Unemployment Insurance Law Summaries
Louisiana, Unemployment Insurance Law Summaries
Louisiana's unemployment insurance law is located in Chapter 11, Title 23, Louisiana Revised Statutes of 1950, as amended, Secs. 1471 to 1750.10; and in Rules and Regulations for the Administration of the Louisiana Employment Security Law, Rules 101 to 137 and 301 to 367. The full text of the law is available beginning at Unemployment Insurance Reports UI-LA ¶4001 .
DEFINITIONS
“Employer:” Payment of $1,500 or more in any calendar quarter in either the current or preceding calendar year, or employment of at least one individual for some portion of a day in each of 20 different calendar weeks. Generally, an employer who is subject to the FUTA is automatically an employer under the Louisiana law.
“Employment:” Service, including service in interstate commerce, performed for wages or under any contract of hire, written or oral, express or implied, with certain exceptions which are listed below. Self-employment is not included.
Service performed by individual for wages or under any contract of hire, written or oral, express or implied, constitutes employment unless and until it is shown that such individual is:
free from control or direction;
performing such service outside usual course of employer's business or outside all places of employer's business; and
customarily engaged in independently established trade, occupation, profession or business.
Generally, employment subject to the FUTA is automatically subject to the Louisiana law. Exclusions from employment are listed at below.
Louisiana law does not define “employee” .
“Wages:” All remuneration for services, including vacation pay, holiday pay, dismissal pay that the employer is legally required to make, commissions, bonuses, and the cash value of remuneration in any medium other than cash. Sick pay is included as wages by legislative interpretation. Sick pay paid by a third party is excluded only when those payments are attributed to the employee's own contributions. Tips are wages when they are received while performing services that constitute employment and are included in a written statement of the employer, including amounts designated as tips by customers who use credit cards.
Wages does not include remuneration over a certain amount (determined annually) paid by employer to an individual with respect to employment during any calendar year. For any calendar year in which there has been a mandatory increase in the federal taxable wage base, there will be a corresponding increase in the Louisiana wage base. Currently, the taxable wage base may be $8,500, $7,700, or $7,000, depending on the applied trust fund balance range. For 2009, the wage base is $7,000.
Other exclusions from wages are listed below.
COVERAGE
Generally, employment subject to the FUTA is automatically subject to the Louisiana law. Exclusions from coverage are listed below.
Agricultural and domestic employers.- Service performed in agricultural labor is covered if performed for an employer who employs 10 or more workers in such service in at least 20 weeks in the current or preceding calendar year or pays at least $20,000 for such service in any quarter of the current or preceding calendar year. If agricultural labor is supplied by a crew leader, the employing unit for which the service is performed is the employer of the crew members unless the crew leader is registered under the Farm Labor Contractor Registration Act of 1963, or substantially all of the crew members operate or maintain certain equipment that is provided by the crew leader. In either of these instances, the crew leader is the employer. Service performed in agricultural labor by certain aliens is not covered.
Domestic service.- Domestic service in a private home, local college club or local chapter of a college fraternity or sorority is covered if performed by an employing unit that paid $1,000 or more for such service in any quarter of the current or preceding calendar year.
Government and nonprofit employers.- Coverage is required for service performed for the state, and for nonprofit organizations exempt from federal income tax that employ four or more individuals for some portion of a day in each of 20 different weeks within either the current or preceding calendar year. Coverage is also required for service performed for the Louisiana State School for the Blind, Southern Univ. System State School for the Blind, Louisiana State School for the Deaf and Southern Univ. System State School for the Deaf. Political subdivisions are also mandatorily covered.
Nonprofit organizations, Indian tribal units, governmental entities and the state have the option of financing the payment of benefits by the regular contributions method or the reimbursement method. A covered political subdivision may elect to finance benefits as a contributing employer or a reimbursing employer. Rates for rated governmental employers will depend on the actual benefit cost experience (benefits paid divided by total wages) of all reimbursing employers.
Employers using the reimbursement method are required to make payments equal to the full amount of regular plus
the extended benefits paid to claimants. Bills must be paid not later than 30 days after mailing.
