What's New in WOTC
Guidance on WOTC Program Status
The legislative authority for the WOTC program expired on December 31, 2013. At this time, we have no indication whether Congress may pass legislation extending authority for the program beyond December 31, 2013. However, in the past when the program's authority lapsed, Congress has retroactively reauthorized the program back to the date of expiration. In anticipation of possible retroactive reauthorization, employers should continue to submit WOTC applications for all target groups to State Workforce Agencies.
On January 2, 2014, the Employment and Training Administration issued Training and Employment Guidance Letter No. 8-13. This guidance instructs State Workforce Agencies to:
- Accept and fully process (i.e. issue certifications or denials) all WOTC applications received from employers for hires made on or before December 31, 2013.
- Continue to accept WOTC applications from employers for hires made on or after January 1, 2014, but not to issue certifications for these applications until the program is reauthorized.
Guidance on Empowerment Zones Issued
On September 12, 2013, the Employment and Training Administration issued guidance to State Workforce Agencies (SWA) on Empowerment Zones (EZs). TEGL No. 24-12, Change 1 provides an update on the status of EZ designations and instructs SWAs to start processing certification requests for the two target groups, Summer Youth and Designated Community Residents, which require its eligible members to reside in EZs.
New WOTC Video Resources
Three new video resources for the WOTC program are now available:
Guidance for ARRA Target Groups
On December 7, 2012, the Department of Labor issued guidance, Training and Employment Guidance Letter 10-12, regarding the two WOTC target groups established under the American Recovery and Reinvestment Act. The legislative authority for the two temporary ARRA target groups, Unemployed Veterans and Disconnected Youth, expired on December 31, 2010. The guidance provides instructions to State Workforce Agencies on final processing of WOTC applications for the ARRA target groups.
Guidance on Veterans Target Group
The VOW to Hire Heroes Act of 2011 was signed into law by President Obama on November 21, 2011. This act extended and expanded the Qualified Veteran target group. Additionally, qualified tax-exempt 501(c) organizations can now participate by hiring qualified veterans. For additional information on the changes, see the
VOW to Hire Heroes Act Fact Sheet. The changes and new provisions in this Act apply to veterans that began to work for an employer on or after November 22, 2011.
The Department of Labor issued TEGL 30-11 to provide guidance on the provisions in the VOW Act.
Misrouted WOTC Applications
EMPLOYERS and CONSULTANTS: Your certification requests for each new employee hired must be sent to your state workforce agency -- NOT to the U.S. Department of Labor (DOL) in Washington, D.C. Beginning in July 2012, all misrouted mail received by DOL will be returned to the employer or consultant.