At 4.9 percent, Iowa’s relatively low unemployment rate is a reminder that the state fared better than most during the recession, according to Forbes’ Best States for Business 2013. When Iowans are faced with the loss of a job, unemployment insurance is there to replace part of their income and help them make ends meet.
While many states struggle to meet their unemployment commitments, Iowa’s unemployment insurance program is among the strongest in the nation. In fact, Iowa employers will save about $104 million in unemployment insurance taxes for 2014, with the average rate falling from 2 percent to 1.6 percent.
Thank you to the labor and business groups that have worked with Iowa Workforce Development over the last three decades to redesign our state’s unemployment insurance system and ensure it’s able to meet needs. This drop in taxes is good news and just one more step in Iowa’s efforts to support businesses that create jobs and boost our economy.