The employee would not normally be eligible for FMLA leave since you have fewer than 50 employees.
The ADA would normally require that you treat the employee the same as other employees requesting leave though if he has a disability since it prohibits discrimination based on an individual's disability.
Many mental disorders are a disability under the ADA. Therefore, I would request addtional information from the employee to determine whether this is a situation that is covered by the ADA.
If so and you terminate him, he could file suit for lost wages and benefits.
If you terminate the employee while they are unable to work, they would normally not be eligible for unemployment benefits, but the employee may already be eligible for state SDI benefits, depending on their condition.
Once they recover from the condition, they could apply for unemployment benefits.
Good luck and take care.
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