DEW director tells legislature UI trust fund has topped $590 million amid five‑year rebuild

Thomas Alexander convened a joint Senate Labor, Commerce and Industry committee meeting to review the performance of the South Carolina Department of Employment and Workforce and its director, Cheryl Stanton. Stanton told the committee the UI trust fund balance was “over $590,000,000 as of April 30,” and said the agency has moved from crisis management to rebuilding reserves after earlier federal borrowing.

Stanton described the reserve target as statutorily driven and tied to the taxable‑wage base and historical recessions. She said the agency’s projections for the reserve level in 2020 depend on wage growth and other economic changes and currently range roughly between $946 million and $970 million. “We do each week track … how many claims have been filed, initial claims, how many weekly pay claims we’re paying out, and what the benefit payout is,” Stanton said, adding that she would alert lawmakers if weekly payouts rise materially.

Lawmakers pressed for context on how the rebuild affects employers. Stanton said the agency has reduced unemployment taxes for employers over the past four years and estimated that employers have seen their taxes drop an average of 31 percent during that period; she also said roughly 70,000 businesses are now in the lowest rate class, reflecting no claims in the last three years.

Several members warned that timing and wage‑base growth can change how quickly the reserve target must move and urged continued transparency about collections and payout levels. The session closed without any formal action on tax policy; Stanton said the agency will return with updates if collections or payouts deviate from projections.

The committee adjourned by voice vote.