Lance's Corner

NYSDOL Issues UI Update for Employers

May 12, 2025

Per the notice below, the New York State Department of Labor (NYSDOL) has issued an update on State Budget changes for employers regarding unemployment insurance (UI) benefits.

Unemployment Insurance (UI) Trust Fund: Thanks to Governor Hochul, the fiscal year 2026 Budget will pay off the Federal UI loan and achieve solvency in the UI Trust Fund.  Paying off the debt will cut UI costs for businesses and increase the maximum UI benefit rate for claimants.  To learn more, visit Unemployment Insurance (UI) Trust Fund FAQ and see below.

Overview

The Unemployment Insurance (UI) Trust Fund began March of 2020 with a positive balance of nearly $2.5 billion.  Due to the COVID-19 pandemic and subsequent economic fallout, the balance was quickly paid out to New Yorkers, necessitating a loan from the Federal government to continue to pay eligible claims.  The Federal Unemployment Insurance Trust Fund debt peaked at $10.4 billion in March of 2021, and employer contribution rates have gone up each year since as the debt continues to be paid down.  As of May 2025, the debt is $5.7 billion.  Thanks to Governor Hochul, the fiscal year 2026 Budget will pay off the UI loan and achieve solvency in the UI Trust Fund.  Paying off the debt and making the fund solvent will cut UI costs for businesses.  Additionally, the 2026 Budget will increase the maximum UI benefit rate so that it better aligns with other states and change the taxable wage base to help build up reserves and stabilize the UI Trust Fund for the future.

Frequently Asked Questions

What is the Unemployment Insurance (UI) Trust Fund?

The UI Trust Fund pays unemployment insurance benefits to qualified individuals who are unemployed through no fault of their own, and ready, willing, and able to work.  It is funded through employer contributions on an annual, per employee basis.

How is the UI Program impacted by the 2026 Budget?

The 2026 Budget will:

  • Pay off the UI Trust Fund debt that was created by the COVID-19 pandemic in 2020.

  • Create a UI Trust Fund balance that will decrease the 2026 rates so that employers have a more affordable contribution rate.

  • Increase the taxable wage base to allow the state to build up reserves and stabilize the UI Trust Fund for the future.

  • Increase the Maximum Benefit Rate so that New York UI benefits are on par with other states’ unemployment benefits.

What do the changes in the 2026 Budget mean for New York’s workers?

Since 2020, the maximum benefit amount that an individual could receive when collecting UI was frozen at $504 per week because the UI Trust Fund was in debt.  Without State action, maximum benefits would not have increased until 2031.  By paying off the UI Trust Fund debt, and restoring the UI Trust Fund to solvency, the State is able to expedite the increase to the maximum benefit rate.  In October of 2025, the maximum benefit rate will increase to $869 per week, putting New York State on par with other states’ unemployment benefits and increasing support for job seekers receiving UI benefits.  Finally, the changes will allow the state to build up reserves in the UI Trust Fund, ensuring a safety net for New York’s workers in the future.

What does this mean for New York’s businesses?

Paying off the UI Trust Fund loan will put money back in the pockets of New York State business owners by eliminating the Interest Assessment surcharge for 2025, decreasing the UI contribution rates in 2026, and removing additional federal tax liability related to the loan.  By the State paying off the loan, employers will save an average of $100 per employee in 2026 and $250 in 2027.  Additionally, taxable wage base will be increased in 2026 to better align with the increases to the average annual wage.  This change will help increase the UI Trust fund reserves over time – keeping tax rates affordable for New York employers in the future.

USDOL Issues Comprehensive Employer Guidance on Long COVID

The United States Department of Labor (USDOL) has issued a comprehensive set of resources that can be accessed below for employers on dealing with Long COVID.

Supporting Employees with Long COVID: A Guide for Employers

The “Supporting Employees with Long COVID” guide from the USDOL-funded Employer Assistance and Resource Network on Disability Inclusion (EARN) and Job Accommodation Network (JAN) addresses the basics of Long COVID, including its intersection with mental health, and common workplace supports for different symptoms.  It also explores employers’ responsibilities to provide reasonable accommodations and answers frequently asked questions about Long COVID and employment, including inquiries related to telework and leave.

Download the guide

Accommodation and Compliance: Long COVID

The Long COVID Accommodation and Compliance webpage from the USDOL-funded Job Accommodation Network (JAN) helps employers and employees understand strategies for supporting workers with Long COVID.  Topics include Long COVID in the context of disability under the Americans with Disabilities Act (ADA), specific accommodation ideas based on limitations or work-related functions, common situations and solutions, and questions to consider when identifying effective accommodations for employees with Long COVID.  Find this and other Long COVID resources from JAN, below:

Long COVID, Disability and Underserved Communities: Recommendations for Employers

The research-to-practice brief “Long COVID, Disability and Underserved Communities” synthesizes an extensive review of documents, literature and data sources, conducted by the USDOL-funded Employer Assistance and Resource Network on Disability Inclusion (EARN) on the impact of Long COVID on employment, with a focus on demographic differences.  It also outlines recommended actions organizations can take to create a supportive and inclusive workplace culture for people with Long COVID, especially those with disabilities who belong to other historically underserved groups.

