New York Employers Face Surcharge to Cover State's UI Interest Payments
New York employers have been informed that they must pay an "interest assessment surcharge" of up to $21.25 for each employee to cover interest payments on money the state borrowed from the federal government to keep its insolvent unemployment insurance program afloat.
The state Department of Labor's Unemployment Insurance Division is assessing employers a tax of a quarter of a percent on their total taxable payroll, up to $21.25 per employee.
The surcharge applies to private and public, nonprofit and for-profit employers whether they have recently let go workers or not.
According to the Syracuse Post Standard newspaper, the state needs $95 million to pay back Washington by the end of September. Employers must pay the surcharges by August 15.
Additional information may be found on the NY Department of Labor website at http://www.labor.ny.gov/ui/employerinfo/interest-assessment-surcharge.shtm.
