Managing unemployment claims is tedious and requires focused, specialized expertise. If you don’t have a system in place to capture information or lack expert guidance, you may struggle to overcome compliance-related challenges, putting your business at risk for monetary penalties and higher insurance costs.
Unemployment claims management challenges
Difficulties inherent in processing unemployment claims include:
- Keeping up with compliance obligations for each state (53 state-level tax jurisdictions)
- Understanding legislative changes
- Knowing when and how to handle protests and appeals
- Responding completely and on a timely basis to agency requests
- Managing activities that generate tremendous overhead for performing routine tasks
How a compliance solution can help address these challenges
Compliance solutions that are highly intuitive and backed by a team of experienced professionals can help you reduce the risk, cost and burden of managing unemployment claims on your own. Look for providers, like ADP SmartCompliance®, who have finely tuned processes and offer the following:
- Document handling
- Claims processing
- Appeals preparation
- Hearing representation
- Benefit charge audits
- Benefit wage audits
- Tax rate audits
- Voluntary contribution analyses
Why should I purchase a compliance solution to manage unemployment claims?
Without the structured workflows and integrated quality assurance steps that you’d get with a compliance solution, managing unemployment claims can be burdensome and costly. Keep in mind that you must respond to 100% of unemployment claims even if you’re not disputing benefit payouts. Failing to meet this standard of integrity can result in administrative and monetary penalties. What’s more, if you don’t respond to requests for information in a timely manner, you may lose your right to fight future unemployment claims or charges.
For more information on how ADP SmartCompliance can help you manage unemployment claims and other human capital management (HCM) compliance processes, download our guidebook.