EXCEPTIONS
Wages.- Wages does not include remuneration over a certain amount (determined annually) paid by employer to an individual with respect to employment during any calendar year. For any calendar year in which there has been a mandatory increase in the federal taxable wage base, there will be a corresponding increase in the Louisiana wage base. Currently, the taxable wage base may be $8,500, $7,700, or $7,000, depending on the applied trust fund balance range. For 2009, the wage base is $7,000. Other exceptions from wages include:
Payments by employer to, or on behalf of, individuals in its employ under plan or system established on account of retirement, sickness (if paid by a third party) or accident disability, medical and hospitalization expenses, or death.
Payment of employees' FICA tax without deduction from wages.
Payment to or on behalf of an employee or his or her beneficiary under a cafeteria plan if such payment would not be treated as wages without regard to such plan and it is reasonable to believe that such payments would not be treated as wages constructively received under the FUTA.
Dismissal and vacation payments that employer is not legally required to make.
Employment.- The term employment does not include the following:
Service not in the course of employer's trade or business.
Insurance agents wholly on commission basis.
Interns in employ of hospital who have completed four-year course in state-chartered or approved medical school.
Maritime employees on vessels that are not American vessels.
Newspaper and shopping news carriers under 18.
Organizations exempt from income tax, with respect to service performed in calendar quarter if remuneration is less than $50.
Real estate salespersons wholly on commission basis.
Relatives, i.e., service performed by individual in employ of son, daughter, or spouse, or by child under 21 in employ of parent.
Service covered by federal unemployment compensation system.
Service engaged in the trade or business of selling or soliciting the sale of consumer products in the home or other than in a permanent retail establishment if substantially all remuneration is directly related to sales or other output rather than to the number of hours worked and there is a written contract that the person performing the services will not be treated as an employee for federal tax purposes.
Service for a school, college or university by a student in regular attendance.
Service by a student under 22 enrolled at a nonprofit or public educational institution in a full-time work study program. This exemption does not apply to program established for an employer or group of employers.
Student nurses in employ of hospital or training school who are attending state-chartered or approved training school.
Services performed for a private for-profit person or entity by an individual as a landman if (a) the individual is engaged primarily in negotiation for the acquisition or divestiture of mineral rights, or negotiating business agreements that provide for the exploration for or the development of minerals, or is otherwise engaged in activities relating to the exploration for, or development, production, or transportation of, minerals; (b) substantially all remuneration for the performance of the services is directly related to the completion by the individual of the specific tasks contracted for rather than to the number of hours worked; and (c) the services performed are performed under a written contract providing the individual is to be treated as an independent contractor rather than an employee.
Service performed for a private for-profit entity by an individual as a lecturer, consultant, teacher, or instructor of real estate or insurance if substantially all remuneration is directly related to instruction or other output rather than to number of hours worked, the services were performed under a written contract that provides that the individual is not to be treated as an employee, and the individual performs the services for more than 32 hours annually.
Government and nonprofit employers.- Coverage is required for service performed for the state, and for nonprofit organizations exempt from federal income tax which employ four or more individuals for some portion of a day in each of 20 different weeks within either the current or preceding calendar year. Coverage is also required for service performed for the Louisiana State School for the Blind, Southern Univ. System State School for the Blind, Louisiana State School for the Deaf and Southern Univ. System State School for the Deaf. Political subdivisions are also mandatorily covered.
Service for the state and nonprofit organizations does not include the following:
Elected officials.
Temporary employees serving in case of fire, storm, snow, earthquake, flood or similar emergency.
Members of the State National Guard or Air National Guard.
Individuals in certain major nontenured policymaking or advisory positions.
Church or organization operated primarily for religious purposes and which is controlled by a church.
Religious duties of a minister or member of a religious order.
Patients performing services in a rehabilitation facility or sheltered workshop.
Individual receiving unemployment work-relief or work-training under a program financed by a federal agency or an agency of a state or political subdivision.
Inmate of custodial or penal institution.
PROCEDURES
Base period.- First four of the last five completed calendar quarters immediately preceding benefit year.
Benefit year.- One-year period beginning with first day of first week with respect to which individual first files claim.
Weekly benefit amount.-
of the average of a claimant's base period wages during the four quarters of the base period, if base period wages are at least $1,200, supplies baseline amount for calendar year beginning January 1 (rounded to next lower multiple of one dollar if not a whole dollar), subject to adjustment depending on comparison of trust fund balance for preceding September 1 to projected trust fund balance for subsequent September 1. Comparative balance, its location within individual applied trust fund balance ranges, and its upward or downward direction determines which of eight benefit procedures apply, with each procedure containing a separate formula for the computation of weekly benefits.
