I understand that in Michigan you may continue to work/receive income while on unemployment. You will have to claim that income and it would be deducted from the unemployment benefits for that period.

My question is...what if your employer would like you to continue to work full time, in exchange for "Paid Days Off/Vacation Days" to use at a later date and at the same time claim unemployment?

If I understand your question, you are asking the best way to criminally defraud the government?

Absolutely not! I would like to decline the offer from my employer but wanted information to back me up.

Your employer is legally required to pay (at least) minimum wage and overtime for all hours worked in the workweek in a timely manner. The federal version of this law is FLSA and MI no doubt has it's own version.

IMO, politely say no. If the employer wants to fire you, fine, but do not quit. If the employer fails to pay you in a timely manner, file a wage claim with MI-DOL (or whatever MI calls it). But in no way cooperate with breaking the law. At some point the old "the employer made me break the law" excuse loses traction.

If/when you file UI, tell the truth. To be eligible for UI, you must have a valid reason for leaving and you must actively be looking for work. If you are working full time for someone else (even for no pay) I would question this 2nd requirement.

Let me make sure I have this right. The employer is offering to have you work, but not pay you now and instead, collect UI? Idiot law-breaking employer.

It sounds like his employer would like him to work full-time but, knowing that's cutting into his UIA, would offer him vacation days in addition to his pay for that time. Sounds OK, but unenforceable.

If it's vacation days instead of pay, then it smells fishy....

Vacation time for use later would count as a benefit anyway, and have to be declared to MARVIN as compensation.... If you're counting on them not understanding, you're doing the wrong thing.