1. Managing Unemployment Insurance Costs for School Districts
Presented by
DeGroot Management Services
2017

2. Agenda History of Unemployment Insurance
Monetary Qualifications/Eligibility
Reasonable assurance
Types of Separations
Voluntary
Discharge NO Misconduct v. Discharge Misconduct
Elements of Misconduct
Hearings and Appeals
Questions

3. History of Unemployment
First instituted in the United Kingdom in 1911 by over two million were collecting as a result of economic hardships.
In Canada employees pay 1.78% of earnings into the system. In US it is an employer funded system.
In the US Unemployment Insurance started in Wisconsin in Now all 50 states plus DC, Puerto Rico and the Virgin Islands have adopted UI.

4. History of Unemployment
Unemployment is a federal state program jointly financed through federal and state employer taxes.
In most states, employees do not pay for
Unemployment Insurance benefits, however, money
received is classified as a social welfare benefit and
included in the taxpayers’ gross income. Only three
states (AK, NJ, and PA) collect taxes from employees
under certain conditions.

5. History of Unemployment
The original intent of Unemployment Insurance was to provide temporary benefits to people:
Out of work through no fault of their own
Who were ready, willing, and able to work

6. Monetary Qualifications
An unemployed worker can qualify for benefits only if the individual has worked in covered employment and earned a minimum amount of wages in the base period.
The claimant’s base period is used to determine the claimant’s weekly benefit rate. It includes all wages from all employers in the specified period determined by the State.

7. Eligibility Be totally or partially unemployed
Be able to work and available for work and actively seeking work, and be registered for work searches with the State.
Have the necessary wage credits for work in covered employment during the base period

8. Reasonable assurance
Benefits are not payable for services for an educational institution during the period between academic years, when there is a contract or a reasonable assurance that the individual will perform services in the next academic term.
“Reasonable assurance” means a written or verbal agreement, an agreement between an employer and a worker understood through tradition within the occupation, or an agreement defined in an employer’s policy. Some states consider written, verbal or implied understanding.

9. Reasonable assurance
Benefits are not payable based on services during an established and customary vacation period or holiday recess if the individual performs any services in the period immediately before the vacation period or holiday recess and there is a reasonable assurance that the individual will perform any service in the period immediately after the vacation period or holiday recess.

10. Voluntary Separation Voluntary
This is an action initiated by the employee.
Can be with or without good cause.
The burden of proof is on the claimant to show they quit with good cause. Some examples of good cause:
For reasons attributable to the employer (must take reasonable steps to preserve job
Illness or injury or illness or injury of child/spouse

11. Voluntary Separation Supervisors should always attempt to:
Get a written letter of resignation stating the reason for the resignation.
Be able to show continuing work was available.
Conduct a short exit interview whenever possible.

12. Discharge No Misconduct
This is an action initiated by the employer and in most cases the employee will collect Unemployment Insurance Benefits.
Two types of Discharge No Misconduct
Lack of work (temporary or permanent)
Poor Job Performance

13. Discharge No Misconduct
Poor Performance
True, poor job performance means the employee was not able, qualified, or capable of doing the job. (“the wrong person for the job”).
There is a very big difference between “poor job performance” and a refusal to follow rules and/or policies and procedures.

14. Discharge Misconduct
This is an action initiated by the employer, for cause. The “burden of proof” lies totally with the employer to prove misconduct existed. The Key to the employer prevailing in Misconduct separation is DOCUMENTATION.

15. Reasons for Misconduct Discharges
Failure to follow instructions or work rules
Attendance
Absenteeism
Tardiness
Insubordination
Dishonesty
Gross Misconduct (Theft, Workplace Violence)

16. Supporting documentation
The employer must always be prepared to support any separation with documentation.
This includes but not limited to:
Written warnings
Time sheets/schedules
Policies & Acknowledgements
Written statements
Falsified Documents

17. Elements of Misconduct
Rule
Any reasonable policies or procedures that the employer has communicated through postings, handbooks, or verbal instructions. Written policies work best as they provide the best documentation. THE EMPLOYER MUST SHOW THAT THE EMPLOYEE SIGNED FOR THE EMPLOYEE HANDBOOK WHICH CONTAINED A SPECIFIC POLICY WHICH WAS VIOLATED
Verbal Warning
Verbal notification that an employee’s actions are not acceptable and that continued similar actions will not be tolerated. The employee’s job is in jeopardy. The employer must site the specific policy which was violated.

18. Elements of Misconduct
Final Warning
Always written, tells the employee that his actions have placed his/her job in jeopardy. This is the last chance before separation results. The employer must site the specific policy which was violated.
Final Incident
That action which causes the employer to terminate an employee. All misconduct separations must have a final incident!

