The California Employment Development Department (EDD) is a government agency that provides benefit services to California employers and employees. The EDD’s primary goals involve assisting workers with employment and maintaining state data on employment. Some useful information and services that the EDD provides that might be of interest to unemployed workers are listed below.
- Makes economic projections pertaining to the job market
- Offers data on labor market indicators, such as employment trends and wages
- Collaborates with other workforce employees who connect job seekers to meet the vastly growing needs of the California workforce
- Provides unemployment benefits
- Files unemployment claims
- Manages disability insurance claims
- Reopens existing claims
- Helps manage claims
- Offers job skills training
- Administers federal work programs
- Collects and audits payroll taxes and maintains employment records for millions of workers in California
EDD for Employers
Most people think of the EDD as strictly a resource for employees, but they actually offer quite a few services for employers as well. The EDD can help employers learn how to register as an employer for their payroll tax obligations. They provide the necessary employer forms and paperwork for taxes, and they host seminars and other tax-related events to assist employers. The EDD also provides resources to help employers better understand the payroll tax system and assists with payments, schedules, rates, and reporting requirements. They can even show employers how to use the e-Service for Business online filing system, which streamlines the process.
The EDD has many resources to offer employers regarding their tax obligations, and they may even find that they qualify for certain tax credits when they hire employees from specific target groups that otherwise experience difficulty obtaining employment.
The EDD can also be beneficial for employers who want to post job openings for potential applications from workers using the CalJOBS system. The EDD even offers access to hundreds of locations across the state that provide services such as the use of facilities to screen and interview applicants. They will also do resume searches to target workers who meet the qualifications of employer job positions. Additionally, they can assist with recruitment campaigns and job fairs.
One of the most impressive services offered by the EDD is on-the-job training reimbursement programs and other training subsidies available to employers who qualify. These subsidies are meant to offset the costs of new employee training and other types of skill development.
Additionally, the EDD publishes valuable data each year that projects current trends in the state’s labor force. This data can be very helpful for business owners and employers when making plans for relocation, expansion, and future hiring needs. It can also project future training needs, as thousands of statistics are kept current and available to view online. Some of the statistics commonly used by employers include wage and salary amounts, demographics, and occupational trends.
Fidelity Bonding
Many employers take advantage of the EDD’s Fidelity Bonding Program. In collaboration with the U.S. Department of Labor’s Employment Training Administration and employment law, the Fidelity Bonding Program protects employers from dishonest and fraudulent at-risk job applicants to help alleviate concerns about hiring ex-offenders. This is a free program that remains in effect for six months.
For Employees
For workers in California, EDD services provide many useful resources that can improve the chances of an unemployed individual who wants to work or get a job, but it’s not just about employing the worker. An aggressive individual can not only get a job but can get a good job that they enjoy. When workers take full advantage of the opportunities provided by EDD, they can receive invaluable job skills training, assistance with building an impressive resume, and so much more.
While participating in all the great opportunities that the EDD offers, they can receive employee benefits, including disability benefits, unemployment benefits, and paid family leave benefits from the EDD. They also host a variety of other services aimed at helping unemployed Californians find gainful and sustaining employment. This prepares workers for the day when they are no longer eligible for unemployment benefits, with an underlying goal of preventing them from experiencing long-term unemployment in the future.
State Disability Insurance
A primary purpose of the EDD is to manage State Disability Insurance (SDI). SDI is a program that provides benefits to disabled California workers who qualify. There are two types of SDI:
- Disability Interest (DI)
- Paid Family Leave (PFL)
There are also nonindustrial programs for both options, but these benefits are offered in addition to the federal equivalent, which is Paid Family and Medical Leave (PFML).
DI provides benefits for up to a maximum of 52 weeks. Employees can receive these benefits if they fall ill and their illness is not work-related or if they are pregnant. PFL provides the same benefits as DI but only for up to eight weeks.
The EDD helps:
- Californians with their state tax issues
- Employers seeking job applicants
- Claimants
- Medical practices
- Volunteers who assist with plan administration
Unemployment Insurance
Unemployment Insurance (UI) is a short-term wage replacement that is funded by the employer. This is an important component of California’s economy. It helps support unemployed workers while they are out of work by replacing their lost income while they look for new employment. It goes even further, though, and provides reemployment services, so workers can once again support themselves.
Below are services provided for employees by the EDD regarding UI:
- Filing Ul claims
- Determining eligibility
- Distributing UI benefits
- Applying state and federal laws to the UI system
- Orchestrating automation projects
- Upholding the integrity of the UI and other programs
FAQs
Q: What Does the California Employment Development Department Do?
A: As one of the largest state departments in California, the EDD oversees:
- Unemployment assistance
- Unemployment insurance benefits
- Disability insurance
- Paid family leave benefits
They also collect payroll taxes and provide training and other resources for unemployed workers. These provisions are important in rebuilding the confidence of workers who feel devalued due to their inability to provide for their families.
Q: What Is EDD Meant For?
A: EDD was established in 1936 to help unemployed workers maintain their quality of life while they seek employment. Since its inception, the EDD has helped millions of California residents and employers connect in working relationships. These reinstate self-confidence and motivation for hard work in the disheartened individuals who suffer from unemployment. Essentially, the department’s basis in all of its endeavors is to help rebuild the individual’s ability to work and their belief in themselves and their community.
Q: What Does EDD Mean in California?
A: The California Employment Development Department is also referred to as the EDD. Its goal is to do exactly that: assist in the establishment and development of the employment of individuals who can work, or who can work in certain capacities, but are otherwise unemployed due to a lack of gainful employment. For many Californians, the EDD keeps them from losing their quality of life and their pride.
Q: What Department Does EDD Fall Under?
A: The EDD falls under the California Labor and Workforce Development Agency, whose mission is to ensure fair and safe work environments, provide benefits to workers, and promote good positions of employment for all California workers. An honorable trait about this department is that it does exactly what it promises to do.
Hiring an Employment Lawyer
When employers find themselves in legal disputes with employees or another third party that involves a business entity, it can be overwhelming. The attorneys at Fishman Larsen Callister know what to do. Our employment law practice is crafted to meet the needs of our clients. Contact Fishman Larsen Callister for genuine legal counsel.