Virginia Unemployment & Severance Pay

[rickmck]

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

I've just been laid off due to a corporate merger. I was in an Executive position (for many years) of a small consulting firm which was merged into a larger sister company. I had an employment contract that specified 9 months severance pay. This sum (>$100k) will be paid out in installments between now and January 2010. I gather that the amount of my severance will prevent me from receiving unemployment payments from the State. Is that correct? Will I be able to begin collecting unemployment in January after the last installment of the severance package is paid? Will I have to wait 9 months (i.e., until July 2010) before I would be "eligible" to collect unemployment? And, if so, is July (9 months after the separation date) too long a delay to even be eligible to file? Anything else I need to know? Many thanks...

 

[commentator]

On the first week that you are no longer employed, get yourself in contact with the unemployment system and file the claim!!!!!! Tell them about the severance situation. But you want to file the claim because the longer you wait to file the claim, the less money you will have in covered quarters. You may not be eligible to begin drawing the claim right now, but you need to file it right now, so that it will be set up and will be in place for one year.

It costs nothing but your time to file a claim. Why would you try to figure out all the ins and outs of severance and other such issues before filing?In many states, severance pay has no effect whatsoever on your unemployment benefits. It may be so or it may not in Virginia, in any case, the person who takes your claim will be glad to explain it all to you. "Eligible to file" is bull, you are always eligible to file. You need to do so. Able to receive weeks of benefits is the issue. Remember, income has no bearing whatsoever on unemployment insurance. The state workers can tell you all you need to know about what effect severance will have.

 

[rickmck]

Thanks for the reply, commentator, and the advice...