ATTACHMENT III
| CONFORMITY CHECKLIST FOR STATE SUTA DUMPING LAWS | |
|---|---|
| QUESTIONS | YES OR NO |
| 1. Mandatory Transfers. If Employer A transfers its trade or business (including its workforce) to Employer B, does the state law mandate the transfer of experience from Employer A to Employer B when there is "substantially common" ownership, management or control? | |
| Does this mandate apply to both total and partial transfers? | |
| 2. Prohibited Transfer. Does state law prohibit the transfer of experience (that is, does it require a new employer rate be assigned) when a person becomes an employer by acquiring an existing employer if the purpose of the acquisition was to obtain a lower rate? | |
| Does this prohibition apply to a "person" who, prior to the acquisition of the employer, had (a) no individuals in its employ and (b) some employment, but not enough to be an "employer" for purposes of state law? | |
| 3. Penalties. Does state law impose "meaningful civil penalties" for "knowingly" violating and attempting to violate the above? | |
| Why is the penalty "meaningful?" | |
| Does state law impose meaningful criminal penalties for the same? | |
| Are these penalties applicable to both the person who commits the violation and any person (including the employer of the advice-giver) who knowingly gives advice leading to such a violation? | |
| Does state law address the situation where the person giving the advice may not be an employer? (E.g., self-employed financial advisors?) | |
| Does the definition of "knowingly" at a minimum mean "having actual knowledge of or acting with deliberate ignorance of or reckless disregard of the law"? | |
| 4. Procedures. Does the law require the establishment of procedures to identify SUTA dumping? | |
| 5. Additional Procedures/Mandates. Optional. Does state law require/prohibit the transfer of experience in accordance with any regulations the Secretary of Labor may prescribe? (If not, future amendments to state laws may be necessary.) | |