Many employers might be surprised to learn that voluntarily quitting a job does not necessarily disqualify a former employee from unemployment benefits. In fact, there are plenty of claimants who have received benefits when the job separation was the result of resigning or having quit the job voluntarily. But how can that be?

How Are Voluntary Job Separations Reviewed in Unemployment Claims?

Generally, if a claimant voluntarily left their last work and files an unemployment claim, the claimant must establish that they resigned or quit with good cause connected with the work to qualify for benefits. While not exhaustive, the following list contains examples of voluntary job separations that have constituted good cause connected with the work for quitting/resigning:

• The employer engaging in criminal activity
• Not getting paid for work
• Health or safety issues
• Substantial/detrimental change to the hiring agreement
• Hostile work environment
• Reprimanding the claimant in an accusatory or humiliating manner in public
• Pay reduction of 20% or more

Conversely, claimants will generally be disqualified from benefits if they voluntarily quit their job — when full-time work was available to them — without good cause connected with the work. Some instances that are generally seen as not having good cause connected to the work for quitting are resignations due to transportation issues (if the employer never assumed responsibility for providing transportation for the claimant), and due to a lack of childcare.

The section of the Texas Labor Code that deals with voluntarily leaving work and unemployment benefits is Sec. 207.045. This section outlines various instances of voluntarily leaving work and what they mean for a claimant’s qualification for benefits. 

Employer Considerations for Unemployment Claims: Dealing With Voluntarily Leaving Work 

In many instances, an employer should be prepared to show that a reasonable employee would not have quit for the reason they did. With this in mind, an employer should address any legitimate complaints that an employee brings to its attention. The employer should investigate as necessary and take all reasonable and appropriate steps to remedy the situation. If the employee nonetheless quits the job and files for unemployment (thereby becoming a claimant), the employer should be prepared to show that it took all reasonable and appropriate steps to address the claimant’s concerns.

Conclusion

Claimants who have quit their jobs before filing for unemployment don’t necessarily face an insurmountable barrier to being qualified for benefits. However, they generally must show good cause connected with the work for having quit. Employers should document all efforts to address any legitimate workplace concerns that an employee (and potential future claimant) may bring to their attention. By doing so, the employer will be in a better position to defend itself against an unemployment claim resulting from the claimant voluntarily leaving work.