Why do I have to pay unemployment benefits for a former employee who left voluntarily and went to work for someone else?

Unemployment insurance benefits paid to a claimant are charged proportionately to the employers who paid the claimant wages during the claimant's base period (the first four of the last five completed calendar quarters prior to the calendar quarter in which the claimant filed his claim for unemployment benefits).

For example: if Employer XYZ paid 38% of a claimant's base period wages, then Employer XYZ would be potentially liable for 38% of every benefit check the claimant received during the claimant's benefit year (the 52-week period beginning the week in which the claimant first filed his claim for unemployment benefits).

Why do we have to pay unemployment benefits for a substitute teacher who is used on a part-time basis?

A claimant will be monetarily eligible to receive benefits if he had wages for employment of a two calendar quarter average of at least $700 for the four quarters that are being considered. The benefit period is the first four of the last five quarters.

If a former employee is initially approved for benefits but is later determined to be ineligible to receive benefits will we receive a credit for what has been paid out to the former employee?

No.  Reimbursing employers are not eligible to receive a credit for overpayment of benefits paid to an employee.  Once the Department of Labor and Workforce Development has received repayment of the overpayment from the claimant, the department applies the repaid overpayment to future benefits. 

Can someone who is drawing retirement benefits be eligible for unemployment benefits as well?

Yes and no.  Retirements and pension pay are not considered for determination of the claimant's weekly benefit amount if the claimant contributed anything to the retirement or pension plan during his base period.  An employee is also not required to disclose retirement or pension pay received from another source other than the claimant's base period employers.

Retirement and pension pay, where the base period employer paid 100% of the contributions into the plan, are required to be disclosed in order to determine if the claimant is eligible to receive a weekly benefit amount and if eligible, the weekly benefit amount will be reduced by the amount received.

What information do I need to send to the Department of Labor and Workforce Development to ensure that unemployment benefits are not approved for someone who was terminated for misconduct?

In the case of a discharge, the burden of proof lies on the employer to prove that a former employee was guilty of willful work-related misconduct.  Therefore, it is very important that you send in additional information with the separation of notice that is sent to the Department of Labor and Workforce Development to ensure that the employee does not receive unemployment benefits.

Click on the issue below to obtain specific information that the Department of Labor and Workforce Development looks for in the adjudication of a claim for benefits.

1.  Absenteeism/Tardiness
2.  Violation of Company Policy
3.  Poor Work Performance
4.  Discharge for insurbordination