Legal Question in Employment Law in New York

Please, explain to me the following (quote from NY Unemployment Benefits � Claims Guide ):

"Receiving separation-related payments, such as severance pay or vacation pay: Generally, a claimant is eligible for unemployment insurance benefits while receiving separation-related payments. However, an individual will not be eligible for benefits if he or she continues to receive the full salary and exactly the same benefits that he or she received while working, with the understanding that the salary and benefits will stop if he or she becomes employed elsewhere. The employer�s payment of unused vacation accruals normally does not affect an individual�s eligibility for benefits" - end of quote

I am unemployed, receiving weekly severance payments and unemployment checks.

I did informed Unemployment Office about severance payments, but it still not clear to me if I am doing right thing, since my severance check is more than $405.

Thank you


Asked on 1/19/10, 6:42 am

1 Answer from Attorneys

Locksley Wade Law Office of Locksley O. Wade

If you are receiving payments from your employer -regardless of what it's called- that is the same as your salary and benefits while you were employed, then you are ineligible for unemployment benefits until the end of such payments. This should not be confused with severance payments that are distributed in multiple amount over a period of time (e.g. $10,000 paid out over 5 month while medical benefits ended on the day of termination).

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Answered on 1/24/10, 7:46 am


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