Procedure 1 is in effect if the Applied Trust Fund Balance Range is less than $750,000,000 and the comparative balance is either upward or downward. Procedure 2 is in effect if the Applied Trust Fund Balance Range is equal to or greater than $750,000,000 but less than $900,000,000 and the comparative balance is upward. Procedure 3 is in effect if the Applied Trust Fund Balance Range is equal to or greater than $900,000,000 but less than $1,000,000,000 and the comparative balance is upward. Procedure 4 is in effect if the Applied Trust Fund Balance Range is equal to or greater than $1,000,000,000 but less than $1,250,000,000 and the comparative balance is either upward or downward. Procedure 5 is in effect if the Applied Trust Fund Balance Range is equal to or greater than $900,000,000 but less than $1,000,000,000 and the comparative balance is downward. Procedure 6 is in effect if the Applied Trust Fund Balance Range is equal to or greater than $750,000,000 but less than $900,000,000 and the comparative balance is downward. Procedure 7 is in effect if the Applied Trust Fund Balance Range equals or exceeds $1,250,000,000, but is less than $1,400,000,000 and the comparative balance is either upward or downward. Procedure 8 is in effect if the Applied Trust Fund Balance Range equals or exceeds $1,400,000,000 and the comparative balance is either upward or downward.
Each individual procedure also contains a maximum weekly benefit amount for the year, as well as a taxable wage base. Procedures 1 and 2 have a maximum weekly benefit of $181. Procedures 3 and 6 have a maximum weekly benefit of $193. Procedures 4 and 5 have a maximum weekly benefit of $215. Procedure 7 has a maximum weekly benefit of $247 and Procedure 8 has a maximum weekly benefit of $258.
Minimum under law is $10 and absolute maximum (which applies if lower than maximum under the comparative balance adjustment) is determined annually as 66 2/3 %of the statewide average weekly wage as of the preceding March 31 and applicable only to benefit years beginning on the following September 1. In no event shall the weekly amount exceed $284. For 2009, the maximum is $258 and the minimum is $10.
Maximum total benefits.- Least of 26 times weekly benefit amount or 27% of base period wages, computed to nearest $1. No claimant may receive a benefit check for any week beyond the number of weeks computed on his or her initial claim unless the claimant is participating in a program providing partial unemployment or a shared work plan or has been paid wages for part-time or full-time work. If a base period employer has provided severance pay that, when prorated weekly, is an amount that equals or exceeds the weekly benefit amount, the claimant's total benefit entitlement will be reduced by one week for each week of severance pay, but not to less than zero. In addition, during certain periods of high unemployment, payment of extended benefits is made at claimant's weekly benefit amount.
A claimant may receive a shared work weekly benefit amount equal to the product of the regular benefit amount multiplied by the percentage of reduction in the weekly hours of work, if the employer has elected to participate in a shared work program designed to reduce the hours or days of work of certain employees in order to reduce unemployment and stabilize the workforce.
Although benefits are generally not assignable, individuals may elect to have federal income taxes withheld in an amount equal to the amount allowable under federal law. In addition, food stamp overissuances may be offset against an individual's benefits (Sec. 1693).
Benefit eligibility: Requirements-
base period wages of 1
times high-quarter base period wages;
able to work and available for work, as well as actively seeking work;
serve one-week waiting period.
Benefits may not be paid to instructors, researchers or principal administrators of any educational institution, local public school system or institution of higher education or to any other employees, including crossing guards employed by a school board or other state political subdivision, of a public school system during school vacation periods or paid sabbatical leaves based on service with such institutions. However, if an individual has received a letter of assurance that he or she will perform services after the vacation and is then not given the opportunity to work, he or she may receive benefits.
Benefits may not be paid to professional athletes during periods between two sport seasons if there is reasonable assurance that the individuals will perform services in both such seasons.
Benefits may not be paid to an alien unless he or she has been lawfully admitted for permanent residence or is otherwise permanently residing in the United States under color of law.
A claimant is ineligible for benefits unless, after the start of the preceding benefit year during which benefits were received, he or she had worked and earned the lesser of
of the wages paid to him or her during the high quarter of the current base period, and six times his or her weekly benefit amount for the current benefit year.
