California EDD Unemployment Insurance – Real Money at Stake

The employee-friendly days of the EDD and unemployment insurance claims seem to be over.  California’s staggering jobless rate and budget deficit have drained the state’s Unemployment Insurance Trust Accounts, recently reported as having a funding deficit in the billions.

If you are applying for unemployment insurance benefits in California you may be faced with an intake interview and an administrative determination which seems suspiciously aimed at finding fault with your application.  Worse yet, many former employees who have been receiving benefits have received re-determination notices; which change the original finding by the state and could make you subject to a retroactive denial and the requirement to pay back the benefits received.

Real money is at stake.  At the maximum level your unemployment insurance (full extension) benefits could total over $35,000.  Additionally, qualifying for the COBRA premium subsidy offered in 2009 may be treated by your former employer similarly to your unemployment insurance qualifying status.

Your Legal Right to Get Unemployment Insurance Benefits

Much of the guidance for who qualifies for UI benefits in California is contained within the EDD website, and more of it is governed by the Unemployment Insurance Code, CUIAB Precedent Benefit Decisions, and court cases. Although any given situation can become very complex, the general theme of unemployment insurance is employees who lost their jobs who wanted to remain employed should receive unemployment insurance if they had the requisite earnings period with their former employer.  Laid-off and outsourced jobs qualify, employees fired because they just weren’t performing well enough under their employer’s standards should also qualify and employee’s pushed out by their managers should qualify.

Problems arise when the employer accuses the employee of misconduct, violating business rules, failing to report in about absences, or engaging in some conduct the employer argues demonstrates that the employee didn’t reasonably intend to remain employed.  Additionally, the EDD may come to its’ own conclusion about unreasonable conduct – regardless of what the employer reports.  In Northern California I have seen an increase in the use of outside vendors hired by the employer to dispute unemployment insurance claims by former employees.

In sum, you may have assumed you had a safety net should you lose your job, and then find it is being pulled out from under you.

Fighting for Unemployment Insurance Benefits

Again, the rules for who qualifies for UI under different scenarios is discussed on the EDD website and you should prepare yourself for the application and telephone interview accordingly.  However, you may want to engage an hour or two of an attorney’s time to review your situation and seek some guidance before you interact with the EDD.  If you are facing a re-determination, or a CUIAB appeal, I recommend finding an experienced attorney or legal aid service to help fully understand your rights.  You have the option of a legal representative at your side when you battle for a qualifying determination.

Remember, your UI “insurance benefit” was part of your funded total compensation package when you were employed, it would be a shame to be denied that benefit when you most need it.