From time to time, separated employees may claim unemployment benefits from Texas Workforce Commission (TWC). If the employee is eligible, TWC makes benefit payment to the employee and charges back to the employer’s TWC account. This will normally result in higher unemployment tax rate to the employer in the following year, which means the employer will pay more unemployment tax to TWC.
In most cases, the employee’s eligibility for unemployment benefits is based on type of job separation. To be eligible for benefits, the employee’s job separation must fall within the following types:
1. Layoffs
Layoffs are due to lack of work, not the employee’s work performance, hence the employee may be eligible for benefits.
2. Working reduced hours
If the employee is still working but the employer reduced the employee’s working hours, the employee may be eligible for benefits. The reduction in working hours must not be the result of a disciplinary action or due to the employee’s request.
3. Fired
The employee may be eligible for benefits if she/he was fired for reasons other than misconduct. Examples of misconduct include violation of company policy, violation of law, or failure to perform work adequately.
4. Quit with good cause
“Quit” means the employee chose to end her/his employment. Most people who quit their jobs are not eligible for unemployment benefits. They may only be eligible for benefits in one of the following cases:
a) Quit for good cause connected with work, such as unsafe working conditions, significant changes in hiring agreement, not getting paid or difficulty getting agreed-upon pay.
b) Quit for a good reason not related to work, such as personal medical illness/injury that prevents the employee from working; caring for a minor child who has a medical illness; caring for terminally ill spouse; suffering from sexual assault, family violence or stalking; moving with military spouse.
Comments are closed