Can I file for underemployment if I have a significant pay loss?

Question Details: I held two separate jobs with separate employers. I took a temporary position with one. It went on for nine months so I had to leave the second employer. I was led to believe I would receive the temp position permanently. I did not get the position and my original position is being reduced from 22.5 hours a week to 15 hours a week. My annual income is going from 34,000 a year to 9,000 a year.

Asked 7/24/2009 under Employment and Labor | 651 View(s) | More Legal Topics

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Employment and Labor Law Answers

Possibly. In some cases, you can accept part-time work while receiving unemployment benefits. However, your work must be less than full-time, and your benefits will be reduced according to how much you earn in the week for which you are claiming benefits.

There are three basic principles that affect how much you can earn while receiving unemployment benefits: (1) if your earnings are equal to or less than your weekly benefit amount, then your benefits are reduced by 50¢ for every dollar you earn; (2) if your earnings exceed your weekly benefit amount but are less than 1½ times your benefit amount, then your total earnings are subtracted from 1½ times your weekly benefit amount; and (3) the combination of your weekly benefits and earnings cannot exceed 1½ times your weekly benefit amount.

Note: The number of weekly benefit payments remaining in your claim will be reduced by one full week for each week you receive any benefit payment. If you have further questions contact you nearest unemployment office.

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