Effective management of an organization's unemployment insurance experience provides the organization with significant opportunities. From improving the organization’s talent management results and its hiring and on-boarding processes, effective UI management can further enhance the organization’s performance management activities and discipline procedures and reduce the organization’s exposure to discrimination and wrongful discharge claims.
Effective UI management further allows the organization to use UI metrics to assess human capital risks, measure supervisor and manager performance, more accurately allocate resources, and have a positive impact on the bottom line.
While UI tax liabilities are just most obvious risk created by employee separations and unemployment insurance claims activity, they increasingly expose your organization to other potential liabilities and increasingly are just the starting point for more detailed employment compliance management issues. Thus, UI related activities often represents the initial stages of a more intense analysis of your employment policy and practices and often result in significant liabilities.