DID YOU KNOW? MERGERS & ACQUISITIONS
Join Thomas & Company as we dive into the many facets of merger and acquisition activity and how it impacts your organization from top to bottom. This week, learn about the nuances of merger and acquisition activity and what questions to ask to ensure you remain in compliance.
Visit our website to learn more and keep an eye out as we post weekly to help keep you informed!
KENTUCKY – DISASTER UNEMPLOYMENT ASSISTANCE AVAILABLE
Disaster Unemployment Assistance (DUA) is now available to individuals who were affected by severe weather that impacted Kentucky beginning April 2. Benefits may be available to individuals who live or work in Anderson, Butler, Carroll, Christian, Clark, Franklin, Hardin, Hopkins, Jessamine, McCracken, Mercer, Owen, and Woodford counties.
As a reminder, DUA is an unemployment insurance benefit made available after a disaster and is only available to individuals who:
• Have applied for and used all regular unemployment benefits from any state, or do not qualify for unemployment benefits.
• Worked or were self-employed or scheduled to begin work or self-employment in the disaster area.
• Can no longer work or perform services because of physical damage or destruction to the place of employment as a direct result of the disaster.
• Establish that the work or self-employment they can no longer perform was their primary source of income.
• Cannot perform work or self-employment because of an injury as a direct result of the disaster.
• Became the breadwinner or major support of a household because of the death of the head of household.
Impacted individuals should visit the Kentucky Career Center website or call (502) 564-2900 to file an initial claim. The application deadline is June 23.
MASSACHUSETTS – REMINDER: BENEFIT DURATION INCREASE; EMPLOYERS MAY RECEIVE INFORMATIONAL MONETARY REDETERMINATIONS
As previously communicated, an increase in the unemployment rate within the Springfield area has triggered an automatic increase to unemployment benefit duration for individuals filing in Massachusetts. Under state law, an extension to benefit duration is automatically triggered when any of the Commonwealth’s seven metropolitan areas reaches or exceeds 5.1%. All other metro areas remain below 5%.
Until unemployment rates across the state fall back to or below 5.1%, those filing for benefits may be eligible for up to 30 weeks of benefits – but only if they are monetarily eligible for those 30 weeks, which the state reports many are not and qualify for less based on their historical wages.
Because of this change, beginning the week of May 5, 2025, the Massachusetts Department of Unemployment Assistance indicated that employers may begin to receive copies of monetary redeterminations sent to claimants with information about the extended benefits. These notices are informational only and no action is necessary, but they are not being sent in error.
NEW YORK – STATE BUDGET WILL PAY OFF ALL UI DEBT
Employers will receive financial relief after Governor Kathy Hochul agrees to fully pay off the state’s unemployment debt. Despite initial reservations where Governor Hochul indicated that the state would only pay off the interest associated with the UI debt, the decision was finalized, and the state has budgeted to fully pay off the state’s UI debt.
The debt, estimated between $6-$8 billion, had been accruing significantly since the pandemic. It will now be paid off, allowing the state to raise unemployment benefits (from $504 to $896/week) and relieve the current burden on employers.
If the debt was not repaid by November 10, 2025, employers could be responsible for up to an additional $161 per employee in Federal Unemployment Tax Act (FUTA) for Calendar Year 2025 in addition to the base tax ($42 per employee) all employers pay when there is no outstanding balance.
WASHINGTON – ADVOCATE GROUP AND BUSINESSES ASK GOVERNOR TO VETO STRIKE BENEFIT BILL
Last week, we reported that Washington Senate Bill 5041 passed both the state House and Senate, paving the way for striking workers to receive benefits. Under the Bill, striking workers could receive up to six weeks of unemployment benefits. Workers would be eligible the second Sunday after a strike begins plus the traditional waiting week.
While still awaiting review from Governor Bob Ferguson, the Association of Washington Business (AWB) and 29 Washington businesses cosigned a letter to the Governor requesting that he veto the Bill. The letter highlights key concerns, including the already perilous Trust Fund, that unemployment benefits are intended for individuals who do not have the opportunity to return to work, and that the bill will cost every employer directly as well as have a negative impact on the state’s economy.
Strategic Services organization UWC (Unemployment & Worker’s Compensation) also expressed concerns about the impact of the Bill.
Thomas & Company will continue to monitor all legislation as it makes its way through the legislative process.
