Can I Get Unemployment if I Was Wrongfully Terminated?

As a matter of public policy, all 50 states have established unemployment compensation to help people who have lost their jobs. These state-run programs help people pay their bills and support their families while seeking new employment. There are specific eligibility requirements for getting unemployment, which includes the reason for termination.

Wrongful termination involves firing a worker for illegal reasons, like discrimination or retaliation. Wrongful termination and unemployment benefits are separate legal matters. However, wrongful termination could have an impact on your unemployment compensation.

To understand your legal rights or file a wrongful termination lawsuit, contact a wrongful termination lawyer.

How Does Wrongful Termination Impact Unemployment Eligibility?

Unemployment claims and wrongful termination are separate legal processes. Unemployment has to do with benefit eligibility for people who have lost their jobs. Wrongful termination has to do with illegal reasons for firing someone. However, there could be overlap if an employer’s justification for terminating someone prevents that person from collecting unemployment they rightfully deserve.

Say an employer fires someone in retaliation for reporting a safety violation. That would be a wrongful termination. However, the employer claims they actually terminated the employee due to misconduct. Misconduct negatively impacts unemployment eligibility. Fired employees generally aren’t eligible for unemployment insurance if their termination resulted from misconduct. In this case, an employee would have a wrongful termination claim and have to fight allegation of misconduct for unemployment eligibility.

An employer could claim that the termination occurred because of business needs, such as layoffs due to a decline in workforce needs. This wouldn’t necessarily prevent an unemployment claim. However, it could make filing a wrongful termination claim harder.

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Appealing a Denied Unemployment Claim

If your state agency rejects your unemployment claim, you can file an appeal. You should submit evidence to support your case, including emails, written communications, witness statements, and performance reviews. These can help establish your performance record with the company.

Individuals could also submit documentation from their employment discrimination or sexual harassment claim to the U.S. Department of Labor (DOL). They could also submit evidence of an active whistleblower investigation, a workers’ compensation claim, or protected leave under the Family and Medical Leave Act (FMLA). These are all protections afforded to workers under federal law.

An employment law attorney can assist in the appeal. An attorney can show that the discharge wasn’t because of misconduct and that the employee should receive unemployment.

If your unemployment gets denied, you must act quickly. Some states have a limited period of time for filing an appeal. In many states, it is less than 30 days. While the exact process will vary from state to state, the general process is to have an investigation that involves responses from you and the employer. An agent will review the appeal and issue a determination. Providing evidence or documentation supporting your appeal will give you a better chance at success.

What Is the Process of Claiming Unemployment Benefits?

Terminated employees must file an unemployment claim in the state where they worked. Since no federal unemployment fund exists, each state manages its own program. Depending on the state, you may be able to file online, through the mail, or in person. Submitting a claim online provides for the fastest claim process. Not all states offer all options, so you will need to look into what your state requires.

Each state has specific requirements for filing a complete unemployment application. This typically includes your information, the business information that you worked for, payment history, and the reason for becoming unemployed. Your previous pay reported will be for a specific amount of time. This is the base period used to determine your unemployment weekly benefits.

Some states have extensive filing and document requirements for individuals claiming unemployment. For example, California requires information about all employers in the last 18 months, gross pay for each employer, reasons for no longer working, registration through the ID.me website, two forms of primary identification, and a secondary form of identity documentation.

Other states have a more straightforward process for applying for unemployment. For example, Florida and Mississippi require applicants to file online using the documents below.

• Social Security number
• Driver’s license or State ID number
• First and last day of work
• Your employment for the last 18 months, including the name, address, and phone number of each employer
• Gross earnings (before taxes)
• The reason for the separation
• Federal Employer Identification Number (FEIN)

Bringing a Wrongful Termination Claim While Collecting Unemployment

You can collect unemployment while filing a wrongful termination lawsuit and vice versa. The biggest challenge is having an unemployment claim approved, as many employers will attempt to cover up wrongful termination by claiming there is just cause.

Often, this cause is employee misconduct, which would disqualify the employee from unemployment. However, poor performance alone does not typically preclude someone from being able to collect unemployment. Most states define misconduct as willfully failing or refusing to perform duties, repeatedly refusing to follow directions, or purposefully acting against the employer’s interests. An employment law attorney can help file an appeal for a rejected claim.

In addition to the unemployment benefits, a wrongfully terminated employee can seek compensation for damages. Damages include back pay, future earnings, and lost benefits. Depending on the circumstances, there could be additional damages for claims associated with discrimination or sexual harassment. Employees can also seek reinstatement to their former position.

Justin Burns is an employment litigation attorney in New Jersey for the firm of McMoran, O’Connor, Bramley & Burns P.C. He explains how available remedies are not always the most viable in practical application. “Although reinstatement is a remedy under the state, courts generally convert that. Rather than reinstatement, you get compensated for lost economic earnings via back pay, which is paid from the date of termination to the date of trial, and then front pay from the date of trial into retirement.”

Filing a Wrongful Termination Case

If you find yourself terminated from your employment, the first step is to file for unemployment. Unemployment benefits only provide partial compensation, but they can still provide much-needed financial assistance while you look for new employment. Unfortunately, your unemployment claim may be denied if you’ve been wrongfully terminated.

Working with a lawyer can help you navigate the unemployment appeals process while also pursuing a wrongful termination claim. “Oftentimes, an attorney may be able to give better advice to either protect that individual from retaliation or put them in a better position in case they are retaliated against.”

You can file a wrongful termination claim with the Equal Employment Opportunity Commission (EEOC) or take legal action in court. In some states, you have to go through the EEOC complaint process before you get leave to file a civil lawsuit against your former employer. A labor law attorney can explain your legal options about how and where to file a wrongful termination case.

Find a Wrongful Termination Lawyer

Visit the Super Lawyers directory to find an experienced wrongful termination lawyer near you.