Will I owe EDD back payments if I return to former employer after collecting unemployment?
Hey everyone, I'm in a weird situation and not sure what the rules are. I was laid off from my healthcare admin job in 2023 due to department restructuring and collected unemployment for about 7 months. Recently, my former supervisor reached out saying they're expanding again and mentioned I'm 'eligible for rehire' according to their system. They're offering me a position similar to my old one but with slightly different responsibilities. Here's what I'm worried about - if I accept this job offer, would EDD consider this some kind of proof that I shouldn't have received benefits in the first place? Would I suddenly get hit with an overpayment notice demanding I repay all that money from 2023? The layoff was legitimate and I've been working elsewhere (lower paying job) for the past year. The thought of owing $14,500+ in back benefits is making me hesitant about taking what would otherwise be a good opportunity. Has anyone gone back to a former employer after collecting UI without problems?
19 comments


Aria Park
ur fine dont worry. i got laid off from retail in 2022, got ui for like 4 months and then went back when they had hours again. edd never said anything about it. as long as u were actually laid off and not fired for misconduct or quit it doesnt matter if u go back later
0 coins
Lucas Notre-Dame
•Thanks for sharing! That's reassuring to hear. Did you go back to the exact same position or something different within the company?
0 coins
Noah Ali
You have nothing to worry about. The legitimacy of your unemployment claim is based on the circumstances at the time you filed, not what happens years later. Being laid off due to restructuring is a qualifying reason for receiving benefits. The employer's willingness to rehire you now has no bearing on your past eligibility. EDD regulations specifically allow for claiming benefits when separated through no fault of your own (like a layoff). The fact that the same company wants to rehire you 2+ years later doesn't retroactively change the nature of your original separation. The only scenario where this might be problematic is if your original layoff was actually fraudulent (if you and the employer had a pre-arrangement for you to return). Since you've been working elsewhere for a year, that clearly wasn't the case.
0 coins
Lucas Notre-Dame
•Thank you for such a detailed explanation! That makes a lot of sense. I was definitely legitimately laid off - they eliminated my entire department during a financial restructuring. Good to know I can consider this opportunity without that hanging over my head.
0 coins
Chloe Boulanger
Don't be so sure about that! My cousin went back to his old construction company after getting UI benefits and EDD hit him with a massive overpayment notice six months later claiming he wasn't really laid off!!! They said he had a "reasonable assurance of reemployment" whatever that means. He's fighting it now but EDD is BRUTAL with these things once they decide you owe them money. I'd be really careful.
0 coins
Noah Ali
•That sounds like a different situation. "Reasonable assurance of reemployment" typically applies to seasonal workers or those with a specific return date - like teachers during summer breaks who have a contract to return in fall. It doesn't apply to someone who was legitimately laid off without any promise of rehire, then approached years later when business circumstances changed. Your cousin might be dealing with a seasonal work issue or other factors that don't apply to OP's situation. Each claim is evaluated on its specific circumstances.
0 coins
James Martinez
The key factor here is the significant time gap and legitimate nature of your original layoff. I've worked with multiple EDD cases, and generally speaking, returning to a former employer after 2+ years would not trigger an overpayment issue, especially since: 1. You were laid off due to restructuring (qualifying separation) 2. You've worked elsewhere in between (showing no prearrangement) 3. The company is offering you a somewhat different position 4. The rehire offer came due to new business conditions (expansion) If you're still concerned, you might want to have your former employer document that this is a new hire based on current staffing needs, not a continuation of your previous employment. But honestly, this scenario shouldn't raise any red flags with EDD.
0 coins
Lucas Notre-Dame
•That's a really good suggestion about documentation. I'll ask them to clarify in the offer letter that this is a new position based on current business needs rather than making it seem like I'm being "recalled" from a temporary layoff. Thank you!
0 coins
Olivia Harris
When I got laid off from my job and collected EDD, i got nervous about the same thing!!! But then my counselor told me that going back to work at the same place isnt a problem as long as it wasnt planned from the beginning. If u were actually laid off for real, ur good
0 coins
Lucas Notre-Dame
•Thanks for sharing that! Definitely wasn't planned - the layoff was a shock to everyone in my department.
