Unemployment Reporting: Starting July 31, 2023, New Jersey employers will be required to meet two new submission requirements. Currently, New Jersey employers must provide Form BC-10 to every separated employee. This form contains information about unemployment benefits. However, as of July 31, employers will need to take an extra step; to “immediately and simultaneously” send a copy of Form BC-10 (identical to the one provided to the separated employee) to the New Jersey Department of Labor & Workforce Development’s Division of Unemployment Insurance (LWD). Additionally, LWD will publish a new form (with submission instructions) for employers to provide to both the separated employee and the LWD (also effective July 31). This form is intended to gather information that allows the LWD to assess benefit eligibility, even if the separated employee doesn’t apply for unemployment benefits.
Increased Penalties: To date, employers have faced a $25 fine for every 10 days of noncompliance in providing benefits-related information to the LWD. Starting July 31, 2023, the penalties become much more severe. If an employer “willfully fails or refuses to furnish any reports or information, including the required separation information,” they will be liable for a $500 fine or 25 percent of the “amount fraudulently withheld,” whichever is greater. It’s important to note that each false statement or representation, failure to disclose a material fact, or day of failure or refusal counts as a separate offense.
It’s crucial to stay updated on employment laws and regulations to protect your business and employees. Book Law LLP is here to help you navigate these new requirements and ensure compliance. If you have any questions or concerns about these changes, please contact Chaim Book at cbook@booklawllp.com, Sheryl Galler at SGaller@booklawllp.com, or Nadav Zamir at NZamir@booklawllp.com.
