Iowa Workforce Development has announced that the 2010 unemployment rates will be based on Table 4; 2009 rates are based on Table 6. This move to higher rates is required to maintain the solvency of the Trust Fund used to provide unemployment benefits.
According to Director Elisabeth Buck, “Iowa Workforce Development is committed to maintaining the solvency of the Trust Fund while minimizing the effects felt by Iowa employers. The Department is continually working with Iowans receiving unemployment benefits to increase their skill sets and reduce barriers individuals may have for returning to work.”
In addition, the taxable wage base for 2010 has been announced. The wage base will increase to $24,500, up from $23,700 for 2009. Consequently, many employers will see contributions to the fund increase based on both the higher rate and the higher wage base.
Contact Vision Payroll with any questions on the Iowa unemployment insurance rates or wage base.