Legislation Said to Position State for Continued Economic Recovery
“Without this legislation employers would have seen an average increase of $228 per employee,” said Governor Patrick. “We want to encourage a positive climate for employers and by signing this bill we are helping to position the state for continued economic recovery.”
Employer Contributions Tied to Trust Fund Levels
Employer contributions into the UI Trust Fund are tied to the amount of reserves in the trust fund. By law, a scheduled increase was triggered on January 1, 2011, which would have caused an increase in the average contribution per employee of $228 for 2011. In order to reduce costs for Massachusetts businesses, Governor Patrick and the Legislature agreed to freeze the contribution at a lower rate schedule (Schedule E). This measure will not impact benefit levels or eligibility for persons currently collecting unemployment benefits.
Notice of Employer’s Unemployment Insurance Contribution Rate for 2011 to Be Released
Now that the legislation has been passed, the Massachusetts Division of Unemployment Assistance (DUA) is expected to release through QUEST the Notice of Employer’s Unemployment Insurance Contribution Rate for 2011. This notice contains information on each employer’s contribution rates, including the following:
- Unemployment Insurance (UI) Rate,
- Universal Health Insurance (UHI) Rate,
- Workforce Training Fund (WTF) Rate, and
- Experience Rating
Contact Vision Payroll for Further Information
Contact Vision Payroll for further information on the unemployment tax rate schedule in Massachusetts for 2011.