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State Capitol of Oklahoma in Oklahoma City

State Capitol of Oklahoma in Oklahoma City

Oklahoma unemployment tax reform bills head to Gov. Stitt

Hicham Raache by Hicham Raache
May 9, 2025
in News, Politics & Elections, Taxes & Budget
Reading Time: 2 mins read
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OKLAHOMA CITY (OBV) – Two bills created to reform Oklahoma’s unemployment tax system are headed to Gov. Kevin Stitt for final approval.

The Oklahoma House of Representatives passed both Senate Bill 911 and Senate Bill 924 unanimously. Both bills were written by Sen. Bill Coleman, R-Ponca City, and Rep. Mark Tedford, R-Jenks.

The bills seek to modernize Oklahoma’s unemployment tax system, which Tedford says is needed to help Oklahoma’s small business owners.

“For small business owners, just one or two claims can send their unemployment tax rate sky-high. That’s not sustainable for those working trying to keep people employed,” Tedford said. “And when fraud slips through the cracks, it hurts everyone. These bills help level the playing field—making taxes fairer and tightening up the system so benefits go where they’re supposed to.”

SB 911 reduces the top unemployment tax rate from 9.2 percent to 6.5 percent, offering direct relief to Oklahoma employers by lowering the rate and updating outdated formulas.

House officials said the reduction especially benefits small businesses, enabling those businesses to hit the top rate after a few claims. The bill makes the unemployment system more fair and predictable by . SB911 also establishes a new conditional factor rate table and raises the threshold for triggering an unemployment insurance surcharge from $25 million to $50 million.

Senate Bill 924 targets unemployment system fraud by allowing the Oklahoma Employment Security Commission (OESC) to require in-person interviews when fraud is suspected. It also authorizes OESC to deny claims when the employer is not correctly named. House officials say both tools are critical to protecting the system’s integrity.

SB 924 also updates statutory language and clarifies judicial review procedures to improve efficiency and consistency in appeals, according to House officials.

Both bills go into effect on Nov. 1 if Stitt signs them into law.

Tags: Governor Kevin StittOESCOklahomaOklahoma Employment Security CommissionReformRepresentative Mark TedfordSB 924Senate Bill 911Senate Bill 924Senator Bill ColemanUnemployment Tax
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