DIRECTIVE	:	UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 34-96
TO	:	ALL STATE EMPLOYMENT SECURITY AGENCIES
FROM	:	MARY ANN WYRSCH Director Unemployment Insurance Service
SUBJECT	:	Preliminary Estimates of 1995 and 1996 Average Employer Contribution Rates

1. Purpose. To transmit estimated employer contribution rates for 1995 and 1996.

2. Background. The attached tables contain preliminary estimates of unemployment insurance (UI) average employer contribution rates as reported by State agencies. The first table contains estimates for calendar years 1995 and 1996. Actual rates for 1994 are also included for comparison. The rates shown are UI taxes as a percentage of wages up to the State taxable wage base. To permit comparison of data among States with different taxable wage bases, estimated tax rates for each year are also shown based on total wages. The second table ranks the States for 1996 by their level of UI taxation, relative to total wages.

3. Action Required. State Administrators are requested to provide this information to the appropriate staff.

4. Inquiries. Inquiries should be addressed to the appropriate Regional Office.

5. Attachments. Tabulation of Average Employer Contribution Rates; 1) by State, Calendar Years 1994-1996, 2) by Tax Rate Based on Total Wages, Calendar Year 1996.