gibsonair

I was wondering what the laws or rules were pertaining to unemployment when you take a company offered leave of absence that is offered due to the fact that there may be impending layoffs. I am aware that NWA is allowing employees to take the leave and collect unemployment. I also know that some states do not allow this even though the company is not appealing the unemployment benefits. Any insight would be greatly appreciated. Thanks!

vagabond

Unemployment is very state-specific, but the rules are pretty much the same - a person is eligible for benefits only upon a layoff, termination with no misconduct or voluntary quit with good cause. Taking a leave of absence is none of the three circumstances above. A company, like NWA, could decide not to appeal the denial, but it is really out of its hands.

I have had many clients who quit, for example, but they were denied benefits. At the hearing, the former employer pleaded with the ALJ to grant the claimant benefits, but the law is the law.

My advice to you (and everyone else facing a furlough) is to decline the offer of a leave of absence, if unemployment is going to be your only source of income. However, if the LOA has other beneficial features, definitely consider them and weigh them in your decision.

Feel free to PM me your specifics and I will help you analyze your situation.