by Lou G
(Orlando, FL)
My wife works for a city agency and recently they have announced serious cut backs due to budget constraints. Unfortunately she is among the 100+ people on the chopping block.
She has already been given the necessary documentation telling her when here last day will be. Recently she received another document from the City’s HR office, which was sent to everyone on the chopping block, with an offer to resign in lieu of layoff. As an incentive they offered to continue her health care benefits for 12 months and will cover the 65% subsidy for 9 months as required by the new Cobra laws. After the 9 months she will be required to pay the premium difference. In addition to covering the health plan for 12 months, they are going to provide her with 16 weeks pay.
We are both confused because FL states that you can only collect unemployment if you were let go by no fault of your own. She is under the impression and no one in the HR office has been able to clarify, that she will be eligible for unemployment. I find the HR office’s reluctance to answer the question a bit fishy.
Does anyone know if she accepts a resignation in lieu of lay off, will she be eligible for unemployment? I have told her she wont and that she should just wait until the end of Sept, which is her last month on the job. If she accepts will she be throwing out the baby with the bath water?
Hi Lou,
That is an excellent question and one I’ll have to do some digging on .. if you can give me a bit of time ..
One question, do the employees work under a contract of any kind?
One thing I can already tell you is that I know for sure the 16 weeks of severance would be deductible income from any unemployment benefits, but I don’t know about the subsidy for the COBRA and I’m puzzled about the “QUIT IN LIEU OF A LAYOFF” never heard that before.
I’ll post a comment with any information I may find .. or not find because Florida is completely impossible for a “regular” person to research unemployment decisions for.