When Should You Dispute Unemployment Claims?

PAULA FULGHUM • April 1, 2025

It’s one of the things you hate most about being a business owner but sometimes it’s unavoidable — letting an employee go. Most of the time, the dust settles, your team regroups, and you move forward.

But occasionally you find yourself questioning an unemployment claim filed by a former employee. While your state’s unemployment office will make the final decision, understanding the law and the circumstances around the layoff will help you know if contesting a claim is the right step.

Employees are eligible for unemployment benefits only if they are out of work through no fault of their own. Translation: It matters how the employee left your company.

Consider the following:

  • An employee who was laid off is always eligible for unemployment benefits.
  • An employee who was fired is eligible for unemployment if the violations were relatively minor, unintentional, or isolated.
  • If you fired an employee for misconduct, he or she is not eligible for benefits.
  • Examples of misconduct include: revealing trade secrets, sexual harassment, chronic tardiness or unexcused absences, extreme insubordination, intoxication on the job, and dishonesty.
  • An employee who quits is eligible only if the employee resigned for “good cause” — that is, the worker would have suffered some sort of harm or injury by staying.


You should contest a claim only if you have grounds to do so — meaning your former employee engaged in serious misconduct or quit without a compelling reason.

Spread the word!

By Paula Fulghum August 18, 2025
Generational Workforce Dynamics
By Paula Fulghum July 21, 2025
I’ve seen a lot of job postings lately for small to medium sized companies looking for an HR Director or Manager. Then, when you get into the details, it shows they are the sole person doing HR for the company- or maybe have an assistant. Does this mean they have a payroll department and/or a benefits department? That’s typical in large companies. Not typical in smaller ones that only have the budget for party of one. What’s eye catching for me is now this person is IT. One man band. Key holder to it all. What’s interesting for me is that HR people are like ice cream flavors- we all have our favorite. Is that flavor strategy? Is it training? Is it compliance? Is it recruiting? Is it payroll? Is it benefits? Neapolitan only has 3 flavors. Once you get past 3, you can’t really taste what’s in the ice cream anymore it’s really more of a mess. HR is much like this messy ice cream. One person isn’t good at it all and if they are they are one in a million & a small business can’t afford them. Or if they can- they won’t last long because that person will be bored in a heart beat. And if they are a good leader of a department and don’t have these detailed skill sets & delgate well- that’s great- but when your company is smaller- who are they going to delgate to? See the conundrum? I enjoy chocolate & peanut butter ice cream. It’s two flavors, I can taste both & I can rely on that. If you start adding in scoops of other flavors it gets a little muddy. But that’s OK- I have an entire team who’s good at what I’m not and I can have them jump in at any time. When you are party of one- that’s not possible. So if you are smaller but want more flavors, HR outsourcing is really the way to go. You get the best of both worlds at a fraction of the cost of a full time salary of one. And you don’t have to worry that your HR person doesn’t like strawberry ice cream when trouble happens and strawberry is the only flavor that will do.
Show More

We have clients in multiple industries with their own unique cultures and operational structures. We respect and honor that. We report to our clients and don’t accept commission from insurance providers.

Contact Information

A black phone icon.

864.541.7809

info@innovatehr.com

PO Box 8871 Greenville, SC 29604

Hours of Operation

Social Media

Join the Newsletter

Monday - Friday: 8:30am-5:00pm

Subscribe to our newsletter

@ 2018-2025 innovateHR™

Website Design by Wonder

We have clients in multiple industries with their own unique cultures and operational structures. We respect and honor that. We report to our clients and don’t accept commission from insurance providers.

Contact Information

A black phone icon.

864.541.7809

info@innovatehr.com

PO Box 8871 Greenville, SC 29604

Hours of Operation

Monday - Friday: 8:30am-5:00pm

Social Media

© 2018-2025 innovateHR™

Website Design by Wonder

We have clients in multiple industries with their own unique cultures and operational structures. We respect and honor that. We report to our clients and don’t accept commission from insurance providers.

Social Media

Contact Information

Hours of Operation

A black phone icon.

864.541.7809

info@innovatehr.com

PO Box 8871 Greenville, SC 29604

Monday - Friday: 8:30am-5:00pm

@ 2018-2025 innovateHR™

Website Design by Wonder