Skip to main content
Find a Lawyer

Pennsylvania Statutes Title 43 P.S. Labor § 782. Establishment and maintenance of employer’s reserve accounts

Current as of January 01, 2025 | Updated by Findlaw Staff

The department shall establish and maintain for each employer a separate employer's reserve account in the following manner:

(a) An employer's account shall be charged with all compensation, including dependents' allowances, paid to each individual who received from such employer wage credits constituting the base of such compensation, in accordance with this subsection.

(1) An employer's account shall be charged with compensation paid to an individual for which an overpayment under section 804 of this act  1 is not established against the individual.

(2) In addition to charges assigned under paragraph (1), an employer's account shall be charged with compensation paid to an individual for which an overpayment under section 804 of this act is established against the individual if the compensation is paid because the employer or an agent of the employer responds untimely or inadequately or fails to respond to a request by the department for information regarding the individual's eligibility for compensation. For the purposes of this paragraph, the following shall apply:

(i) A request by the department for information regarding an individual's eligibility shall:

(A) Indicate the name and social security number of the individual.

(B) Contain specific inquiries, indicate the type of information sought, or both.

(C) Be mailed to the employer's or agent's last known address or be transmitted electronically to the employer's or agent's electronic mail address if the employer or agent has designated an electronic mail address.

(D) Indicate the date the request is mailed or transmitted electronically.

(E) Indicate a mailing address, an electronic mail address, or both, where a response shall be filed.

(ii) An employer's or agent's response to a request by the department for information shall be untimely if the response is filed more than fourteen days after the department's request for information is mailed or transmitted electronically to the employer or agent. The filing date of a response shall be determined in accordance with 34 Pa. Code § 63.25 (relating to filing methods).

(iii) An employer's or agent's response shall be inadequate if the response misrepresents or omits facts that, if represented accurately or disclosed, would have been a basis for the department to disqualify the individual from receiving compensation.

(iv) A determination by the department assigning charges under this paragraph may be appealed as provided in Article V of this act  2 for appeals from determinations regarding an individual's eligibility for compensation.

(3) An employer's account shall be charged with compensation paid to an individual in the proportion that the individual's wage credits with the employer bear to the total wage credits received by the individual from all employers.

(b) Any employer, at any time, may voluntarily pay into the Unemployment Compensation Fund an amount in excess of the contributions required to be paid under the provisions of this act, and such amount shall be forthwith credited to his reserve account. His rate of contribution shall be computed or recomputed, as the case may be, with such amount included in the calculation. To affect such employer's rate of contribution for any year, such amount shall be paid not later than thirty days following the mailing of notice of his rate of contribution for such year: Provided, That for good cause, such time may be extended by the department: And provided further, That such amount, when paid as aforesaid, shall not be refunded or used as a credit in the payment of contributions in whole or in part. In no event shall any such amount be included in the computation or recomputation for any year unless it is paid within one hundred twenty days after the beginning of such year.

(c)(1) For the purpose of determining any employer's rate of contribution for any year, the phrase “balance in an employer's reserve account” as used in sections 301, 301.1 and 301.2 of this act  3 shall mean the amount ascertained as of the computation date by subtracting the amounts charged to his reserve account from the amounts credited thereto including voluntary contributions. If, as of the computation date, the amounts charged to his reserve account exceed the amounts credited by an amount equivalent to more than twenty per centum (20%) of his average annual payroll, the employer may elect, subject to the provisions of section 301.1(f) of this act to have his reserve account balance adjusted to a negative balance equal to twenty per centum (20%) of his average annual payroll. This subsection as amended shall apply to elections made after December 31, 1986.

(2) Notwithstanding the provisions of section 301.1(f) and paragraph (1) of this subsection, for elections made on or after January 1, 1984 and before May 1, 1986, if the amounts charged to the employer's reserve account exceed the amounts credited by an amount equivalent to more than ten per centum (10%) of his average annual payroll, the department, after determining his Reserve Ratio Factor shall, upon the election of the employer, adjust his reserve account balance to a negative balance equal to ten per centum (10%) of his average annual payroll. With respect to future adjustments of negative balance accounts, the secretary shall, upon the election of the employer, make adjustments as follows:

(i) In relation to adjustments made for the second time after January 1, 1984 and before May 1, 1986, if the amounts charged to his reserve account exceed the amounts credited by an amount equivalent to more than fifteen per centum (15%) of his average annual payroll, the department shall, upon the election of the employer, adjust the reserve account balance to a negative balance equal to fifteen per centum (15%) of his average annual payroll.

(ii) In relation to adjustments made for the third time after January 1, 1984 and before May 1, 1986, if the amounts charged to his reserve account exceed the amounts credited by an amount equivalent to more than twenty per centum (20%) of his average annual payroll, the department shall, upon the election of the employer, adjust his reserve account balance to a negative balance equal to twenty per centum (20%) of his average annual payroll.

(d) The department shall terminate the reserve account of any employer who has not paid contributions for a period of four consecutive twelve month periods, ending June thirtieth in any year.

(e) Nothing contained in this act shall be construed to grant to any employer any claim or right of withdrawal with respect to any amount allocated to him from, or paid by him into, the Unemployment Compensation Fund, except as provided in section three hundred eleven hereof.  4

1 43 P.S. § 874.
2 43 P.S. § 821 et seq.
3 43 P.S. §§ 781 to 781.2.
4 43 P.S. § 791.
Previous Part of Code Next Part of Code
Back to Chapter List

Cite this article: FindLaw.com - Pennsylvania Statutes Title 43 P.S. Labor § 782. Establishment and maintenance of employer’s reserve accounts - last updated January 01, 2025 | https://codes.findlaw.com/pa/title-43-ps-labor/pa-st-sect-43-782/

FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature before relying on it for your legal needs.

Was this helpful?

Welcome to FindLaw's Cases & Codes

A free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw’s Learn About the Law.

Go to Learn About the Law

Latest Blog Posts

For Legal Professionals

Learn About The Law

Get help with your legal needs

FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.

Go to Learn About the Law

Need to Find an Attorney?

Search our directory by legal issue

Enter information in one or both fields (Required)

Copied to clipboard