When you think about unemployment insurance, it’s easy to associate it with jobs more likely to experience layoffs, like manufacturing and construction. More frequently they’ll face situations where employees are let go at no fault of their own, meaning UI claims are applicable. As a result, you might think you don’t need to pay attention to your own industry.
Unemployment Insurance Claims and Retailers
In the retail world, learning about unemployment insurance might be the least of your concerns. Your goal is to learn as much as you can about what you’re selling, educate your employees, and turn a profit. With this mindset, you’re becoming knowledgeable about your product, but you’re ignoring all the UI requirements, burdens, and taxes that may affect your business.
Specifically, when you’re trying to enhance your current team and grow your goals for tomorrow, a lack of awareness around UI can hurt where you want to go. The team of your past may stay beyond their welcome, causing issues down the line.
Effects of High Turnover
One specific area especially relevant to UI and the retail world is high turnover. It’s no secret that the nature of the industry yields employees of all ages coming and going. You may not be aware, but turnover rate affects how much you’re paying in unemployment taxes.
In order to maintain that your fund has enough to cover employees who may file for unemployment, the amount taken must be adjusted to adequately represent your workforce and the chance of a UI claim. Failing to care about it now could have high-cost consequences down the line if you are facing downsizing.
Importance of Understanding Unemployment Laws
Even if you think they won’t be a factor in retail, unemployment laws are still a part of your life and something important for you to understand. It’s a complicated world, but fortunately, you don’t have to navigate it alone.
When you’re ready to experience a higher level of control of your UI costs, contact Unemployment Tracker. It’s our job to understand how everything works and help you make the decisions that are best for you and your bottom line. Contact us today to get started!