An otherwise eligible individual in approved training cannot be denied benefits by reason of the availability for work requirement or the disqualification for refusal of suitable work without good cause. Students (excluding trainees and night school students) are not considered available for work when attending school or during vacation periods, but not applicable to student who loses job while in school and is available for suitable work. Individual who received benefits but is ineligible due to return to school at end of vacation period is liable for repayment.
Disqualifications-Period
Discharge for misconduct connected with work or leaving without good cause attributable to a substantial change made to the employment by the employer-until the individual can requalify by demonstrating that he or she has been paid wages for covered employment equal to at least 10 times his or her weekly benefit amount following the week in which the disqualifying separation occurred and has not left the last work under disqualifying circumstances.
In addition, upon requalification, a claimant's benefits will be further discounted by 50% for the remainder of his or her benefit year. In some instances of misconduct, worker's base period wages with the injured employer are cancelled. No disqualification applies if individual leaves part-time or interim work in order to protect his or her full-time or regular work.
Refusal of suitable work without good cause-until claimant has earned wages in work subject to the Louisiana law or any other state or federal UI law equal to 10 times his or her weekly benefit amount and has not left last work under disqualifying circumstances.
Labor dispute-duration of unemployment due to such dispute or strike in active progress, unless individual is not interested in or participating in the strike (Sec. 1601).
Receipt of wages in lieu of notice; temporary partial, temporary total, or total and permanent disability under workers' compensation law; or payments under private retirement or pension plan to which base period employer contributed-unemployment benefits reduced by amount of such payments.
Receipt of unemployment benefits under other state or federal law -period for which payments are made.
Receipt of vacation pay, vacation pay allowance, pay in lieu of vacation, dismissal pay, or severance pay-payment prorated for the period of time that it would have taken the individual to earn such remuneration during the employment in which such payments accrued, excluding any overtime pay. During a period of temporary layoff, when an agreement between the employer and a bargaining unit representative does not allocate vacation pay allowance or pay in lieu of vacation to a specified period, the payment is deductible in the week or weeks in which the vacation is actually taken.
False statement or misrepresentation to obtain benefits-53 weeks.
Discharge for use of illegal drugs, including discharge for either on or off the job use of a nonprescribed controlled substance -until claimant has requalified by demonstrating that he or she has been paid wages for covered employment of at least 10 times his or her weekly benefit amount following the week in which the disqualifying separation occurred and has not left his or her last work under disqualifying circumstances. Upon requalification, such claimant's benefits will be discounted by 50% for the remainder of his or her benefit year.
WHAT THE EMPLOYER MUST DO
Pay the standard rate.- 2.7% (see below for new employer's rates). Maximum possible basic rate is 6.0% (does not include any social charge tax, solvency tax, special assessment for bond repayment, or special reductions). No employee tax.
Experience rates.- An experience-rating record is maintained by the Administrator for each employer and credited with all contributions paid by it with respect to wages paid. To this record are charged the benefits accruing and paid to unemployed individuals formerly employed by such employer, in proportion to the employer's share of the base-period wages paid to each such individual. Only extended benefits that are not reimbursed by federal funds that are paid to a claimant are charged against the record of a base-period employer. Benefits paid to a claimant who is in approved training will not be charged to base-period employers. “Base-period wages” means the wages paid to an individual during his or her base period for insured work, and on the basis of which the individual's benefit rights were determined.
Benefits paid to an individual who continues in the employ of a base-period employer without a reduction in the number of hours worked or wages paid will not be charged against the experience rating record of such employer.
Benefits charged after a claimant has requalified after disqualification for voluntary leaving, misconduct, refusal of suitable work, or use of illegal drugs will not be charged against the account of the employer who directly caused the disqualification if it files Form LDOL-ES 77, LDOL-ES 110, LDOL-ES 106S, or LDOL-ES 152 in a timely manner.
The term “experience-rating year” means the 12-month period beginning January 1 and ending December 31.
