notice from the state that includes information on how to protest the claim. At the end of that quarter, a charge statement (often referred to as a Benefit Charge Notice) will then be mailed to the employer, and that lists all of the unemployment benefits paid to former employees in the previous three months. The notice includes items such as:
- Name of the former employee
- Social security number
- Amount of wages paid to the claimant in the base period of the claim
- Amount you are charged for the benefits paid to the claimant
- Any charge reversal credits
- Payment required (reimbursable employer’s only)
You must carefully review the charge statement and immediately submit an appeal before the deadline if you discover:
- Clerical errors
- Mathematical errors
- An individual on the list who was not an employee
- You have not received a response to your protest on an individual’s claim
- Charges appear when a non-charge determination was made
- A claimant listed has refused an offer of work from you
- You believe a claimant is currently working or otherwise not entitled to benefits.
Once you provide information on the inaccuracies, the state should reply with corrections or reasons for the charge.
Automation Saves Time and Money
Knowing what to look for and where to look for it is important, but doing the work with a high degree of accuracy and at record speed is what’s required, especially in times of crisis. Employers will simply not have enough time to comb through the volume of claims in the charge statement unless they have an automated system and processes to accomplish the task.
With digitized data, you can cross-reference your database including employment information, separation facts, historical claims, wage reports, and more. Work that normally takes hours to complete can now be done in a matter of minutes.
If preparations have not been made already, now is the time to get ready for the significant work effort that is just around the corner. If you don’t want to go it alone, consider working with a partner who can help you navigate through the challenges that lie ahead. Contact us today to learn more.