Washington ESD claim denied after minimum wage job loss - why does raising minimum wage increase unemployment?
Lost my job at a small restaurant in Tacoma when they cut staff after the minimum wage went up last year. Now Washington ESD denied my unemployment claim saying I was fired for cause but that's not true - they just couldn't afford to keep everyone. I'm trying to understand why raising minimum wage seems to increase unemployment and if this affects my appeal chances. Has anyone else dealt with this situation with Washington ESD? The owner said they had to let 3 people go because labor costs got too high.
55 comments


Myles Regis
This is actually a common issue. When minimum wage increases, some employers do reduce hours or staff to control costs. However, that doesn't mean you were fired for cause. If you were laid off due to economic reasons, you should be eligible for UI benefits. You need to appeal this decision with Washington ESD immediately.
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Khalil Urso
•Thanks, I thought so too. How long do I have to file the appeal with Washington ESD? The denial letter was confusing.
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Myles Regis
•You have 30 days from the date on the determination letter. Make sure you clearly explain it was a layoff, not termination for cause.
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Brian Downey
same thing happened to my friend last year when seattle raised theirs. small businesses cant absorb the costs like big corporations can
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Jacinda Yu
•Exactly! And then people wonder why there's more unemployment claims. It's basic economics - if you force wages up artificially, demand for workers goes down.
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Landon Flounder
•That's an oversimplification. Studies show mixed results on minimum wage and employment. Some sectors see job losses, others don't.
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Callum Savage
I've been trying to reach Washington ESD for weeks about a similar situation and can't get through their phone lines. The hold times are insane and I keep getting disconnected. Has anyone found a way to actually talk to a real person there?
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Ally Tailer
•I had the same problem until I found this service called Claimyr at claimyr.com. They actually get you connected to Washington ESD agents without the endless hold times. There's a video demo at https://youtu.be/7DieNd3C7zQ that shows how it works. Saved me hours of frustration.
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Callum Savage
•That sounds too good to be true. How does it actually work? Do they just call for you?
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Ally Tailer
•They handle the calling and waiting, then connect you when an agent picks up. Much better than spending your whole day redialing.
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Aliyah Debovski
The minimum wage debate is complicated but your unemployment situation is straightforward. If you were laid off due to business reasons, Washington ESD should approve your claim. The fact that it was related to wage costs doesn't matter - you weren't fired for misconduct.
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Khalil Urso
•That makes sense. Should I mention the minimum wage connection in my appeal or just focus on it being a layoff?
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Aliyah Debovski
•Focus on the layoff aspect. Mention that multiple employees were let go due to economic reasons. That's the key factor for UI eligibility.
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Jacinda Yu
This is exactly why I voted against the minimum wage increases. Small businesses suffer and workers end up on unemployment anyway. It's counterproductive policy that hurts the very people it's supposed to help.
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Landon Flounder
•The data doesn't support that broad conclusion. Most studies show minimal job losses and significant benefits for workers who keep their jobs.
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Jacinda Yu
•Tell that to this person who lost their job and got denied unemployment benefits. The 'data' doesn't match real world experience.
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Myles Regis
•Let's focus on helping with the appeal process rather than debating policy. The immediate issue is getting Washington ESD to correct their determination.
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Miranda Singer
ugh the whole system is broken. minimum wage goes up, jobs disappear, then washington esd makes it impossible to collect benefits. what are we supposed to do??
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Brian Downey
•i feel you. been there myself. the appeal process is worth it though if you have a legit case
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Miranda Singer
•how long does the appeal take? i cant afford to wait months
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Myles Regis
For your appeal, gather any documentation showing it was a mass layoff or business closure. Emails, notices, anything that proves it wasn't individual termination for cause. Washington ESD appeals are usually decided within 4-6 weeks if you provide good documentation.
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Khalil Urso
•I have a text from my manager explaining they had to cut staff due to costs. Would that help?
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Myles Regis
•Absolutely! That's perfect evidence. Screenshot it and include it with your appeal paperwork.
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Cass Green
I work in HR and see this situation regularly. When employers cite 'economic reasons' for layoffs, it's almost always qualifying for unemployment benefits. The Washington ESD determination sounds like an error that should be easily overturned on appeal.
