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View Full Version : Can EDD deny my claim if my emp approves it? California


eric in ca
01-12-2009, 11:20 AM
Here's the deal:
I've got two options from my employer: Resign or get put on a stringent sales plan that's essentially impossible in this economy, eventually leading to a termination. I didn't do anything wrong, no negligence, no write ups, nothing. I'm in staffing, and it's TOUGH right now. They are advising me to resign, and assuring me that they will not contest the UI claim. Note that one of these people is a good friend who I trust.

So my questions is...could EDD come in and say "you resigned and we're denying your claim"? One friend is telling me I'm crazy to quit--that I should let them fire me. To which I say I don't want that on my record, AND that can still get denied.

Please help. I need to have a decision by tomorrow morning and EDD is absolutely no help.

Thanks.

Morgana
01-12-2009, 11:28 AM
Your employer doesnt award unemployment. The state makes the determination of whether the person meets the criteria for UI or not.

Your employer tells his/her side of the story, you tell yours. The state makes the final call. Whoever "loses" has the right to appeal.

So..your employer may choose not to contest or appeal the decision to grant you UI by the state but doesnt have the final say.

eric in ca
01-12-2009, 11:52 AM
Thanks for the reply, Morgana.
Do you happen to know if it's common for the EDD to deny claims like this? My resignation letter is leaning towards "Resignation in Lieu of Termination", so that might help, right?

Any other advice?

cbg
01-12-2009, 11:59 AM
All I can tell you is that in my state, which is not yours but is almost as employee friendly, I have had employees whose claims were denied even when I did not contest, because the reason they were no longer working for me was a disqualifying reason for benefits.

I can also tell you that I once had an employee in your state who thought she was going to be fired the next day. (She was right - the only reason we were waiting was to overnight her final check to the CA office.) She decided to forestall the inevitable and when we came in the next day we found her faxed resignation on the fax machine. She applied for unemployment saying that she had resigned rather than be terminated. We forwarded a copy of her resignation letter to the EDD and her unemployment was denied. They more or less told her straight out that if she'd waited to be fired she'd most likely have been granted benefits but because she took the initiative, she was denied.

That was some years ago, probably nine or ten, and your circumstances are not the same as hers. She was being fired for cause. I can't say for certain that the results would be the same. But that's my experience with "resign to forestall termination" situations in CA.

eric in ca
01-12-2009, 01:50 PM
Thanks so much for the help.
Perhaps it's terribly naive of me to think this way, but I'm losing my job through no fault of my own...the co can't afford to keep 4 sales people...but they won't "lay me off."
They're giving me the option to quit (to preserve my references), and that should qualify me under Title 22 S 1256-1(d) Quit in Lieu of Discharge.
I'm scared to death now that the EDD is going to deny my claim based on me quitting.

Does that seem reasonable?

Morgana
01-12-2009, 01:57 PM
I understand your concern but I doubt any of us know what, exactly the state will decide.

DAW
01-12-2009, 02:30 PM
Just a thought, but being formally terminated is not always necessary to collect UI. A reduction in wages may be enough.

I see no advantage to you or any other employee to resigning. If your employer wants to fire you, fine. Just tell the truth when you interview.

There is nothing that says that you cannot look for another job now why you are still employed. It is arguably easier to get hired by another company while you are holding a job then if you are unemployed.

eric in ca
01-12-2009, 04:02 PM
I just spoke with my manager and he told me I could put "layoff" as the reason for termination and that won't contest it. That way I can get UI, and my record with my co will show that I resigned on my own free will.
How does that sound?

DAW
01-12-2009, 06:02 PM
And if your employer changes their mind and contests it anyhow? According to prior postings on this website, this action is not unheard of.

If your employer wants you gone, they can just terminate you. If they wanted to lay you off, they could do so. But they have not done this. They instead are suggesting that you quit and that they have your back. Right. Anything they say.

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