If I sign a severence agreement, can I still apply for unemployment?
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If I sign a severence agreement, can I still apply for unemployment?
For a job I worked in FL that is goverened by the laws of VA.
Asked on October 22, 2010 under Employment Labor Law, Florida
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 13 years ago | Contributor
The issue isn't generally severance or not per se--it's whether you left involuntarily (fired, laid off, terminated, etc.) or voluntarily. If you left voluntarily--so if you resigned, for example--then you can't get unemployment; if you were involuntarily separated, as long as it was not "for cause" (e.g. theft, violating policies, excessive absenteeism, etc.), you can get unemployment. The severance agreement could come into play in that if it says you resigned--if that's what you sign--then you can't then apply for unemployment.
Also note: the one way that the actual severance payments can affect UI is this: if the severance is paid out over time, say on regular paydays, and you're effectively being kept "on payroll" even though not working, while still on payroll, you can't get UI. A lump-sum severance payment would not cause an issue.
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