Tens of Thousands of Iowa Employers Will See Unemployment Tax Relief Next Year Thanks to Gov. Reynolds’ Actions

December 17, 2020

Gov. Reynolds’ Office issued a press release on Monday that included a number of different measures she has taken to provide economic relief to small businesses, farmers, healthcare providers, individual families and others through the CARES Act block grant that Iowa received earlier this year. One action she took that will be paramount to the business community’s recovery is the infusion of $490 million into the unemployment trust fund. As unemployment claims rose throughout the spring and summer, the trust fund was being drained of resources. The governor’s action prevented a $400 million tax increase from coming into effect next year and 40,766 Iowa employers will benefit from what she has done. Without her action, employers of all sizes across the state would have seen a massive increase in their unemployment tax payments next year. ABI strongly supports what the governor did and is grateful for her leadership on this issue.