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Oklahoma jobless compensation extended by new law
About 7,000 Oklahomans whose jobless benefits have ended are expected to be eligible for extended unemployment compensation under federal legislation that went into effect Sunday. The Worker, Homeownership and Business Assistance Act of 2009 changes the maximum number of weeks that a person can collect Emergency Unemployment Compensation Tier 2 benefits from 13 weeks to 14 weeks, and creates Tier 3 benefits for those who use up Tier 2 claims. "This is really good news for a lot of people," said Oklahoma Employment Security Commission spokesman John Carpenter. The commission will mail all current and former Tier 2 claimants a determination informing them of eligibility and instructions for filing. Someone who has been paid the final week of Tier 2 benefits will then be able to apply for Tier 3, Carpenter said. All Tier 3 claims will be backdated so that those eligible will receive benefits for all weeks in which they were entitled, said Jerry Pectol, the commission's director of unemployment insurance. Filing instructions will be mailed to addresses on record, so it's critical for those filing to make sure the agency has a current address, he said. "This extension will help quite a few Oklahomans," Pectol said. "We ask that our claimants be patient as we implement these changes. We want to assure them that everyone will receive all of the benefits for which they are eligible." The state has been paying out record amounts of benefits this year, Carpenter said, and while the number of new applicants has dropped a bit in the past couple of months, there has been a rise in those receiving extended benefits. "That number just keeps going up and up," indicating that more and more people are going through the system "and are not able to find a job," he said. "It's brutal out there."    
 
The Daily Oklahoman - 11/16/2009
 
 
 
 
New Oklahoma Minimum Wage Law
A new minimum wage law requires a 10.7% raise to all states who follow Federal Minimum Wage laws.  The rate increased from its previous rate ...
 
Workplace Fairness.org - 07/27/2009
 
 
 
 
Expired Documents Deemed Unacceptable, More Changes Coming
by Marie PriceThe Journal RecordOKLAHOMA CITY - As of April 3, the kinds of documents acceptable to verify employment eligibility through the federal Form I-9 changed, immigration attorneys say. Key among the changes: Expired documents, such as U.S. passports, are no longer acceptable. More changes are due next month, with federal contractors required to use the federal E-verify system for new and current workers. "Mainly what they've done is just remove the ability to present expired documents," said Oklahoma City attorney Matt Stump. "They think they're too easily prone to tampering and fraud." Stump said the requirement that documents be unexpired extends to so-called List B documents such as driver's licenses and photo ID cards issued by the government, schools and the military. "I think they're really focusing in on the identity part, being able to prevent fraud in that sense," he said. List A documents include passports and passport cards, permanent resident cards and similar documents that contain a photo. "If you have somebody that's coming in for re-verification, and you've previously used the old I-9, you're going to need to use the new I-9," Stump said. Attorney Amir Farzaneh, with the Hall Estill law firm, said the federal government previously narrowed the field of acceptable documents in late 2007, making old versions of alien registration forms and certain other documents unacceptable. "You cannot use an expired document of any kind anymore," he said. In addition to not accepting expired documents, Farzaneh said the government will now accept passports from Micronesia and the Marshall Islands, if a person also has a legal entry form. Farzaneh said another revision that took effect April 3 deletes a former version of the federal work-authorization card from the acceptable list. Beginning May 21, he said, federal contractors and subcontractors that meet certain criteria must participate in the online E-verify program. The mandate was postponed from an executive order issued by then-President Bush. Farzaneh said the requirement covers contracts awarded after May. "Not only do they have to participate in E-verify, but also they have to verify new and current employees," he said. The change applies only to contractors with contracts of $100,000 or more and duration of 120 days or longer. It applies to subcontractors with subcontracts of more than $3,000. Contractors must enroll in E-verify within 30 days of being awarded a contract and begin verifying current workers within 90 days from the date of enrollment. The E-verify requirement applies only to current full- and part-time employees working on a covered contract, as well as all new employees. The E-verify mandate includes some exceptions, such as contracts that cover only commercially available off-the-shelf items and related services such as food. E-verify cannot be used for pre-job screening, before an individual has accepted employment. Farzaneh said there are some questions as to what constitutes a federal contractor - for example, hospitals that accept Medicaid. "If the amount of services are over $100,000, which it would be eventually, and the duration will eventually be more than 120 days, are they federal contractors?" he asked. "The language of the regulation, from what (U.S. Immigration) says, sounds like they are." Farzaneh said his suggestion to employers in that situation would be to participate in E-verify. He said the same question arises with financial institutions that deal with U.S. bonds and FDIC insurance. "It looks like, from the language, that the best bet is to participate," Farzaneh said. "It's really not clear at this point in time, whether they would be considered contractors. But I think it's better to participate." E-verify uses the databases of the Social Security Administration and the U.S. Department of Homeland Security. It is administered through the U.S. Citizenship and Immigration Services.
 
