< Back to Washington Unemployment

Andre Dupont

Brief employment then layoff due to bankruptcy - how to handle ESD weekly claims?

Really confused about what to do with my husband's unemployment situation. He was on unemployment for about a month, then got hired at his brother-in-law's construction company last week. The crazy thing is, the company suddenly declared bankruptcy after just ONE WEEK and everyone got laid off! He literally only worked Monday-Friday and now he's jobless again. Do we need to file a completely new unemployment claim? Or just report the one week he worked on his weekly claim and then go back to claiming unemployment as before? We already filed the weekly claim showing he worked those 5 days, but I'm worried the system might automatically close his claim or something because he reported work. Anyone dealt with something similar? The ESD website isn't clear about such a short employment period between unemployment.

You don't need to file a new claim. Your husband should just report the work and earnings for the week he worked, then continue filing weekly claims as normal. The system is designed to handle temporary work. Make sure he reports: 1. The exact days he worked that week 2. The total earnings before taxes 3. The reason work ended (select "laid off due to lack of work") Be 100% accurate about the earnings - ESD cross-checks with employer tax records. As long as he accurately reports everything, his claim should continue normally after that one-week interruption.

0 coins

Thank you!! That's a huge relief. The ESD website gets so confusing with all the different scenarios. So we just keep filing weekly as normal then? I was worried they'd make him restart the whole claim process since technically he was "employed" even if only for 5 days.

0 coins

omg this happened to my cousin last year!!! he got a job at some startup and they folded after like 2 weeks. total nightmare. he just kept filing his weekly claims and put down the hours he worked for those weeks then went back to unemployed status. ESD didnt make him file again but i think they did put his claim under review for like a week? but then it went back to normal

0 coins

That's good to know! Did they contact him about the review or did he just notice it on his account? My husband really doesn't want any gaps in payments since we're already behind on bills.

0 coins

THE ESD SYSTEM IS DESIGNED TO TRAP PEOPLE LIKE THIS!! Be VERY careful because if you mark that he worked, they might automatically terminate his claim and make him reapply! I've seen it happen to MULTIPLE people!!! Sometimes they even flag it as fraud investigation which freezes everything for MONTHS. The system is broken on purpose!!!!

0 coins

This advice is incorrect and potentially harmful. Not reporting work is considered fraud and will definitely lead to problems. The system handles temporary work routinely, and failing to report income is what triggers investigations. Always report accurately.

0 coins

Mei Lin

Make sure ur husband calls and talks to a actual person at ESD about this!!! The website doesnt have clear info for weird situations. I had something sorta similar (worked 3 days then quit cuz boss was crazy) and when i tried to just continue my claim it got all messed up. Took 6 weeks to fix!!! Dont mess around just call and ask.

0 coins

Good luck getting through to ESD! I tried for TWO WEEKS straight and either got hung up on or stuck on hold forever. Try using Claimyr.com to get through - worked for me when I had a weird situation with my claim. They have a video that shows how it works: https://youtu.be/7DieNd3C7zQ?si=26TzE_zGms-DODN3 Saved me hours of redial hell.

0 coins

Your husband needs to report the work and earnings exactly as they occurred. ESD is used to people having short periods of work during an active claim - that's normal and won't require a new application. However, since the business declared bankruptcy, he should be prepared to provide documentation if asked. The system might flag the claim for adjudication if the employer doesn't properly report the wages or separation. I recommend uploading a statement explaining the situation to his ESD account, including his brother-in-law's contact information as verification. This proactive approach can prevent delays. Continue filing weekly claims without interruption.

0 coins

This is super helpful, thank you! I didn't know we could upload an explanation statement. What happens if the business is completely closed now because of the bankruptcy? Would they still be able to verify his employment?

0 coins

When this happened to me after a 2-week job fell through, I just kept filing my weekly claims and reported the work for those weeks. Then I went back to reporting no work. My benefits continued without any issues, but they did send me a questionnaire about why the job ended. I explained the situation (company closed) and provided what documentation I had. Everything went smoothly after that. Just be honest and keep all documentation from the brief employment just in case.

0 coins

just curious is the brother in law ok?? that must be super stressful for him having his business go bankrupt and now having to deal with all that. family businesses are complicated!!

0 coins

It's been really hard on him actually. He didn't own the company, he was a manager, but he's taking it really personally since he recommended my husband for the job. We're trying to tell him it's not his fault but he feels terrible about it.

0 coins

One more important detail: If your husband already had an unemployment claim that he was collecting on before this brief job, he should continue that claim. However, if this job paid significantly more than his previous job that the original claim was based on, he might benefit from filing a new claim after working enough hours to qualify. For just one week of work though, continuing the existing claim is almost certainly the better option.

0 coins

Oh that's good to know about the wage comparison. The construction job actually paid less than his previous position (he took it because it was available and we needed something), so continuing the existing claim definitely makes sense. Thanks again!

0 coins

Washington Unemployment AI

Expert Assistant
Secure

Powered by Claimyr AI

T
I
+
20,095 users helped today