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How does unemployment work?

Discussion in 'Business Operations' started by K.Carothers, May 11, 2006.

  1. K.Carothers

    K.Carothers LawnSite Bronze Member
    Messages: 1,124

    At the end of the season, my workers will be off work for a couple of months. How does unemployment work?

    Does the business have to pay more?

    Do my rates go up?

    Any answers are greatly appreciated.

  2. Albemarle Lawn

    Albemarle Lawn LawnSite Bronze Member
    Messages: 1,544

    you should contact your local state employment commission.

    (Only if you are 100% legal and have paid, in full, unemployment insurance premiums as prescribed by your state laws). If you haven't paid any premiums to the state, don't call, you'll just be "reporting yourself" and will be assessed back premiums and penalties.

    In Virginia, your rates go up following a claim. Here, you pay higher rates for one year after a claim, then the commission reviews you again, and your rates may go back down if no more claims.

    BTW...here it does not apply to seasonal help. Seasonal workers are not eligible for off-season payments.
  3. 6'7 330

    6'7 330 LawnSite Bronze Member
    Messages: 1,821

    In Illinois ,a new employer is assigned an entry level rate,then you are assigned a rate based on your's, and the state's experience, then when you pay benefits it figured toward the rate you pay . As the other poster stated check with your Department of employment security.
  4. Evergreenpros

    Evergreenpros LawnSite Bronze Member
    Messages: 1,154

    In most states there are somewhat different criteria for getting benefits. Here in Washington "The job is too hard" gets you full benefits (Happened to me, kept the documentation as proof).

    What you have to look at is how the state defines seasonal and nonseasonal work. Since you're asking now, I take it you didn't hire them as seasonal? If you hire as seasonal or term employees, they PROBABLY won't qualify for benefits, which would make your unemployment rate go up. If you didn't hire them as seasonal and you lay them off, they will most likely qualify for benefits which make your rates go up. They will get the benefits as long as they are laid off or the maximum amount of time for benefits which is about 26 weeks.

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