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  1. #1
    Skinnee is offline Junior Member
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    Sep 2008
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    Can I still collect unemployment if I don't accept a demotion?

    What is the name of your state (only U.S. law)?PA


    Here is my situation. I'm in PA. I have been with my current employer for 5 years. They recently lost a major contract worth about 40% of our business. I was told that as of Dec 8th they will no longer have a position for me and I will be demoted from a management position down 2 levels to an entry level position. My salary will be reduced from 50k a year to 29k a year. I will also lose my $200 a month car allowance and expense reimbursment. I have never received less than a good or excellent review, 4's and 5's on a scale of 1-5. There are no discipline incidents of any kind on my record. If I don't accept the demotion am I quitting? Will I still be eligible for unemployment? I feel it is not a reasonable position and I have done nothing to deserve this demotion. They are doing this to 17 other district managers and it seems obvious the whole purpose is to force us to quit instead of laying us off and paying severance and unemployement. Is there any type of legal protection against this? Thanks for any help anyone can give.
  2. #2
    ecmst12 is offline Senior Member
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    If you accept the demotion, you can apply for partial unemployment while you look for a new job. If you do not, that will be considered turning down work and you will not be able to get UC.
  3. #3
    pattytx is offline Senior Member
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    But wait a minute. The company lost a big contract. Manure occureth. What do you expect them to do? If they don't need you to do XX any more, and they need somebody to do YY, why would you expect the same compensation?
    ---------------------------------------------------------------------------------------------------------------------------------------------------------
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  4. #4
    Skinnee is offline Junior Member
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    Quote Originally Posted by pattytx View Post
    But wait a minute. The company lost a big contract. Manure occureth. What do you expect them to do? If they don't need you to do XX any more, and they need somebody to do YY, why would you expect the same compensation?
    I don't expect the same compensation. I would like to be treated fairly. I would like to be layed off and receive the severance pay it says i'm entitled to in the company handbook instead of being demoted and forced to quit.

    I just feel like there must be something illegal about what they're doing. They know they're not doing anyone any favors by demoting them. They are doing it to get out of paying severance and unemployment. If this was allowed why wouldn't all companies do it? Why wouldn't any company just demote any employee to janitor and force them out instead of laying them off?
  5. #5
    cbg
    cbg is offline Senior Member
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    Nov 2001
    Location
    Massachusetts
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    There is nothing illegal about what they are doing and yes, they are doing you a favor. Do you have any idea how tight the job market is out there? There is NO guarantee that you will find a new job before the severance runs out. At least this way you have some income instead of no income. Be grateful for small favors.

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