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Laid off w/option of a demotion question Texas

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  • Laid off w/option of a demotion question Texas

    My husband was laid off from a salaried office position. He was told he could take a demotion to an hourly position if he wanted to do so. Does anyone know if he does not take the hourly position is he still eligible for unemployment benefits?

    I know the first thought is to contact TWC. He has contacted TWC both in person and on the phone and they have not been very helpful so I thought I would ask here too.

    Thanks in advance.

  • #2
    The problem is that it is not a yes-or-no, black-and-white question. There are a number of factors that have to be assessed, and we don't have all the information to assess them. In any case, all we could do is guess; the only vote that counts is that of the claims adjuster who catches the claim.

    The problem is, and I know that this doesn't help, is that the UI commission will not tell you ahead of time (because they won't at that time have all the variable factors either). This is true in all states. He will be told to submit the claim and they will investigate. However, if he is turned down, then he has no unemployment and no job.

    One thing to keep in mind is that unemployment pays only a fraction of the previous earnings. I don't know what your husband is earning now but I believe the maximum benefit in Texas is $415 weekly; not all or even most people will collect the maximum. There is a description on the state website as to how your benefit is calculated; he might want to figure out what his benefit will be before he makes his decision. Note, too, that if he refuses the demotion and then is denied UI he has no income, whereas if he accepts the demotion and has his pay cut, he can apply for partial benefits to make up some of the difference, and he would have a better chance of collecting in this case than he would if he refuses available work.
    The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.


    • #3
      Agreed with the above. Past that, the "best" solution is generally to do ALL of following.
      1. Accept the demotion.
      2. File for UI based on the reduction in wages while still holding the old job.
      3. Start looking for a new job while keeping the old job. It is generally much easier to find next job while still holding on to the last job.

      Quitting always reduces the chances of getting UI. Not necessarily to zero, but state UI really does not like people who quit jobs and really are very skeptical about excuses made by people who do so.

      And employers for whatever reason seem to prefer hiring people who currently have jobs with someone else.
      "Reality is that which, when you stop believing in it, doesn't go away".
      Philip K. **** (1928-1982)


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