Can you collect unemployment if your company closes permanently in NY?
My employer just announced they're shutting down operations completely next month after 15 years in business. All 40 employees are getting laid off with two weeks notice. I've never filed for unemployment before and honestly don't know if this situation qualifies since it's not like I got fired for performance issues or anything. Does NYS Department of Labor consider company closure as eligible for UI benefits? What documentation do I need from my employer before they close the doors for good?
28 comments


Zara Rashid
Yes, you absolutely qualify for unemployment benefits when your company closes! This is considered an involuntary separation through no fault of your own, which is exactly what UI is designed for. Make sure to get a copy of your final pay stub, any severance paperwork, and ask HR for a letter stating the business closure date and reason. You can file your claim online through my.ny.gov as soon as your last day of work.
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Sean Doyle
•That's such a relief to hear! Should I wait until my actual last day to file or can I do it earlier since we know the closure date?
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Luca Romano
same thing happened at my last job when the restaurant i worked at closed during covid. filed right away and got approved within a week. the hardest part was getting through to someone at NYS Department of Labor when i had questions about my weekly claims
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Nia Jackson
File your claim the week you become unemployed, not before. Even though you know the closure date in advance, NYS Department of Labor processes claims based on when you actually stop working. Also document everything - take photos of any closure notices, save emails about the shutdown, and keep contact info for your supervisor in case they need verification during adjudication.
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NebulaNova
•What if the company doesn't provide proper documentation? My boss is pretty disorganized and I'm worried about getting the paperwork I need.
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Nia Jackson
•NYS Department of Labor can verify employment directly with employers if needed. As long as you have basic info like your employer's name, address, and your dates of employment, they can usually process your claim. Save any paystubs or W-2s you have as backup.
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Mateo Hernandez
I went through this exact situation last year when my company went under. The whole process was way more stressful than it needed to be because I kept getting hung up on when calling NYS Department of Labor with questions about my claim status. Finally found this service called Claimyr (claimyr.com) that actually gets you connected to real agents - there's even a demo video showing how it works (https://youtu.be/qyftW-mnTNI). Saved me hours of frustration trying to get basic answers about my weekly claims.
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Aisha Khan
•Never heard of that before but honestly anything that helps with those phone calls sounds worth it. I spent 3 hours on hold last month just to ask about my job search requirements.
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Ethan Taylor
The system is so broken though!!! I filed when my company closed and it took SIX WEEKS to get my first payment because they kept asking for more verification. Meanwhile bills don't stop coming just because NYS Department of Labor is slow at processing claims. Make sure you have savings because 'eligible' doesn't mean 'fast
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Sean Doyle
•Oh no, that's exactly what I was worried about. Did they tell you why it took so long or what additional verification they needed?
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Ethan Taylor
•They wanted proof the business actually closed (even though it was in the news!) and then questioned whether I was 'able and available' for work during adjudication. Total nightmare.
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Yuki Ito
hey just wanted to say good luck with everything. losing a job is hard enough without having to deal with all the bureaucracy. at least you have advance warning to get your paperwork together
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Brielle Johnson
So sorry to hear about your company closing down - that's really tough news to receive. The good news is that you definitely qualify for unemployment benefits since this is a business closure and not a termination for cause. One thing I'd add to the great advice already given is to make sure you file your claim during the first week you're unemployed, not the week before. Also, if your employer is offering any severance pay, that might affect when your benefits start, so be sure to report that when you file. The process can feel overwhelming when you're already dealing with job loss, but you've got this!
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Danielle Mays
•Thanks for mentioning the severance pay part - I hadn't even thought about how that might impact the timing of benefits! My employer mentioned they might offer a small severance package, so I'll definitely need to report that when filing. It's reassuring to hear from everyone that this situation definitely qualifies for UI benefits. Really appreciate all the helpful advice from this community!
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Mia Rodriguez
I'm so sorry to hear about your company closing - that must be incredibly stressful after 15 years! Just wanted to echo what others have said about keeping detailed records. I'd also suggest taking screenshots of any company announcements or emails about the closure, and if possible, get contact information for HR or your manager before they leave. Sometimes NYS DOL needs to verify details months later, and if the company is completely shut down, it can be harder to get that verification. The silver lining is that business closures are usually pretty straightforward cases for unemployment approval since there's no question about fault. Hang in there!
