Most employees are considered new hires when they report for work the first time or when they return to work after an unpaid absence of more than 90 days. Poll workers, who generally only work at the polls a few days a year and who tend to do so repeatedly, will be considered newly-hired the first time they work for an employer but not each subsequent time they work at the polls for that same employer. Similarly, substitute teachers will be considered newly-hired the first time they work for a particular employer during a school year but not each subsequent time they are provided a substitute teaching assignment by that employer during that school year.
Required information in a new hire report includes the following data elements: (1) employee name, (2) employee address, (3) employee social security number, (4) employer name, (5) employer address, (6) employer's Federal Employer Identification Number (FEIN), (7) date the employee started work, and (8) employee's date of birth. Additional required information of multi-state employers who choose Wisconsin as the sole state to which it reports is the state in which the employee will work, if other than Wisconsin.
An employer may fulfill its reporting requirement for a newly-hired employee using the following formats: (1) on paper by submitting a paper report containing all listed elements, (2) on paper by submitting a completed copy of the employee's federal W-4 form, (3) on paper by submitting a copy of the employee's Wisconsin WT-4 form containing all listed elements, or (4) electronically, as prescribed by the Department.
An employer who files a new hire report by submitting a federal W-4 form in which the first six elements listed in the rule have been completed has satisfied the reporting requirement.
The Department may waive the date of birth reporting requirement if the employer is unable to provide it.
An employer must file new hire reports within 20 days after the newly-hired employee starts work.
An employer with employees in more than one state, that is, a multi-state employer, may report all new hires to a single state. Multi-state employers choosing the single-state reporting option must submit written notice of the state to which they choose to report to the federal Department of Health and Human services.
Any person who violates any provision of this rule may be subject to penalties provided under s. 103.05, Stats.
Initial Regulatory Flexibility Analysis
The proposed rules impose no significant impact on small businesses, as defined under s. 227.114, Stats., since the requirement of employers to file new hire reports is already mandated by federal and state laws. Six of the required elements listed in the proposed rules are specifically required by the federal legislation creating the new hire program. While “date of birth" is listed as an additional required element, the Department will waive that requirement if it determines that the employer is unable to obtain it. “Date of hire" and “state in which the employe will work, if other than Wisconsin" are listed as required elements only to further the goals of the federal and state legislation and are not required if the employer fulfills the new hire filing requirement by submitting a completed W-4 form. These W-4 forms are already required for all businesses with employees under the Internal Revenue Code and therefore do not impose additional paperwork.
The proposed rules have no fiscal impact beyond what has already been identified in the state's budget process. Federal legislation required the implementation of the new hire reporting system. Employers' voluntary compliance with the request to provide the dates of birth for newly-hired employees to verify their identities reduces costs to governmental units and employers while protecting employees who do not actually have child support obligations from unwarranted legal or administrative action. Since existing state legislation requires that the state offer both paper and electronic reporting, the numerous options of reporting provided in the proposed rules do not create additional impact.
Unemployment Insurance Division
Dept. of Workforce Development
P.O. Box 7905
Madison, WI 53707-7905
Telephone (608) 266-6684
Written comments on the proposed rules received at the above address no later than Thursday, August 24, 2000, will be given the same consideration as testimony presented at the hearing.
Text of Rule
SECTION 1. Chapter DWD 42 is created to read:
Chapter DWD 42
STATE DIRECTORY OF NEW HIRES
DWD 42.01 Purpose. (1) Federal law (42 USC 653a (a) (1) (A)) requires each state to establish a state directory of new hires that contains information reported by employers about each newly hired employe and requires employers to report this information. Sec. 103.05, Stats., implemented the federal new hire reporting requirements by creating a state directory of new hires and requiring employers to report information to the department about each newly hired employe.
(2) This chapter specifies the information that employers must provide, the procedures by which employers may comply with the new hire reporting requirements, and the penalties for violating this rule.
DWD 42.02 Definitions. In this chapter:
(1) “Department" means the department of workforce development or its authorized agent.
(2) “Employe" means an individual who is an employe within the meaning of chapter 24 of the internal revenue code of 1986 (26 USC 3401 et seq.) but does not include an individual performing intelligence or counterintelligence functions for a federal or state agency if the head of such agency has determined that reporting pursuant to s. DWD 42.01 with respect to such individual could endanger the individual's safety or compromise an ongoing investigation or intelligence mission.
(3) “Employer" means a person who is an employer within the meaning of chapter 24 of the internal revenue code of 1986 (26 USC 3401(d)) and includes any governmental entity and any labor organization.
(4) “Federal employer identification number" means the identifying number assigned to the employer under s. 6109 of the internal revenue service code of 1986 (26 USC 6109).