19. Elements of Misconduct
Termination
The discharge of an employee for a series of related events.
At any stage, the employer should always attempt to obtain an explanation from the employee
After the separation has occurred, the supervisor should always complete an employee separation form. This form should be placed in the employee’s personnel file.

20. Required Elements in a Warning
Name of the employee (do not include SS#)
If progressive discipline is used, the number or warning issued. Indicate if it is the first, second, or third warning and if it is a verbal or written.
Record the date.
The Facts
Only the facts, not opinions or feelings and do not draw conclusions.

21. Considerations What rule or policy was violated?
What is the next step?
a. Warning, suspension?
b. Indicate the job IS in jeopardy. (not could or may)
Agree or disagree?
a. Allow the employee to respond.
Sign and Date.
a. If the employee refuses to sign, write on the warning “refused to sign”.

22. Mistakes Employers Make
Never use the word Attitude. Never use the words “Poor Performance” instead of misconduct and the actual facts surrounding the corrective action. Address the employee immediately after the incident and warn as early as possible.

23. Mistakes Employers Make
Double check for correct information.
Dates, times, or incidents. If any information is incorrect, the claimant may put doubt in the adjudicators mind about employer credibility.
Do not use the words “Poor Performance”, “Poor Attendance”, or “Attitude”. Do not give opinions or feelings, just the facts.
The employer does not follow the corrective discipline steps, as written in the employee handbook.

24. Mistakes Employers Make
The employer gives the employee another chance without acknowledging the current incident.
Sometimes too many warnings are issued or too many incidents are outlined in the termination or warning notice.
The employer terminates the employee without confronting the claimant about the final incident. The employer terminates the employee without investigating the reasons given by the employee in the final incident.

25. Hearings and Appeals Requesting a hearing How To Prepare
Hearing Rules and Procedures
Documents
What Happens if you Cannot Attend
Appeals

26. Requesting A Hearing
Must be submitted within the required number of days from mailing date of the initial determination. (varies by state) Appeal must be written and state why you are objecting to the claimant being awarded benefits. Should contain the specific final incident, any previous warnings and any policy/procedure that was violated.

27. How To Prepare
Determine who should be the witnesses & who should be the
representative.
Primary witness must have first hand knowledge of the
final incident that led to separation
Gather all pertinent documents & review the hearing file
Know First & Last Day Worked/ Position/Title/Rate of Pay
How did their employment come to an end?
Send all parties copies of anything you may want
to have admitted to the record. In-person – bring copies
Typical hearing : 30 minutes to 1 hour

28. How to Prepare - Witnesses
It is very important to your case to have first hand witnesses to the final incident available to testify at the hearing.
Hearsay evidence is admissible, but not given greater weight than first hand testimony, and you can’t cross examine a document!
Could get a negative inference from the Hearing Officer without it.

29. Hearing Rules & Procedures
Opening Statement by Hearing Officer-reviews procedure. The hearing is recorded.
All testimony must be relevant to the issue before the Hearing Officer.
Witnesses may be sequestered.
Opportunity to question witnesses limited to the issue. No leading questions during direct, only during cross. Start with who, what, when, why, and where
Opportunity to cross examine claimant and their witnesses. During cross examination you are not allowed to testify or argue with the claimant

30. Hearing Rules & Procedures
Some states allow each party to make a “closing
statement” – not a time to reargue the facts, just sum up
why the Hearing Officer should rule in your favor.
The Hearing Officer will then “close” the hearing.
Once the hearing is closed, the Hearing Officer can
have no further discussions with either party.
You will receive a written decision and either party may
appeal the decision.

31. If You Cannot Attend
No matter which party requested the hearing, it is very important that you attend the first scheduled hearing date. If you cannot attend a hearing, notify the Hearing Officer as soon as possible to request a postponement and explain why you need one. If a party requests a hearing and fails to appear, the initial determination will be adopted by the Hearing Officer by default. Be prepared to show good cause as to why you did not appear for the originally scheduled hearing if you are granted a postponement.

32. After The Hearing The Hearing Officer decides how the Law will apply
to the facts presented by the parties
Many times they will determine who they
believed testified more credibly
If you won …… CONGRATULATIONS!
If you lost, you have the right to appeal!

33. Appealing File the Appeal timely
Request a copy of the Hearing transcript
Your Appeal must be written
No new evidence or testimony is allowed
Your argument must be based upon the record
from the Hearing and why you feel the Law was
not applied correctly

34. Remember
Documentation is the key to stopping unnecessary Unemployment Insurance claims and charges.
Documentation can also provide the employer with the necessary evidence to defend themselves against other actions by past, as well as current, employees.
Prepare for your hearing in advance, make sure you have a clear timeline of events and have all necessary witnesses and documents.

35. Questions?

36. THANK YOU!! Thank you for attending! JoLynn Haresign, SHRM-CP
Client Relationship Manager
DeGroot Management Services, Inc.