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Pedro Sawyer
•That's really smart advice about getting contact info before everyone scatters! I hadn't thought about needing verification months down the line. I'm definitely going to make sure I have my supervisor's personal contact info and maybe a coworker or two as references. It's wild how much documentation you need for something that should be straightforward, but I guess that's just how the system works. Thanks for the tip about screenshots too - I'll make sure to save everything digitally before my work email gets shut down.
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Sophie Duck
I went through this exact same situation about two years ago when the manufacturing plant I worked at for 8 years shut down. You absolutely qualify for unemployment benefits - business closure is one of the clearest cases for UI eligibility since it's completely involuntary and through no fault of your own. One thing I wish someone had told me earlier is to start gathering your documentation NOW while you still have access to everything. Make copies of your employment contract, recent performance reviews, and any company communications about the closure. Also, if your company has a union or employee handbook, grab copies of those too as they sometimes contain information about layoff procedures that can be helpful. The online filing process through my.ny.gov is actually pretty user-friendly once you get started. Don't stress too much about the paperwork - NYS DOL has dealt with plenty of business closures and they know how to process these cases. You've got this!
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Andre Lefebvre
•This is such valuable advice - especially about gathering documentation while you still have access! I'm actually in a similar situation where my company just announced closure, and I was panicking about what I'd need. The point about performance reviews is brilliant - I never would have thought to grab those, but they could really help show I wasn't terminated for cause. Did you have any issues with the weekly certification process after you got approved? I keep hearing mixed things about how strict they are about the job search requirements.
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Freya Christensen
•@Sophie Duck really appreciate you sharing your experience! The weekly certification wasn t'too bad once I got into the routine - you just have to log your job search activities and confirm you re'still able and available to work. NYS DOL requires you to make at least 3 job search contacts per week, but they re'pretty flexible about what counts online (applications, networking, even attending job fairs or workshops .)Just keep a simple log with dates, company names, and what you did. The key is being consistent and honest about your efforts. Since you re'dealing with a plant closure, you might also want to look into any retraining programs or trade adjustment assistance if your job was affected by economic factors. Good luck with everything!
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AstroAce
I'm really sorry to hear about your company closing after 15 years - that must be such a shock for everyone involved. The good news is you definitely qualify for unemployment benefits since this is a legitimate business closure and not a performance-related termination. I'd recommend creating a checklist of all the documents you need to gather before your last day: final paystubs, any layoff notices, contact info for HR/supervisors, and even photos of official closure announcements. One thing that helped me when I went through something similar was setting up a dedicated folder (both physical and digital) to keep all unemployment-related documents organized from the start. The NYS DOL website has a pretty detailed checklist of what you'll need, and filing online is definitely the way to go. Also, don't hesitate to reach out to your local One-Stop Career Center - they often have staff who can walk you through the process and help with job search resources too. You're being proactive by asking these questions now, which puts you ahead of the game!
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Lucas Kowalski
•This is really helpful advice about staying organized from the start! I never thought about setting up a dedicated folder system, but that makes so much sense - especially since unemployment claims can involve a lot of paperwork over several months. The tip about contacting the One-Stop Career Center is great too. I'm feeling a bit overwhelmed by everything right now, but reading everyone's experiences here is making me feel more confident about navigating this process. It's reassuring to know that business closures are generally straightforward cases for UI approval. Thanks for taking the time to share such detailed guidance!
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Yara Sayegh
I'm so sorry you and your 40 coworkers are going through this - company closures are always tough, especially after so many years. The good news is you absolutely qualify for unemployment benefits! Business closure is considered involuntary separation, which is exactly what UI is designed to cover. I'd definitely echo what others have said about documenting everything now while you still have access. Beyond the basics like pay stubs and closure notices, I'd also suggest asking your employer if they can provide a brief letter on company letterhead confirming the closure date and that all employees were laid off due to business closure (not performance). This can really speed up the approval process since it clearly establishes the reason for separation. Also, if your employer is providing any WARN Act notice or severance details, make sure to get copies of those documents too. You can file your claim online through my.ny.gov starting the week you become unemployed. The process might feel daunting right now, but you're already being smart by gathering information early. Best of luck to you and your coworkers during this transition!