The Journal Record - 04/14/2009
 
 
 
 
Don't Get Bitten by COBRA Deadline
By PHIL MULKINS World Staff WriterPublished: 4/8/2009  2:20 AMLast Modified: 4/8/2009  3:49 AM Laid-off workers are getting a break on their health insurance through the federal government's economic stimulus package. Since its inception in 1986, COBRA health insurance has given people the ability to have their employer's group health insurance continued after they lose their jobs. But the cost has been high ? 31 percent of the average monthly unemployment benefit and 83 percent of a family's benefit typically is required to pay the premium for coverage under COBRA, an abbreviation for the Consolidated Omnibus Budget Reconciliation Act. The American Recovery and Reinvestment Act of 2009, signed Feb. 17 by President Barack Obama, provides a subsidy reducing COBRA's cost 65 percent to the employee and other state group continuation coverage for laid-off workers. COBRA requires employers with 20 or more employees to provide continued group health insurance coverage. Oklahoma law requires employers of any size to provide group continuation coverage, says an Oklahoma Insurance Department fact sheet at tulsaworld.com/OKcobra. Workers who qualify for the benefit under the stimulusplan ? the COBRA Health Insurance Continuation Premium Subsidy ? are those who have "involuntarily lost their jobs" between Sept. 1, 2008, and Dec. 31, 2009. They must have been laid off, not quitting voluntarily or being "fired for cause." These workers qualify for a 65 percent subsidy of COBRA continuation premiums for themselves and their families for up to nine months. Qualifying workers must pay 35 percent of the premium to their former employers. A second chance for COBRA coverage also is included in the stimulus. Those qualifying workers who became unemployed Sept. 1, 2008, through Feb. 16, 2009, who did not elect COBRA when it was first offered or who did elect COBRA but are no longer enrolled (due to its expense) have been given a new election opportunity. Those eligible for the extended COBRA election period must receive a notice from their former employers informing them of this by April 18. They have 60 days after receiving the notice to elect COBRA. This election period does not extend the period of COBRA continuation coverage beyond the original maximum, which is 18 months from their layoff date. Coverage taken during this election period begins with the first period of coverage beginning on or after Feb. 17, 2009. The stimulus law, including the subsidy, applies to federal COBRA and state group continuation coverage. However, Oklahoma does not have a comparable state continuation right, meaning there is no subsidy available for workers whose last employer had less than 20 employees. State Insurance Commissioner Kim Holland is working with the Legislature to establish a comparable state continuation right this legislative session, said Holland spokesman Marc D. Young. Former employees typically qualify for up to 18 months of COBRA coverage, but the subsidy lasts only nine months, meaning eligible individuals who choose to pay for 18 months of COBRA coverage after March 1, 2009, would still have to pay for nine months of unsubsidized premiums. See the Centers for Medicare and Medicaid Services fact sheet at tulsaworld.com/CMMScobra. Also see "IRS Information to Help Employers Claim COBRA Medical Coverage Credit on Payroll Tax Form" at tulsaworld.com/IRScobraEmpr. Employers share costs of insuranceThe new CORBA subsidy provided by the economic stimulus law applies to group health plans that are subject to the federal COBRA continuation coverage requirements or to similar requirements under state law. If you are an employer with such a plan and you receive a 35 percent payment from a qualifying worker, you are required to make the remaining 65 percent payment, says the Internal Revenue Service Q&A on the subject, found at tulsaworld.com/IRScobraQ&A. Subsidy requirements apply even if the employer's group health plan is self-insured. The subsidy requirements apply to all plans subject to the COBRA requirements, including self-insured plans. In such cases, the employer must provide the COBRA coverage if the assistance-eligible individual pays 35 percent of the required premium. The remaining 65 percent is treated as a payment of payroll taxes by the employer maintaining the plan. COBRA coverage is based on the same coverage that the individual had at the time of the qualifying event. However, under the new COBRA subsidy provision, an employer may offer an assistance-eligible individual the option of choosing other coverage that is also offered to active employees and that does not have higher premiums than the coverage the individual had at the time of the qualifying event. Employers are required to send forms to former employees so they can elect to continue their group coverage and receive the subsidy. Former employees have 60 days after receiving the forms to enroll. Information about the COBRA subsidy is available through the U.S. Department of Labor at (866) 444-3272 or online at tulsaworld.com/USDOLcobra. The web site contains model notices and other guidance on these provisions. The Department of Health and Human Services (at tulsaworld.com/DHHScobra) also has information. These agencies share responsibility with the IRS for the COBRA requirements. Employers with questions on administering the COBRA continuation premium subsidy to former employees should see the IRS roundup at tulsaworld.com/IRS204708. Employers should use the updated "Form 941, Employer's Quarterly Federal Tax Return," at tulsaworld.com/IRSF941 to report their COBRA premium assistance payments. 
 
