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by gamblor956 1277 days ago
If a condition of the severance is that you sign a document saying you are quitting instead of being fired, then you cannot collect unemployment.

This is false. If a company makes you sign a statement that you are quitting instead of being fired as a condition of getting severance, they are committing unemployment insurance fraud and are subject to civil and criminal sanction in most states.

(The point of trying to make employees do this is to avoid claims against the company's unemployment insurance account in the state. How UI works differs from state to state, but in all instances claims against UI increases the company's ongoing UI expense.)

2 comments

This is how people get caught for fraud in quite a few cases too. They create a one sided contract that outlines their fraud and then they distribute it to people who run straight to lawyers, as they should.
And a key giveaway is that companies rarely pay severance to people who actually quit.