Post by Logan on Jun 3, 2016 20:04:17 GMT -6
Labor Has So Far Collected $54,000 From Delinquent Businesses, Plans Rigorous Enforcement Of Unemployment Insurance Fund
ST. THOMAS — Department of Labor Commissioner Catherine Hendry on Wednesday said D.O.L. had already collected just over $54,000 from businesses that have over the years failed to make payments into the territory’s Unemployment Insurance Fund. Although she recognized the amount as small, D.O.L. is promising a rigorous enforcement campaign, and revealed that some employers owed between $60,00 up to $300,000. Senator Jean Forde, chairman of the Committee on Education and Workforce Development, stated that he would like to know the businesses that are owing, and whether they were receiving assistance from the government.
The talk during yesterday’s Senate hearing, held at the Earl B. Ottley Legislative Hall here following a whirlwind Department of Education hearing in the same committee, set a confrontational tone, if not intentionally, between D.O.L. and the private sector, the latter having assailed the former following errors D.O.L. made when it sent out delinquency letters to businesses, startling recipients.
Ms. Hendry revealed yesterday that D.O.L. sent out “upwards of 64 letters” in error to businesses that were not owing the U.I.F. And the department plans on introducing what Ms. Hendry dubbed an “experience rating” to D.O.L.’s U.I.F. formula, which would see employers who rarely layoff workers paying lower rates into the fund, as compared to companies that often make redundant their employees.
The move is part of D.O.L.’s strategy to pay its $70 million U.I.F. debt to the federal government, which the department had depended on for loans, as the fund — following the 2008 recession that severely affected the territory with unemployed claims rising by 75 percent, according to D.O.L. — was unable to keep up. The economy was dealt another blow in 2012 with the closing of HOVENSA, causing claims to climb again.
Read more: viconsortium.com/business/labor-collects-54000-from-delinquent-businesses-plans-rigorous-enforcement/
ST. THOMAS — Department of Labor Commissioner Catherine Hendry on Wednesday said D.O.L. had already collected just over $54,000 from businesses that have over the years failed to make payments into the territory’s Unemployment Insurance Fund. Although she recognized the amount as small, D.O.L. is promising a rigorous enforcement campaign, and revealed that some employers owed between $60,00 up to $300,000. Senator Jean Forde, chairman of the Committee on Education and Workforce Development, stated that he would like to know the businesses that are owing, and whether they were receiving assistance from the government.
The talk during yesterday’s Senate hearing, held at the Earl B. Ottley Legislative Hall here following a whirlwind Department of Education hearing in the same committee, set a confrontational tone, if not intentionally, between D.O.L. and the private sector, the latter having assailed the former following errors D.O.L. made when it sent out delinquency letters to businesses, startling recipients.
Ms. Hendry revealed yesterday that D.O.L. sent out “upwards of 64 letters” in error to businesses that were not owing the U.I.F. And the department plans on introducing what Ms. Hendry dubbed an “experience rating” to D.O.L.’s U.I.F. formula, which would see employers who rarely layoff workers paying lower rates into the fund, as compared to companies that often make redundant their employees.
The move is part of D.O.L.’s strategy to pay its $70 million U.I.F. debt to the federal government, which the department had depended on for loans, as the fund — following the 2008 recession that severely affected the territory with unemployed claims rising by 75 percent, according to D.O.L. — was unable to keep up. The economy was dealt another blow in 2012 with the closing of HOVENSA, causing claims to climb again.
Read more: viconsortium.com/business/labor-collects-54000-from-delinquent-businesses-plans-rigorous-enforcement/