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Zara Khan

Washington ESD unemployment claims increasing since minimum wage hike - anyone else notice this?

I've been wondering if there's a connection between Washington's minimum wage increases and more people filing unemployment claims. I work in HR and we've had to let go of some entry-level positions after the latest wage bump to $16.28. Now I'm seeing more former coworkers on unemployment. Has anyone else noticed their Washington ESD claim volume going up in their area? I'm not trying to get political, just curious if others are seeing the same pattern when businesses can't afford the higher labor costs.

yeah i think theres definitely something to this, my restaurant cut hours for everyone after the wage increase

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That's rough. Did any of your coworkers end up having to file with Washington ESD for partial unemployment?

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couple people did yeah, but the weekly claim process was confusing for them

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This is a complex economic issue that affects unemployment in multiple ways. When minimum wage increases, some businesses do reduce their workforce, leading to higher unemployment claims with Washington ESD. However, other businesses adapt by improving efficiency or raising prices. The net effect varies by industry and region. What matters for unemployment claimants is understanding their eligibility - if you lost your job due to company downsizing related to wage costs, you should qualify for UI benefits.

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So if my employer specifically said they had to lay people off because of wage costs, that doesn't disqualify me from Washington ESD benefits?

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Correct - layoffs due to economic factors like increased labor costs are considered involuntary separations, which typically qualify for unemployment benefits.

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Just make sure when you file your initial claim that you clearly state it was a layoff, not a quit or termination for cause.

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I got laid off last month and my employer cited rising labor costs. Been trying to call Washington ESD for weeks to check on my claim status but can never get through! Anyone have luck reaching them lately?

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The phone lines are definitely swamped right now. I found this service called Claimyr (claimyr.com) that helps you actually reach Washington ESD agents. They have a demo video at https://youtu.be/7DieNd3C7zQ showing how it works. Basically they handle the calling and waiting for you.

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Really? That sounds almost too good to be true. How does it actually work?

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You give them your info and they call Washington ESD on your behalf, wait on hold, then connect you directly to an agent when they get through. Saved me hours of calling.

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This whole minimum wage thing is just hurting the people its supposed to help!! Small businesses cant afford these wages and then people lose jobs entirely instead of having lower paying work.

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I can see both sides honestly. Higher wages help workers who keep their jobs, but some definitely lose employment.

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at least unemployment benefits exist for people who get laid off because of this stuff

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I'm really worried because I just got notice that my hours are being cut from 40 to 25 hours per week due to the wage increase. Can I file for partial unemployment with Washington ESD?

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Yes, you can file for partial unemployment if your hours are significantly reduced. Washington ESD allows claims when your weekly earnings are less than your weekly benefit amount plus $5.

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How do I calculate what my weekly benefit amount would be? This is all so confusing.

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Your weekly benefit is based on your highest earning quarter in your base period. The Washington ESD website has a calculator, or you can call them - though as others mentioned, getting through by phone is challenging.

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Been in retail management for 15 years and this is the third time I've seen major layoffs after wage increases. Companies just can't absorb the costs.

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What industries have you seen hit hardest by this pattern?

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Retail, food service, and smaller manufacturing operations seem to struggle most with sudden wage jumps.

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my cousin lost her job at a small coffee shop after the owner said he couldnt afford the new wages, she filed unemployment right away

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did she have any trouble with her claim? seems like washington esd would approve that pretty easily

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took a few weeks but got approved, no issues since the employer didnt contest it

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For anyone dealing with job loss related to wage increases - document everything! Keep any communications from your employer about the reason for layoffs. This helps if Washington ESD needs to verify your separation reason during adjudication.

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Good point! I saved the email where my manager explained the hour cuts were due to labor cost pressures.

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Perfect - that kind of documentation makes your claim much smoother to process.

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The economics are pretty clear - when you artificially raise the price of labor above market rates, demand for labor decreases. Simple supply and demand.

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While that's one economic perspective, there are also studies showing minimal employment effects from modest wage increases due to reduced turnover and increased productivity.

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Maybe for large corporations, but small businesses don't have those efficiency margins to work with.

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Update: I tried that Claimyr service someone mentioned and actually got through to Washington ESD today! The agent confirmed my claim is processing normally and should be approved next week.

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That's great news! How long did the whole process take with Claimyr?

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About 45 minutes total - they called me back when they had an agent on the line. Way better than spending hours calling myself.

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I think people are overthinking this. Unemployment goes up and down for lots of reasons. Minimum wage is just one factor among many.

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True, though the timing seems pretty coincidental in my area at least.

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One thing to remember is that even if wage increases do lead to some job losses, Washington's unemployment system is designed to help workers during these transitions. The key is filing promptly and understanding your rights.

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How quickly should someone file after losing their job or having hours cut?

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File as soon as possible after your last day of work or when your hours are significantly reduced. Benefits are paid from your claim filing date, not your separation date.

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My friend owns a small landscaping business and had to let go 3 people after the wage hike. He felt terrible about it but said he literally couldn't afford to keep everyone.

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thats really sad, small business owners are caught in the middle of this stuff

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At least those workers should qualify for unemployment benefits without any issues since it was clearly an economic layoff.

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THE WHOLE SYSTEM IS BACKWARDS!! Instead of helping workers were just creating more unemployed people who need government benefits!!!

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I understand the frustration, but at least Washington ESD benefits provide a safety net during job transitions.

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anyone know if theres data on how many more unemployment claims washington esd has gotten since the latest wage increase?

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Washington ESD publishes monthly unemployment statistics on their website, but it usually takes a few months for trends to become clear in the data.

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I work at a nonprofit and we've had to reduce our program staff because our funding didn't increase with the wage requirements. It's heartbreaking.

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Nonprofits are in a particularly tough spot with wage mandates since they can't just raise prices like for-profit businesses.

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Exactly - we're serving fewer people in our community because we can afford fewer staff members.

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Just wanted to update - I filed for partial unemployment after my hours got cut and Washington ESD approved it! Getting about $180 per week to help make up the difference.

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That's awesome! How long did the approval process take?

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About 2 weeks from filing to first payment. Had to do the weekly claims but no big issues.

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my manager said if things dont pick up they might have to do more layoffs next quarter because of the wage costs

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If that happens, file your unemployment claim immediately. Don't wait to see if you can find another job first.

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Been following this issue closely and I think the impact varies a lot by business type. Chain restaurants seem to adapt better than mom-and-pop places.

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That matches what I've seen - larger businesses have more flexibility to absorb cost increases through efficiency improvements or price changes.

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For anyone still struggling to reach Washington ESD by phone, I'd definitely recommend trying Claimyr. Worth it just to avoid the endless busy signals and disconnections.

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How much does something like that cost though?

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I'd rather pay a reasonable fee than waste entire days trying to get through myself. Check their website for current pricing.

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