You do realize that employees do not pay into the unemployment system, right?
" Do employees pay into unemployment tax?
Employers are fully responsible for unemployment taxes . Unlike other salary deductions, employees do not contribute to unemployment tax payments . Businesses make payments for FUTA through their federal payroll tax contributions. For SUTA , through state payroll tax contributions.Aug 28, 2019"
If you were “paying into the system” you were getting ripped off.
It is paid into based on the labor that I provided.
It is part of the compensation that I sell my labor for.
So, yes… I paid into it.
Uh huh. Whatever makes you feel better dude.
If UE insurance was profitable, you could buy it on the private market.
No no it’s not. It’s typically based on the number of employee’s a company has.
No it’s not. Based on number of employee’s and number of employee’s they’ve had in the system.
Your employer paid into it NOT you.
It isn’t meant to turn a profit.
It is meant to draw on in situations like this.
And you don’t pay for it.
It is part of the value of the labor that I sell.
Since is is a product that is born out of that, it is part of the compensation for my labor that is paid to me in lieu of wages.
Unemployment insurance exists because of labor.
Of course I do.
It is worked into the calculations of my compensation for selling my labor.
Nope. In the value of the business model, and the product or service they sell. The company needs bodies to fulfill that value (of the business model and the demand for product/service). Your contribution to that can be terminated and replaced at any time.
No it’s not. It’s factored into the price of the product/service your company sells.
That I will agree to.
Must be one hell of a company where it’s employee’s tell the boss what their pay will be.
Unemployment insurance is part of labor costs.
It is a cost incurred in lieu of direct monetary compensation.
Since is it a cost that is paid to labor it is a cost that earned by labor.
You assume that if they didn’t have that cost, it would go to you the worker. They could lower the cost of their goods/service. Or they could keep it as a higher profit margin.
That is neither here nor there.
It is a cost that is incurred by hiring labor and thus is a cost that is earned by labor.
I have never for the life of me understood why people refuse to understand the full value of their labor.
Yes it is
It’s essentially a tax on the business that has very little to do with your labor. As I mentioned if the tax went away, only a 1 in 3 chance you would get the extra money.
Not many people every work for what they think their time is worth.
The “tax” is tied to labor.
That part is not in dispute.
It doesn’t matter if that tax went away whether or not it will go to labor… it goes to labor now.
It is a labor cost. It is earned by labor.
Tax is tied to number of employee’s, number of times company has had claims filed against it, and a few other things.
Partially in dispute. They also base the rate the company is charged on how many claims have been filed against it. That’s why companies fight claims so much (and you know the attorney fee’s are another issue that causes wages to be lower and or product/service prices higher).
Nope. The price the company charges for a product – some of that price goes to you as a labor expense. Some goes to the state as a tax expense.
If it were only based on the number of employe’s yes it would. It is only partial labor costs due to some of the rate being dependent on claims.
The expense that goes into unemployment is a labor expense.
Since it is an expense for labor, it is a payment to compensate Labor for selling their time and skills.
It is a labor cost that earned by labor.
There is no way to get around it.
IF any bailout of states is made, it should only be for extra expenses due to the virus crisis. If a state has financial problems due to other expenditures, then no. They need to cut those expenditures or raise taxes. Therefore, make such payments on a per capita basis, not a “we ran out of money” basis.
And there should be certain reporting requirements…including that the money was spent on American citizens, not travelers or, worse, people here illegally.
State aid?
Last time I checked states had taxing authority and could bail themselves out.
No State Bailouts!
