Vermont Department of Labor - Unemployment Insurance

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The primary objective of Unemployment Insurance is to provide temporary income for those workers who become involuntarily unemployed, and who are able and willing to accept suitable jobs that are available. From the standpoint of employers, Unemployment Insurance for short spells of unemployment tends to hold together a skilled labor force, which can be called upon when business improves. The employer plays a critical role in the program. The costs of the program are borne entirely by the employer by payment of taxes to the Vermont Department of Labor, which are used solely for payment of benefits. The employer also pays a tax to the federal government, which is used to pay for administering the program, to make loans to replenish state trust funds, and to pay for the federal share of the cost of any extended benefits program that may be in effect. more at link above