Straight Talk About TWC Claims and Appeals

  1. When TWC handles unemployment claims and appeals, it must follow Texas and federal laws. The Texas laws were enacted by the Legislature and the Governor of Texas, and the federal laws were enacted by the U.S. Congress and the President.

  2. Texas and federal laws are intended to be construed liberally in favor of their intended beneficiaries, i.e., claimants and employees.

  3. TWC’s oversight agency, the U.S. Department of Labor, monitors TWC's enforcement of both Texas and federal UI laws and ensures that the agency follows every legal requirement.

  4. In addition, TWC is subject to court appeals and must follow any decision of a Texas or federal court pertaining to individual cases or to how TWC's procedures comply with the law.

  5. No one at TWC has the power to ignore legal requirements or to make exceptions to the requirements of the law. Only elected officials have the power to change the laws.

  6. Appeal deadlines mean just that. Appeals from TWC decisions must be filed on time. Late appeals must be dismissed, no matter whether the underlying decision was arguably wrong.

  7. No one at TWC - no one - has the authority to extend the time for filing a claim response or appeal. The law either allows an exception, or it does not. Always assume that the stated deadline means exactly what it says.

  8. The only legally-recognized exceptions to the appeal deadlines are the ones contained in Commission Rule 32, which is online at https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=40&pt=20&ch=815&rl=32. Unhappiness with the claim, with TWC, with having to pay UI taxes, with TWC staff, with TWC's website, and / or with the time and trouble involved with filing an appeal are understandable, but are not valid reasons for filing a late appeal.

  9. Everything that claimants and employers say or submit to TWC in connection with a claim or appeal becomes a part of the official record, and the claimants, employers, and their representatives may request copies of any such records.

  10. The initial determination is made by a claim investigator. The investigator must ask fact-related questions when speaking with a claimant or employer and is not allowed to "coach" anyone. They may answer questions about the process, but any information they give will be "by the book" and equivalent to the same information found on the TWC website or in agency publications.

  11. If a party files a timely appeal, a hearing officer from the Appeals Department will conduct a hearing, take sworn testimony from both parties, and issue a signed written decision. The hearing officer is not allowed to discuss the merits of the case outside of the context of a hearing to which the other party has been invited. They are allowed to answer questions about the process, but any information they give will be "by the book" and equivalent to the same information found on the TWC website or in agency publications.

  12. If a party files a timely appeal to the Commission from a hearing officer's decision, the three Commmissioners in Austin will review the case and vote on the outcome in an open meeting. The Commissioners are not allowed to discuss pending appeals with claimants or employers.

  13. Claimants calling to speak with a Commissioner office will be referred to the office of the Commissioner representing labor at 800-832-2829 (e-mail: laborinfo@twc.texas.gov), and employers who call will be referred to the office of the Commissioner representing employers at 800-832-9394 (employerinfo@twc.texas.gov).

  14. For more information on the claim and appeal process, see the preceding article, "Unemployment Insurance Law: The Unemployment Claim and Appeal Process".

  15. Under both Texas and federal unemployment laws, employers must report their employees' wages and pay unemployment taxes on time.

  16. Failure to pay UI taxes can result in serious penalties, including, but not limited to, interest on unpaid taxes; a lien on the business and its assets; an assessment that has the legal effect of a final judgment of a district court; a warrant hold from the Texas Comptroller's office that acts as an offset of UI taxes owed from payments from other sources, including IRS tax refunds; an injunction from a court; forfeiture of the right to employ workers in Texas; imposition of a bonding requirement; placing the business in receivership; and on the federal side, imposition by the IRS of the full federal UI tax on wages, instead of the 90% discount available to employers that pay the full state UI tax.

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