Summer is here and that is the time when many
of Michigan’s manufacturers and automotive partners experience summer shutdown. Historically, the temporary shutdown was used by the automakers to complete the annual model changeover. Over the past 20 years, the two-week shutdown has evolved, allowing the domestic auto industry to perform maintenance and enable employees to use their vacation weeks without interrupting overall productivity.

If the ripple effect of the shutdown affects your business, please notify us for your temporary lay-off needs. Michigan UIA can help with Work Share, Employer Filed Claims and the Registration and Seeking Work Waiver (RSW). 

Most importantly, the RSW waiver is for employers who temporarily lay off some or all of their employees and is valid for up to 45 days from the last day worked. You may also request an extension of this waiver should the need arise.

An employer must submit a request for the waiver through the Michigan Web Account Manager (MiWAM) before the layoff. Look for the Benefit Services section under the Account Services tab and click on Request Seeking Work Waiver.

If all your employees are not laid off with the same separation date, then you must submit a waiver request for each separation date.

The RSW waiver exempts a claimant from work registration, seeking work and being available for work. If the waiver is granted by UIA and the claimant is otherwise eligible, the laid off employee is entitled to benefits without having to meet these requirements. The following conditions must be met for the RSW waiver to apply:

• The separation reason is lack of work.
• The employer must notify UIA through their MiWAM account 14 days before the layoff, or in writing that the layoff is temporary.
• Work is expected to be available for the claimant within 45 calendar days of the last day of work.

Employers cannot request to backdate RSW after the claimant is laid off. If the employer does not have an approved RSW exemption, the employee must search for new employment to receive unemployment benefits.

If you want to suggest an article or topic for the Employer Advisor newsletter or just want to tell us how much you enjoy reading it, please send a message to:
UIA-EmployerAdvisor@Michigan.gov. You can also view past newsletters on our Tools and Resources webpage.

Employers should always be aware of schemes by bad actors who continue to steal confidential information with the intent to defraud the unemployment benefits system.

The UIA and state workforce agencies around the country are increasingly receiving reports of fictitious employer schemes, employers who are underreporting employee wages, or misclassifying workers as independent contractors, and businesses that are not registered with UIA to avoid paying tax.

A bad actor may register with the UIA under false pretenses as a fictitious business to report fake employees and wages to file claims and obtain unemployment benefits for non-existent employees who allege that they are laid off. The fictitious employer or the employer who does not register with UIA never pays taxes. The employer who underreports employee wages does not pay the correct amount of UI tax. This creates an unfair advantage against Michigan employers who comply with the reporting requirements to file quarterly reports and pay UI tax on time.

If you become aware of an employee receiving a letter, notice or other documentation for an unemployment claim that was filed under false intentions you should report this to the UIA. If you have received a letter – UIA 1575E – from UIA alerting you to an employee who filed a claim for benefits in which you do not recognize, you should also report this information to UIA.

If you are an employer who has knowledge of another business who is not paying
UI taxes on their employees or you are aware that an employer is underreporting employee wages or misclassifying workers as independent contractors to avoid paying the correct amount of tax, you can email the information to UIA-FieldAudit-Employer@Michigan.gov. Our Field Audit section is there to audit the books and records to ensure compliance.

If you suspect identity theft or claimant fraud to obtain benefits, you can report the information through your MiWAM account or by clicking on the Report Fraud or Identity Theft link at Michigan.gov/LEO/Bureaus-Agencies/UIA Include as much information as you can.

Michigan employers have expressed concerns about individuals circumventing unemployment requirements and turning down employment to instead collect unemployment benefits.

Essentially, employers fear that they cannot hire quality employees because they are collecting unemployment and are passing up jobs offered to them. Did you know you can report this conduct through your MiWAM account? If we hear from you, benefits could be denied for bad actors.

On your MiWAM home page, locate the Refusal to Work tab and complete the needed information. You must provide the name, a Social Security number (SSN) and date an employee refused to begin work.

The offer of work must be a legitimate offer of suitable work as stated in the Michigan Employment Security (MES) Act, Subsection 29(6) and documentation associated with the job offer must include the applicant’s full SSN. The job offer must have been made within the past 18 months and the applicant must have an active claim for your submission to be reviewed by the Agency. Out-of-state employers or users without a MiWAM account may access the stand-alone page:

Are you interested in investing in the young talent right here in Michigan?The Michigan Department of Labor and Economic Opportunity's Office of Employment and Training recently hosted a virtual event to share resources and information to support employers as they look to hire in- and out-of-school youth. Hear from LEO’s E&T, the Wage and Hour Division and an employer with first-hand experience in hiring youth. 

The recorded webinar coincides with Youth Employment Month and helps businesses:

• Learn about work permits and youth worker safety issues.
• Discover young talent pools in the state.
• Get questions answered about hiring youth in Michigan.

If your business is hiring student workers this summer, you may qualify for a tax credit through the federal Work Opportunity Tax Credit (WOTC) program and its Summer Youth initiative.