There are reasons that your unemployment claim can be denied, and you can be disqualified from collecting unemployment. Each state determines who qualifies to receive unemployment compensation and what factors can disqualify you from collecting. Here’s an overview of the guidelines for qualifying for unemployment and the circumstances that can disqualify a worker from receiving compensation when they are out of work.
Eligibility for Unemployment Benefits
The U.S. Federal-State Unemployment Insurance Program provides unemployment benefits to eligible workers who are unemployed through no fault of their own. If your reason for leaving your last job was something other than lack of work, a determination will be made by your state unemployment insurance agency regarding whether you are eligible for benefits. In addition, claimants must meet state eligibility requirements. These vary from state to state, but many of them are similar throughout the country.
Unemployment Benefit Disqualifications
Generally, to receive unemployment benefits, you need to meet guidelines related to your length of employment, earnings, classification as an employee, and the circumstances of losing your job. The following circumstances may disqualify you from collecting unemployment benefits: Insufficient earnings or length of employment. Eligibility for unemployment depends on your earnings during a designated base period, which is typically the past year. This also means you usually have to have worked for your employer for at least a year. Self-employed, or a contract or freelance worker. Independent contractors are technically self-employed, so they typically cannot receive unemployment benefits. However, during the coronavirus pandemic, benefits were extended to cover self-employed workers and independent contractors. Fired for justifiable cause. For example, if your employer alleges misconduct (such as violating a company policy) or some other inappropriate or illegal behavior leads to you being fired, you will likely not receive unemployment benefits. Quitting without good cause. The definition of “good cause” varies between states. However, common examples of quitting without good cause include leaving to get married or to attend school, or resigning because of a labor dispute (such as a strike). Another example of quitting without good cause is leaving simply because of dissatisfaction with the company or job. Providing false information. If any information in your unemployment paperwork is inaccurate, you might be disqualified from receiving benefits.
Unemployment When You Quit Your Job
In most cases, if you voluntarily quit your job, you are not eligible for unemployment. However, if you left due to good cause, you may be able to collect. What constitutes good cause is determined by your state unemployment office. However, typically, examples of leaving a job due to good cause include the following: Illness or emergency. This includes if a family member becomes ill, or if you have an illness and the employer does not accommodate your health problems. Abusive or unbearable working conditions. This can include sexual harassment or other unbearable situations that have not been resolved by the employer. This might also refer to your being asked to commit acts that are illegal or immoral. A safety concern. To qualify, your concern needs to be one that is not related to the nature of your job (such as the dangers of being a firefighter or police officer). For example, this might involve a piece of equipment that has injured you or your co-workers, and that the employer has not fixed. Losing any mode of transportation to work. For example, if you get into an accident and cannot afford to fix your car, this can qualify as good cause. The situation is the same if the public transportation you have to take to work shuts down. A drastic pay reduction. Typically, if you leave because of a significant pay decrease, you may be considered for unemployment benefits. The employer failed to honor an employment contract. If an employer fails to honor the terms of an employment contract, even after the issue is brought to his or her attention, this can qualify as good cause.
Unemployment Benefits Disqualification and Job Search Requirements
You can also qualify for unemployment benefits initially, but later be disqualified after you start receiving them. This can happen if you are not actively looking for a job or if you refuse a job offer. To qualify for benefits, you need to be actively hunting for a job, and you will need to document your job search for your state unemployment office. Benefits can be denied if a claimant:
Is not able to work or is not available for work. You must be able, ready, and willing to accept a suitable job.Refuses an offer of suitable work.
These rules vary by state, and you can usually lose benefits if you do not meet state guidelines. If this happens, the benefits you have been receiving will stop.
