Does my ex employer pay for unemployment benefits in NYS?
I've been wondering about this since I got laid off from my warehouse job last month. Does my previous employer actually pay for my unemployment benefits, or does it come from somewhere else? I'm getting $350/week from NYS Department of Labor and my old boss made some comment about how it's going to cost him money. Is that true? I thought unemployment was like a government program. Also worried he might try to fight my claim because of this - he wasn't happy when I filed.
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Omar Farouk
Your employer doesn't directly pay your weekly benefits, but they do contribute to the unemployment insurance system through payroll taxes. Every employer in NY pays into the state unemployment fund based on their payroll and their experience rating. So technically yes, employers fund the system, but your specific benefits aren't coming directly from your old boss's pocket. The NYS Department of Labor pays you from the collective fund.
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Freya Andersen
•Oh that makes more sense! So he can't just refuse to pay my benefits then?
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CosmicCadet
employers pay unemployment insurance taxes quarterly and their rate can go up if they have a lot of former employees filing claims. thats probably why your boss was grumpy about it. but once you file with NYS Department of Labor, the employer cant just stop your benefits unless they successfully contest the claim
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Freya Andersen
•Can he contest it even if I was laid off? I didn't quit or get fired for cause.
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Omar Farouk
•Employers can contest any claim, but if you were legitimately laid off due to lack of work, they're very unlikely to win. NYS Department of Labor will review the circumstances and make a determination.
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Chloe Harris
I went through something similar last year when my retail job eliminated my position. My manager made similar comments about unemployment costs. What I learned is that employers with higher turnover and more UI claims end up paying higher tax rates to the state. It's like insurance - the more claims against them, the higher their premiums get.
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Diego Mendoza
If you're having trouble getting through to NYS Department of Labor to verify your claim status or ask questions about employer contests, I had success using Claimyr (claimyr.com). They help you get connected to actual agents when the phone lines are jammed. There's a video demo at https://youtu.be/qyftW-mnTNI that shows how it works. Really helped when I needed to check on my adjudication status.
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Freya Andersen
•Thanks for the tip! The phone lines are always busy when I try to call.
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Anastasia Popova
yeah my old job tried to fight my claim too even though they cut my hours to basically nothing. employers hate paying into the system but they still have to do it. as long as you keep filing your weekly claims and do your job search requirements you should be fine
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Logan Greenburg
Just to add some clarity on the employer contest process - even if your boss does try to fight your claim, you'll get a notice from NYS DOL if that happens and you'll have a chance to respond with your side of the story. Since you mentioned you were laid off from your warehouse job, that's typically considered "no fault" separation and should qualify you for benefits. Keep all your documentation from the layoff just in case, like any termination letters or emails about workforce reduction. The fact that your employer is grumpy about the cost doesn't change your eligibility if you legitimately lost your job through no fault of your own.
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