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STD and Unemployment Benefits

If an employee was let go after receiving short term disability, may they receive unemployment benefits?

Though unemployment eligibility criteria vary by state, in order to receive benefits in most states an individual must be unemployed through no fault of his own, be ready, willing and able to work, and meet specified financial requirements. So, whether an employee who was let go after receiving short term disability benefits is eligible for unemployment benefits greatly depends on the employee’s ability to work.

Let’s say the employee’s physician has not cleared him to return to work in any capacity. He’s exhausted all leave entitlements and his position is no longer required to be held for him; so, he’s terminated. In most states, the employee in this scenario wouldn’t be entitled to unemployment benefits since he’s not ready, willing, and able to work.

Let’s say the employee has been released on light duty but the employer doesn’t have any acceptable positions available; so, he’s terminated. In this case, the employee may be entitled to benefits since he is able to work, just with restrictions.

Again, each state has its own criteria for unemployment benefits. Some states adopt a broad definition of “able to work”; so it’s important to know the applicable laws in your state.

This entry was posted on Sunday, August 6th, 2017 at 7:47 pm and is filed under
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