Most of Georgia’s 200,000 employers will soon see an average savings of roughly 13 percent on their unemployment insurance (UI) taxes.
The state’s labor department recently announced a $100 million cut in UI taxes, effective January 2007. Georgia collected a surplus in its UI trust fund in 2005 and anticipates similar results this year and in 2007.
The cuts are largely due to the resilience of Georgia workers, who stay on the unemployment rolls about a month less than the national average, generating cumulative savings of $172 million last year.
Note: The state’s latest unemployment figures show Georgia’s unemployment rate running at 4.6 percent, which is 0.2 percent higher than the national rate.