Each employer's rate of contributions will be as set forth in one of eight rate tables that are based on specific “Procedure” and will depend on its reserve ratio for that year. The employer's reserve will be the total contributions paid on or before July 31 immediately succeeding the computation date (June 30) with respect to wages paid by the employer on or before the computation date, reduced by any benefits that were chargeable to its experience-rating record and that were paid on or before July 31 with respect to weeks of unemployment ending on or before the computation date. Such reserve will be reflected as a positive or negative balance. Note that these experience rate tables are dependent on state unemployment trust fund balances. In addition, certain “procedures” are in effect depending on the Administrator's determination of comparative balance and applied trust fund balance range.
The employer's reserve ratio will be the percentage derived by dividing the employer's reserve by its average annual payroll. Such reserve ratio will be reflected as a positive or negative balance.
To provide for the recoupment of certain uncharged benefits, a social charge account has been established for all employers. The social charge rate for a year will be determined by dividing the known required balance in the social charge account as of the computation date by the projected income (sum total of rates according to the applicable rate table, exclusive of any solvency tax, times the taxable payroll for employers for the 12-month period ending on the computation date). The social charge rate is computed to the nearest .01%. Each employer's social charge tax will be determined by multiplying the social charge rate times its contribution rate rounded to the nearest .01%. Such social charge tax is then added to the employer's basic rate. Each employer's tax rate may not exceed 6.2% due to the social charge recoupment, however.
For 2009, there is a 10% reduction in rates and a social charge tax rate of 11.71%, which is computed as a percentage of each employer's basic rate and then added to such rate. There is no negative reserve factor or solvency tax for 2009. Note that the part of an employer's contribution rate that results from the social charge tax is not creditable to its experience rating account. The following table reflects contribution rates for 2009.
Ratio
|
Rate %
|
|---|
Negative Reserve Ratio:
|
2008
|
|---|
-999.99 or more
|
6.20
|
-500 but less than -999.99
|
3.59
|
-300 but less than -500
|
3.54
|
-200 but less than -300
|
3.51
|
-100 but less than -200
|
3.49
|
-30 but less than -100
|
3.44
|
-28 but less than -30
|
3.39
|
-26 but less than -28
|
3.38
|
-24 but less than -26
|
3.35
|
-22 but less than -24
|
3.32
|
-20 but less than -22
|
3.28
|
-15 but less than -20
|
3.27
|
-14 but less than -15
|
2.75
|
-13 but less than -14
|
2.72
|
-12 but less than -13
|
2.71
|
-11 but less than -12
|
2.70
|
-10 but less than -11
|
2.70
|
-9 but less than -10
|
2.47
|
-8 but less than -9
|
2.45
|
-7 but less than -8
|
2.43
|
-6 but less than -7
|
2.41
|
-5 but less than -6
|
2.40
|
-4 but less than -5
|
2.35
|
-3 but less than -4
|
2.30
|
-2 but less than -3
|
2.23
|
-1 but less than -2
|
2.19
|
0 but less than -1
|
2.17
|
Positive Reserve Ratio
|
|
|---|
0.0 but less than 0.4
|
2.11
|
.4 but less than 1.2
|
2.11
|
1.2 but less than 1.6
|
2.10
|
1.6 but less than 2.0
|
2.10
|
2.0 but less than 2.4
|
2.09
|
2.4 but less than 2.8
|
2.07
|
2.8 but less than 3.2
|
2.05
|
3.2 but less than 3.6
|
2.04
|
3.6 but less than 4.0
|
2.02
|
4.0 but less than 4.4
|
2.01
|
4.4 but less than 4.8
|
2.01
|
4.8 but less than 5.0
|
1.99
|
5.0 but less than 5.2
|
1.98
|
5.2 but less than 5.4
|
1.96
|
5.4 but less than 5.6
|
1.90
|
5.6 but less than 5.8
|
1.79
|
5.8 but less than 6.0
|
1.59
|
6.0 but less than 6.2
|
1.45
|
6.2 but less than 6.4
|
1.38
|
6.4 but less than 6.6
|
1.24
|
6.6 but less than 6.8
|
1.19
|
6.8 but less than 7.0
|
1.14
|
7.0 but less than 7.2
|
1.01
|
7.2 but less than 7.4
|
0.91
|
7.4 but less than 7.6
|
0.84
|
7.6 but less than 7.8
|
0.82
|
7.8 but less than 8.0
|
0.68
|
8.0 but less than 8.2
|
0.57
|
8.2 but less than 8.4
|
0.51
|
8.4 but less than 8.6
|
0.40
|
8.6 but less than 8.8
|
0.33
|
8.8 but less than 9.0
|
0.27
|
9.0 but less than 9.2
|
0.24
|
9.2 but less than 9.5
|
0.16
|
9.5 or more
|
0.10
|
New employers pay total rates ranging from 1.15% to 2.67% for 2009 depending on their industry classification .
