Industry News
NDNH proves highly effective in identifying overpayments
July 25, 2006
As On Point Technology travels the country participating in conferences, performing on-site demonstrations of our package software solutions, and generally engaging in discussion with UI agency personnel, we are frequently asked for our impression of how effective the National Directory of New Hires (NDNH) is going to be. We don't have to speculate in our response because there is hard evidence available.
The results of a pilot study conducted in March 2005 by Texas, Utah and Virginia were determined by an independent analyst to show that, "... NDNH can be of significant benefit to the states in identifying and reducing improper UI payments."
The percentage increase in additional overpayments found using the NDNH W-4 New Hire Report data over the overpayments found using the State Directory of New Hires (SDNH) W-4 data was dramatic in all three states.
Texas' data produced a 114 percent increase in the number of additional overpayments identified, with a value of $1.6 million. Utah's 41 percent increase was valued at $0.4 million, and Virginia's 73 percent increase was valued at $0.8 million.
The NDNH pilot report can be found on the U.S. Department of Labor's Web site .
The Kentucky Education Cabinet recently selected On Point Technology to implement the NDNH interface. Kentucky is the second customer to integrate Barts' fast path processing with an NDNH crossmatch.