Tulsa World - 04/08/2009
 
 
 
 
Bill Proposes to Close Gap in Insurance Coverage
by Janice Francis-SmithThe Journal Record OKLAHOMA CITY - For the 600 people who worked for Delta Faucet in Chickasha in January 2006, news that the company would close the plant hit them hard. For a few, things could - and did - get even worse in the following months.Between the time their COBRA insurance coverage ran out and when they were able to obtain coverage from another insurer, they received a devastating health diagnosis. With their newfound pre-existing condition, it was even more difficult for them to find coverage. "There was a case or two where they were diagnosed with cancer in between policies," said state Sen. Ron Justice, R-Chickasha, author of Senate Bill 553. "This would fill that gap." State Rep. Leslie Osborn, R-Tuttle, carries the bill in the state House of Representatives. The bill would allow a person who gets laid off from their job to transition from coverage with their former employer's policy under the Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) to coverage under the state's high-risk pool without a time gap in between. As rising unemployment rates increase the number of uninsured as former employees lose access to group coverage rates, the bill would create a safety net for laid-off workers, Justice said. The Oklahoma High Risk Pool was created by the Legislature to provide health coverage to Oklahomans who are unable to obtain coverage because of a pre-existing condition, who have exhausted their other health care options, and who have been quoted insurance rates higher than the OHRP offers. Employees terminated without COBRA coverage would be able to continue their group coverage policy for 63 days, provided the former employee continues paying the premiums. A former employee could continue such coverage for four months if the group insurance is provided pursuant to a hospital contract, prepaid health plan or self-insured employer plan, if the coverage remains the same as before the termination, if premiums continue to be paid, and if the employee was not terminated for misconduct. That section of SB 553 will only remain effective until federal dollars designated for the purpose in the American Recovery and Reinvestment Act of 2009 run out. The committee members voted unanimously to approve SB 553. The measure, which has already been approved by the Senate, will next be considered by the full membership of the state House of Representatives.
 
