By Payroll and Entitlements Editorial Staff
After a school district had its accreditation revoked, the Education Commissioner ordered another district to annex the former district and assume all its assets and debts, resulting in the Commission billing the new school district for unemployment benefits paid to the former school district’s employees. The new school district brought an action in court for an adjustment or refund. The court found that because unemployment contributions are due when wages are paid, the new school district was responsible at annexation for contributions on the wages paid to the former school district because it had assumed its assets and debts (Houston Independent School Dist. v. TWC, Tex. Ct. of App., No. 03-18-00123-cv, April 25, 2019).
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