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Khalil Urso
•That's reassuring. Do you know if there's a specific form I need to use for the appeal or just write a letter?
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Cass Green
•There should be appeal instructions on your determination letter. Usually it's a simple form you can submit online through your Washington ESD account.
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Finley Garrett
The economic argument about minimum wage is complex but your unemployment case seems clear cut. Restaurant industry sees a lot of these situations unfortunately. Good luck with your appeal!
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Khalil Urso
•Thanks! It's frustrating because I was a good employee but got caught up in the business economics.
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Callum Savage
Update: I tried that Claimyr service someone mentioned and actually got through to Washington ESD today! Took about 20 minutes total instead of the usual hours of calling. Worth checking out if you need to discuss your appeal directly with an agent.
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Madison Tipne
•How much did it cost? Seems like there should be a free way to reach them.
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Callum Savage
•I agree there should be, but the reality is their phone system is overwhelmed. This was much more efficient than what I was doing before.
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Holly Lascelles
minimum wage laws have unintended consequences but that doesnt help your situation right now. focus on the appeal and get your benefits sorted out first
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Khalil Urso
•You're right, I need to deal with the immediate problem. The policy debate can wait.
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Landon Flounder
For what it's worth, research shows that moderate minimum wage increases have minimal impact on employment in most cases. Your specific situation might be more about the restaurant's particular financial situation than the wage law itself.
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Jacinda Yu
•Academic research vs real world results. This person lost their job directly because of the wage increase.
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Landon Flounder
•Correlation isn't causation. The restaurant might have had other financial issues. But regardless, the unemployment claim should be approved.
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Malia Ponder
been through this exact situation. washington esd initially denied my claim too but the appeal was successful. just make sure you emphasize it was a reduction in force, not individual termination
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Khalil Urso
•How long did your appeal take to get resolved?
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Malia Ponder
•about 5 weeks from filing to decision. they also paid me the back benefits once it was approved
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Kyle Wallace
The restaurant industry is particularly sensitive to labor cost changes. Many operate on thin margins so any increase in costs can force difficult decisions. Doesn't make it right but explains the pattern.
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Khalil Urso
•That's what my former manager said. They were barely breaking even before the wage increase.
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Ryder Ross
File your appeal ASAP and don't wait. The 30-day deadline is firm and Washington ESD won't extend it even if you have a good excuse. Get your documentation together and submit everything at once.
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Khalil Urso
•Working on it now. Thanks for the urgency reminder - I don't want to miss the deadline.
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Ally Tailer
Just wanted to follow up on the Claimyr recommendation. I've used it twice now for Washington ESD issues and it's been really helpful both times. Especially when you need to explain complex situations like this layoff scenario.
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Gianni Serpent
•Do they help with appeal cases or just general claim questions?
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Ally Tailer
•They get you connected to the right Washington ESD department. For appeals, you'd want to reach the appeals unit specifically.
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Henry Delgado
Whatever your views on minimum wage policy, this person deserves their unemployment benefits. Being laid off due to business costs is exactly what UI is designed to cover.
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Khalil Urso
•Exactly! I paid into the system and should be able to use it when I need it through no fault of my own.
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Olivia Kay
good luck with your appeal. the system is frustrating but dont give up. you have a strong case based on what youve described
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Khalil Urso
•Thanks for the encouragement. I'll keep fighting it.
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Joshua Hellan
I've seen this scenario play out multiple times in different industries. The key is documenting that it was an economic layoff affecting multiple employees, not individual performance issues. Washington ESD should reverse their decision once they see the evidence.
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Khalil Urso
•That gives me confidence. I have good documentation that shows it was company-wide cuts.
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Joshua Hellan
•Perfect. Include everything in your appeal packet and be thorough in your explanation. Better to provide too much information than too little.
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Jibriel Kohn
Hope this gets resolved quickly for you. Unemployment system can be confusing but appeals often work when you have legitimate cases like this one.
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Khalil Urso
•Thank you! I'm feeling more optimistic about the appeal after reading everyone's advice here.
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