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Josef Tearle
•This is excellent advice about getting a letter on company letterhead! I hadn't thought about how having that official documentation could speed up the approval process. It makes total sense that having clear proof of the business closure reason would eliminate any questions during review. I'm definitely going to ask HR for something like that before they wrap up operations. It's been really eye-opening to see how many details go into filing for unemployment - I always thought it would be more straightforward, but all these tips are helping me understand why preparation is so important. Thanks for mentioning the WARN Act notice too - I'll check if our company is required to provide that given our size.
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Chloe Delgado
I'm really sorry to hear about your company closing - that's such difficult news to process, especially after being there for so long. The silver lining is that you absolutely qualify for unemployment benefits since this is a clear case of involuntary separation due to business closure. I went through something similar when my previous employer shut down unexpectedly, and while the paperwork seems overwhelming at first, it's actually pretty manageable if you stay organized. One tip I'd add is to take photos/screenshots of any company-wide emails or announcements about the closure with your phone - sometimes digital copies are easier to access later than printed documents. Also, consider reaching out to former colleagues after you've all filed your claims, since you'll all be going through the same process and can share updates or tips with each other. The NYS DOL system can be slow, but business closures are usually approved without much hassle since there's no question about the reason for separation. Wishing you the best during this transition - it's tough now but you'll get through it!
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Miranda Singer
•That's such a thoughtful suggestion about staying in touch with coworkers who are going through the same process! I hadn't considered how helpful it would be to have others to compare notes with since we'll all be filing around the same time. Taking photos with my phone is also a great backup plan - much easier than trying to keep track of paper copies during such a chaotic time. It's really reassuring to hear from someone who went through an unexpected closure too. Even though this is stressful, reading everyone's advice here is making me feel much more prepared and confident about the process ahead.
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Daryl Bright
I'm so sorry to hear about your company closing after 15 years - that must be incredibly difficult for you and all your coworkers. You definitely qualify for unemployment benefits since this is a business closure, which is considered involuntary separation through no fault of your own. One thing I'd suggest is creating a timeline of important dates (closure announcement, last day of work, when benefits should start) to help you stay organized throughout the process. Also, if your company has an employee handbook or any written policies about layoffs, grab a copy of those too. Sometimes they contain useful information about final pay, accrued vacation time, or other benefits that could affect your unemployment claim timing. The fact that you're thinking ahead and asking these questions now shows you're already on the right track. Don't let the paperwork intimidate you - thousands of people successfully navigate this process every year, and business closures are actually some of the more straightforward cases for approval since there's no dispute about the reason for separation.
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Angelina Farar
•Creating a timeline is such smart advice! I'm definitely going to map out all the key dates so I don't miss anything important. The point about the employee handbook is really helpful too - I never would have thought to check for layoff policies, but you're right that it could contain important details about final pay and benefits that might affect timing. It's actually been really comforting to read through everyone's responses here and realize that business closures are more straightforward than other types of unemployment claims. Thanks for the encouragement about not letting the paperwork intimidate me - hearing from people who've successfully gone through this process is making me feel much more confident about handling everything properly.
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Paloma Clark
I'm really sorry to hear about your company closing - that's such a tough situation to face, especially after 15 years. But yes, you absolutely qualify for unemployment benefits! Business closure is one of the clearest cases for UI eligibility since it's completely involuntary. I'd recommend getting organized now while you still have access to everything at work. Make sure to save copies of any company emails about the closure, your recent pay stubs, and get your supervisor's contact info before everyone scatters. The online filing process through my.ny.gov is pretty straightforward once you get started. File your claim the week you actually become unemployed, not before. Also, if your company offers any severance, make sure to report that as it might affect when your benefits start. You're smart to start preparing now - having your documentation ready will make the whole process much smoother. Hang in there!
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