A new employer's rate will be the weighted average rate for employers in the same two-digit North American Industrial Classification System according to the latest computation under the applicable rate table.
Certain out-of-state contractors must post a bond in an amount sufficient to pay contributions that will become due on their operations in the state.
SUTA dumping.- Effective August 15, 2005, when an employer transfers its trade or business to another employer, and, at the time of transfer, there is substantially common ownership, management or control of the trade or business, then the unemployment experience attributable to the transferred business will be transferred to the acquiring employer. The experience-rating records will also be transferred as of the date of acquisition for the purpose of rate determination.
If the sole or primary purpose of a business transfer is to obtain a lower rate of contributions, the acquiring employer will be assigned the highest rate assignable for the rate year during which such violation or attempted violation occurred and for the three years immediately following. If the person’s business is already at the highest rate, or if the increase would be less than 2%, then a penalty rate contribution of up to 2% of taxable wages will be imposed for such year.
In order to determine whether a business was transferred solely or primarily to obtain a lower unemployment tax rate, the Administrator must consider the facts and circumstances of the transfer, including: (1) the cost of acquiring the business; (2) how long such business was continued; and (3) whether a substantial number of new employees were hired to perform duties unrelated to the business activity conducted prior to the transfer.
Similarly, if an employer transfers any trade or business to an individual who is not otherwise an employer at the time of such transfer, and the sole or primary purpose of the transfer is to obtain a lower unemployment tax rate, the new employer will be assigned the applicable new employer rate and be subject to a civil penalty of $5,000 per violation.
Any individual, employer or nonemployer, violating the restrictions against transferring a business in order to avoid state unemployment tax (SUTA) is guilty of a misdemeanor punishable by a fine of up to $10,000 or six months imprisonment or both, per violation.
Voluntary payments.- Permitted if made within 30 days after the mailing of notice of benefits charged to experience-rating record for the 12-month period ending on the previous June 30, or if made within 25 days after delivery thereof. Voluntary contributions may be precluded if increases in rates due to a solvency tax, advance interest tax, or a special assessment to finance bonds used to repay federal loans are in effect -see above.
DEADLINES
Tax.- Form LDOL-ES 4, Quarterly Report of Wages Paid/Employer's Wage Report/Employer's Report of Change, is due quarterly on last day of following month. Employers with 250 or more employees are required to file via magnetic media. Online filing, including an upload option, is also available. Semi-interactive Form LDOL-ES 4c/web and continuation sheet, LDOL-ES 61/web are available on the state's website. If due date falls on Sunday, legal holiday, or half-holiday, report may be filed on next legal day. Reports sent through mail are deemed received as of date shown by postmark.
Wage.- Detailed quarterly wage reports are also required on Form LDOL-ES-4 (continuation sheet, LDOL-ES-61), as noted above.
ENFORCEMENT
The Louisiana Employment Security Law is administered by the Office of Employment Security.
If, after due notice, an employer defaults in a contribution payment, interest or penalties, the amount may be collected in a civil action in the name of the Administrator. Employers adjudged in default must pay the costs of such actions. Any qualified attorney-at-law who is a salaried employee of the Administrator, or the Attorney General, may represent the Administrator in such actions.
If an employer defaults in any payment due under the law, the Administrator may make a statement showing the amount in default, and this statement, when filed for record in the parish in which the employer is engaged in business or owns property, will operate as a first lien, privilege, or mortgage on all the real and personal property of the employer. The Administrator also may release any property subject to a lien or judgment, if he or she determines that the contributions, interest and penalties are sufficiently secured by a lien on other property or by other security and that collection of such debts will not be jeopardized.
Records.- The Administrator or his authorized representative may require from any employing unit any sworn or unsworn reports deemed necessary for the effective administration of the law. Information, statements, transcriptions of proceedings, transcriptions of recordings, electronic recordings, letters, memoranda, and other documents and reports thus obtained, or obtained from any individual, claimant, employing unit, or employer pursuant to the administration of the law, except to the extent necessary for the proper administration and enforcement of the law, shall be held confidential and shall not be subject to subpoena in any civil action or proceeding, nor be published or open to public inspection, other than to public employees in the performance of their public duties, including the office of worker's compensation for information as to the limited questions of whether benefits have been paid and for which period of time for limited purposes of resolution of any worker's compensation claim dispute or fraud investigation under the Worker's Compensation Act.
