I understand that I cannot collect Unemployment insurance while still on severance pay after being laid off. Am I correct?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
I understand that I cannot collect Unemployment insurance while still on severance pay after being laid off. Am I correct?
I got laid off in May 2016 after almost 30 years of employment,and I have been on
severance pay since.
I understand that I have to wait until I collect the last payment from employer
to apply for UI. Am I correct?
Asked on January 19, 2018 under Employment Labor Law, Alaska
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 6 years ago | Contributor
You are correct. When severance is paid out over time (as opposed to receiving it in one lump sum) it is considered salary continuation: i.e. it is treated the same as still being employed, still being on payroll, and still being paid your working salary or wages. Because it is considered the equivalent of still working, you do not become eligible for unemployment until severance is over.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.