TWC unemployment eligibility after 4-week severance package - Can my employer block my claim?

They are LYING to you! I went through this last year and got both my severance (8 weeks) AND unemployment after. TWC considers severance as payment for past work, not future weeks. Your employer is trying to scare you into not filing. Don't fall for it!!

There's some confusion here that needs to be cleared up. In Texas, severance pay IS considered disqualifying income for the period it covers. So if you receive 4 weeks of severance, you would need to report that when you file, and you typically wouldn't receive TWC benefits during those 4 weeks. However, once that period ends, you absolutely can receive unemployment benefits if you otherwise qualify. Your employer cannot permanently block you from unemployment just because you accepted severance. That's not how TWC regulations work. The key is that you were laid off - that's an eligible separation reason regardless of whether you accepted severance.

My coworker and I both got laid off in January. I took the severance (3 wks) and she didnt. We BOTH eventually got unemployment! The only difference was I had to wait longer. Don't let them scare u into giving up free money!

What they're probably referring to is that some severance agreements include language where you agree the separation was "voluntary" - that WOULD disqualify you from unemployment. Read your severance agreement CAREFULLY before signing. If it says anything about the separation being voluntary or you waiving rights to unemployment, that's a red flag. Ask for that language to be removed or consult with an employment attorney before signing.

I've handled several cases like this as an HR consultant. Here's what you need to know about Texas unemployment and severance: 1. Severance pay is typically considered disqualifying income for the weeks it covers 2. After that period, you can receive unemployment if you meet other eligibility requirements 3. The key factor for eligibility is whether you were separated through no fault of your own (layoff = eligible) 4. Some companies try to get employees to sign that they "voluntarily resigned" which WOULD disqualify you 5. If your severance agreement has a release of claims, make sure it doesn't specifically waive unemployment rights Also, start your job search immediately. TWC requires at least 3 work search activities weekly once you're receiving benefits.

You should apply as soon as you're laid off. The system will ask about severance, and you'll report that. Your claim will be established, but benefits would typically begin after the severance period. Waiting to apply could cause you to lose potential benefit weeks.

good luck getting thru to twc if you have any problems lol. I spent 3 weeks trying to call after my claim got flagged for review last month. their phone system is the WORST!! no way to even leave a message half the time

My company did the exact same thing in February. Don't listen to their scare tactics! Take the severance, wait until it's done, then file for unemployment. Worked fine for me. Just make sure your severance letter states you were laid off or your position was eliminated - DONT sign anything saying you voluntarily quit!!

Everybody's situation is so different... my sister's company did layoffs and fought EVERY SINGLE claim even though we're in Texas which is supposed to be easy to get unemployment in after layoffs. Some people won their appeals and some lost. It was a mess and took months to resolve. If the severance is decent maybe just take it and start looking? Job market seems to be picking up at least in my field

Thanks everyone for the great advice! I'm going to: 1. Take the severance 2. Make sure my separation paperwork says "laid off" or "position eliminated" (not voluntary resignation) 3. Apply for unemployment right away but understand benefits won't start until after severance ends 4. Start job searching immediately I'll update once I get the paperwork and after I file my claim with TWC. Wish me luck!

Just wanted to add - keep all your documentation from this process! Save copies of your layoff notice, severance agreement, and any communications with HR. If your employer does try to challenge your unemployment claim later, having this paperwork will be crucial evidence that you were legitimately laid off. Also, don't be surprised if TWC asks for additional documentation during the application process - they sometimes request separation letters or other proof of the reason for your job loss.