WHO TO CONTACT
The Louisiana Employment Security Law is administered by the Office of Employment Security, 1001 N. 23rd St., P.O. Box 94094, Baton Rouge, Louisiana 70804-9094; Telephone (225) 342-2842.
RECORDKEEPING
Every employing unit is required to keep true and accurate employment records containing such information as the Administrator may deem necessary for the administration of the law. Such records must be kept open to inspection and are subject to being copied by the Administrator or his or her authorized representatives at any time and as often as may be necessary. In addition to information prescribed by the Administrator, each employer must keep records of and report to the Administrator quarterly the street address of each establishment, branch, outlet or office of such employer, the nature of the operation, the number of persons employed, and the wages paid at each establishment, branch, outlet or office.
Records must be kept for five years.
POSTING
All employers subject to the law must post notices to their employees in their places of business. These notices will be furnished by the Administrator. See ¶19-9900 .
PENALTIES
False statements made to avoid or reduce contributions, or refusal to make contributions subject the offender to a penalty of fine or imprisonment or both. Failure to file required reports within seven days of receipt of notice to file is considered presumptive evidence of the employing unit's intent not to file such reports if the notice was delivered to the owner, partner, officer, agent, representative or employee of the unit either by certified mail or by a subpoena. Willful violations of the law for which no penalty is specifically provided also subject the violator to fine and/or imprisonment.
If an employer fails to file a contribution report the Administrator may estimate the amount of contributions due and proceed to collect the same.
In cases of insolvency, substantial delinquency, discontinuance of business, or temporary or seasonal business, jeopardy assessments may be made by the Administrator prior to the regular due date for contributions; such assessments become immediately due and payable.
If a corporation has failed to make employer contributions or has failed to properly file required reports, those officers or directors having control or supervision of or charged with the responsibility of filing the reports and remitting the contributions will be personally liable for the total amount of contributions not collected, accounted for, or remitted, together with any interest, penalties and fees accruing thereon. Collection of the total amount due may be made from any one or any combination of such officers or directors by use of any of the alternative remedies for the collection of such funds. No employee who is not an officer or director may be found personally liable for failure to make employer contributions as required by law.
Interest.- Contributions unpaid on the due date bear interest at the rate of 1% per month from and after such date until payment is received by the Administrator, and are subject to a further penalty of 5% on both contributions and interest for each month or part of a month after the due date, not to exceed an aggregate penalty amount of 25%. In computing interest for any period of less than a full month, the rate is
of one per cent for each day or part of a day.
Past due payments in lieu of contributions are subject to the same interest and penalties as apply to past due contributions.
Records.- Failure to keep adequate employment records may subject employers to a fine of not less than $50 nor more than $1,000 or to imprisonment for not less than 30 nor more than 90 days, or to both such fine and imprisonment. Each day of such failure or refusal shall constitute a separate offense.
Bankruptcy.- In event of any distribution of an employer's assets under an order of court, including receiverships, liquidations, assignments for benefit of creditors, adjudicated insolvency, composition, or similar proceedings, contributions, interest and penalties then or thereafter due must be paid in full on an equal basis with other taxes and prior to all other claims except certain claims for wages. In bankruptcy proceedings contributions and interest are entitled to such priority as is provided in the Bankruptcy Act for taxes due any state.
In proceedings to dissolve a corporation, the certificate of dissolution may not be issued by the Secretary of State until he or she receives a certificate from the Administrator that all contributions, interest and penalties have been paid or that the corporation is not subject to contributions under the law. The same is true of withdrawal of foreign corporations from the state.
Fiduciaries such as receivers and trustees are not permitted to deliver possession of any property of an employer until all contributions due have been paid; and no partnership may be dissolved until all such contributions have been paid. Failure to observe these provisions subjects such fiduciaries and partners to personal liability.
<p>Fiduciaries such as receivers and trustees are not permitted to deliver possession of any property of an employer until all contributions due have been paid; an</p>
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