To detect and deter fraud, the Minnesota UI Program depends on cooperation from all employers to provide any requested records or information within the timeframe specified on documents as the law requires. In addition, cooperation will control the cost of unemployment insurance tax for all Minnesota employers. Failure to comply may result in an administrative penalty.
An employer who colludes* with an applicant(s) to receive benefits illegally or who commits fraud to avoid paying unemployment insurance tax will be penalized a minimum of $500. In addition, the Minnesota Unemployment Insurance Program refers flagrant cases of fraud for criminal prosecution. You can help prevent fraud by reporting any potential violations using the online Fraud Report.
*Collusion is knowingly helping applicants obtain benefits to which they are not entitled as determined by the Minnesota Unemployment Insurance Program. This may involve cash wages or other hidden compensation for services.