All posts by Legislative Update
Starting in October 2025, the maximum weekly benefit amount (WBA) for unemployment benefits will increase from $504 per week to $869 per week. Scheduled increases to the maximum WBA have been delayed for years because the state had an outstanding advance from a Title XII loan which was initiated to keep the New York Department of Labor Division of Unemployment’s trust fund solvent. The loan and interest were both paid in full recently so the new, higher WBA can now go into effect. Employers will also see an increase in the taxable wage base (TWB) for 2026 and a decrease in the unemployment tax rate schedule to be used for the 2026 tax rates. The taxable wage base for 2026 is $13,000 which represents an increase of $200 from 2025. The tax rate table to be used for 2026 is not yet finalized because it is based on the Size of Fund Index (SOFI) at the end of the rate fiscal year, which is September 30. Effective Date October 1, 2025 for the increase in the maximum WBA January 1, 2026 for the taxable wage base increase January 1, 2026 for the decrease in the tax rate schedule Implication to Stakeholders The substantial increase in the maximum WBA could negatively impact employers doing business in the state. This is a 72% increase in the weekly benefit amount. Since benefits paid from an employer’s fund balance have an impact on future tax rates, this increase could signal increases in tax rates for years to come. The increase in TWB may also mean an increase in taxes for employers doing business in the state starting in 2026. The decrease in the tax rate schedule for 2026 should mean lower taxes for employers however, that, coupled with the increase in the TWB could mean a wash for tax liability year over year (2025/2026). That remains to be seen. Recommended Action Employers should monitor their benefit charge statements and tax rates as soon as they are received to prevent unwarranted charges from hitting their account and increasing tax rates.
DHS Docket No. ICEB-2025-0001 This rule is currently in the proposal stage and has not yet taken effect. The federal government is accepting public comments during a 30-day window, which closes on September 29, 2025. The proposal to eliminate "Duration of Status" (D/S) for international students and scholars will create significant new challenges for employers managing Form I-9 compliance. This change would introduce a fixed expiration date for these individuals' lawful status, adding a new and critical tracking requirement for reverification that does not currently exist. Currently, F-1 students and J-1 exchange visitors are admitted to the U.S. for "Duration of Status." This means their Form I-94, Arrival/Departure Record, is marked "D/S" instead of a specific expiration date. For Form I-9 purposes, their permission to be in the U.S. is tied to their educational or exchange program. Employers verify employment authorization based on documents like the Form I-20 (for students), Form DS-2019 (for exchange visitors), and, when applicable, an Employment Authorization Document (EAD). The primary expiration date an employer tracks is typically the program end date on the I-20/DS-2019 or the "Card Expires" date on an EAD or work authorization date on I-20 page 2. The Proposed Change The Department of Homeland Security (DHS) has proposed replacing D/S with a fixed period of admission, generally not to exceed four years. This means that F-1 and J-1 nonimmigrants will be issued an I-94 with a specific expiration date. This date may be shorter than the student's program of study, especially if their passport has an earlier expiration date. How This Impacts Form I-9 Compliance This change introduces a new expiration date that employers must track for reverification, creating a significant new administrative burden and potential for compliance violations. The employee's lawful status in the U.S. could expire before their work authorization does, a scenario that is currently rare for this population. Conflicting Expiration Dates: The biggest challenge will be navigating situations where an employee's work authorization document is valid, but their underlying status, reflected on the new I-94, has expired. An employee cannot work without a valid underlying status, and this discrepancy could lead to compliance issues. The STEM OPT Employee: An employee presents a STEM OPT EAD that is valid for three (12 +24 months) years. However, their new I-94 record shows a fixed admission period that expires in just two years. Employers who only track the EAD expiration date could unknowingly employ someone who has lost their lawful status, resulting in a compliance failure. The Curricular Practical Training (CPT) Intern: You hire an F-1 student intern authorized for CPT, which is noted on their Form I-20. Under the proposed rule, if this student is admitted with a fixed-date I-94 that expires before their CPT authorization ends. You would be required to reverify the employee's status by the I-94 expiration date. The student would need to have filed for and obtained an extension of stay from USCIS to continue working, a process that is often lengthy and could create employment gaps. The J-1 Scholar: A research institution hires a J-1 scholar whose Form DS-2019 is issued for a three-year program. The scholar is admitted with a fixed I-94 valid for a period of four years. If the program is extended for a fifth year and a new DS-2019 is issued, the scholar must also apply for an extension of stay with USCIS to align their I-94 date. Employers must track this I-94 date and ensure the extension is approved to avoid interrupting employment, adding a USCIS-dependent step to a process previously managed by the sponsoring institution. Experian Employer Services is actively monitoring developments related to this proposed rule and will notify readers of any updates or changes as they occur.
Oregon HB 3024 changes an individual's maximum benefit amount after the individual is disqualified from UI benefits for termination cause.
Louisiana HB 153 adjusts work search requirements to reflect the ease of virtual job interviews and electronic applications for employment.
Employers should be aware of a new surcharge with Ohio HB 96 that goes into effect with the state's 2026 unemployment tax rates.
Montana MAR Notice 2025-29.1 clarifies language in statute around when a due date falls on a holiday or weekend and addresses appeal methods.
Hawaii HB 477 allows benefits to claimants on issues that it previously did not, such as during labor disputes.
Rhode Island SB 622 could increase employer responsibility for UI benefits paid if they have part-time workers until 2026.
Oregon SB 916 provides that an individual's UI benefits eligibility is not disqualified for any week unemployment is due to a labor dispute.
Oregon SB 143 revises Oregon's UI tax system by increasing the portion of employer tax rates used each calendar quarter for funding.
Louisiana SB 248 requires electronic filing for a notice of separation on the state's portal and delivered within 10 days to the employee.
Rhode Island HB 5448 changes the sunset for an increase in earnings a partial-UI claimant receives before being disqualified for UI benefits.
Oregon HB 2271 provides a credit against an employer's unemployment insurance taxes for calendar years 2025, 2026 and 2027 with conditions.
Connecticut SB 1312 Change Notification This measure reduces the amount of time an employer is allotted to protest quarterly unemployment benefit statements it believes are inaccurate. The protest deadline is reduced from 60 days to 40 days. Effective Date October 1, 2025 Connecticut Senate Bill 1312 Implication to Stakeholders Employers must be prepared to more quickly audit benefit charge statements upon receipt so they can meet the 40-day deadline for protest, if a protest is in order. Depending on the size of the organization, this could be somewhat difficult to accomplish. Recommended Action Employers should immediately review quarterly benefit charge statements for accuracy and protest any they believe are inaccurate.
The IRS confirms for employers no changes to payroll forms or federal withholding tables for 2025 under the OBBBA.
The One Big Beautiful Bill Act spans over 1,100 pages and introduces major reforms affecting employers and employees alike.
The “One Big Beautiful Act” introduces significant changes to employer payroll processes, including new withholding guidelines and reporting requirements.
The “One Big Beautiful Act” (OBBA) introduces sweeping changes to immigration enforcement, significantly impacting I-9 compliance and employer responsibilities.