Can you get unemployment if the company shuts down - NYS Department of Labor eligibility?
My employer just announced they're permanently closing next month and laying off everyone. I've been working there for 2 years full-time. Will I be eligible for unemployment benefits through NYS Department of Labor? I've never filed before and honestly don't know what to expect. The shutdown is definitely not my fault - they said it's due to financial difficulties. Should I file my claim right away or wait until my last day of work?
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Tobias Lancaster
Yes, you'll definitely qualify for unemployment benefits! A company shutdown is considered an involuntary separation, which is exactly what unemployment insurance is designed for. You should file your claim during your last week of work or immediately after your final day. Don't wait - there's no benefit period, and you want to get the process started as soon as possible.
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Sophia Gabriel
•Thank you! Should I gather any specific documents from my employer before they close completely?
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Ezra Beard
Make sure you get your final pay stub and ask HR for a letter confirming the business closure. NYS Department of Labor will need to verify the reason for separation, and having documentation helps speed up the process. Also get contact info for someone who can verify your employment if needed.
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Statiia Aarssizan
•Good advice about the documentation. I went through something similar when my company closed and having that paperwork made everything go much smoother.
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Reginald Blackwell
Company shutdowns are actually one of the clearest cases for UI eligibility. You won't face any adjudication issues since there's no question about misconduct or voluntary separation. The hardest part might just be getting through to NYS Department of Labor on the phone if you need help with your claim.
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Aria Khan
•Actually, if you do need to reach an agent, I used a service called Claimyr (claimyr.com) that got me through immediately. They have a video demo at https://youtu.be/qyftW-mnTNI showing how it works. Saved me hours of calling and getting busy signals.
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Everett Tutum
ugh this happened to me too last year!! the company gave us like 3 days notice and then just shut the doors. totally stressful but unemployment definitely came through. just make sure you do the weekly claims religiously or they'll cut you off
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Sophia Gabriel
•How long did it take for your first payment to come through?
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Everett Tutum
•took about 3 weeks for the first payment but then it was regular after that. they backpay you for the waiting period too
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Sunny Wang
Just want to add that you'll need to start doing job searches right away as part of your weekly claims. Keep good records of where you apply because NYS Department of Labor can ask for your job search log at any time. Don't slack on this part even though you're dealing with the stress of the closure.
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Ava Garcia
Sorry to hear about your company shutting down - that's really tough! Just wanted to mention that when you file your claim, you might also want to ask about any additional programs NYS offers for workers affected by business closures. Sometimes there are retraining programs or extended benefits available. Also, if your employer owes you any final wages or unused vacation time, make sure to collect that separately from unemployment - it won't affect your UI eligibility but you want to get what you're owed before they close completely.
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