As of October 1, 2025, the maximum weekly unemployment benefit in New York will increase from $504 to $869. This is the first increase since 2019, as the state’s unemployment trust fund had a federal debt from the COVID-19 pandemic. 

Key details about the unemployment increase:

·        Maximum weekly benefit: The cap will be raised to $869, an increase of over 70%.

·        Effective date: October 1, 2025.

·        Funding and trust fund: The 2025 state budget included using up to $8 billion from rainy-day funds to pay off the federal debt and return the trust fund to solvency.

·        Benefit indexing: After the initial increase, the maximum benefit will be indexed annually at 50% of the state’s average weekly wage.

·        Employer tax relief: Paying off the federal debt will also eliminate the annual “Interest Assessment Surcharge” for New York businesses.

·        Striking workers: The budget agreement reduces the waiting period for striking workers to receive unemployment benefits from three weeks to two. 

2023 New York State Unemployment Notice Requirement

Beginning November 13, 2023, the law will require every employer who is obligated to contribute to the unemployment insurance system to notify their employees about their right to apply for unemployment benefits, when applicable.

That statute will now require employers to provide specific notifications to employees regarding their potential eligibility for unemployment benefits.

New York employers have already been expected to provide employees with a Record of Employment upon separation, the law will now require notification in more situations that don’t necessarily involve termination of employment.

When Is the Unemployment Notice Required?

Employers must provide this unemployment notice:

  • At the time of each permanent or indefinite separation from employment.
  • During a reduction in hours.
  • During a temporary separation.
  • For any other interruption of continued employment resulting in total or partial unemployment.

Unfortunately, the above terms are not specifically defined in the amended statute.

What Should the Unemployment Notice Include?

The required notice must be in writing and should be on a form either furnished or approved by the New York Department of Labor.

The notice must contain:

  1. Employer’s Details: This includes the employer’s name and registration number.
  2. Address for Communication: The notice should specify the address of the employer to which any request for remuneration and employment information regarding the employee should be directed.
  3. Additional Information: Any other information as required by the Department of Labor should also be included.

So far, the DOL has not yet released the required notice form. It is hoped that when it does so, the DOL will better explain the circumstances where notice must be provided short of permanent employment separation.

Implications for Employers

This new unemployment notice provision emphasizes the state’s commitment to ensuring that employees are well-informed about their rights. For employers, it means:

  • Being Proactive: Employers should be ready with the required forms and processes in place by November 13, 2023.
  • Training HR Teams: HR teams should be trained to understand the nuances of the new unemployment notice provision and ensure compliance.
  • Avoiding Penalties: Non-compliance could lead to negative consequences regarding unemployment claims. It’s crucial for employers to adhere to these new unemployment notice requirements diligently. (Horton PLLC)

NYS Assembly Bill

NYS Unemployment Website

Advice on Fighting Unemployment Claims

When Should Employers Contest Unemployment Claims?

  • Serious Misconduct or Voluntary Quit:
    Employers should generally only contest claims if the employee was terminated for serious misconduct (such as theft, violence, or repeated policy violations) or if the employee quit without a compelling reason. Contesting claims in other situations can be time-consuming and may not be successful.
  • Clear Documentation:
    Only proceed if you have solid documentation supporting your case, such as written warnings, termination letters, or evidence of policy violations.

Why Employers Should Rarely Fight Claims

  • Cost vs. Benefit:
    While unjustified claims can increase your unemployment insurance costs, fighting every claim is rarely cost-effective. Most HR experts recommend contesting only in clear-cut cases of misconduct or fraud.
  • Employee Relations:
    Aggressively contesting claims can harm your reputation and employee morale. It’s often better to reserve challenges for the most egregious cases.

How to Contest an Unemployment Claim

  1. Respond Promptly:
    When you receive notice of a claim, respond within the required timeframe and provide all requested information.
  2. Present Evidence:
    Be prepared to present evidence that the employee was terminated for misconduct or quit without good cause. This may include documentation of the employee’s duties, violations, and any warnings given.
  3. Participate in Hearings:
    If the claim is appealed, you may need to participate in a hearing. Bring witnesses and documentation to support your case.
  4. Be Honest and Consistent:
    Ensure all statements and evidence are truthful and consistent with previous records. Inconsistencies can undermine your credibility.