0 coins
Alexander Zeus
I've been through something similar and want to offer my perspective. I was laid off from a marketing firm in 2022, collected UI for about 6 months, then actually ended up back with the same company in 2023 when they were in a better financial position. Here's what I learned: EDD cares about the circumstances at the time of your separation. If you were legitimately laid off (which it sounds like you were), then you were entitled to those benefits. The fact that business conditions changed years later doesn't retroactively make your claim invalid. If you're still worried, you can always call EDD directly to confirm. I tried calling for days and could never get through until I used a service called Claimyr (claimyr.com). They have a system that calls EDD for you and connects you when an agent is available. They have a video showing how it works: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km The peace of mind from speaking directly with an EDD rep was worth it for me. They confirmed I had nothing to worry about with my similar situation.
0 coins
Lucas Notre-Dame
•That's really helpful, thanks for sharing your experience! It's reassuring to hear from someone who's actually been through this situation. I might check out that service if I still have concerns after getting the official offer letter.
0 coins
Chloe Boulanger
OMG the anxiety of owing EDD money is REAL!!! I've been terrified of making any move that might trigger an audit. Their rules are so confusing and they can come after you YEARS later. I turned down a job at my old company because I was too scared about exactly this issue.
0 coins
James Martinez
•I understand the concern, but it's important not to let fear of an extremely unlikely scenario prevent you from taking good career opportunities. The EDD guidelines are actually quite clear that benefits eligibility is determined by the circumstances at the time of separation. Returning to a former employer years later after a legitimate layoff is not grounds for retroactive disqualification.
0 coins
Alicia Stern
dude they literally dont care if u go back. i quit my job (didnt even get laid off) didnt qualify for unemployment, then ended up getting rehired at the same place 3 months later when they were desperate. EDD has bigger fish to fry than someone who legitimately got laid off 2 years ago lol
0 coins
Olivia Harris
•That's not the same situation at all. OP actually got benefits, you didn't. So your experience isn't really relevant here...
0 coins
Zara Mirza
I went through something very similar! I was laid off from a tech company in 2022, collected UI for about 5 months, and then got rehired by the same company in 2023 when they got new funding. I was terrified about the same thing you're worried about. Here's what I learned: EDD only cares about whether your original claim was legitimate at the time you filed it. Since you were actually laid off due to restructuring (not fired for cause or quit), you were entitled to those benefits regardless of what happens later. The fact that you've been working elsewhere for a year actually strengthens your case - it shows there was no pre-arrangement with your former employer. You were genuinely unemployed and actively seeking work. I never heard anything from EDD about my situation, and it's been over a year now. Your circumstances sound even more clear-cut than mine were. I'd say go for the opportunity - don't let fear of an overpayment hold you back from advancing your career!
0 coins
Geoff Richards
•Thank you so much for sharing your experience! This is exactly the kind of real-world example I needed to hear. The fact that you had a similar timeline and never heard anything from EDD really puts my mind at ease. You're absolutely right about not letting fear hold back a good career opportunity - I think I was getting too caught up in worst-case scenarios. Really appreciate you taking the time to share this!
0 coins
Nathaniel Stewart
I'm dealing with a similar worry right now! I was laid off from a nonprofit in early 2023 due to budget cuts and collected unemployment for about 8 months. Now they're reaching out about a grant-funded position that just opened up. Reading through these responses is really helpful - it sounds like the consensus is that as long as your original layoff was legitimate (which yours clearly was with the department restructuring), you're in the clear. The time gap and the fact that you've been working elsewhere definitely work in your favor. I think what really convinced me from reading these experiences is that EDD evaluates claims based on the circumstances when you filed, not what happens years later. Business conditions change, companies recover, and sometimes that means opportunities to return. That doesn't invalidate the fact that you were genuinely unemployed when you needed those benefits. Good luck with the decision! Sounds like a great opportunity that you shouldn't let fear hold you back from.
0 coins