How can the UI tax rate be manipulated?

There are three common ways, along with many variations, that are most often used to manipulate the tax rate.  They are:

• Vertical method – Create a “new” employer that is assigned a “new” employer tax rate of 2.7%, and then transfer payroll to the new employer.
• Horizontal method – Transfer payroll to a subsidiary with a lower UI tax rate.
• Acquired rate method – Find another employer with a low UI tax rate and arrange to transfer payroll to that employer.