Best Practices

  • Maintain Thorough Records:
    Keep detailed records of employee performance, disciplinary actions, and reasons for separation.
  • Evaluate Each Case Individually:
    Assess the merits of each claim before deciding to contest. Blanket opposition to all claims is discouraged.
  • Consult Legal or HR Experts:
    When in doubt, seek advice from HR professionals or legal counsel to ensure compliance with state laws and best practices.
StateMaximum Unemployment BenefitState Agency Website and Phone Number
Alabama$275/weekAlabama DOL
(334)242-8025
Alaska$370/weekAlaska DOL
(907)269-4700
Arizona$240/weekArizona: How to Apply for UI
(877)600-2722
Arkansas$451/weekArkansas DOL
(501)682-2121
California$750/week through September 6, 2021
After this, it will come down to $451/week
California DOL
1(800)300-5616
Colorado$918/week through September 6, 2021
After this, it will come down to $618/week
Colorado DOL
(303)318-8000
Connecticut$949/week through September 6, 2021
After this, it will come down to $649/week
Connecticut DOL
(203)941-6868
Delaware$700/week through September 6, 2021
Then it will come down to $400/week
Delaware DOL
1(800)794-3032
D.C.$744/week through September 6, 2021
After this, it will come down to $444/week
D.C. DOES
(202)724-7000
Florida$275/weekFlorida DEO
1(833)352-7759
Georgia$365/weekGeorgia DOL
1(877)709-8185
Hawaii$948/week through September 6, 2021
After this, it will come down to $648/week
Hawaii DOL
Oahu: (808)586-8970
Hilo: (808)974-4086
Kona: (808)322-4822
Maui: (808)984-8400
Kauai: (808)274-3043
Idaho$463/weekIdaho DOL
(208)332-8942
Illinois$784/week through September 6, 2021
After this, it will come down to $484/week
Illinois DES
1(800)244-5631
Indiana$690/week through September 6, 2021
After this, it will come down to $390/week
Indiana DOL
1(800)891-6499
Iowa$481/weekIowa Workforce Development
1(866)239-0843
Kansas$788/week through September 6, 2021
After this, it will come down to $488/week
Kansas DOL
1(800)292-6333
Kentucky$852/week through September 6, 2021
After this, it will come down to $552/week
Kentucky Career Center
(502)875-0442
LouisianaLouisiana Workforce Commission
1(866)783-5567
Maine$745/week through September 6, 2021
After this, it will come down to $445/week
Maine DOL
1(800)593-7660
Maryland$730/week through September 6, 2021
After this, it will come to $430/week
Maryland DOL
Contact Info
Massachusetts$1,123/week through September 6, 2021
After this, it will come down to $823/week
Mass DUA
1(877)636-6800
Michigan$662/week through September 6, 2021
After this, it will come down to $362/week
Michigan Department of Labor and Opportunity
Contact Info
Minnesota$1,040/week through September 6, 2021
After this, it will come down to $740/week
Minnesota Unemployment Insurance
1-877-898-9090
Mississippi$235/weekMississippi DES
601-321-6000
Missouri$320/weekMissouri DOL
Contact Info
Montana$872/week through June 27, 2021
After this, it will come down to $552/week
Montana Unemployment Insurance Division
406-444-2545
Nebraska$440/weekNE Works
855-995-8863
Nevada$769/week through September 6, 2021
After this, it will come down to $469/week
Nevada DOL
Contact Info
New Hampshire$427/weekNew Hampshire Workforce Connect
1(800)852-3400
New Jersey$1,013/week through September 6, 2021
After this, it will come down to $713/week
New Jersey DOL
Contact Info
New Mexico$811/week through September 6, 2021
After this, it will come down to $511/week
New Mexico Workforce Connection
Contact Info
New York$804/week through September 6, 2021
After this, it will come down to $504/week
New York DOL
1(888)581-5812
North Carolina$650/week through September 6, 2021
After this, it will come down to $350/week
North Carolina DES
1(888)737-0259
North Dakota$618/weekNorth Dakota DOL
(701) 328-4995
Ohio$498/weekOhio Department of Job and Family Services
1(877)644-6562
Oklahoma$539/weekOklahoma ESC
1(800)555-1554
Oregon$973/week through September 6, 2021
After this, it will come down to $673/week
Oregon Employment Department
1(877)345-3484
Pennsylvania$872/week through September 6, 2021
After this, it will come down to $572/week
Pennsylvania Office of Unemployment Compensation
Contact Info
Rhode Island$886/week through September 6, 2021
After this, it will come down to $586/week
Rhode Island DLT
(401)415-6772
South Carolina$326/weekSouth Carolina Department of Employment and Workforce
1(866)831-1724
South Dakota$428/weekSouth Dakota Department of Labor & Regulation
(605)626-2452
Tennessee$275/weekTennessee Department of Labor & Workforce Development
1(877)813-0950
Texas$535/weekTexas Workforce Commission
1(800)628-5115
Utah$580/weekUtah Workforce Services
(801)526-9675
Vermont$831/week through September 6, 2021
After this, it will come down to $531/week
Vermont DOL
1(877) 214-3332
Virginia$678/week through September 6, 2021
After this, it will come down to $378/week
Virginia Employment Commission
Contact Info
Washington$1,144/week through September 6, 2021
After this, it will come down to $844/week
Washington Employment Security Department
1(800)318-6022
West Virginia$424/weekWorkforce West Virginia
1(800)379-1032
Wisconsin$670/week through September 6, 2021
After this, it will come down to $370/week
Wisconsin Department of Workforce Development
(608) 266-3131
Wyoming$508/weekWYUI
(307)473-3789

If the employee is the one asking for time off, though, the requirement is not triggered. This can include a leave of absence, vacation, parental leave, personal leave, or any other type of paid or unpaid leave.

https://gusto.com/resources/articles/benefits/covid-state-unemployment-insurance-benefits

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