Posted On: January 15, 2009 by The Snyderman Law Firm

Can An Employee Who Quits Her Delaware Job Collect Unemployment Compensation?

As a Delaware business owner, what would you think if one of your employees who quit her job applied for unemployment compensation? At first, you’d probably think that there’s no way she could possibly qualify for benefits. But then you check with your Delaware business lawyer and learn that there are situations where an employee who resigns can in fact collect unemployment compensation.

The case is usually decided on a finding of whether she voluntarily quit her job with or without good cause. Under Delaware law, in order to be eligible to collect unemployment compensation benefits, the employee must show that (1) she either voluntarily quit her job with good cause or involuntarily quit, and (2) that she’s eligible to work.

If the employee quit her job involuntarily and is available for work, she can collect unemployment benefits. If, however, she quit her job voluntarily, in order to be eligible for unemployment compensation, she has to show that she had good cause to quit her job.

What’s considered “good cause to quit?” Good cause has been defined as such cause as would justify one in voluntarily leaving the ranks of the employed. It can include a substantial reduction in wages, work hours or a substantial deviation in the working conditions from the original agreement of hire to the detriment of the employee. The burden to show good cause is on the claimant. Good cause does not exist, however, just because the employer created an undesirable situation. The employee must first exhaust her administrative remedies by, for example, notifying the employer of the undesirable situation.

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