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Department of Labor

Your Notice of Experience Rating Charges: Frequently Asked Questions

Q: What is the Notice of Experience Rating Charges?

A: The Notice of Experience Rating Charges shows unemployment insurance (UI) benefits:

  • Paid to your former employees and
  • Charged to your account
Review these notices carefully because these charges could increase your UI rate in future years.

Non-profit organizations, government entities and Indian tribes that have chosen the benefit reimbursement option should review the Notice of Benefit Reimbursement Charges to ensure:

  • Benefits were properly paid, and
  • Charges are correct

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Q: What is the minimum benefit rate?

A: The minimum benefit rate eligible claimants can receive is $104 as of January 2020.


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Q: What is the maximum benefit rate?

A: The maximum benefit rate is currently $504.


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Q: Why is there a charge to my account? An employee left my company some time ago under conditions that should disqualify this person from receiving benefits.

A: We base a claimant’s eligibility to receive benefits on the reason for separation from the last employment prior to filing the claim.

An employer may protest charges to its account based on a claimant’s reason for separation, such as misconduct or voluntarily leaving without good cause.

We must receive the protest within 10 calendar days of the Notice of Potential Charges.  Charges to your account are correct if:

  • You do not protest in a timely manner, or
  • The reasons for the employee leaving were not disqualifying
For questions, contact the Telephone Claim Center at 888-890-5090.


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Q: This employee did not work for me long enough to qualify for UI benefits. Why is there a charge to my account?

A: The claimant had other employment that was also used to establish the valid claim. The last employer the claimant worked for, before filing a claim for benefits, is charged for the first seven weeks of benefits paid to the claimant. The remaining weeks of benefits charged to employers are prorated among all of the base period employers the claimant worked for.


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Q: The claimant only worked for us on a part-time basis. Why is there a charge?

A: The law does not distinguish between full-time, part-time, seasonal, probationary or temporary employment for UI purposes.


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Q: We just bought this company. This claimant worked for the prior owner. Why is there a charge to my account?

A: The claimant worked for the prior owner whose business you acquired. By law, you are chargeable for benefits paid to the prior owners' former employees.


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Q: This claimant worked for us almost two years ago and left us to work in another state. Why is there a charge now?

A: The claim was filed in another state under the Interstate Plan for Combining Wage Credits. It is an agreement between several states, including New York, which permits claimants to use employment in more than one state to establish a benefit claim. Claims are subject to the laws of the state where they are filed. We receive quarterly billings from the paying state for New York's share of benefit payments. Then we charge the account of the New York employer.


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Q: The amount of money we were charged seems to be more than what we paid. Why is this?

A: We charge the first seven full weeks of benefits to the account of the claimant's last employer before filing the claim. After that, we charge benefits to the accounts of base-period employers proportionally. Charges are in proportion to the ratio of wages each employer paid the claimant during the base period to the total base period wages.

If you have paid the claimant a total amount less than or equal to six times the claimant's benefit rate, you need to return your original Notice of Potential Charges (LO 400) to the Claims Center within 10 days of receiving the notice.


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Q: The claimant worked for us during weeks for which we were charged at the full benefit amount. What should we do?

A: Please respond to the IA 96 Notice of Experience Rating (or Benefit Reimbursement Charges) within 30 days of the Notice to indicate the correct number of days the claimant worked for each week that is incorrect on the notice.

Write:
New York State Department of Labor
PO Box 15130
Albany, NY 12212-5130

OR

Call 888-890-5090

If the claimant worked less than four days and earned $504 or less per week, then the claimant would still be eligible for partial benefits.

If the claimant worked more than three days per week or earned more than $504 per week, then you should call or write:

New York State Department of Labor
PO Box 15130
Albany, NY 12212-5130
518-457-2635


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Q: The claimant had worked for us on a full-time basis and now works part-time. Why is there a charge?

A: Partial benefits can be paid for any week when the claimant works no more than three days and earns no more than the maximum benefit rate. This is currently $504.


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Q: Does the "week ending" notation mean period of employment or unemployment?

A: It means unemployment. For UI purposes, a week begins on Monday and ends on Sunday.


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Q: My business is no longer in operation. Why is there still a charge?

A: Even though you closed your account, you will continue to receive charge notices for your review if we pay benefits to your former employees.


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Q: What happens if I am late in responding to a notice of potential charges or a questionnaire, but it was not my fault?

A: An employer must respond timely and with adequate detail to our requests for information in order to be relieved of charges for benefits paid to employees who are later determined to be ineligible for benefits.

However, if there was a good reason ("good cause") you did not respond timely and with adequate detail to our request for information, we may be able to relieve the charges to your account, but only once. Good cause includes any significant event that you could not reasonably have anticipated which affects your ability to respond in a timely manner. In addition, you must give us adequate detail so we can make a determination as to whether or not the former employee is eligible for benefits.


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Q: Which document(s) do I need to respond to in a timely and adequate manner?

A: Employers must respond timely and adequately to the following documents, including but not limited to:

  • Notice of Potential Charges (form LO 400);
  • Various questionnaires;
  • Notice of Experience Rating Charges (form IA 96); and
  • Report of Employment (form LO 11)

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Q: What happens if my representative does not respond timely or adequately on my behalf?

A: You are accountable for the actions of your agent, so your account would be charged.


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Q: How many days will I have to respond to a request for information that you send me?

A: The Department of Labor must receive your response within the number of calendar days specified in the written or verbal request. We recommend that you respond via fax. We also encourage you to look into the State Information Data Exchange System (SIDES) system, which allows you to respond to our requests for information electronically. For more information about SIDES, please check our website at www.labor.ny.gov/ui/employerinfo/sides-overview.shtm.


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Q: Do employers get a second chance after the first time that their response to a request is late and/or insufficient?

A: Under certain circumstances, employers will not be relieved of charges a second time unless the response was late because of a Department of Labor error or the President or Governor has declared an emergency or disaster and the cause of the delay is directly related to the emergency or disaster.


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Q: How will the Department of Labor determine if the information is adequate?

A: Most requests for information relate to the reason(s) your former employee(s) lost employment, but there may be others. For your response to us to be considered adequate, it must:

  • Specify the reason(s) for the separation or other issue affecting the claimant's eligibility or entitlement for benefits;
  • Answer, in good faith, all questions in detail; and
  • Provide all relevant information and documentation for the Department of Labor to render a correct determination regarding the claimant's eligibility or entitlement for benefits.
Also, the Department of Labor may need to ask you follow-up questions after you completely fill out a questionnaire. If you fail to respond to our follow-up questions, you would then be considered to have not responded adequately to our request(s) for information.


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Q: I have questions or concerns about a claimant who is charged against my account.

A: If you have questions or concerns such as these:

  • I cannot identify this claimant.
  • I believe that this claimant's employment is not covered for UI.
  • I believe that this claimant is an independent contractor
  • I would like a further explanation of the benefits charged to my account.
Send them in writing to:

NYS Department of Labor
Unemployment Insurance Division
Liability and Determination Section
PO Box 15122
State Office Building Campus
Albany, NY 12212-5122

OR

Fax 518-485-6172

For more information on a claimant's eligibility to collect benefits, please see our
Employer's Guide to Unemployment Insurance Benefits.
For more information on your Experience Rating account, please see our Experience Rating publication.


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