Unemployment insurance tax rates for employers plunge

The Associated Press

(Published: December 2, 2007) JUNEAU — Next year’s unemployment insurance tax rates will be the lowest Alaska employers have paid in the past 28 years.

Gov. Sarah Palin said the tax will decrease for an average employer by 23 percent from this year. She credits a number of factors, including more people working and an increase of $48 million in the Unemployment Insurance Trust Fund balance.

An employer in the average rate class will pay about $114 less for each employee than in 2007.

The 2008 unemployment insurance tax rate notices will be mailed to employers next week.

The tax provides benefits as a partial replacement of wages to workers during temporary periods of unemployment.