Each employer is assigned an employer account number by the Department of Labor upon receipt of a Form UC-1 (Report to Determine Liability) that establishes liability under the Unemployment Compensation Law. This six digit account number (XXXXX-X) must appear on all correspondence and forms submitted by the employer to the U.I. Division.

The law requires that every employer maintain certain records for anyone employed in Delaware. These records are to be maintained for the period of the previous four consecutive calendar years and are subject to inspection by the Department of Labor. For questions about specific records, contact the Division of Unemployment Insurance.

Any employer legally required to file specified reports with the Department who neglects or refuses to do so within five days after the time when such reports are due, is subject to a fine of $17.25.

The records must show at a minimum for each employee:

1. Name and social security number.

2. Gross and taxable wages for each payroll period.

3. All other payments made to the employee including holiday pay, bonuses, board and lodging, tips, and dismissal pay.

Each liable employer (except household employers) must display the poster, Notice of Coverage (Form UC-6), with the employer's name printed on it in a place customarily frequented by employees. This poster is furnished by the Division of Unemployment Insurance after liability is established; it informs employees that employment is covered under the Unemployment Insurance laws.

Household employers must provide each employee with a facsimile of the poster with the employer's name printed on it. The Division of Unemployment Insurance furnishes a facsimile of the full-size poster after liability is established; it informs employees that employment is covered under the Unemployment Insurance laws.

All liable employers are required to submit for each calendar quarter, a summary assessment and payroll report with the amount of tax due. A quarterly report must be submitted even if the employer has had no payroll in the quarter and whether or not any assessment is payable. The form for reporting (Form UC-8, Employer's Summary Assessment Report) is mailed to registered employers well in advance of the due date. It is the employer's responsibility to notify the Department if the form is not received. Failure to receive the form does not excuse the requirement to file by the due date. If the employer fails to file a quarterly report or if the report is incorrect or insufficient and is not filed within 30 days after the date on which the assessment report was due, the Department may make an estimate of the liability of that employer based on any information which the Department may have or obtain and may make demand upon the employing unit for payment. Written notice will be given the employer of the determination which may be appealed within 15 days after the mailing of the notice. However, this does not relieve the employer from his obligation to file a report for the quarter(s) in question. In addition, assessments which remain unpaid on the date they are due and payable shall bear interest at the rate of 1.5% per month until past due assessments, penalties, and accrued interest are received by this Department.

Any employer who has any outstanding tax reports, assessments, penalties, or interest as of September 30 of any calendar year will be subject to a delinquent assessment rate effective January 1 of the subsequent calendar year. The delinquent assessment rate will be either 6.6%, 6.8%, 7.0%, 7.5%, 7.6% or 8.4% depending on the balance in Delaware's Unemployment Insurance Trust Fund. Currently, the delinquent assessment rate is 6.6%.

The responsibility to register and comply with the reporting requirements of the Delaware Code rests with the employer.

Following the end of each month, nonprofit organizations and governmental entities electing benefit reimbursement will be billed for the amount due. The monthly statement of the amount due will represent the total amount of benefit payments charged to the employer's account in that month. Payment is due within 30 days of the mailing date, after which time an interest charge of 1.5% per month will be assessed from the due date to the date of payment.

Failure to pay assessments when due or to reimburse for benefits paid, subjects the employer to possible civil or criminal action.

When a person applies for unemployment insurance, each employer for whom the claimant has worked in the first four of the last five completed calendar quarters, as well as the last employer, is required to furnish information on the reason for separation. To permit prompt determination of the claim, the information must be supplied within 7 days of the date contained on the "Separation Notice" (Forms UC-119/UC119C).

With the separation information supplied by the last employer, the Division determines whether or not the claimant is eligible for benefits. With separation information supplied by the base period employer, the Division determines whether benefit wage charges should be made to the merit rating account of the employer. Employers should exercise care to complete the form correctly so that their accounts are properly charged. If the form is not returned within the time specified by law, the employer shall be barred from claiming subsequently that a benefit wage charge should not be made with regard to the separation or that the worker to whom such notice applied should be disqualified.