US DOL Considers and Rejects ABC Test for Employee Classification
On Tuesday, October 11, 2022, the United States Department of Labor released a proposed rule designed to more specifically define the circumstances under which an individual may be classified as an employee or an independent contractor under the Fair Labor Standards Act. See 2022-21454.pdf (federalregister.gov). The proposal has been viewed by some commentators as intended to restrict the use of [...]
State CARES Act Program Reporting Failures May Raise Audit and Corrections Issues
On August 2, 2022 the US DOL Office of Inspector General (OIG) issued an Alert Memo from the Assistant Inspector General for Audit indicating that many states had not submitted reports required under the CARES Act or had reported no activity for periods in which the programs were in operation. See FINAL ALERT MEMO STATES COMPLIANCE CARES ACT (dol.gov) Although the USDOL [...]
Republican Leaders Introduce Bill to Avoid Unemployment Fraud and Recover Overpayments
On June 9, 2022, US House Republican Leadership announced legislation to improve the financing and systems used to address UI fraud, benefit integrity and overpayment recovery. The “Chase COVID Unemployment Fraud Act of 2022” includes the following provisions. Incentivizes states to recover fraudulent unemployment payments. • Allows states to retain 25 percent of federal funds recovered from federal COVID unemployment programs. [...]
States Planning to Reduce Employer Tax Burden from the Pandemic
The first quarter state UI contributions have been received for the most part, enabling states to increase state UI trust fund account balances, and pay off or pay down unemployment trust fund account loan balances. For states with outstanding loan balances there remains an amount of interest to be paid that is due on September 30, 2022. See https://www.treasurydirect.gov/govt/reports/tfmp/tfmp_advactivitiessched.htm Interest Payment [...]
Biden Administration Reviewing Proposal to Insert CMS advice into workers’ comp and liability case settlements
On March 1, 2022, the Office of Information and Regulatory Affairs released notice of its review of the CMS proposed rule that would “ensure that Medicare beneficiaries are making the best health care choices possible by providing them and their representatives with the opportunity to select an option for meeting future medical obligations that fits their individual circumstances, while also [...]
Rep. Danny Davis (D – IL) introduces Bill to Waive Interest on Federal Unemployment Loans
On March 3, 2022, Representative Danny K. Davis (D-IL) introduced the Continued Waiver of Interest on State Unemployment Loans during the Pandemic Act. This legislation would extend the waiver of interest payments on federal unemployment loans. Congress previously waived the interest on unemployment loans under Section 4103 of the Families First Coronavirus Response Act (FFCRA), https://www.congress.gov/116/plaws/publ127/PLAW-116publ127.pdf, and extended the waiver through September 6, 2021. However, many [...]