(5) “Labor organization" means an organization that is a labor organization within the meaning of section 2(5) of the national labor relations act (29 USC 152(5)) and includes any hiring hall or other organization that is used by the labor organization and an employer to carry out requirements of an agreement described in section 8(f)(3) of the national labor relations act (29 USC 159(f)(3)) between the labor organization and the employer.
(6) “Multi-state employer" means an employer that employs individuals in Wisconsin and in at least one other state.
(7) “Newly hired employe" means:
An employe who reports for work for the first time.
(b) An employe, other than a poll worker or a substitute teacher, who is rehired, recalled or returns to work after an unpaid absence of more than 90 days.
(c) A poll worker who the employer has never reported to the state directory of new hires as a newly hired employe.
(d) A substitute teacher who performs services for the employer but who the employer has not reported to the state directory of new hires as newly hired during the current school year.
(8) “Poll worker" means a person who staffs a polling place on election day to assist in holding the election.
(9) “State directory of new hires" means an automated directory containing information supplied by employers about each newly hired employe, pursuant to s. 103.05, Stats.
DWD 42.03 Reporting requirements. (1) REPORT CONTENTS. Except as provided in sub. (2)(b) and s. DWD 42.04(b), each employer that has one or more employes who perform services in Wisconsin shall file a report containing the following information with the department:
(a) Newly hired employe's name.
(b) Newly hired employe's address.
(c) Newly hired employe's social security number.
(d) Employer's name.
(e) Employer's payroll address for the newly hired employe.
(f) Employer's federal employer identification number.
(g) Date the newly hired employe started work.
Employe's date of birth.
(2) REPORT FORMAT. (a) An employer may file new hire reports in any of the following ways:
1. Electronically, as prescribed by the department.
2. On paper by submitting a copy of the newly hired employe's completed WT-4 form (Employe's Wisconsin Withholding Exemption Certificate/New Hire Reporting).
3. On paper by submitting a paper report containing all of the information required under sub. (1).
4. On paper by submitting a copy of the newly hired employe's completed federal W-4 form (Employee's Withholding Allowance Certificate).
(b) If an employer files a new hire report by submitting a copy of the newly hired employe's W-4 that contains completed reporting requirements (a) through (f) of sub. (1), then the employer has satisfied the reporting requirement.
(3) REPORT DUE DATES. (a) Except as provided in par. (b), a report must be filed within 20 days after the newly hired employe starts work.
(b) If an employer is filing new hire reports electronically, reports must be filed twice monthly, not less than 12 days nor more than 16 days apart.
(c) If the deadline for filing a report falls on a Saturday, Sunday, any of the holidays enumerated under ss. 230.35 (4) (a) and 757.17, Stats., or any other day on which mail is not delivered by the United States postal service, then the deadline shall be extended to include the next business day.
(4) The department may waive the requirement to report the date of birth of the newly hired employe if the employer is unable to provide it.
DWD 42.04 Multi-state employers. (1) REPORTING OPTIONS. Multi-state employers may choose to do either of the following:
(a) Report only the newly hired employes working in the state of Wisconsin as described in s. DWD 42.03 and report employes not working in Wisconsin to the respective states in which they work.
(b) Report all newly hired employes to a single state in which the multi-state employer has at least one employe working, regardless of where the other employes work. If the multi-state employer chooses Wisconsin as the single state to which it reports, that employer must use the electronic filing format. In addition to containing all the data elements in s. DWD 42.03(1), the electronically filed report for any newly hired employe not working in Wisconsin must also include the state in which the employe will work. Report due dates are the same as those provided in s. DWD 42.03(3).
(2) FEDERAL NOTICE. Employers reporting under the option in sub. (1)(b) must submit a written notice to the secretary of the federal department of health and human services informing him or her of which state has been selected for new hire reporting.
(3) REPORT FORMATS. The information to be supplied and the format used by multi-state employers to file new hire reports may vary according to the requirements of the state to which the new hire reports are being filed.
DWD 42.05 Penalties. (1) Any person who violates any provision of this rule may be subject to the penalties provided under s. 103.05, Stats. No penalty may be imposed unless the person has been notified of the violation and has been provided with an opportunity to correct the violation.
(2) Pursuant to s. 103.005(10), Stats., if a penalty is imposed it shall be subject to review in the manner provided in ch. 227, Stats.
Notice of Submission of Proposed Rules to the Presiding Officer of each House of the Legislature, Under S. 227.19, Stats.
Please check the Bulletin of Proceedings for further information on a particular rule.
Agriculture, Trade and Consumer Protection (CR 99-168):
Chs. ATCP 10, 11 and 12 - Relating to animal diseases, animal movement and livestock markets, dealers and truckers.
Barbering and Cosmetology Examining Board (CR 00-19):
Ch. BC 5 - Relating to theory hours conducted by the school outside of the classroom.
Ch. ETF 50 - Relating to eligible applicants for disability benefits.
S. ETF 10.60 (2) and (3) - Relating to electronic reporting for the Wisconsin Retirement System (WRS).