Colorado unemployment insurance tax rate hikes ahead
April 19, 2010
DENVER (AP) – The Colorado Department of Labor and Employment says Colorado employers that laid off workers during the recession face hikes in their first-quarter unemployment-insurance taxes, but the half that didn’t cut workers are seeing rates stay flat or decline.
The department estimates the average rate or premium that employers will pay on the first $10,000 of wages has risen from 1.77 percent in 2009 to 2.48 percent percent for 2010.
In future years, employers across the board can expect heftier rates to replenish the state unemployment insurance trust fund, which became insolvent in January as it paid out more unemployment benefits than it collected in taxes. Colorado had borrowed $209.5 million from the federal government through last week to provide benefits.