Tuesday, January 25, 2011

As a Michigan Seasonal Employer, You Could Be Exempt From Unenjoyment

Are you aware that under Obama's Emergency Unemployment Compensation program, out of work Americans are now eligible for up to 99 weeks of benefits?

That's nearly two years of social assistance for those out of work.

There may be critical information of which business owners in Michigan are not aware.

Tourism is our state's third largest industry. Because of tourism, a good deal of businesses operating in the state are seasonal. The state of Michigan has established a clearly outlined definition for what is considered a "seasonal business" here in the Great Lakes state. As a "seasonal employer", you are entitled to great benefits, most significantly being potentially omitted from paying one dime of to unemployment to your employees.

The information below is taken directly from the State of Michigan's Unemployment Insurance Agency website.

Seasonal Employer Status for Unemployment Insurance
Michigan employers who operate a business in an industry that customarily employs at least 50% of its employees for regularly recurring periods of 26 weeks or less within a period of 52 consecutive weeks and the industry customarily operates during regularly recurring periods of 26 weeks or less in any 52 consecutive week period can apply for seasonal employer status.


Designation as a seasonal employer means that workers may be denied unemployment benefits based on work with you during the period between your seasons if they are given ‘reasonable assurance' at the end of a season that there will be similar work available for them next season. Complete Form UIA 1155, Application for Designation as Seasonal Employer, to apply for designation as a seasonal employer. This form is available at www.michigan.gov/uia.

While there is no guarantee that you will not pay any unemployment, my experience with this law has been completely positive and it forced entry level and/or laborer type seasonal folks to seek additional positions during the company off-season.

If more seasonal businesses were aware of this provision, the possibility greatly exists that unemployment in our state would be greatly reduced. I hope this information has been helpful! Cheers to a great new year here in the Great State of Michigan!

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