Verizon subsidiaries resolve unemployment payments issue

Bryan Cohen May 24, 2012, 7:00am


BOSTON (Legal Newsline) - Massachusetts Attorney General Martha Coakley announced a $317,909.45 settlement on Wednesday with two Verizon subsidiaries to resolve allegations that they failed to pay full unemployment contributions to the state.

The matter involving Verizon Service Corporation and Verizon New England was referred to Coakley's office by the Executive Office of Labor and Workforce Development's Department of Unemployment Assistance. The collaborative effort targeted employers that failed to pay quarterly unemployment contributions into the state's unemployment trust fund.

"Qualifying employers are required to pay contributions to the unemployment compensation fund in Massachusetts to ensure that benefits are available for eligible workers," Coakley said. "Through enforcement, we aim to level the playing field for those businesses that already follow the law and to ensure future compliance."

Under the terms of the settlement, VSC and VNE agreed to pay $317,909.45 to the state for allegedly failing to pay full unemployment contributions between January 2010 and December 2011. The Department of Unemployment Assistance alleged that the two telecommunication service providers failed to pay their full tax liability. The defendants made a lump sum payment of $317.909.45 to the state as part of the agreement.

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