UI Audit Results Now Shared with IRS and Other Agencies

The NJ Department of Labor and Workforce Development (DOL) conducts about 8,000 Unemployment Insurance (UI) audits and investigations a year, all involving worker classification issues to some degree. Where an audit uncovers a misclassification, such as when an employee is misclassified as an independent contractor, the DOL will now share its findings with the Internal Revenue Service, the Division of Taxation, the Division of Workers’ Compensation, and the Division of Wage and Hour Compliance.