Employers are often surprised at how easily a former employee can establish a successful unemployment claim. With respect to unemployment claims, the largest misconception among employers is that terminating an employee for substandard performance will disqualify the individual from receiving unemployment benefits. In most states, unless the employee’s behavior rises to a level of “misconduct,” the claimant will be deemed eligible for unemployment benefits. Thus, terminating an employee for “poor performance,” “incompetence” or “inability to perform the job” will almost always result in the former employee being awarded for unemployment benefits, and, as a result, may adversely affect your SUI rate.
For more information download our guide to protecting your SUI rate, and contact GTM at (518) 373-4111.