The Supreme Court reversed the judgment of the court of appeals concluding that a new business would receive the prior business's "experience rating" for purposes of calculating the business's "unemployment tax," holding that because both businesses were not under substantially the same ownership, management, or control at the time the transfer occurred, the new business was not subject to the prior business's experience rating. Ohio employers pay an unemployment tax to support the workers' compensation system. The tax is based partly on an employer's experience rating, which is derived from the amount of unemployment benefits that have been paid to the employer's former employees. In this case, the new employer did not share common ownership, management, or control with the old employer on the date of the transfer. The new employer did, however, hire the old employer's management team. The court of appeals concluded that the new employer would receive the prior employer's experience rating. The Supreme Court reversed, holding (1) the language in Ohio Rev. Code 4141.24(G)(1) requires concurrent ownership, management, or control of both employers at the time that the business or trade is transferred; and (2) therefore, the new employer was not subject to the prior employer's experience rating. |