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Can I get TWC benefits after termination with severance pay? When to file?

So I just got termed from my job of 3 years for "not meeting performance standards" even though I never got any formal warnings. They offered me 5 weeks severance (about $6,200 total). I'm wondering if I can still qualify for unemployment since they called it a performance issue? Also, do I need to wait until after my severance runs out to apply for TWC benefits, or should I file right away and let them know about the severance? I'm worried about burning through my savings while waiting. Anyone dealt with this before in Texas?

Dylan Evans

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Yes, you can absolutely file for unemployment even with a severance package! I went through this last year with my accounting job. In Texas, you should file as soon as your employment ends - don't wait until your severance runs out. The TWC will ask about your severance during the application process, and they'll calculate how it affects your benefits. Usually, they'll delay the start of your benefits until after your severance period ends, but it's important to get in the system right away to establish your claim.\n\nAs for being termed for performance, that doesn't automatically disqualify you, especially if you never received formal warnings or a performance improvement plan. The burden is on your employer to prove misconduct, and simply not meeting expectations usually isn't enough to deny benefits.

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Thank you so much for this info! So basically I apply now but won't get payments until the severance period is over? Does the TWC generally side with employees or employers in these performance-related cases?

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Sofia Gomez

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I got fired last year and got a severance too. Just make sure u report the severance $$ when you file! I didnt and it caused a huge mess later lol. My payments got delayed for like 2 months bc they thought i was trying to double dip or something

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Oh that's good to know - I definitely don't want any payment delays. I'll make sure to report everything accurately.

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Dylan Evans

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To answer your follow-up question, it really depends on the specific circumstances, but TWC does require employers to provide evidence that they communicated performance expectations and gave you a reasonable opportunity to improve before termination. If they can't show that, you'll have a stronger case. Make sure you're prepared to explain your side during the claim process, especially if your employer contests it.\n\nAlso, be aware that when you file, TWC will contact your former employer for their version of events. If there's a discrepancy, you might have a phone interview with a TWC examiner to resolve it.

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StormChaser

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THEY CAN STILL DENY YOU even with severance!!! My company gave me 8 weeks pay and called it \

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Dylan Evans

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You're right that initial denials can happen, but appeals are often successful, especially in performance cases without documentation. Did you win your appeal eventually?

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StormChaser

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YES after THREE MONTHS of fighting and zero income!!! Had to submit all my performance reviews (which were actually good) and emails showing they never warned me. Finally got approved but those months were TERRIBLE financially!!

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Dmitry Petrov

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this happened to my cousin but his was called a layoff not performance so maybe see if they'll change the paperwork? worth asking hr

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Ava Williams

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I had a similar situation last year. Filed my TWC claim right after separation even though I had 6 weeks severance. One important thing to know: when you do your payment requests (TWC's term for weekly claims), you have to report any income received for that week, including severance. So if your severance is paid out weekly, you'll report each payment. If you got it as a lump sum, you need to ask TWC how they want you to report it.\n\nFor the performance issue - gather any positive performance reviews, emails, or other documentation showing you were doing your job well. If you truly had no formal warnings or PIPs, make sure to emphasize that during the claim process.\n\nAlso, when you're trying to reach TWC to ask questions (which you'll definitely need to), don't waste days getting busy signals. I used a service called Claimyr (claimyr.com) that got me through to a TWC agent in about 25 minutes after trying for days on my own. They have a demo video showing how it works: https://youtu.be/V-IMvH88P1U?si=kNxmh025COIlIzKh. Totally worth it for getting clear answers about the severance reporting.

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Thanks for the tip! I tried calling yesterday and couldn't get through at all. I'll check out that service if I keep having trouble. Did TWC give you any issues about the performance-based termination?

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Ava Williams

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In my case, my employer initially contested it, claiming I wasn't meeting targets. But TWC ruled in my favor because the company couldn't provide documentation of warnings or a PIP. So document everything and be honest about the situation during your claim process.

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Miguel Castro

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apply asap dont wait. my brother got severence and he still got benefits but they started after the severence period. you gotta file within like 2 weeks of your last day i think or it messes up your base period or something??

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Zainab Ibrahim

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I work in HR (not giving official advice), but I can tell you that in Texas, the key factor will be whether your employer can prove they gave you sufficient warning and opportunity to improve. Without documented warnings, many

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This is really helpful info, thank you! I'm going to start my application today. Just to clarify - I need to do 3 work search activities per week even during the weeks I'm getting severance and won't be receiving unemployment payments yet?

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Zainab Ibrahim

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To clarify: You don't need to conduct work searches until you begin filing payment requests, which typically starts after your claim is approved. TWC will tell you when to file your first payment request, and that's when the work search requirements begin. But it's never a bad idea to start looking right away - the sooner you find a new position, the better for your financial situation.

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Sofia Gomez

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anybody else been ghosted by texas workforce on the phone? i swear they just hang up when the queue is full

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Ava Williams

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Every. Single. Time. That's why I mentioned that Claimyr service above - it was the only way I could get through after trying for days.

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Dylan Evans

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Just to add one more important point - make sure you understand that accepting the severance doesn't waive your right to file for unemployment (unless you signed something specifically saying that). Some companies try to imply this, but it's not true in Texas.\n\nAlso, start your job search immediately and keep detailed records of all your applications and networking activities. Those records will be valuable both for meeting the work search requirements and potentially for an appeal if you need one. Good luck!

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Thank you everyone for all the helpful advice! I'm going to file my claim today and make sure I document everything carefully. I'll update this thread once I find out if they approve my claim or if I run into any issues. Fingers crossed!

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