SC unemployment agency paying $106M toward debt - FOX Carolina 21

SC unemployment agency paying $106M toward debt

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South Carolina's unemployment agency is paying down $106.5 million of its debt to the federal government two months ahead of schedule.

A Department of Employment and Workforce spokeswoman says the agency plans to make the payment Friday.

Legislators included $77 million in unemployment tax relief in their 2012-13 budget. That designation directly benefits businesses by cutting the impending hike on insurance taxes. On average, businesses will save 12 percent.

Spokeswoman Mary-Kathryn Craft says businesses will receive revised tax notices in October.

Director Abraham Turner said the payment will reduce the agency's debt to $676 million. The agency had to borrow nearly $1 billion from the federal government to keep sending checks amid climbing jobless rates.

Turner said the agency is on track to pay back every dime by October 2015.

Copyright 2012 The Associated Press. All rights reserved.

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