Unemployment insurance drop.

• Author: Manna, Victor
• Position: Alaska

Unemployment Insurance Drop.

This year Alaska's 13,377 employers will pay an average 3.51 percent rate on unemployment insurance tax, a decrease from last year's average of 4.14 percent, according to the Alaska Department of Labor. Rates for Alaskan workers also dropped from 0.7 percent to 0.6 percent.

Alaska's unemployment insurance financing system automatically sets rates according to the level of benefit payments and wages during the prior three years and the level of trust fund reserves. During the recent recession, unemployment insurance benefits paid out to unemployed workers were at record highs, and the trust fund was depleted to...