NYS Department of Labor - how does unemployment affect employers when filing claims?
I'm trying to understand something that's been bugging me. When I file for unemployment benefits through NYS Department of Labor, what exactly happens to my former employer? Do they get penalized or have to pay extra fees? My last boss made some comment about how filing UI claims 'costs them money' and I'm wondering if that's actually true or just them trying to discourage me from filing. I was laid off due to budget cuts so it's not like I did anything wrong. Just want to understand the whole process better.
9 comments


Isabella Costa
Your employer pays into the unemployment insurance system through payroll taxes. When you file a claim, it can affect their experience rating which determines their future tax rates. But don't let that discourage you - if you were laid off legitimately, you're entitled to benefits regardless of how it affects them financially.
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Hiroshi Nakamura
•Thanks, that makes sense. So they're not paying my benefits directly but their taxes might go up later?
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Malik Jenkins
Employers with higher claim rates do pay higher unemployment tax rates over time. That's why some try to contest legitimate claims or discourage filing. NYS Department of Labor investigates these contests though, so don't worry about filing if you qualify.
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Freya Andersen
•yep my old company tried to fight my claim even though they laid me off. waste of everyone's time
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Eduardo Silva
I had trouble reaching NYS Department of Labor when my employer contested my claim. Kept getting busy signals for weeks. Finally used this service called Claimyr (claimyr.com) that gets you through to an actual agent. They have a demo video at https://youtu.be/qyftW-mnTNI showing how it works. Really helped me get my case resolved quickly.
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Leila Haddad
•How much does something like that cost? Seems like you shouldn't have to pay extra just to talk to them.
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Eduardo Silva
•I thought the same thing but honestly it was worth it to get through instead of calling hundreds of times. The value is in actually reaching someone who can help.
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Emma Johnson
Don't feel guilty about filing! That's what the system is for. Your employer has been paying into unemployment insurance specifically for situations like layoffs. It's not coming out of their pocket directly.
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Hiroshi Nakamura
•You're right, I shouldn't feel bad about using a system that exists for this exact reason. Thanks for the reminder.
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