That only encourages people to work the minimum at X shitty job, and then leave. Then when you get unemployment, you also work contract jobs and other cash jobs.
Like hell anyone would report it, considering how bad unemployment insurance is. "you were paid 102k a year, but were downsized. Now get paid 446/mo."
In my state (Indiana) they are not even licensed. Other places where they do adhere to the law, they are a money transmitter. In Indiana, that only allows money holding up to 10 days, unless law enforcement files paperwork with a judge.
So yeah. I will use them. But if I have any problems with them, I'll take them to small claims over non-compliance with the law.
Like hell anyone would report it, considering how bad unemployment insurance is. "you were paid 102k a year, but were downsized. Now get paid 446/mo."