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Samantha Johnson

EDD application timing with WARN Act pay - should I apply now or wait until payments end?

Just learned that my tech startup is shutting down operations in California and I'm part of a mass layoff. The company informed us that we're covered under the WARN Act, so they'll continue paying our regular salaries for 60 days (until mid-June 2025). HR specifically told us NOT to file for unemployment until after the WARN Act payments end. I get that I won't receive any actual unemployment benefits until my regular paychecks stop, but I'm wondering if I should still submit my initial application now? I've heard EDD can take weeks to process claims, and I don't want to be stuck without income if there's a gap. Has anyone here dealt with WARN Act situations and EDD timing? What's the best strategy to ensure a smooth transition from WARN Act payments to unemployment benefits?

Nick Kravitz

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File your claim IMMEDIATELY! Don't wait until June! HR departments always say this because it benefits the company, not you. Your claim effective date determines your benefit year and base period calculation. If you wait until June, you might lose out on some wages in your calculation period. You can (and should) apply for benefits as soon as you receive notice of termination, even if you're receiving WARN Act pay. Just be sure to report those WARN payments when you certify each week - you won't get EDD payments during that time, but your claim will be established and ready to go once the WARN pay ends.

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That makes a lot of sense! I was wondering why HR was pushing so hard for us to wait. Will EDD automatically start paying me after my WARN Act payments end, or will I need to do something else at that point?

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Hannah White

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i got warn act pay last year when my manufacturing plant closed... waited til it ended to apply for edd like HR said and HUGE mistake!! took like 8 weeks to get my first payment after that. wish someone told me earlier

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Michael Green

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Exactly the same happened to me when my retail store closed! HR is NOT looking out for your interests - they're protecting the company. Always file as soon as you know your job is ending.

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Mateo Silva

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Your HR department is giving you incorrect information, probably because they don't want their UI account charged earlier than necessary. California specifically addresses this on their website: you can file a UI claim while receiving WARN Act payments. You'll just need to report these payments when you certify, which will likely disqualify you from receiving benefits during that period due to excessive earnings. But your claim will be established and processed, so when your WARN pay ends, you can immediately start receiving UI benefits without delay. When you file, make sure to accurately report your last day of work (which would be the day you stopped working, not when WARN payments end). Also clearly indicate you're receiving WARN Act payments when asked about severance or continued payments.

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Thanks! I'll definitely file now. One last question - will the WARN Act payments affect the amount of my weekly benefit when I start receiving unemployment after June?

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Mateo Silva

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WARN payments won't affect your weekly benefit amount (WBA) at all. Your WBA is calculated based on your highest quarter of earnings during the base period (typically the 12-month period ending just before the last completed calendar quarter before you file). So file now to lock in that calculation period. Just remember, when you certify every two weeks during your WARN period, you'll need to report those payments. You'll answer "yes" to the question about receiving other income, and then indicate it's separation pay or WARN Act pay. You'll also need to report that you're not looking for work because you're still technically employed - but once your WARN period ends, you'll start your work search and report that accordingly.

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This is super helpful - thank you! I feel much more confident about how to handle this now.

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If your trying to reach EDD to ask about WARN act stuff, good luck! I spent 3 weeks trying to get through to them because I had a similar situation with my aerospace company last year. Started calling at exactly 8:00am every day and just got the "we're receiving too many calls" message. Finally found Claimyr (claimyr.com) and they got me through to an EDD rep in less than an hour. They have this demo video that shows how it works: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km. Worth it because the EDD rep actually knew about WARN Act rules and straightened everything out for me.

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I've been worried about that too - seems like actually getting through to EDD is half the battle! I'll check out the link if I have any issues getting through. Thanks for sharing!

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Michael Green

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Just to add what everyone else is saying - don't trust HR for unemployment advice! Their interests are not aligned with yours! I worked in HR for 6 years and we ALWAYS told people to wait to file claims because it helped our UI tax rates... I'm not proud of it now but that's how companies operate.

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Cameron Black

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omg this is so shady but not surprised at all!! companies always trying to save pennies at our expense!!! my cousin works in hr and confirms they do this ALL THE TIME!!

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i went thru this exact situation last yr. WARN act pay for 60 days then unemployment. made the mistake of waiting to file and had 6 weeks with NO INCOME while EDD processed the claim. file now so it's already set up when your warn payments end!!!

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Hannah White

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ya and be careful with the "continue looking for work" question during certification. When ur getting WARN pay u need to answer differently than when ur unemployed. i messed this up andit took forever to fix

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Nick Kravitz

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One more tip - keep detailed records of your WARN Act notification and all communications with your employer. You'll want documentation showing when you were notified, the expected end date of your employment, and your payment schedule. EDD sometimes requests this information, especially if there's any confusion about your last day of work versus when your payments end.

