When it comes to deciding if a claimant will receive unemployment benefits, the state is the ultimate decision maker. That doesn’t mean as an employer you don’t have an important say in whether or not they are approved. With every unemployment claim filed, you need to decide if you want to contest the claim.
Determining if they’re contestable
In order for an employee to qualify for benefits, they must be let go at no fault of their own. Depending on the circumstances, for example if they’re laid off, fired, or quit, will affect how this rule ultimately work.
If you have to let an employee go due to general layoffs for reduction in workforce, they are always eligible. Their termination was the result of a business decision, not their performance.
Employees who are fired are much more complicated. Typically, disqualification will come if they were terminated due to misconduct, which means it affects the company’s interests. Reasons include sharing company information or sexually harassing co-workers. Other examples include being intoxicated on the job, lying, excessive tardiness, and continued absences without excuses, among other reasons.
In some cases, an employee may be fired for actions that don’t qualify as misconduct. In these situations, they are usually able to collect. Such reasons would include bad work habits, inability to get along with co-workers, unpleasant personality, and lack of skills applicable to the job.
Employees who quit
If an employee resigns for good cause, they can still qualify for unemployment benefits. The reason must be compelling, not simply they didn’t like the job. If the conditions are intolerable and any reasonable person would leave, they’re still eligible. Also, if an employee’s safety or health is at risk, they can qualify.
Make monitoring your claims easier
Another reason to contest a claim is to keep tax rates low. As an employer, the more claims you pay in a year, the more you’ll pay in insurance each year. By limiting how many UI claims your company pays, you can keep your costs low.
With Unemployment Tracker, you can monitor your claims and make sure you don’t miss important deadlines, meaning all claims can be contested in a timely manner. Save time and money and request a live demo today to see how Unemployment Tracker can work for you!