04 NCAC 24D .0702          REQUIREMENTS FOR TRANSFER OF EXPERIENCE

(a)  A successor employer shall submit the following information to DES when requesting a partial transfer of experience rating:

(1)           the total three-year taxable payroll ending June 30th prior to the last computation date for the  transferring employer; and

(2)           the total three-year taxable payroll ending June 30th prior to the last computation date for the transferring employer, relating to the severable portion acquired.

(b)  Not withstanding Paragraph (a) of this Rule, an alternate three-year payroll may be used when the severed or retained unit was not operated by the transferring employer during the three-year period ending June 30th prior to the last computation date.

(c)  A successor employer that acquires the experience rating account, either total or partial, shall be liable for accrued benefits and acquire related rights based on the transferring employer's employment prior to the acquisition.  Benefit charges to the transferring or successor employer shall be made in accordance with the percentage used to transfer the experience rating account, based on wages paid prior to the transfer.

(d)  The requirements of this Section shall apply to transfers mandated by law, and those requiring DES's approval pursuant to G.S. 96-11.7.

(e)  The completion and submission of Form NCUI 603 with the information described in Paragraph (a) of this Rule, and in accordance with Rule 04 NCAC 24A .0104(o) shall satisfy the requirements of this Rule.

 

History Note:        Authority G.S. 96-4; 96-10; 96-11.7;

Eff. July 1, 2015.