Information on a newly employed or rehired employee in a particular US state is contained in a document known as a “new-hire report.” The state’s responsible officials will receive this report.
You may have a brand-new employee or one who has worked for you in the past but hasn’t done so in at least 60 days.
This report includes the person’s basic information. After the employee’s first day of paid employment, it must be sent within 20 days. Within 20 days of the employee’s start date, this report needs to be sent.
Must I report newly hired employees?
Indeed. The Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) of 1996 mandates it. Employers who fail to submit new hire reports will be subject to fines from each state.
The penalty for merely not reporting might be as little as $25, while the penalty for conspiring with an employee can be as much as $500. Non-monetary punishments can also be used by states.
The information helps prevent or reverse unemployment and workers’ compensation fraud, lower the amount of public assistance that goes to the wrong people, and more. Child support agencies commonly use information from new hire reports to obtain child support payments from specific parents.