The Journal Record - 03/26/2009
 
 
 
 
Jobless Payments Might Set Record
By RANDY KREHBIEL World Staff WriterPublished: 1/7/2009  2:22 AMLast Modified: 1/7/2009  2:33 AM Jobless benefit payments to Oklahoma residents are likely to reach record levels this week, the director of the Oklahoma Employment Security Commission's unemployment insurance division said Tuesday. "We are already at $7.6 million," said Jerry Pectol. "I expect this week we'll go over $8 million." Pectol said he believes that will be the most Oklahoma has ever paid out in unemployment benefits. "We had back-to-back recessions in the 1980s when the number of claims may have been higher, but we pay more now," Pectol said. Both the maximum weekly benefit and number of weeks it can be claimed have recently increased. For claims filed after Jan. 1, the maximum benefit increased from $392 to $409. In late 2008, Congress extended maximum eligibility from 26 to 39 weeks. The increase in calls to the division has jammed phone lines and caused the hiring of additional employees and technology upgrades. For a while, case workers were moved to another building because even outgoing phone lines were clogged. "Starting with November, every week has gotten bigger in terms of both claims filed and checks paid," Pectol said. "And it's not like they're small increases, either." At the same time the volume of claims was increasing, the Employment Security Commission implemented a program shifting payments to automatic bank deposits and debit cards. Snags in that transition caused late or missing payments for many unemployment recipients. Pectol said those problems have been largely solved, but the call center continues to be swamped. "We've added 13 people, and we'll probably have to add at least twice as many as that," he said, noting that waits of as long as two hours on hold are still common. Although additional phone lines are being added, Pectol said he expects the situation to get worse before it gets better. "I don't know how many people are trying to get through and give up because they get a busy signal," he said. With more lines coming on line next week, Pectol said, those callers will go on hold. "The week after next, I expect the wait times to go up," he said. The Tulsa metro area unemployment rate rose from 4.2 percent in November to 4.6 percent in December, it was announced late Tuesday. Although Oklahoma's unemployment insurance program is administered by the state, it is funded entirely by the federal government and by premiums paid by employers.
 
Tulsa World - 01/07/2009
 
 
 
 
Chinks Emerging in Oklahoma's Economic Armor
As economic situation worsens, chinks beginning to emerge in Oklahoma's economic armorDecember 16, 2008: 11:00 AM ET NEW YORK (Associated Press) - Helped by high prices for oil and agriculture commodities earlier this year, Oklahoma has remained well insulated from the national economic crisis, but experts say some chinks in the state's economic armor are beginning to emerge. In the last month, more than a dozen companies have announced plans to layoff hundreds of workers in Oklahoma, including more than 100 employees at a Gatorade plant in Pryor, 80 workers at an Oklahoma City beverage can manufacturer and nearly 200 jobs at a Sand Springs steel mill. Late last month, Google Inc. delayed the opening of a $600 million data center in Pryor that was expected to employ about 200 workers, and even the Oklahoma City Thunder last week fell out of the top 10 NBA teams in attendance for the first time this year. "If you have a national company, when their national business is being hurt by a recession and they cut costs, they cut costs everywhere," State Treasurer Scott Meacham said. "That's just one way in which the national recession affects us here in Oklahoma." But overall, Meacham said Oklahoma has weathered the national economic storm better than any other state and, he acknowledged, even better than he expected. In a report issued last week on state revenue collections for November, Meacham reported better-than-expected collections to the state's general revenue fund from income taxes, sales taxes and the state's gross production taxes on oil and natural gas. Sales tax collections were particularly surprising, totaling nearly $150 million for November, an 8.3 percent increase over collections in November 2007 and more than 4 percent above what was estimated. "In the middle of a national recession of unprecedented proportions, our sales tax collections were up 14 percent over the prior November," he said. "That's pretty amazing." Meacham said increased collections in both income and sales taxes can be partly attributed to the state's strong employment figures. In October, the most recent month for which statistics are available, Oklahoma's unemployment rate was 4.1 percent, even lower than the rate of 4.2 percent in October 2007, according to the Oklahoma Employment Security Commission. That compares to the national rate of 6.1 percent for the month of October. Of the states in the region, Oklahoma and New Mexico had the lowest unemployment rates in October at 4.1 percent, and all of the states except Oklahoma and Arkansas saw an increase in the unemployment rate from October 2007 to October 2008. Gov. Brad Henry said Monday he expects a lean budget for the upcoming fiscal year, but that Oklahoma's economy remains in a growth pattern and has been fairly insulated so far from the national recession. "I think we can expect things to get a little worse in Oklahoma before it gets better, but the good news is that Oklahoma is still out in front of everyone else," Henry said. "Relative to most other states around the country, we're doing fairly well." And while national companies may be taking a closer look before deciding to expand or move operations to Oklahoma, there is still a lot of interest in the Sooner State, said Natalie Shirley, Oklahoma's secretary of commerce and tourism. "We remain extremely busy, and deals continue to come in on
 
