Early retirement in lieu of dismissal and unemployment

[gtharp]

I've had a long career in Information Technology Management. Recently, I was forced to take early retirement instead of dismissal. As a result I have received an early retirement bonus (severence) that is fairly significant. I am looking to see if anyone has faced this and see what impact this situation and severence pay may have had on your unemployment eligibility.

I live in Oregon and I realize that every state's laws have there individual quirks.

Thank you -- Gary Tharp

 

[mickeyd]

Hey Gary,

Welcome Here.

I'm not a pro on UI matters, but I believe that if you voluntarily terminate (retire) you are generally not eligible for unemployment compensation (UC). This should not precluded you from registering for UC with the state however. All the state of OR can say is that you are not qualified. Remember UC is an employee benefit (paid by all employers) not a state welfare deal. Who knows, you may qualify after all.

I have filed for UC a number of times over the years and have been granted approval, even once when I was pretty sure that I was not qualified, each time.

 

[growing_older]

You might check with your state unemployment office. If you had no choice (that is you were doing to be dismissed if you didn't take the package) then some states consider that involuntary loss of employment - even though you chose a package instead of outright dismissal. I believe this depends on your state, so worth checking.

 

[cashbalancetrouble]

I confronted my boss in his lieing, VP Sales. It took six months but negotiated a severance package. When the severance ran out I then filed for UC. After 26 weeks of UC, I still did not find work and am still occassionally applying at one corp for possible pension improvement due to their theft. Aug 8 will be three years. I do not think I would be eligible for the 13 weeks additional UC just approved by Congress but I may go for that. DW has been supporting me and she has benefits provided. I do the house work, cook, etc and she never has any intention of me working again.

You earned your UC, GO GET IT!

 

[FUEGO]

Definitely apply for UI. In my state, unemployment hearings (to deny UI benefits) are heavily tilted towards the employee, giving them every benefit of the doubt. Not sure if that is ingrained in our laws or just how it operates in practice.

 

[RonBoyd]

I can tell you how it works in Colorado. My wife was layed off (after 37 years) and given six months severance. She was advised (by many "friends" including the HR Dept who said they would not protest her application) to apply for Unemployment as soon as possible. She did. Colorado ruled that the severance she received had to be deducted from any Unemployment claims -- current or future -- on the same claim. This left her with a deficit... of course.

When questioned further the State employee explained that if she had waited until the six month severance period was over before applying for Unemployment Benefits, the deduction would not have applied. She also could not retract her application -- once the "cat was out of the bag" etc.

I would proceed cautiously -- Dragons live there.