Ariz. Admin. Code § 6-3-1708

Current through Register Vol. 30, No. 24, June 14, 2024

Section R6-3-1708 - Employer Charges

A. In conformity with A.R.S. §§ 23-727, 23-773, and 23-777, the Department of Economic Security prescribes:

B. When the Department establishes a benefit overpayment, the Department shall proportionately credit the amount of the overpayment to the experience rating accounts of the claimant's base-period employers, who are being charged as of the calendar quarter the overpayment is established.

C. When the Department transfers wage credits to another state for use in establishing a claim, the Department shall:

1. Not charge an experience rating account for any benefits paid when the transferred wage credits are insufficient to establish a claim in this state; or

2. Determine chargeability of the experience rating account as prescribed in A.R.S. § 23-727(D) when the wage credits are sufficient to establish a claim, except, if the account is charged, total charges shall not exceed the maximum amount payable by this state; or

3. Not relieve a reimbursement employer of payments in lieu of contributions, including charges exceeding the maximum amount payable by this state.

D. Except as otherwise provided by A.R.S. § 23-727(E) and A.A.C. R6-3-1708(E), once the Department noncharges the experience rating account of an employer for benefits paid during the benefit year, the account remains noncharged for the duration of the benefit year. If the employer reemploys the claimant during the benefit year, the circumstances of the reemployment separation determine chargeability of the employer's account for any benefits paid during a benefit year beginning after the reemployment separation.

E. As required by A.R.S. § 23-777(C):

1. The Department shall end the noncharge to the experience rating account of a base-period employer of a worker who is unemployed due to a labor dispute and shall determine the employer's chargeability for benefits in accordance with A.R.S. § 23-727 in the following circumstances:

a. The labor dispute ended and the worker returned to work or refused an offer of work with the employer involved in the labor dispute; or

b. The dispute is ongoing and the worker:

i. Had bona fide intervening employment that meets the provisions of R6-3-5604(C) and is no longer unemployed due to the labor dispute, or

ii. Was permanently replaced by the labor dispute employer.

2. When a worker remains unemployed after a labor dispute ends, the Department shall continue to noncharge the experience rating account of the worker's base-period employer if the labor-dispute employer presents evidence, within 10 days of the Department's request, that the employer has a continuing employer-employee relationship with the worker. Evidence establishing the relationship may include:

a. Placement of the worker's name on the recall list;

b. Continuation of the worker's benefits, including insurance, profit sharing, vacation, and sick leave; and

c. Retention of the worker's seniority rights.

3. When the worker's continued unemployment ceases to be a result of the labor dispute, the Department shall redetermine the employer's chargeability for benefits paid to the worker as prescribed in A.R.S. § 23-727.

F. For the purpose of applying A.R.S. § 23-727(F):

1. A retirement pay plan is a plan provided by either a nongovernmental individual employer or group of employers in a collective retirement plan, and

2. A collective retirement plan is a group of employers and workers in an industry that pay into 1 fund for the workers' retirement.

Ariz. Admin. Code § R6-3-1708

Former Regulation 30-9; Amended effective March 26, 1979 (Supp. 79-2). Section repealed; new Section adopted effective July 22, 1997 (Supp. 97-3).