UNEMPLOYMENT INSURANCE EXPERIENCE RATINGS PROPERLY TRANSFERRED TO NEW BUSINESS ENTITIES DOING THE SAME WORK, EMPLOYING SOME OF THE SAME PEOPLE, AND OPERATING FROM THE SAME ADDRESS.

The Third Department determined that the unemployment insurance experience ratings of businesses which had ceased operation and then reopened under new names were properly transferred to the new businesses:

 

Labor Law § 581 (7) (a) (1) states that “[i]f an employer transfers its organization, trade or business, or a portion thereof, to another employer and, at the time of the transfer, there is at least a ten percent common ownership, management or control of the two employers, then the unemployment experience attributable to the transferred organization, trade or business shall be transferred to the employer to whom such organization, trade or business is so transferred,” and “[f]or purposes of this subdivision ‘organization, trade or business’ shall include the employer’s workforce.” Matter of Prod. Processing Inc. (Commissioner of Labor), 2016 NY Slip Op 00565, 3rd Dept 1-28-16

 

UNEMPLOYMENT INSURANCE (EXPERIENCE RATINGS PROPERLY TRANSFERRED TO NEW BUSINESS ENTITIES)/LABOR LAW (UNEMPLOYMENT EXPERIENCE RATINGS PROPERLY TRANSFERRED TO NEW BUSINESS ENTITIES)