ALASKA – Tax Rate Classes Remain the Same or Decrease, Taxable Wage Base Increases
Alaska unemployment insurance tax rate classes 10-20 will see a reduction in tax rate, ranging from 1.0% to 1.16%. Meanwhile, classes 1-9 will remain at 1.0% and class 21 – the penalty rate – will remain at 5.40%. New employer rates, which vary by industry, will decrease from 2023, ranging from 1.00% to 1.16%.
The taxable wage base for the state will increase to $49,700, up 5.5% from $47,100 in 2023.
CYBER SECURITY, FRAUD REMINDER – Xfinity Data Breach
A recent data security event impacting Xfinity and nearly 36 million of its customers is another reminder to remain vigilant in protecting your personal information and be aware of the subsequent fraud that can occur after a large breach, including unemployment fraud.
It is important for both employers and employees to remain alert regarding identity theft claims. Employers who receive a request for separation information for employees who are still active and working should be reminded that these claims represent potential identity theft. Reach out to your employees to confirm that they did not file for benefits. Employees should remain on the lookout for any communication from unemployment state agencies indicating they have filed for benefits and should contact both their employer and the state directly to ensure benefits are not collected with their personal information.
MICHIGAN – Tax Rates Remain the Same
The Michigan UIA announced that they will mail 2024 tax rate notices on December 28, 2023. Rates for experience rated employers will remain the same, ranging from 0.06% to 10.3%. Rates include the following: maximum chargeable benefits component (up to 6.3%), maximum non-chargeable benefits component (up to 1.0%), and maximum account building component (up to 3.0%).
New employer rates will be 5.0% for construction industry employers and 2.7% for all other employers.
NORTH DAKOTA – Tax Rate Update, Taxable Wage Base Increases
North Dakota employers will see both reserve ratio ranges and rates for the year change to varying degrees, including a decrease for most employers, both positively and negatively rated. Rates will range from 0.08% to 1.21% for positive rated employers, while negative rated employer rates will range from 6.08% to 9.68%. New employer rates will decrease to 9.68% for construction industry employers and 1.09% (positive balance) and 6.08% (negative balance) for all other employers.
The taxable wage base for the state will increase to $43,800, up 7.4% from $40,800 in 2023.
OREGON – Tax Rates Increase
Driven by wage growth, including higher wages and higher benefit amounts, the Oregon Employment Department self-balancing formula dictated the unemployment tax schedule be moved from schedule II to schedule III for 2024. Most employers will see an increase in tax rates, with rates ranging from 0.9% to 5.4%, along with a new employer rate of 5.4%.
RHODE ISLAND – Tax Rates Remain the Same or Decrease, Taxable Wage Base Increases
Once again, Rhode Island employers will have tax rates determined by Schedule G, with rates ranging from 1.1% to 4.4% for positive employer reserve percentages and 5.0% to 9.7% for negative employer reserve percentages. The new employer rate will once again decrease, down to 1.0% from 1.09% in 2023 and 1.19% in 2022. All rates include a 0.21% Job Development Assessment (JDA).
For most employers, the taxable wage base will increase to $29,200, up 3.5% from $28,200 in 2023. However, for employers at the highest tax rate, the taxable wage base will increase to $30,700, up 5.1% from $29,200 in 2023.
TENNESSEE – Disaster Unemployment Assistance Available in Four Counties
After severe weather swept through the middle Tennessee area on December 9, 2023, Davidson, Dickson, Montgomery, and Sumner counties were included in the Major Disaster Declaration by FEMA on December 13 and impacted individuals who live in, work in, or travel through these counties may be eligible for Disaster Unemployment Assistance (DUA).
The disaster period starts on 12/10/2023 and ends on 06/15/2024. Applications must be submitted by 01/16/2024. Individuals can apply for DUA at www.jobs4tn.gov or by calling 1-877-813-0950 Monday through Friday between 8:00 AM and 4:30 PM. CST. Individuals filing online should specify that their applications are related to the damage caused by severe storms, straight-line winds, and tornadoes.
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.
