News & Analysis as of

Unemployment Benefits Severance Pay

Holland & Knight LLP

14 de febrero de 2024 vence el plazo para el pago de cesantías en Colombia

Holland & Knight LLP on

El auxilio de cesantías en Colombia es una prestación social que tiene como finalidad formar un ahorro en caso de que el trabajador se quede sin trabajo. Lo anterior, sirve de auxilio y se pagan al finalizar el contrato de...more

Constangy, Brooks, Smith & Prophete, LLP

"Quiet firing": A bad idea

Better to have the courage of your convictions. I'm sure you've heard of "quiet quitting," when an unhappy employee does the bare minimum to get by and keep drawing a paycheck, but doesn't care much about the job beyond...more

CDF Labor Law LLP

Governor Newsom Unexpectedly Vetoes a Number of Pro-Employee/Pro-Union Bills

CDF Labor Law LLP on

Later this month, we will report on all the new employment-related laws that California has enacted for 2024. However, this article focuses on the bills that Newsom vetoed. Some of these are a bit of a surprise...more

Barnea Jaffa Lande & Co.

Everything You Need to Know about Israel’s Green Pass for Employees

Updated regulations for the implementation of the Green Pass in Israeli workplaces will come into effect on October 5, 2021. These regulations are, to date, to remain in effect until October 19, 2021....more

Sherman & Howard L.L.C.

COVID-19 Updates: Arizona Employment Law Issues

This presentation provides a brief overview of common employment issues Arizona companies are currently facing as they navigate the unforeseeable consequences COVID-19 has had on their businesses....more

Littler

GERMANY: COVID-19 (Coronavirus) – Employer FAQs

Littler on

The spread of the novel coronavirus (COVID-19) across the globe remains a significant concern in the workplace. Employers are confronting difficult questions regarding how to handle safety and health rules, travel...more

Littler

Germany: News on Disqualification Periods Following Termination Agreements

Littler on

In Germany, employees frequently refuse to sign separation agreements for fear that the Employment Agency (Agentur für Arbeit) will disqualify them from receiving unemployment benefits. A revision of the Employment Agency's...more

Morgan Lewis

U.S. Supreme Court’s Severance Ruling Impacts Future Unemployment Benefits

Morgan Lewis on

The decision in Quality Stores not only kills FICA tax refunds for millions of unemployed workers, but it also requires proactive employer actions to maximize future employer and state unemployment benefit payments to...more

Stinson - Benefits Notes Blog

IRS Wins One At Supreme Court: Severance Pay Is Subject To FICA Tax

I blogged about the Quality Stores decision which at the district court and court of appeals levels held that certain severance payments were not subject to FICA (Social Security) taxes. The IRS had challenged the employer in...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Recent Changes To New York Unemployment Insurance

As we ring in the New Year, New York State employers should be mindful of significant changes to the New York State Unemployment Insurance Law. As a result of the economic downturn, the New York State Unemployment Insurance...more

Polsinelli

Court Holds Severance Payments Not Subject To FICA Taxes; Refund Claims Should Be Filed Soon

Polsinelli on

In its recent decision, the United States Court of Appeals for the Sixth Circuit in U.S. v. Quality Stores, Inc., No. 10-1563 (6th Cir., 9/7/2012) held that certain severance payments made to former employees were not subject...more

Dickinson Wright

Sixth Circuit Nixes FICA Tax on Severance Pay

Dickinson Wright on

The U.S. Court of Appeals for the Sixth Circuit has affirmed a Michigan Bankruptcy Court and approved a taxpayer’s request for a refund of FICA taxes paid on behalf of former employees. Quality Stores et al....more

Foley & Lardner LLP

FICA Taxes on Certain Severance Pay May Be Refundable

Foley & Lardner LLP on

The IRS may owe FICA tax refunds on severance payments made by employers to laid-off or terminated employees as part of reductions in workforce. Every employer that paid severance to laid-off employees as part of a reduction...more

Ballard Spahr LLP

Employers Should Evaluate Refund Opportunities Following Sixth Circuit Ruling on FICA Taxes and Severance Payments

Ballard Spahr LLP on

In United States v. Quality Stores, Inc., the Sixth Circuit held that payments of supplemental unemployment benefits (SUB payments) are not taxable wages subject to FICA tax withholding. Although the issue is not finally...more

McDermott Will & Emery

Quality Stores Decision Could Lead to Significant Refunds of FICA Tax

McDermott Will & Emery on

The U.S. Court of Appeals for the Sixth Circuit recently held that certain dismissal payments were Supplemental Unemployment Compensation Benefits (SUB) exempt from FICA taxes—a clear split with the U.S. Court of Appeals for...more

Stinson - Benefits Notes Blog

Possible FICA Tax Savings on Severance Pay

A recent Sixth Circuit Court of Appeals decision concluded that severance pay provided to employees as a result of layoff or discontinuance of a plant, operations or other similar condition is exempt from FICA taxes....more

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