On September 15, the U.S. Department of Labor announced its award of $10.2 million in grants to 19 states to aid in their worker misclassification detection and enforcement efforts in unemployment insurance programs. Ohio is not a grant recipient, but our next door neighbor, Indiana, is receiving a hefty sum of $500,000.
The Ohio Bureau of Workers' Compensation routinely conducts audits on state fund employers to confirm that payroll records submitted to the Bureau are accurate and that appropriate workers' compensation coverage is being provided for the types of employees in a particular business. Following the audit, the Bureau of Workers' Compensation could determine that there is a discrepancy between a company's estimated premium and the actual/appropriate premium based upon current employee records. Under such circumstances, the company may be obligated to pay up to two years in past due premiums.