N.J. Admin. Code § 12:16-18.4

Current through Register Vol. 56, No. 11, June 3, 2024

Section 12:16-18.4 - Rate following transfer of predecessor's experience in part

(a) The effective date of the transfer of a portion of employment experience from a predecessor to a successor in interest shall be the first day of the calendar quarter following the acquisition by the successor in interest.

(b) As of the effective date of the transfer of employment experience in part, the employment experience rate of the successor in interest shall be recalculated by merging its existing employment experience, if any, with the employment experience acquired from the predecessor employer.

(c) As of the effective date of the transfer of employment experience in part, the employment experience rate of the predecessor employer shall be recalculated based on the employment experience remaining subsequent to the transfer.

(d) For the period from the date of the acquisition by the successor in interest of a portion of the business of the predecessor employer through the last day of the calendar quarter in which the acquisition occurred, the employment experience rates of the successor in interest and the predecessor employer shall be assigned as follows:

1. A successor in interest, which is not an employer subject to the New Jersey Unemployment Compensation Law, 43:21-1 et seq., in its own right as of the date of acquisition shall be assigned the new employer rate.

2. A successor in interest, which is an employer subject to the New Jersey Unemployment Compensation Law, 43:21-1 et seq., in its own right as of the date of the acquisition shall continue to use its existing rate.

3. A predecessor employer which continues to operate after the acquisition by the successor in interest of a portion of its business shall continue to use its existing rate.

N.J. Admin. Code § 12:16-18.4

Repeal and New Rule, R.1995 d.138, effective 3/6/1995.
See: 27 N.J.R. 61(a), 27 N.J.R. 919(a).
Formerly "Assignment of contribution rates for interim periods".
Amended by R.2006 d.425, effective 12/4/2006.
See: 38 N.J.R. 3229(a), 38 N.J.R. 5162(a).
Deleted (a); recodified (b) as (a) and rewrote new (a); and added (b) through (d).