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Joseph
Joseph, Lawyer
Category: California Employment Law
Satisfied Customers: 5299
Experience:  Extensive experience representing employees and management
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I just got an audit letter from the EDD, asking re. my job

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I just got an audit letter from the EDD, asking re. my job search for a recent one-week period. The data I'm submitting, should satisfy them. (Copies of cover letters and e-mails, etc.)

BUT: Do they simply ask the employer "Did this person seek work with you from August x thru x ? "
Or do they ask additional questions such as "Has this person worked for you before ?"

If they ask re. 6 or more months ago, I could be in a bit of a bind. They're a temp agency so it's on-again-off-again. The income from them is very sporadic.
When I DID report all income from the temp agency: The EDD would end my benefits after 2 weeks because it thought I had steady work.
Then the agency income would stop calling for months -- and I'd have to re-open my EDD claim. Meanwhile I'd go months without income nor benefits.
I know that does not excuse everything I did.)

Note: this agency is Independent Contractor -- so you get only 1099's.
Hello and welcome to JustAnswer

I'm sorry to hear about your situation and hope I can help.

My goal is to provide you with excellent service today.


I need a bit more information from you before I can proceed to provide you with a complete and thorough answer to your question.

Are you saying that you haven't been reporting all the income that you've been receiving from the temporary agency to the EDD?
Customer: replied 3 years ago.

Yes, that is correct. I have reported some, but not all, my income from the temp agency to the EDD. (BTW the agency is an independent contractor firm, which issues 1099s only. )


 


I have not worked for the agency for 6 months.


(I had an epileptic seizure at work. They abruptly stopped calling. My understanding is that the can legally cease to employ me. Because (1) I'm an independent contractor and (2) Calif. is a hire-at-will state.

Hello D.J.,

Yes, unfortunately, as an independent contractor you are not protected from anti-discrimination laws for disabled individuals.

It is definitely not good to misrepresent your earnings to the EDD. It shouldn't be an issue in this audit, but the EDD will know what you made during the year and will probably investigate you if the earnings you reported don't match up to what was reported on your 1099.

In addition to repaying benefits you received, you can potentially be liable for overpayment penalties in the amount of 30 percent of the benefits you received (on top of repaying the benefits themselves).

On another note, you may be eligible to receive disability benefits when/if your unemployment benefits run out.

Honestly, I have no way of knowing what EDD will ask the agency. They very well may ask if you had worked there before.
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