ESD hit us with $1000 overpayment for traveling during construction layoff - can they take it from future benefits?
I'm in a total panic about an ESD overpayment notice we just received. My husband works construction and has been laid off periodically due to lack of work. During his last unemployment period (when his company had NO projects available), we traveled to see my grandmother who was in hospice care. We were gone for about 3 weeks over Christmas, but he continued filing his weekly claims and doing his job searches online while we were away. He never lied on ANY of his claim forms - always reported exactly what was happening. Now ESD is saying he wasn't "able and available" for work during that travel period and slapped us with a $1000 overpayment bill! They're demanding it as a lump sum payment, which we absolutely cannot afford. He's back on unemployment again because construction has slowed way down, and I'm already working TWO jobs just trying to keep our bills paid. Does anyone know if they can just take this overpayment amount out of his current UI benefits instead of us having to pay the lump sum? We're barely keeping our heads above water financially, and there's no way we can come up with $1000 all at once when we're struggling to buy groceries. Help!!
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Diego Vargas
Yes, they can definitely set up a repayment plan through future benefits. You need to contact ESD immediately about a "benefit offset" arrangement. This means they'll take a percentage from each weekly benefit payment until the overpayment is satisfied. They typically take 25-50% of each payment, not the whole thing. Don't ignore this though - if you don't arrange something, they can get much more aggressive with collections.
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Chloe Anderson
•Thank you so much! Do we need to call them to set this up or is there a form somewhere on eServices? I've been looking all over the website and it's so confusing.
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Anastasia Fedorov
omg they did the EXACT same thing to my boyfriend last year!!! he was visiting his mom after a construction layoff and they said he wasn't "able and available" even tho he was applying to jobs online!! they're so unfair!!
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Chloe Anderson
•It's ridiculous! Did your boyfriend end up having to pay it all back? I just don't understand how they expect people to never travel when construction work is so seasonal and unpredictable.
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Anastasia Fedorov
•ya he had to set up payments but they took it from his benefits when he got laid off again. like 35% of each check or something. still sucked tho
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StarStrider
I hate to be the bearer of bad news, but one of the key eligibility requirements for UI is being physically present and available for work in your job market. When you left the state for 3 weeks, even with a good reason, your husband technically wasn't available to accept work if it had been offered. That's why they're considering it an overpayment. However, you do have options: 1. Request a payment plan - they'll work with you on this 2. Request a "benefit offset" as mentioned above 3. File an appeal if you think there are extenuating circumstances (like if he could have returned quickly if work became available) 4. Request a waiver of the overpayment due to financial hardship Call ESD directly to discuss these options. Don't wait, as interest can accumulate.
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Chloe Anderson
•This is helpful, thank you. My husband actually did tell his employer we could come back within 48 hours if work became available - we had flexible return tickets. Does that help our case at all for an appeal?
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StarStrider
•That could potentially help in an appeal, especially if you have any documentation of that arrangement with his employer. Make sure to gather any evidence - emails, texts, etc. showing he communicated this availability. The appeal deadline is typically 30 days from the date of the overpayment notice, so check how much time you have left.
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Sean Doyle
THEY DID THIS TO ME TOO. ESD is PREDATORY and looking for ANY reason to deny benefits to hardworking construction workers. We pay into this system and then they use TECHNICALITIES to steal our money back. It's disgusting!!! They took 50% of my benefits for 6 weeks to recoup what they claimed was an "overpayment" just because I went to help my sister after surgery. THE SYSTEM IS BROKEN!!!!!
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Zara Rashid
•i mean the rules do say you have to be available for work tho... its not really a technicality
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Sean Doyle
•So construction workers just can't EVER leave town during slow periods? Even when there's literally NO WORK available for months? That's absurd. Most jobs in construction have at least a week's notice before you start anyway. The system was designed for factory workers with consistent schedules, not the reality of modern construction work.
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Luca Romano
Have you tried getting through to an actual ESD agent? I kept getting disconnected when I called about my overpayment issue last month. Finally used this service called Claimyr (claimyr.com) that got me connected to an ESD rep in about 20 minutes instead of spending hours redialing. They have a video showing how it works: https://youtu.be/7DieNd3C7zQ?si=26TzE_zGms-DODN3 The ESD agent was actually super helpful once I got through and set up a payment plan where they only took 15% of my weekly benefit. Way better than paying the lump sum! Definitely worth talking to an actual person about your options.
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Chloe Anderson
•Thank you for this tip! I've been trying to call for three days and can't get through. 20 minutes sounds way better than what I've been experiencing. I'll check it out.
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Nia Jackson
This sounds like a classic "able and available" issue. Here's what you need to know: First, you can absolutely request a benefit offset instead of a lump sum payment. Log into your eServices account, go to the overpayment section, and select "Request Payment Plan." You can also call, but the online option might be faster. Second, since this was to visit a dying family member, you might qualify for a waiver based on equity and good conscience. ESD does consider humanitarian reasons, especially when there was no deliberate misrepresentation. Third, if construction work truly wasn't available during that period, gather documentation from his employer stating this. It won't eliminate the overpayment but might strengthen a waiver request. Fourth, they typically withhold 50% of benefits for repayment, but you can request a lower percentage based on financial hardship. Don't ignore this - addressing it proactively will give you the best outcome.
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Chloe Anderson
•Thank you so much for this detailed information! I couldn't find the "Request Payment Plan" option on eServices, but maybe I was looking in the wrong place. I'll try again tonight. The waiver option sounds promising - do you know if there's a specific form for that?
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Nia Jackson
•For the waiver, you'll need Form ESD 640-001. You can download it from the ESD website or request it be mailed to you. It's under "Forms and Publications" on the main site. The payment plan option should be in the same section of eServices where the overpayment is listed. If you still can't find it, definitely call - sometimes the website doesn't show all options depending on where your case is in the system.
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Diego Vargas
One important thing to know: if your husband was on standby status with his employer (meaning he was expected to return to the same employer), he might have qualified for travel without violating the "able and available" requirement. Was he formally on standby status? If so, that's a strong basis for appeal.
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Chloe Anderson
•I'm not sure if he was officially on "standby" - his boss just told him they'd call when they had work again. Is there a formal process for standby status that we might have missed?
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Diego Vargas
•Yes, standby is a formal status that the employer needs to request through ESD. It allows workers to be exempt from job search requirements because they're expected to return to their previous employer. If his employer didn't request this status, he wouldn't automatically be on standby. However, if there's documentation showing his employer expected him back (texts, emails, etc.), that could still help your case even without formal standby status.
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Zara Rashid
not to be mean but i think the rules say you cant leave your labor market area while on unemployment... my cousin got caught with this too
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Chloe Anderson
•You're right, and we probably should have checked the rules more carefully. I just wish there was more flexibility for situations like visiting dying family members, especially during periods when there's literally no work available anyway.
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Sean Doyle
If you appeal, GET EVERYTHING IN WRITING from his employer about the work situation!!! I lost my appeal because I didn't have written proof that there was no work available during my time away. The judge was completely unsympathetic even though I was telling the truth. The system is RIGGED against workers!!
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Chloe Anderson
•That's a good point. I'll ask my husband to get something in writing from his boss confirming there was no work during that period. Did you use a lawyer for your appeal, or did you represent yourself?
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Sean Doyle
•I represented myself and REGRET IT. The judges are totally biased toward ESD. If I could do it over, I'd at least have talked to the Unemployment Law Project for free advice before my hearing. Look them up - they help people with UI issues.
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