Early September in New Jersey has been accompanied by a sour note, as thousands of local casino workers have been laid off – and now, those jobless residents are expected to file for unemployment insurance en masse.

This rash of terminations will put a strain on the state’s unemployment insurance system. Naturally, employers watch these trends carefully, as more layoffs could eventually lead to higher tax rates for businesses. While this may be a possibility, New Jersey as a whole has actually experienced positive employment gains, with more jobs and a lower employment rate over the past few months.

Casinos let go thousands of workers
Atlantic City and the gambling industry are incredibly important to the wellbeing of New Jersey’s economy. Even so, a number of major casinos are letting thousands of workers go in early September, leading to a rash of unemployment insurance filings.

According to The Associated Press, more than 5,000 employers lost their jobs at the beginning of the month from two casinos – Showboat and Revel. In addition to these layoffs, a total of four casinos out of the 12 currently operating in Atlantic City will close by mid-September, leading to nearly 8,000 unemployed.

To help cope with this massive influx of jobless workers, the state has set up services at the Atlantic City Convention Center to help people file for unemployment insurance. More than 100 stations will be open, thanks to joint efforts from the New Jersey Department of Labor and Local 54 of Unite-HERE, the premier casino union in the state.

Employment conditions improve across state
Even with these mass layoffs, New Jersey’s employment situation has been relatively strong over the past few months. According to the state’s Department of Labor and Workforce Development, the private sector gained 8,500 jobs in July, based off of U.S. Department of Labor data.

In addition, the state’s unemployment rate slipped to 6.5 percent, down 1.8 percent on a yearly basis in July. Overall, the private sector has created more than 27,000 jobs on a year-over-year level.

“Since March, private payrolls have grown at a rate nearly equal to the rapid pace seen in the early months of 2012 and 2013,” said Charles Steindel, chief economist for the State Department of the Treasury. “These gains show that we are putting last winter into the rear view mirror. Meanwhile, the unemployment rate continues to fall and resident employment continues to increase.”

Juggling tax rates and difficult employees can become challenging at your company. Here at Corporate Cost Control, we understand these problems and are well-positioned to help. Our extensive background in cost control and human resources will allow you to better manage your unemployment insurance expenses.


Contact CCC to see how we can save your organization time and money.
Contact our Sales Team
(800) 207-6926

Featured Videos

View All Videos

Latest News

Close

Sales

    Your Name:*

    Title:

    Company Name:*

    Company Address:

    Company City:

    Company State:

    Company Zip:

    Number of Employees:

    Your Email:*

    Phone Number:*

    Fax Number:

    Check the boxes below if you wish to receive information on any of the following:

    Unemployment Cost ControlTax Credits & Incentives (WOTC)Employment / Wage Verification

    Your Message:

    Employment & Income Verfication

      Your Name:*

      Title:

      Company Name:*

      Company Address:

      Company City:

      Company State:

      Company Zip:

      Number of Employees:

      Your Email:*

      Phone Number:*

      Fax Number:

      Your Message: