25 Mar From the HR Support Center: Can I Ensure That a Terminated Employee Doesn’t Get Unemployment?
We will be terminating an employee who’s been with us only a month. How do I ensure that they don’t get unemployment?
Unemployment insurance (UI) benefit claims can be difficult to contest. Most state unemployment departments will only deny benefits if the employee’s misconduct rose to the level of gross misconduct, like stealing or workplace violence.
Fortunately, however, the effect of a single UI claim on your state unemployment insurance tax rate is minimal to non-existent. More importantly, even if your UI rate increases, that additional cost is often less expensive than keeping on an employee who shows no willingness or ability to improve.
If you have documented employee performance expectations and the employee still isn’t meeting them, I wouldn’t let the possibility of a higher UI rate dissuade you from termination. If you’re worried about your UI tax rate generally, the best thing you can do is minimize turnover.
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Legal Disclaimer: Payroll Partners and/or the HR Support Center are not engaged in the practice of law. The content in this email should not be construed as legal advice, and does not create an attorney-client relationship. If you have legal questions concerning your situation or the information you have obtained, you should consult with a licensed attorney. Payroll Partners and/or the HR Support Center cannot be held legally accountable for actions related to this article.