What will happen to our national employment security system and what powers will USDOL have to ensure conformity by states?
One of the underlying premises of the Coalition’s proposal is that it is critical to preserve a national employment security system. The proposal does this in several ways. The proposal preserves the core features of the unemployment insurance program, labor market information programs, and veterans employment programs. USDOL continues to have the responsibility to ensure that state laws are in conformity and compliance with federal law, and would continue to certify whether states were in conformity and compliance with federal requirements. A state failing to meet federal requirements would be subject to losing the FUTA off-set credit reduction for employers in the state. The proposal generally maintains USDOL authority to interpret federal law and would allow for other, less onerous sanctions in addition to the loss of the off-set credit, such as those proposed as part of UI Performs. However, the proposal does provide that states would not be required to adopt methods of administrat