CNN Money - 12/17/2008
 
 
 
 
Explanation Sought for Delay in Unemployment Benefits
OKLAHOMA CITY - Unemployment officials say an extension in benefits and a new debit-card program contributed to the frustration levels of Oklahomans awaiting benefits and getting busy signals or long waits when they called the agency. On Dec. 1, the Oklahoma Employment Security Commission went to a paperless system. A private contractor, ACS, headquartered in Dallas, was hired to mail out debit cards in lieu of paper checks and take over direct-deposit functions. The cards were mailed from an ACS vendor in Georgia. Meanwhile, Oklahoma Secretary of Commerce and Tourism Natalie Shirley told the OESC at its regularly monthly meeting on Tuesday that she was seeking senior-level debriefing on the situation from ACS officials. "We need to step back and see how this happened and how to prevent it in the future," Shirley said. Pictured above is Oklahoma Secretary of Commerce and Tourism Natalie Shirley  She also praised the OESC, saying staff had done a good job under a difficult set of circumstances. The unemployed began calling lawmakers and other officials when their debit cards had not arrived as anticipated or their funds were not deposited on time. John Scott, OESC chief of benefits, said that through Friday, 14,739 debit cards had been mailed, of which 7,022 had been activated as of 1 p.m. Tuesday. He said it was not practical to mail out the cards earlier and activate them later because benefits are determined on a weekly basis. Doing so would have resulted in numerous worthless cards being mailed, Scott said. He said the same week the debit cards were mailed, the agency was fielding calls from those seeking to apply for a federally approved extension in benefits, which swamped the system. The agency and vendor have now added additional personnel, Scott said. James Perryman of Tulsa on Tuesday morning still had not received his debit card. He gets about $244 a week in benefits after being laid off. "If you are not strong in faith, you are losing your mind right now," Perryman said. Meanwhile, Chuck Petersen of Bokoshe is questioning the fees associated with using the cards. He said his son only gets a little more than $100 a week in benefits. Mike Evans, IT director for OESC, said the user is not charged for purchases. The user gets one free withdrawal from a Bank of Oklahoma automated teller machine for each deposit. After that, the user is charged $1.50 for each withdrawal after the free transaction. Cash-withdrawal transactions done at other banks cost $2 each time. Other fees may apply. The funds go to the vendor to pay for the debit-card program, Evans said. He said if the person were cashing a check, some entities would charge a fee as well. He did not know how much money the company was expected to make. Ken Ericson, an ACS spokesman, said the state could best comment regarding how much money the company would make. "Cards should be received in three to six business days from when they were mailed," Ericson said in an e-mail. "Clients relying on direct deposit should receive their benefits as scheduled. We continue to work closely with the state to resolve any issues."
 
 - 12/11/2008
 
 
 
 
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