Unemployment cuts means higher taxes for employers (Gaston: 2015, unemployment benefits)

[SunnyKayak]

A new law that will go into effect in July means higher unemployment taxes for employers until the state's debt to the federal government is paid off, estimated to be in 2015.

Currently employers pay $84 per employee since the state mis its deadline.
After law goes into effect, they’ll pay $105 per employee in 2014, and $126 in 2015.

Employers face higher taxes with unemployment shift - Gaston Gazette

[Ex Vermonter]

This will probably make employers less likely to hire new employees. This comes at a time when jobs are in short supply to begin with. It does not bode well for the NC economy. Anything that results in fewer jobs being created only serves to move NC backwards economically. It is so sad to see such a beautiful state being so badly mismanaged by a few people at the top.

[ncjeff]

Your title is deceptive. The unemployment cut does not mean that employer taxes are rising, the truth is that there are multiple changes being made at the same time, one of which results in a higher payment by employers.

First is a reduction in the current unemployment benefit package. The second is an increase in the unemployment taxes paid by the employers. Whether you agree or disagree with the law, one change is not causing the other. Both changes are made to accelerate the payback of the Federal money that funded extended unemployment benefits.

The stated logic is that paying down the debt sooner is better than later, and that we're in a position to rebuild the unemployment fund for the next downturn instead of coming out of one deficit and potentially facing another. You could debate whether they're being more aggressive than necessary in paying off the debt, or that the unemployed and/or business is bearing too much of the burden.