The Virgin Islands Department of Labor announced that state unemployment insurance (UI) benefits paid to workers due to COVID-19 will not be charged against employer accounts. (Temporary changes to the Virgin Islands Unemployment Insurance Rules and Regulations in accordance with the Families First Coronavirus Response Act, Division D, April 19, 2020.)

Per the Department's website, effective March 13, 2020, and ending December 31, 2020, the Department will not assess benefit charges against employer's unemployment insurance accounts. Therefore, the current flat tax rate of 2.0% (new employers) and 2.5% (experienced) shall remain during the state of health emergency.

Work search requirements and one-week waiting period waived for workers filing COVID-19 UI benefit claims

Department Commissioner Gary Molloy ordered that, effective March 13, 2020 and through December 31,2020, the requirement that workers search for work while collecting COVID-19-related UI benefits is waived for:

• Individuals who are suffering from symptoms of the COVID-19 virus or disease
• Individuals whose business has closed based on the mandates of social distancing
• Individuals who are in quarantine or displaced from work in order to care for a child in elementary or secondary school whose school or childcare facility has been closed in response to COVID-19

Claimants must take reasonable steps to preserve their ability to come back to their jobs when the quarantine is lifted, or the illness subsides. If any employee is affected by COVID-19, they will be deemed to have "justifiable cause," as stated in Title 24 V.I.C 304(a)(A)(ii) for their failure to participate in such services.

Modification to the "able and available" policy

Through December 31, 2020, the requirement that a laid-off worker be "able and available" to work while receiving unemployment compensation benefits has been modified for the claimants listed above who are affected by COVID-19.

Employers must give notice of UI benefit availability to COVID-19-affected workers

Per Virgin Islands Governor Bryan's Third Supplemental Executive Health Emergency Order, all employers must notify their employees who are impacted by a COVID-19-related employment interruption or reduction in work hours of the following (model language may be found here):

• UI benefits are available to workers who are unemployed and who meet the requirements of the Virgin Islands UI eligibility laws. Employees may file a UI claim in the first week that employment stops or work hours are reduced to less than 20 hours in a week.
• For assistance or more information on a UI claim, workers may call the St. Croix office +1 340 773 1994 or for St. Thomas/St. John, call +1 340 776 3700 or apply for UI benefits online at here.
• When applying for UI benefits, workers will need to provide their full legal name, Social Security number, and authorization to work if not a US citizen or resident.
• Workers with questions about the status of their UI claim can call the Department at the above numbers or email uiclaims@dol.vi.gov.

The Department requests that employers who need to furlough, layoff, or reduce staff hours do the following:

• Send a letter to the Unemployment Insurance Division that includes the names of the affected employees in advance of the reduction of hours to 20 or less per week, discharge or layoff.
• Contact the Department directly at the following numbers to gain information on services that can be provided for affected individuals: St. Thomas +1 340 776 3700, extensions: 2094 or 2035; or for St. Croix, +1 340 773 1994, extensions: 2152 or 2154.
• Individuals affected by reduced hours, furlough, layoff or interested in finding out eligibility criteria, may contact the Department by phone at: St. Croix District at +1 340 713 3425 or St. Thomas District at +1 340 715 5725.

For more information on the Department's response to COVID-19, see the Department's website.

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