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Why is New Hire Reporting Required?

Employers are required to fle specifc information with the proper government agencies within 20 days of their start date

In 1996, the United States Congress enacted a law – the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) – as part of welfare reform that mandates employers in all 50 states must report new hires and rehired staff to a government agency.

The government enacted the requirement for several reasons. Not only does new hire reporting speed up the child support income withholding order process, it also hastens the collection of child support payments from parents who frequently change jobs and helps locate non-custodial parents in regard to child support orders. Employers serve as key partners in ensuring fnancial stability for many children and families and should take pride in their role.

Who is required to report hirings and re-hirings?

Employers and/or labor organizations doing business in the state of Ohio must report the following employees and contractors to the Ohio New Hire Reporting Center.

• New employees: Employers must report all employees who reside or work in the state of Ohio to whom the employer anticipates paying earnings. Employees must be reported even if they work only one day and are terminated (prior to the employer fulflling the new hire reporting requirement). Ohio Revised Code, section 3121.89 defnes an “employee” as “an individual who is employed to provide services to an employer for compensation that is reported as income from wages”.

• Re-hires or recalled employees: Employers must report re-hires, or employees who return to work after being laid off, furloughed, separated, granted a leave without pay or terminated from employment. Employers must also report any employee who remains on the payroll during a break in service or gap in pay and then returns to work. This includes teachers, substitutes, seasonal workers, etc.

• Temporary employees: Temporary agencies are responsible for reporting any employee they hire to report for an assignment.

Employees need to be reported only once and do not need to be re-reported each time they report to a new client. However, they do need to be reported as a re-hire if the worker has a break in service or gap in wages from your company.

When do employers have to report?

Ohio Revised Code Section 3121.89-3121.8911 requires all employers to submit their new hire reports within 20 days after the employee is hired or re-hired or returns to work. Employers who submit their report electronically shall submit the reports in two monthly transmissions not more than 16 days apart.

Where and how do I report new hires?

The Ohio New Hire Reporting Center, which can be accessed here: http://newhire-reporting.com/OH-Newhire/Default.aspx, offers many options that make it easy for employers to report new hires, including online electronic reporting; non-electronic reporting that provides the Ohio New Hire Reporting Center with a printed list that contains all of the required information on the New Hire Reporting Form in at least a 10-point font size and have the employer’s name, Federal Employer Identifcation Number and address clearly displayed at the top of the report; or a W-4 Form that is easily readable and has the employer’s name, Federal Employer Identifcation Number and address written at the top of each form.

Payroll service providers, like ORA Strategic Partner Paychex, can also report your new hires for you. Paychex is an established provider of this service, which allows you to leave the time-consuming paperwork and reporting to them. They will help fle your new hire reports with the correct agency within 20 days of the date of hire.

To learn more about this service and others Paychex provides, please contact a Paychex representative at 800-322-7292 Monday through Friday from 8 a.m. to 8 p.m. EST. You can also visit them online at: http:// smallbusiness.paychex.com/hradministration/ newhire.aspx and download an online form for a no-obligation quote.

Reports of new hires can also be mailed directly to the Ohio New Hire Reporting Center at:

Ohio New Hire Reporting Center P.O. Box 15309

Columbus, Ohio 43215-0309

Employers can also fax their lists of new hires to the Ohio New Hire Reporting Center at: (614) 221-7088 or toll-free at: (888) 872-1611. If you have any additional questions, please call the Ohio New Hire Reporting Center at (614) 221-5330, or toll-free at (888) 872-1490.

As an ORA member, if you would like Paychex to handle the process for you, contact a company representative at 800-322-7292 Monday through Friday from 8 am to 8 pm EST.