Employers Move To Block Unemployment Benefits In Record Numbers

It's hard enough to lose a job. But for a growing proportion of U.S. workers, the troubles really set in when they apply for unemployment benefits.

More than a quarter of people applying for such claims have their rights to the benefit challenged as employers increasingly act to block payouts to former workers.

Read the whole story here.

Comments

[Pande Wapenyi]

There's an interesting blog entry about this here:
http://www.debthelp.tv/personaldebt/2008/06/applying-for-unemployment-benefits-can.htm

[RJC]

Disgusting! These companies that specialize in contesting these jobless claims are vultures. Corporate America has no soul.

[cloudminder]

this story needs to be covered much more

employers are pulling some outrageous corrupt acts

I have two friends who have horror stories about

their former employers creating harrassing environments to force them to quit

then they fired them

then they said they didn't fire them cause they did not want to pay for unemployment

Hilda Solis needs to get to work asap

[Social Construct]

Exactly! Having spent some time in this consumer spending economic model, specifically the retail industry, I was appalled at the arguably abusive tactics that the employers use to: (1) get employees to quit by fostering hostile working environments, or (2) use policies of impossible standards to make a case of misconduct against employees in order to terminate.

There is way to much power on the side of employers. The government needs to step up and provide more equity for employees/employers to negotiate working conditions. The EFCA is a move that I support, having never in my working life been subjected to such a draconian atmosphere as I was in the retail trade.

[progressivegreg]

Not only do we want you gone, we want you bankrupt, ashamed and maybe starved to death, yes you and your entire family. Give up your home, your car, your self respect cause we can save a dollar..these companies shoudl go out of business the b*****ds!!!!

[EinChicago]

This is to be expected. A lot of the current layoffs are most likely knee-jerk panic, which is why they're so severe. Th eproblem is a lot of employers think they cut staff willy nilly and the cost goes away and don't realize until afterwards there is a cost associated with doing so then they scramble to try and cover up their initial; knee-jerk reaction by contesting beneifts.

[jacqmac]

I have also appealed an original claim of ineligibility for unemployment benefits and won. This was in the '90's--so it was post Reagan/Bush I. I have also won benefits recently after giving my side of a termination. FORTUNATELY, I suppose, I HAD provided my former employers, this second time, with a nice letter stating why I didn't believe that I deserved to be terminated. Determination by the STATE said that I was fired for reasons having NOTHING TO DO WITH MISCONDUCT. And, 'misconduct' is, by definition, a loaded term. However, applying those same standards of 'misconduct' to the UPPER end of the economic spectrum, leads me to believe that the WRONG PERSON is NEARLY always fired.
One of the reasons that companies are so hot to prove misconduct is the 'Right to Work' States---it is a fallacy that these employers in these states do not have to show cause--they DO. I also have little faith in personnel records that contain good as well as bad information--what are the chances that the GOOD information gets 'lost'??

[Halter]

Look for the Union label...when looking for a job

[skymuffin]

Many years ago, I worked in a union shop as a "contractor (i.e., no benefits.)" The union had more protections for its staff members -- they would always sell us out when it came time for concessions during negotiations.

Anyway, I was able to collect unemployment whenever I went for long blocks of time without work. Those interludes were contractually called, "layoffs," but the company still fought my unemployment claim.

But back then (I don't know if it's still the same), you could still collect unemployment compensation while all of this was going on. I won the first appeal. Then, the company fought against the appeal and won. I appealed again, but lost. However, in the meantime, I was still able to get my check and I wasn't required to return any of that money that I had received during the time of the appeal.

So, government being that slow, lumbering beast that it is, I had some time to get another job and move on during this process.

[KillTheMessenger]

Good times for lawyers specialized on defamation claims.

:-)

[oldguru]

As the old Texan said "They's more horses a**es in this world than they is horses"

[markinaz]

Morality was never capitalisms strong point.

[lj9283]

So employers can hire a company whose services remove over $6 billion in unemployment claims liability annually.

So employer turns over the personal files to this service, and they pick out terminated employees who have less that top rated performance ratings, take a few of the "criticism" statements in the file, send them along to the unemployment bureau and see if they can get it to stick, and the claims denied.

These companies http://www.talx.com/Services/UCeXpress//) market themselves as effective at getting terminated employees unemployment claims denied.

And people complain about unions.

[maddog951]

not sure which states are doing this and what their labor laws are but this is highly illegal. personael files are private, (we all know thats a joke). This is the problem today, so many people do not know their rights! you do have rights! fair labor standards were serverley undermined by Bush the past 8 yrs. People need to be sure they learn what their rights are and this is just another good example of having union membership.

You never need a union when things are all happy and pleasent. You always need the representation when things don'y go so well. most people need to be sure they know what is wriiten on that pink slip! you do sign it.

[lj9283]

It's not illegal if you are "sourcing" a part of the Human Resources function of your company to an outside firm. This "service" is wrapped in an "unemployment Tax Service" offering by TALX.

[Icantbelieveher]

So let's give these companies tax cuts -- yeah -- that's the ticket -- they'll use the extra $$$ to create jobs!

[DJBrunner]

Nothing like getting screwed over twice, first losing your job and then having to fight for your unemployment benefits. Perhaps those that this is happening to who are staunch Republicans will finally understand that trickle down economics doesn't work.

[sueinmn]

Very common in the non union work sectors
Temp service employers are the worst!