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AAU, Associations Call for Unemployment Insurance Relief for Colleges and Universities in “Phase Four” Covid-19 Relief

AAU, together with ACE and 48 other higher education organizations, sent a letter to Senate leaders requesting them to address issues related to the Labor Department’s recent guidance on implementing emergency unemployment relief provisions in the CARES Act. The organizations say that the guidance “undermines the provision’s intent to provide relief to employers facing difficult financial situations and may cause further harm to self-insured public and private nonprofit colleges and universities.” The Labor Department’s guidance requires states to bill self-insured nonprofit entities for the full amount of COVID-19-relaed unemployment insurance claims, treating them differently than other self-insured entities and creating unnecessary confusion, the letter says. The organizations urge the Senators to treat self-insured nonprofits fairly in the coming COVID-19 relief proposal.

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