The question of a former employee’s eligibility for unemployment insurance benefits often arises after an employee is fired or laid off. An employee who quits may also be eligible for unemployment insurance benefits, depending on the circumstances. Under the “experience-rating system” in New York, unemployment insurance claims by former employees can have a significant financial impact on employers.
While the law gives employers a lot of discretion to define the terms of the employment relationship and make decisions about hiring, firing, promotion, demotion, discipline, and other terms and conditions of employment, the “alphabet soup” of federal, state, and local anti-discrimination statutes can be a minefield for employers—especially new and small businesses who may not have large HR departments and established procedures for managing employees.
Even the most diligent employers will often face lawsuits and administrative charges from current or former employees. These can include claims of discrimination, harassment, retaliation, wage and hour violations, breaches of employment contracts and severance agreements, and employee misclassification.
Employment contracts and severance agreements are important documents affect the rights and obligations of the employers and employees under the law. These documents can protect your business by defining the terms of the employment relationship when it begins and after it ends.
Misclassification of employees as independent contractors can have many legal and financial consequences, affecting wages, benefits, taxes, unemployment insurance, and various other rights and obligations under the law. Korder Law can help minimize your risk of liability by providing counseling about the differences between employees and independent contractors under the law and how to properly classify individuals who work for you.