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Show Unemloyment Studied by Group 1 "Utah's unemployment compensation com-pensation program for the fiscal year ending June 30, 1946, became be-came the fourth most costly function of state government," says a research report just released re-leased by Utah Foundation, nonprofit, non-profit, tax-research organization. Only education, public welfare, and highway function of Utah state government exceeded them-ployment them-ployment compensation costs. Expenditures for unemployment benefits totaled $3,120,836 during the fiscal year, and administrative administra-tive costs were $202,881, excluding exclud-ing costs of the Veterans Readjustment Read-justment Allowances which were also administered by the Utah Employment Security Department: Depart-ment: The employment security program pro-gram in Utah is the outgrowth of the Federal Social Security act which was approved in August, Au-gust, 1935. Provision was made in the federal law for establishment establish-ment of a nation-wide system of employment security, including unemployment c o m p e nsation taxes and benefits, and government govern-ment employment agencies. .Option .Op-tion was permitted the states to adopt their own employment security se-curity legislation as a substitute for the federal plan, subject to prior approval of the state plan by the federal social security board. Since 1937, all states have adopted approved programs. pro-grams. The federal law provides for a tax of three per cent of the quarterly payrolls of all employers em-ployers covered by the law. The states are permitted to collect 2.7 per cent for payment of unemployment un-employment benefits. The remaining re-maining .3 per cent of the tax goes to the federal government, which reimburses the states for the administrative expense of the program. Taxes on employers subject to the law resulted in total assessments assess-ments of more than $5,400,000 on Utah payrolls for the unemployment unem-ployment program for the fiscal year 1946, of which $4,868,910 was collected by the Utah administering ad-ministering department, and the remainder by the federal gov ernment. The state sales and use tax was the only tax which imposed im-posed a higher state levy on the Utah economy for the same period. |