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Does employer benefit if an employee does not apply for unemployment?
January 27th, 2012 | 
Author: Question by Z: Does employer benefit if an employee does not apply for unemployment?
Does employer pay unemployment benefits or government? My boss did not mention unemployment benefits when she let me go. Why? Does she benefit if I do not apply?
Does this mean that if my unemployment check is equal to say $ 300, that exact amount comes out of her company unemployment fund? Is the fund like a savings account in the event she lets people go? Or does it work like insurance – pay premium per year and then the government pays out?
Best answer:
Answer by Kip
Employer pays out for it, yes.
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Your employer pays into an unemployment insurance fund. The amount he/she has to pay is dependent, in part, on how many former employees have applied for unemployment. So, yes, she pays less for unemployment insurance if you don’t apply.
Edit:
It’s like insurance. Her amount goes up but not as much as is paid to you.