DOL toolkit 2025 helps employers claim WOTC tax credits and reduce UI costs
DOL Toolkit 2025 helps employers claim WOTC tax credits and reduce unemployment insurance costs.

Date

Introduction: A New Era for Veteran Hiring in 2025

In July 2025, the U.S. Department of Labor released its updated Veterans Accommodations Toolkit to help employers support disabled veterans in the workplace. The toolkit includes guidance on creating accessible environments and expanding registered apprenticeship programs. It reflects a federal effort to increase veteran participation in the civilian workforce through practical, employer-focused resources.

For employers, this presents both a social responsibility and a financial opportunity. Veterans are a key target group for the Work Opportunity Tax Credit (WOTC), offering up to $9,600 per qualified hire. However, many organizations struggle to access these credits due to complex eligibility and documentation requirements.

Walton’s platform helps simplify this process. It supports employers in screening candidates for WOTC eligibility, automating verification of employment (VOE), and managing unemployment insurance (UI) claims efficiently. Together, these tools align with the DOL’s efforts and help businesses benefit from available incentives while hiring qualified veterans.

Understanding the DOL Toolkit 2025 and Its Goals

The Veterans Accommodations Toolkit, released by the Department of Labor in July 2025, is designed to help employers better support disabled veterans in the workplace. It offers practical steps to make work environments more accessible and encourages the use of registered apprenticeship programs as a pathway for long-term employment.

The toolkit addresses common challenges employers face when hiring veterans, such as providing reasonable accommodations, understanding legal requirements, and connecting with available resources. It also promotes collaboration between employers, veteran service organizations, and state workforce agencies to improve hiring outcomes.

By using the toolkit, employers can improve workplace inclusion while building a skilled and diverse workforce. It complements other federal programs like WOTC by supporting the broader goal of increasing veteran employment across industries.

Veterans and the WOTC Program

The Work Opportunity Tax Credit (WOTC) is a federal program that provides tax incentives to employers who hire individuals from targeted groups, including veterans. Depending on factors such as service-connected disabilities or length of unemployment, the credit for hiring a qualified veteran can be as high as $9,600.

Veterans are one of the most valuable categories under WOTC, yet many employers fail to claim the credit due to missed pre-screening or incomplete documentation. The process requires submitting IRS Form 8850 to the appropriate state workforce agency within 28 days of the hire date.

Using WOTC effectively means having a system in place to identify eligible applicants early, collect the necessary data, and submit forms on time. Employers that do this consistently can reduce hiring costs while supporting workforce development and veteran reintegration. Walton Management streamlines every step of the WOTC process with automated tools and expert support.

Streamlining WOTC and VOE with Walton’s Automated Solutions

Identifying eligible hires and completing WOTC documentation manually can lead to missed tax credits. Walton’s platform removes this barrier through automated screening and compliance tools that integrate into the hiring process.

Walton’s automated solutions simplify WOTC and VOE processes for faster and more accurate results.

Key benefits of Walton’s WOTC automation:

  • Screens applicants at the point of hire to check for WOTC eligibility
  • Automatically generates and submits required forms within the deadline.
  • Tracks certification progress and provides a status updates.
  • Helps ensure employers capture every available tax credit.

In addition to WOTC, Walton simplifies Verification of Employment (VOE), a process often delayed by paperwork or disconnected systems. For HR teams managing high volumes of hires or audits, automating VOE can reduce manual follow-up and improve turnaround times.

What Walton’s VOE automation offers:

  • Accurate employment and income data accessible on demand
  • Faster responses to verification requests from lenders or agencies
  • Reduced compliance risk with standardized record keeping

Together, these services help employers stay compliant, claim eligible tax credits, and speed up onboarding with minimal administrative effort.

Reducing Unemployment Insurance Costs with Better Claims Management

Unemployment Insurance (UI) is a major expense for many employers, especially those in high-turnover industries. Incorrect or unchallenged claims can lead to higher tax rates and unnecessary costs.

Walton helps employers manage this more effectively by providing tools to monitor, evaluate, and respond to UI claims in real time.

How Walton supports UI cost control:

  • Tracks all claims activity and identifies patterns that impact tax rates
  • Flags potentially incorrect claims for further review
  • Offers guidance on how to respond within deadlines and meet documentation requirements
  • Helps employers prepare for audits and appeal processes when needed

By taking a proactive approach, employers can reduce claim errors, lower their UI tax liability, and stay compliant with state-specific rules.

Combined with WOTC and VOE services, Walton’s UI claims management provides employers with a comprehensive system for controlling workforce-related costs while maintaining compliance. From hiring to separation, Walton streamlines processes and minimizes risk at every stage. From hiring to separation, Walton streamlines processes and minimizes risk at every stage of the employee lifecycle.

Why Employers Should Act Now

The release of the DOL Veterans Accommodations Toolkit in 2025 highlights a growing national focus on veteran inclusion in the workplace. It also presents a practical opportunity for employers to align with federal goals while improving workforce efficiency.

At the same time, tax incentives like the Work Opportunity Tax Credit remain underused by many organizations. Delays in screening or incomplete documentation often result in missed financial benefits. UI costs also continue to rise when claims are not tracked or contested properly.

Employers who take action now can stay ahead by:

  • Capturing all eligible WOTC credits
  • Improving hiring efficiency with automation
  • Reducing unemployment insurance costs through better claims management.
  • Staying compliant with employment verification requirements

To see how much your business could save, use Walton’s WOTC ROI Calculator. It provides a quick estimate based on your hiring volume and helps identify the potential value of WOTC credits.

These tools are already helping employers reduce costs and improve hiring results. Acting early allows businesses to realize long-term savings and strengthen their workforce.

Conclusion: Turning Policy into Profit with Walton

The DOL’s 2025 initiatives provide employers with a clear direction. Walton gives them the technology to follow it efficiently. By automating tax credit screening, employment verification, and unemployment claims management, Walton helps employers reduce costs while supporting veteran hiring.

Hiring veterans is both a strategic and socially responsible choice. With the right tools in place, it can also be a financially sound one.

To see how your business can benefit, visit Walton Management or request a consultation with a Walton representative.

Share this article on:

Scroll to Top
Contact Us 🔗