Read the brief

Long COVID and Disability Accommodations in the Workplace

The policy brief “Long COVID and Disability Accommodations in the Workplace” explores Long COVID’s impact on the workforce and provides examples of policy actions different states are taking to help affected people remain at work or return when ready.  It was developed by the National Conference of State Legislatures (NCSL) as part of its involvement in USDOL’s State Exchange on Employment and Disability (SEED) initiative.

Download the policy brief

Understanding and Addressing the Workplace Challenges Related to Long COVID

The report “Understanding and Addressing the Workplace Challenges Related to Long COVID” summarizes key themes and takeaways from an ePolicyWorks national online dialogue through which members of the public were invited to share their experiences and insights regarding workplace challenges posed by Long COVID.  The dialogue took place during summer 2022 and was hosted by USDOL and its agencies in collaboration with the Centers for Disease Control and Prevention and the U.S. Surgeon General.

Download the report

Working with Long COVID

The USDOL-published “Working with Long COVID” fact sheet shares strategies for supporting workers with Long COVID, including accommodations for common symptoms and resources for further guidance and assistance with specific situations.

Download the fact sheet

COVID-19: Long-Term Symptoms

This USDOL motion graphic informs workers with Long COVID that they may be entitled to temporary or long-term supports to help them stay on the job or return to work when ready, and shares where they can find related assistance.

Watch the motion graphic

A Personal Story of Long COVID and Disability Disclosure

In the podcast “A Personal Story of Long COVID and Disability Disclosure,” Pam Bingham, senior program manager for Intuit’s Diversity, Equity and Inclusion in Tech team, shares her personal experience of navigating Long COVID symptoms at work.  The segment was produced by the USDOL-funded Partnership on Employment and Accessible Technology (PEAT) as part of its ongoing “Future of Work” podcast series.

Listen to the podcast

HHS OIG Issues Annual Report on State MFCUs

Per the notice below, the Office of the Inspector General (OIG) of the United States Department of Health and Human Services (HHS) has issued its annual report on the performance of state Medicaid Fraud Control Units (MFCUs).

Medicaid Fraud Control Units Fiscal Year 2023 Annual Report (OEI-09-24-00200) 

Medicaid Fraud Control Units (MFCUs) investigate and prosecute Medicaid provider fraud and patient abuse or neglect. OIG is the Federal agency that oversees and annually approves federal funding for MFCUs through a recertification process. This new report analyzed the statistical data on annual case outcomes—such as convictions, civil settlements and judgments, and recoveries—that the 53 MFCUs submitted for Fiscal Year 2023.  New York data is as follows:

Outcomes

  • Investigations1 - 556
  • Indicted/Charged - 9
  • Convictions - 8
  • Civil Settlements/Judgments - 28
  • Recoveries2 - $73,204,518

Resources

  • MFCU Expenditures3 - $55,964,293
  • Staff on Board4 - 257

1Investigations are defined as the total number of open investigations at the end of the fiscal year.

2Recoveries are defined as the amount of money that defendants are required to pay as a result of a settlement, judgment, or prefiling settlement in criminal and civil cases and may not reflect actual collections.  Recoveries may involve cases that include participation by other Federal and State agencies.

3MFCU and Medicaid Expenditures include both State and Federal expenditures.

4Staff on Board is defined as the total number of staff employed by the Unit at the end of the fiscal year.

Read the Full Report

View the Statistical Chart

Engage with the Interactive Map

GAO Issues Report on Medicaid Managed Care Service Denials and Appeal Outcomes

The United States Government Accountability Office (GAO) has issued a report on federal use of state data on Medicaid managed care service denials and appeal outcomes.  GAO found that federal oversight is limited because it doesn't require states to report on Medicaid managed care service denials or appeal outcomes and there has not been much progress on plans to analyze and make the data publicly available.  To read the GAO report on federal use of state data on Medicaid managed care service denials and appeal outcomes, use the first link below.  To read GAO highlights of the report on federal use of state data on Medicaid managed care service denials and appeal outcomes, use the second link below.
https://www.gao.gov/assets/d24106627.pdf  (GAO report on federal use of state data on Medicaid managed care service denials and appeal outcomes)
https://www.gao.gov/assets/d24106627_high.pdf  (GAO highlights on federal use of state data on Medicaid managed care service denials and appeal outcomes)

CMS Issues Latest Medicare Regulatory Activities Update

The Centers for Medicare and Medicaid Services (CMS) has issued its latest update on its regulatory activities in the Medicare program.  While dentistry is only minimally connected to the Medicare program, Medicare drives the majority of health care policies and insurance reimbursement policies throughout the country.  Therefore, it always pays to keep a close eye on what CMS is doing in Medicare.  To read the latest CMS update on its regulatory activities in Medicare, use the link below.
https://www.cms.gov/training-education/medicare-learning-network/newsletter/2024-03-14-mlnc