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Mateo Silva

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Great advice. I'd add that you should also print out your final pay stubs when they come in, particularly the ones showing your WARN Act payments. These will be extremely helpful if EDD has questions about your income during the certification process.

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Cameron Black

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Guys I'm confused about something related to this... If you're getting WARN Act pay does that mean you're still technically employed? Like do you still have health insurance during those 60 days? My friend just got laid off from her job and they're giving her WARN pay but she's panicking about losing her health insurance right away.

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Mateo Silva

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Yes, typically during a WARN Act period, you remain an employee of the company for benefits purposes. Most companies continue health insurance during this time. Your friend should check her WARN notification letter or contact HR to confirm, but it would be unusual to cut off benefits during this period since the whole purpose of the WARN Act is to provide a transition period.

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Thank you everyone for the helpful advice! I'm definitely going to file my EDD claim right away instead of waiting until June. I'll make sure to accurately report my WARN Act payments during certification and keep all documentation from my employer. Really appreciate all the insights - this could have been a costly mistake if I'd followed HR's advice!

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Nick Kravitz

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Glad we could help! The system isn't always intuitive, and most people only deal with unemployment a few times in their lives. Just remember to start your work search activities as soon as your WARN period ends and document everything. Good luck with your claim and future job search!

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Jason Brewer

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This thread is exactly what I needed to see! I'm in a similar situation with my company shutting down and giving us WARN Act pay. Our HR team told us the same thing - wait until the payments end before filing. But after reading all these responses, I'm definitely filing my claim this week. It's crazy how HR departments consistently give advice that benefits the company's UI tax rates rather than helping employees. Thanks everyone for sharing your experiences - this could have saved me weeks of waiting without income!

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Nolan Carter

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Same here! I'm dealing with a plant closure and got the exact same "wait until WARN payments end" advice from HR. It's really eye-opening to see how many people have had bad experiences following that guidance. I'm going to file my claim today too. It's frustrating that we have to come to forums like this to get accurate information instead of being able to trust our own HR departments. Thanks for posting - it's reassuring to know others are in the same boat!

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Amara Eze

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This is such valuable information! I'm a former EDD claims processor and can confirm everything everyone is saying here. We regularly saw people who waited to file after WARN Act payments ended, and they always faced significant delays getting their first benefit payment. The processing time doesn't magically speed up just because your WARN pay stops - you're still going through the same review process that takes weeks. One thing I'd add is to make sure you answer the application questions very carefully. When it asks about your last day of work, that's typically the actual last day you performed work duties, not when your WARN payments end. And when certifying during the WARN period, you'll need to report those payments as "other income" but you can usually select "separation pay" or similar from the dropdown menu. The system is designed to handle this situation - it's more common than people think, especially in California with all the tech layoffs in recent years. Don't let HR pressure you into waiting. They're not unemployment experts, and their priorities are definitely not aligned with getting you benefits as quickly as possible!

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This is incredibly helpful coming from someone who actually worked at EDD! I'm just starting to navigate this whole process and it's reassuring to know the system is designed to handle WARN Act situations. Your point about the "last day of work" versus when payments end is really important - I hadn't thought about that distinction. I'm curious, when you were processing claims, did you see any common mistakes people made when reporting their WARN Act payments during certification? I want to make sure I don't mess anything up that could delay my benefits later.

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Luca Russo

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@dcd982028ae3 Thanks for the insider perspective! As someone who actually processed these claims, what would you say is the biggest red flag that might trigger additional review or delay? I'm planning to file this week and want to make sure I don't accidentally say something that puts my claim into some kind of manual review queue. Also, did you notice if there was a particular time of day or week that was better for submitting applications to avoid getting caught in heavy processing backlogs?

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I'm going through this exact situation right now too! My company just announced they're closing our office and we'll get WARN Act pay through May. HR gave us the same "don't file until payments end" speech, but after reading this thread I realize they're just trying to protect their own interests. One question for those who have been through this - when you file the initial claim, do you need to provide any special documentation about the WARN Act notice, or does EDD just need the standard employment information? I have the official WARN notification letter from my employer but wasn't sure if I should upload it somewhere or just mention it in the application. Also wondering if anyone knows whether the 60-day WARN period affects the work search requirements at all, or if those kick in immediately when you file? Thanks everyone for sharing your experiences - this thread is going to save me a lot of headaches!

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