New Notice Requirement for Employers Terminating or Reducing the Hours of North Carolina Employees

Poyner Spruill LLP

Poyner Spruill LLP

According to a recent update to North Carolina’s unemployment regulations, [1] employers are now required to provide the following information to employees upon separation:

  • Unemployment insurance benefits are available to workers who are unemployed and who meet the State’s eligibility requirements;
  • Employees may file a claim in the first week that employment stops, or work hours are reduced;
  • Employees may file claims online at or by telephone to (888) 737-0259.
  • Employees must provide DES with the following information for DES to process the claim:
    1. full legal name;
    2. social security number; and
    3. authorization to work (if the employee is not a U.S. citizen or resident).
  • Employees may contact DES at (888) 737-0259 and select the appropriate menu option for assistance.

This provision is contained in a subchapter titled “Unemployment Compensation Due to Public Health Emergency or Disaster Declaration,” so it appears that it may only be effective for the duration of the COVID-19 public health emergency.  Although the regulation only explicitly requires this notice if an employee is separated from employment, based on (2) above, employers should also provide this notice to employees whose hours are reduced. The regulations do not address penalties for failure to comply with this notice obligation.

[1] 04 NCAC 24G.0102.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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