Employers win only half of all protested claims for unemployment insurance (UI). That low success rate keeps many from even trying. However, most of those protested claims fail because employers are unprepared to make a strong case.

There are a number of reasons why an employer might fail in protesting a UI claim, including inadequate policies and processes, missed deadlines, and ignorance of state UI laws and processes. However, the main reason that most employers lose a UI claim protest involves poor, or missing, employee documentation. In this post we’ll provide tips on how you can organize your employee documentation and develop effective UI cost management systems. At Unemployment Tracker, we know that just a little bit of planning and investment can save lots of money and grief in the long run.

Proper Employee Documentation is Key

The key to presenting a strong UI claim is proper employee documentation, starting from the day you hire a new employee. If you only start preparing documentation around the time that an employee separates from the company, you are already too late.

Indeed, you should begin thinking about proper employee documentation even before an employee is hired, by retaining all answers to an applicant’s interview questions. Some applicants may not be truthful about their background or their willingness to perform certain tasks. For example, maybe they lied about their willingness to travel, their ability to perform certain functions, or their desire to work overtime.

Next, keep all records of the employee’s developmental training. This phase is easy to overlook. However, it can reveal issues that arise down the line. For example, if an employee does not meet expectations for a certain goal, you may need to prove that the employee was properly trained.

Even more important for proper employee documentation is the need to track all employee reviews. If your case is built on an employee’s failure to meet certain expectations, and that failure is not reflected in their reviews, your case does not stand a chance of success.

Next is the centerpiece of any UI protest claim: corrective action. You must show a documented pattern of offense, and your documentation has to be solid. Key questions include whether you have a policy against the type of action that you are raising, and whether the employee signed an acknowledgement of the rules or safety policies that are in question. If you want to win your case, you need to answer a strong and clear “Yes” to all of these questions.

The next, and final, phase to ensure that you have proper employee documentation is, of course, the actual separation. While an employee must sign off on the separation paperwork, this does not always happen in the presence of a human resources official. Even so, ensure that there is a witness for such a signature. Also, while exit interviews do not always happen in case of a termination, be sure to keep good records if one does occur. Finally, while it seems trivial, make sure that you properly fill out the separation paperwork. All these little things matter and can either help or hurt your case.

Proper Documentation Can Save You Money

A strong human resources department is crucial to ensuring that you have a system for proper employee documentation. If your company has such a department, then you must ensure that everyone is working to meet the criteria described above. Also, you should not rest on your laurels. It is a good idea to seek expert help to review your processes and to ensure you have a strong UI cost management system in place.