Does it cost an employer when an employee files for unemployment with NYS Department of Labor?
My boss keeps making comments about how expensive it would be if I filed for unemployment when they lay me off next month. They're acting like filing a claim would somehow hurt the company financially. Is this actually true? I thought unemployment was just government money but now I'm second guessing myself. Does the NYS Department of Labor charge employers when their former employees get benefits?
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Ravi Kapoor
Yes, employers do pay into the unemployment system through payroll taxes, and their rate can increase based on how many former employees file successful claims. It's called experience rating - companies with more claims pay higher rates. However, this shouldn't stop you from filing if you're eligible. You earned those benefits through your work.
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Isabella Oliveira
•So my boss wasn't lying? They really do get charged more if I file? I feel bad now but I also need the money to pay rent.
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Freya Larsen
Don't feel guilty about this! Employers pay unemployment insurance specifically for situations like layoffs. It's literally what the system is designed for. The NYS Department of Labor uses a formula based on the employer's claims history over several years, so one claim won't dramatically impact their rates. Your boss is probably just trying to discourage you from filing, which is pretty manipulative honestly.
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GalacticGladiator
•exactly this ^^^ my old company tried the same guilt trip when they had layoffs
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Omar Zaki
I had trouble reaching someone at NYS Department of Labor to ask about this exact situation last year. If you need to speak with an agent about your eligibility or how employer costs work, I used claimyr.com after getting frustrated with busy phone lines. They have a video demo at https://youtu.be/qyftW-mnTNI showing how it works. Made it much easier to get through and get real answers about my claim status.
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Chloe Taylor
•How much does that service cost though? I'm already worried about money if I get laid off.
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Omar Zaki
•It was worth it for me since I couldn't get through on my own after dozens of attempts. Way less stressful than spending hours on hold just to get disconnected.
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Diego Flores
Your boss is being manipulative. Companies budget for unemployment costs as part of normal business operations. The rate increases are gradual and spread across multiple years. Don't let them guilt you out of benefits you've earned. File your claim as soon as you're laid off and ignore their comments about costs.
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Isabella Oliveira
•Thank you, I needed to hear this. I was starting to think maybe I shouldn't file at all.
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Anastasia Ivanova
ugh employers always try this guilt trip BS. mine did the same thing when our whole department got eliminated. like sorry not sorry, you laid us off, we're filing for UI benefits. that's literally what unemployment insurance is FOR
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Diego Flores
I work in HR and can confirm what others have said - yes, employers do pay unemployment taxes and their rates can go up based on claims, but that's literally the whole point of the system. Your boss paying into unemployment insurance is like paying car insurance - you hope you never need it, but when you do, that's what it's there for. The rate increases are also capped and calculated over multiple years, so one claim isn't going to bankrupt them. Don't let your employer guilt you out of benefits you've legitimately earned. If they're laying you off, file your claim right away.
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