DES MOINES, IOWA – Iowa Workforce Development announced today that once again, the unemployment tax rate table will remain unchanged for 2007. This is the 6th year in a row the overall rate has remained steady.
Iowa Workforce Development is the state agency charged with collecting unemployment insurance taxes from employers and operating Iowa’s unemployment insurance payment programs for workers. Annually, Iowa Workforce Development identifies the appropriate table for the following year. Unemployment tax rates are based on wages and recent unemployment benefit payments. In calendar 2008, the tax rate will remain in Table 6.
Due to the design of Iowa’s unemployment tax system and Iowa Workforce Development’s diligent oversight of the UI Trust Fund, an increase in taxes will once again be unnecessary for the sixth consecutive year. “The State of Iowa has our commitment to carefully manage the trust fund in the coming year to continue this beneficial trend for Iowa businesses. Iowa has one of the lowest UI tax rates in the nation. Nearly half of our employers have a zero percent rate, and of the remaining employers, over 75% pay less than one percent,” indicated Director Elisabeth Buck.
Throughout the state, Iowa Workforce Development provides critical services and resources to support the prosperity, productivity, health and safety of Iowans and their communities.