We must underline the fact that not all applications for unemployment benefits see light of the day. Denial or suspension of an existing benefit are quite common. You’re ought to be intimidated by that call or letter you receive with regard to suspension or disqualification from receiving unemployment. This can be a shocker in most cases specially if you are completely dependent on that weekly benefit provided by the labor department in your state.
The bottom line will be avoid panicking. You must sit down, understand the reason for denial and assess other options available. Remember, you’re not the first or the only one to face this situation. There are hundreds just like you. Let us walk you through the standard procedure on what your immediate and follow up actions should look like.
When you’re existing benefits are suspended or new claim denied, the labor authorities in your state will send out intimation letter or/and also contact you giving you further details on-
- Reason for Suspension/ Denial
- Period of disqualification
- If further action by you can help qualify
- Appeal and Adjudication process
If you’re a fresh applicant, estimate monetary benefits using a simple tool.
Typical Reasons for Denying Unemployment Compensation
Lets look at the most common reasons on the basis of which compensation is generally denied. The list below is not exhaustive.
- ABLE AND AVAILABLE –If you’re not able to work or unavailable to work full time due to personal reasons.
- ATTENDING SCHOOL OR TRAINING – In some states, if you left the job to pursue further schooling, you may be disqualified since it conflicts with your availability to work.
- VOLUNTARY QUIT EMPLOYMENT –If the reasons for separation from employment was quitting voluntarily.
- MONETARY ELIGIBILITY – In addition to the wages, all other miscellaneous income such as severance pay, holiday pay, earnings from part time, consulting jobs must be declared. Failure to do so may result in denial of benefits.
- ALIEN STATUS – Non citizens living in the US must have their alien status determined as per requirement from U.S. Immigration and Naturalization Service.
- FRAUD – If the applicant makes a false statement or intentionally provides incorrect facts to obtain compensation or increase it. In such cases, you may be prosecuted under fraud laws or be asked to pay back the benefits received along with interest.
- INSUFFICIENT BASE PERIOD WAGES – If the wages earned in the base period did not meet the min. wage requirement.
- ACTIVE SEARCH FOR WORK –You’re required to search and apply for jobs as per rules. If you fail to report this, benefits can be denied.
- MEETING REPORTING REQUIREMENTS – If you fall short of reporting to the labor department, when asked to do so or fail to submit routine reports like work search.
- PENSION – Weekly benefit amount may be reduced if you received or going to receive pension.
- SEVERANCE PAY – If you are in receipt of severance pay from your employer, it may have a saying at the time of application.
- DISCHARGED FROM EMPLOYMENT – If you were fired from employment due to misconduct or other voluntary reasons.
- OVERPAYMENT – If the payment value was over and above due to error from the system or otherwise, your benefits can be stopped until it is offset or you may be asked to remit the overpayment back.
- MILITARY BENEFIT ENTITLEMENT – If the applicant separated from the military, the eligibility must be determined under federal laws.
- REFUSED JOB OR JOB REFERRAL –If you are not applying for jobs and reporting them or fail to accept a suitable job offer without valid reasons.
Requalification
Read and understand why unemployment benefits were suspended or denied.One must carefully scrutinise and seek re application if the terms are not severe and you’re allowed to do so.
The letter(posted or e mailed) would contain procedure that will help you take follow up actions that includes reapplication. You may be asked to produce additional documents or provide information by the relevant authority. Ensure all actions required by you are fulfilled within the requested turnaround time. Failure to do so may result in unwanted delay and burden.
In grave situations where they clearly tell you that you will not qualify and if you strongly feel otherwise, ask for details of the appeals or adjudication process that helps escalation to a higher authority.