Does your previous employer pay your Washington ESD unemployment benefits?
I just got laid off from my job at a manufacturing company and I'm filing for unemployment with Washington ESD. My coworker told me that our old employer has to pay for my unemployment benefits directly, but that doesn't sound right to me. I thought unemployment came from taxes or something? Can someone explain how this actually works? I don't want to be surprised if my former boss gets mad about having to pay out of pocket for my claim.
50 comments


Isabella Costa
Your employer doesn't pay your benefits directly. They pay unemployment insurance taxes throughout the year based on their payroll, and Washington ESD uses that pooled money to fund everyone's claims. Your specific claim doesn't come out of your employer's pocket right when you file.
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Hiroshi Nakamura
•Oh that makes way more sense! So it's like they're paying into a big insurance pool ahead of time?
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Isabella Costa
•Exactly! Just like how your car insurance works - you pay premiums but the insurance company pays claims when needed.
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Malik Jenkins
Actually your employer's tax rate can go up if they have too many claims against them. So while they don't pay your specific claim directly, having employees file for UI can cost them more in the long run through higher tax rates.
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Hiroshi Nakamura
•Wait so they DO end up paying more because of my claim? Now I'm confused again...
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Malik Jenkins
•Not immediately, but yes their future tax rate could increase if they have a pattern of layoffs. It's called experience rating.
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Freya Andersen
•This is why some employers will contest claims even for legitimate layoffs - they're trying to keep their tax rates down.
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Eduardo Silva
I had such a hard time getting through to Washington ESD when I had questions about this exact thing last year. Spent hours on hold trying to get someone to explain the employer tax situation. Finally found this service called Claimyr that helped me actually reach an agent - you can check it out at claimyr.com. They have a video demo at https://youtu.be/7DieNd3C7zQ that shows how it works.
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Leila Haddad
•How much does something like that cost? I'm already worried about money since I just lost my job.
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Eduardo Silva
•It's worth checking out their site for details, but honestly after spending days trying to get through myself it was a relief to finally talk to someone who could answer my questions.
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Emma Johnson
The whole system is set up to screw over workers anyway. Employers lobby to keep benefit amounts low and qualification requirements high, then act like they're doing us a favor when we need help after THEY laid us off.
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Hiroshi Nakamura
•I mean... I just want to understand how it works so I know what to expect.
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Ravi Patel
•same here, the politics don't really help when you're just trying to pay rent
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Freya Andersen
Here's the technical breakdown: Employers pay State Unemployment Tax Act (SUTA) taxes quarterly based on their payroll. The tax rate varies by employer depending on their history of layoffs and claims. Washington ESD uses this money to fund the UI trust fund that pays all claims.
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Hiroshi Nakamura
•So when I file my weekly claims, that money is coming from this trust fund, not directly from my old job?
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Freya Andersen
•Correct. Your employer already paid into the system, now Washington ESD manages distributing those funds to eligible claimants.
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Astrid Bergström
•This is actually really helpful info. I was worried my boss would be getting bills with my name on them or something.
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PixelPrincess
My employer tried to tell me they couldn't afford to have me file for unemployment because it would cost them too much. Turns out they were just trying to scare me into not filing. The taxes are based on their overall payroll and claim history, not individual claims.
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Hiroshi Nakamura
•Wow that's super shady of them to try to discourage you like that!
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Omar Farouk
•Employers pull this crap all the time. File your claim - you earned those benefits through your work.
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Ravi Patel
just filed my claim yesterday and was wondering the same thing lol
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Hiroshi Nakamura
•Hope this thread helped clear it up for you too!
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Chloe Martin
The experience rating system is actually pretty complex. Employers get charged back for claims, but it's not dollar-for-dollar. Washington ESD calculates their tax rate based on the ratio of benefits charged to their account versus their total payroll over a specific period.
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Hiroshi Nakamura
•This is getting pretty technical but I think I understand the basic idea now.
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Chloe Martin
•Yeah the main point is your employer isn't writing a check for your specific claim amount.
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Malik Jenkins
•Right, they're paying into the system through payroll taxes whether they have claims or not.
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Diego Fernández
I remember being so stressed about this when I first filed. Thought my boss was going to be furious with me personally. Then I realized it's just part of doing business - employers are required to carry unemployment insurance just like workers comp.
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Hiroshi Nakamura
•That's a good way to think about it - it's just another business expense they have to plan for.
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Anastasia Kuznetsov
•Exactly! And if they didn't want to deal with unemployment claims, they shouldn't have laid people off.
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Sean Fitzgerald
Does anyone know if temp agencies pay the same unemployment taxes as regular employers? I worked through a staffing company before my direct hire job.
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Freya Andersen
•Yes, temp agencies pay SUTA taxes just like any other employer. Your benefits would be based on wages from both jobs if you worked both within your base period.
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Sean Fitzgerald
•Good to know, thanks!
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Zara Khan
The system makes more sense when you think about it as insurance rather than welfare. Employers pay premiums (taxes) and workers receive benefits when they meet the qualifying conditions (involuntary job loss, etc.).
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Hiroshi Nakamura
•Yeah that insurance analogy really helps me understand it better.
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MoonlightSonata
•Plus you had to work and earn a certain amount to even qualify, so you've paid into the system through your work too.
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Mateo Gonzalez
I tried calling Washington ESD about employer tax questions but gave up after being on hold for 2 hours. Ended up using that Claimyr service someone mentioned earlier and actually got through to talk to someone. Way less frustrating than the regular phone system.
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Hiroshi Nakamura
•Seems like a lot of people have trouble getting through to Washington ESD directly.
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Nia Williams
•The phone system is definitely a nightmare. I've had better luck with their online messaging but even that takes forever to get a response.
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Luca Ricci
One thing to keep in mind - if your employer contests your claim saying you were fired for misconduct instead of laid off, they're trying to avoid having the claim charged to their account. That's when the employer connection becomes more obvious.
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Hiroshi Nakamura
•Fortunately my layoff was clearly due to lack of work, so hopefully they won't contest it.
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Aisha Mohammed
•Even if they do contest, as long as you have documentation showing it was a layoff you should be fine.
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Luca Ricci
•Exactly. Washington ESD investigates contested claims and makes the final determination based on the facts.
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Ethan Campbell
Thanks for asking this question! I've been wondering the same thing since I got my separation notice last week. This thread cleared up a lot of confusion.
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Hiroshi Nakamura
•Glad it helped! I was definitely overthinking the whole thing.
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Yuki Watanabe
My friend works in HR and she explained it like this: unemployment taxes are just a cost of doing business. Companies budget for them annually just like any other expense. Individual claims don't create surprise bills.
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Hiroshi Nakamura
•That makes total sense. I was picturing my boss getting a bill in the mail with my name on it or something.
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Carmen Sanchez
•Haha no, it's much more systematic than that. The state handles all the administration and payment processing.
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Andre Dupont
Bottom line: file your claim if you're eligible. Don't worry about your employer having to pay - they're already paying into the system whether you file or not. You earned those benefits through your work.
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Hiroshi Nakamura
•You're absolutely right. I'm going to finish my application today and stop worrying about it.
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Zoe Papadakis
•Good for you! That's exactly the right attitude to have.
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