A merit rating:
A)Is assigned by the state.
B)Reflects a company's stability or instability in employing workers.
C)Adjusts the employer's SUTA tax rate.
D)Affects state unemployment taxes paid by an employer.
E)All of the choices are correct.

Question

Quizplus · Accepted Answer

A merit rating is a rating system used by some states to adjust an employer's state unemployment tax rate based on their history of layoffs or unemployment claims. The rating is assigned by the state and reflects the company's stability or instability in employing workers, which in turn affects the amount of state unemployment taxes the employer must pay. Therefore, all the choices are correct.

A Merit Rating