Reference Personnel Manual, Section 1.12.3. In some instances, a TWC employee may have an unresolved UI tax debt to the agency. This situation occurs when an individual accrues UI tax debt during the operation of a business. The individual may be a TWC employee operating a business on the side, or the individual employer may go to work for TWC at a later date bringing the tax debt with them. The employee subsequently fails to either pay the debt or abide by an installment payment agreement. Employees with a tax delinquency must clear these debts or enter into a satisfactory payment agreement within 30 days. An employee who fails to abide by an installment payment agreement must make the overdue payment(s) or re-negotiate the payment agreement within ten days.

The action against a TWC employee may only be authorized by the Tax Director. The Collection Section Manager or Assistant Manager are the only individuals who may proceed with enforcement of the procedure against a TWC employee. All such actions under Personnel Manual Section 1.12.3 are to be brought to the attention of the above named individuals.

Step 1: The Tax Director will notify the employee, the responsible Department Head, and the Human Resource Department (HRD) of the tax delinquency and request repayment within 30 days. The notification will include a copy of the employee's tax account delinquency, information regarding the installment payment options, contact persons for such action, and a copy of the Debt Resolution policy.

Step 2: If after 30 days the employee has not submitted payment or negotiated an installment payment agreement, the Tax Director will notify HRD of the employee's failure to respond. HRD will send a second notification through the employee's Department Head. The second notification will give the employee 10 working days in which to make payment or negotiate a payment agreement with the Tax Department. The notification will include a copy of the employee's tax account delinquency, a copy of the Debt Resolution policy, and a warning that disciplinary action will be taken if the employee's response is not received within the allotted time.

Step 3: If after 10 working days the employee has not made payment or negotiated an installment payment agreement, HRD will initiate, through the employee's Department Head, the following disciplinary actions:

Step 1: Employees who fail to maintain the payments on an installment payment agreement will receive notification of the delinquency from the Tax Department with a copy of the notice sent to HRD and the employee's Department Head. The notification gives the employee 10 working days in which to make the overdue payment(s) or re-negotiate the payment agreement. The notification will include a copy of the employee's tax delinquency, a copy of the Debt Resolution policy, and a warning that disciplinary action will be taken if the employee's response is not received in 10 working days. The field examiner responsible for the account will receive an assignment to monitor the compliance of the payment agreement.

Step 2: If after 10 working days the employee has not made the overdue payment(s) or re-negotiated the payment agreement within the 10-day suspension period, the employee may be subjected to further disciplinary action, up to and including termination, for misconduct. HRD and the employee's Department Head make the determination regarding appropriate disciplinary action.