NYS Department of Labor unemployment after business sold - can I collect benefits?
My employer just sold the company I work for and the new owners aren't keeping any of the current staff. They're closing our location completely in two weeks. I've been there for 6 years as a warehouse supervisor. Can I file for unemployment benefits with NYS Department of Labor since technically the business was sold and not closed? I'm worried they might say I quit or something weird. The new company said they have no positions available and aren't offering transfers. Has anyone dealt with this situation before?
20 comments


NebulaKnight
Yes, you can absolutely file for unemployment! When a business is sold and the new owners don't retain employees, that's considered an involuntary job loss. NYS Department of Labor recognizes this as a qualifying reason for UI benefits. Make sure to document everything - the sale notice, any communication about not being retained, and your last day of work. File your claim as soon as possible after your last day.
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Dylan Wright
•Thank you! Should I wait until my actual last day to file or can I file now since they already told us we won't be kept on?
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Sofia Ramirez
I went through this exact thing last year when my company got bought out. Filed my claim right after my last day and had no issues. NYS Department of Labor approved it without any problems. The key is making sure you have documentation that shows you were let go due to the business sale, not that you chose to leave. Keep any emails or notices they gave you about the sale and staff changes.
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Dmitry Popov
•How long did it take for your claim to get approved? I'm in a similar situation and wondering what to expect.
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Sofia Ramirez
•Mine took about 2 weeks to process. No adjudication or anything, it was pretty straightforward since I had all the paperwork from the company sale.
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Ava Rodriguez
If you're having trouble getting through to NYS Department of Labor to ask questions about your specific situation, I used a service called Claimyr (claimyr.com) that helped me reach an actual agent. They have this video demo at https://youtu.be/qyftW-mnTNI that shows how it works. Really helped when I needed to clarify some details about my claim status and couldn't get through the regular phone lines.
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Dylan Wright
•Interesting, I've been trying to call all week with questions but keep getting busy signals. Might check this out if I run into issues.
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Miguel Ortiz
Wait, so if they're closing your location completely that should be pretty clear cut right?? I thought business sales were tricky for unemployment but if they're shutting down the whole place that seems obvious. Good luck with your claim!
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Zainab Khalil
Make sure you understand the difference between a business closure and a sale. In your case it sounds like both - they sold AND are closing your location. That definitely qualifies you for benefits. The only time it gets complicated is if the new owners offer you a job and you refuse it, but that's not happening here. File as soon as your employment ends and you should be fine.
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Dylan Wright
•Yeah they made it clear there are zero positions available with the new company. Thanks for the clarification about the difference!
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Teresa Boyd
I had a similar situation about 3 years ago when my company was acquired and they eliminated my entire department. One thing I wish I had known - make sure to get a separation letter or some kind of written notice about the business sale and your job ending. NYS DOL might ask for it during the claims process. Also, don't stress too much about the timing of when to file - you generally want to file the week you become unemployed, not before. The system is pretty good at recognizing legitimate layoffs due to business changes. You've got 6 years of work history which definitely helps your case too.
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Maya Lewis
•This is really helpful advice! I didn't think about getting a separation letter but that makes total sense. Do you remember if NYS DOL asked for any specific documentation during your claim process, or was the separation letter enough? Just want to make sure I have everything ready when I file.
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Ana Erdoğan
•@Teresa Boyd That s'great advice about the separation letter! From what I experienced, NYS DOL mainly asked for the separation letter and my last pay stub. They also wanted to confirm my last day of work and the reason for separation. Since you have the business sale documentation, that should cover the reason "part" perfectly. The separation letter from HR was definitely the most important document - it clearly stated position "eliminated due to business restructuring which" made everything smooth. Just make sure whatever letter you get mentions the sale/closure and that your position was eliminated, not that you resigned.
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Aisha Ali
I work as an HR representative and deal with these situations regularly. Your case is actually pretty straightforward for NYS Department of Labor - when a business is sold and the new owners eliminate positions/close locations, it's considered a "lack of work" separation, which automatically qualifies you for unemployment benefits. The fact that you've been there 6 years as a supervisor also works in your favor since you'll have a solid wage history. One tip: when you file your claim online, make sure to select "lack of work" or "business closure" as your reason for separation, NOT "quit" or "fired." Keep any written communication about the sale and your last day - even an email will help if there are any questions later. You should be able to start collecting benefits without any issues!
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Mateo Martinez
•Thank you so much for the professional insight! This really puts my mind at ease. I was worried about selecting the wrong reason when filing, but "lack of work" makes perfect sense for my situation. I'll make sure to keep all the documentation from HR about the sale and closure. It's reassuring to hear from someone who handles these cases that it should be straightforward. Really appreciate everyone's help on this thread!
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Finnegan Gunn
Just went through this exact scenario in Buffalo last month! My manufacturing company was sold and the new owners shut down our facility entirely. I was nervous about filing too, but NYS DOL made it really easy. The key things that helped me: 1) I saved the email announcement about the sale and closure, 2) Got a layoff letter from HR stating "position eliminated due to facility closure following business sale," and 3) Filed my claim the Monday after my last day of work. The whole process took about 10 days and I started receiving benefits without any complications. Your 6 years of employment history will definitely work in your favor - shows you're an established worker, not someone trying to game the system. Don't overthink it, you're clearly eligible!
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Nathan Dell
•This is exactly the reassurance I needed! It's so helpful to hear from someone who just went through this same situation in NY. I'm definitely going to follow your steps - save all the documentation, get that layoff letter from HR, and file right after my last day. The fact that yours went so smoothly gives me confidence that mine should too. Really appreciate you sharing the specific timeline and what documents helped. Thanks to everyone on this thread for all the advice!
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Ethan Campbell
I'm dealing with a very similar situation right now - my company was just acquired and they're eliminating my department next month. Reading through everyone's experiences here is really helpful! One thing I wanted to add is that if you're worried about the employer potentially contesting your claim, NYS DOL has a really clear policy about business sales and closures. According to their guidelines, when new ownership eliminates positions or closes facilities, it's automatically considered involuntary separation. The burden would be on the employer to prove otherwise, which would be pretty difficult given they're closing your entire location. Also, make sure to document not just the sale announcement but any communication showing the new owners have no positions available - that eliminates any question about whether you "refused suitable work." You're definitely in good shape for approval!
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Yuki Ito
•This is such valuable information about NYS DOL's policy on business sales! I hadn't thought about the fact that the burden would be on the employer to contest it, which makes sense since they're the ones closing the location. Your point about documenting that the new owners have no available positions is really smart too - I'll make sure to save that communication as well. It's honestly such a relief to see so many people share similar experiences with positive outcomes. Between all the advice in this thread about documentation, timing, and what to expect, I feel much more confident about filing my claim. Thanks for adding that detail about the DOL guidelines!
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Aurora Lacasse
One additional thing to keep in mind - when you file your claim, NYS DOL will ask for your employer's information including their FEIN (Federal Employer ID Number). Since the business was sold, you'll want to use the information for your current employer (the company that's laying you off), not the new owners. Sometimes people get confused about which company info to provide in these sale situations. Also, if you have direct deposit set up anywhere, get that ready for when you file - it'll speed up getting your benefits once approved. Your situation sounds very clear-cut for approval, especially with 6 years of solid work history. Best of luck with your claim!
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