Inorder to qualify for unemployment benefits, is it best to resign or to be terminated?

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Inorder to qualify for unemployment benefits, is it best to resign or to be terminated?

I received a separation agreement/letter from my employer and have been asked to determine whether I resign or be terminated. Looking to educate myself so I make the best financial and career decision.

Asked on August 16, 2011 Tennessee

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

If you resign, you are *not* entitled to unemployment: unemployment compensation is not available in a voluntary separation, or when the employee quits or resigned--even if the employee has seemingly good reasons for the resignation. On the other hand, if you are terminated, so long as you are not fired "for cause" (e.g. for theft, violating policies, violating company policies, etc.), you should be able to collect unemployment. That doesn't mean that being terminated is the right choice--for example, what severance are you being offered, under what circumstances? you need to factor that in--but you need to be aware that resigning or quitting will certainly preclude you from receiving any unemployment compensation.


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