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Patrick, Esq.
Patrick, Esq., Lawyer
Category: Employment Law
Satisfied Customers: 11289
Experience:  Significant experience in all areas of employment law.
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IN the state of Michigan. My supervisory job was eliminated.

Customer Question

IN the state of Michigan. My supervisory job was eliminated. They offered me a job with the same hours but a reduction in salary of 24 dollars per hour to 16 dollars per hour. I was told I have to have a decision by tomorrow. If I decide not to take this offer, would I receive unemployment benefits. They would offer training for the new job as I have no experience in it.
Submitted: 1 year ago.
Category: Employment Law
Expert:  Patrick, Esq. replied 1 year ago.
Hello and thank you for entrusting me to assist you. My name is ***** ***** I will do everything I can to answer your question.
Typically when an employee resigns, they will be disqualified from receiving unemployment benefits. This is because one of the requirements for receiving benefits is that the claimant be unemployed "through no fault of their own." When an individual resigns, they are generally regarded as unemployed "through fault," since they made the voluntary decision to become unemployed.
However, an exception to this rule exists where the employee is found to have quit for reasons amounting to "good cause." A significant paycut can constitute good cause, but there is not specific dollar amount which definitively establishes "good cause." Each claim is judged on a case-by-case basis, and results are impossible to predict.
A paycut from 24 to 16 dollars an hour is a substantial paycut as it amounts to a 33% decrease in earnings. Therefore, there is a good chance that benefits would be granted if you quit because you will have quit for reasons amounting to good cause. However, since it is impossible to know for sure whether your claim w ill be granted and since if it is not you risk becoming unemployed with no way to support yourself, the far better course of action in most circumstances is to accept the demotion and look for other work, then quit once you've secured another offer. This way, there is no gap in your earnings. Studies have also shown that it is easier to find a job while you are already employed, and so looking now rather than quitting first will help you in your job search.
I hope that you find this information helpful. Please do not hesitate to let me know if you have any questions or concerns regarding the above and I will be more than happy to assist you further.
If you do not require any further assistance, please be so kind as to provide a positive rating of my service so that I may receive credit for assisting you. Very best wishes moving forward.
Customer: replied 1 year ago.
Thank you. ***** go to an unemployment hearing, should I have a lawyer present or go it alone?
Expert:  Patrick, Esq. replied 1 year ago.
Thank you for your reply. It is almost never worth it to hire an attorney for an unemployment benefits hearing, simply because what you would pay a lawyer to prepare and attend such a hearing will significantly eat into your benefits, if not cost more than what you stand to receive. (Keep in mind you could find a job in a couple weeks and only receive a few hundred bucks in UI benefits.) The hearing system is set up for people without attorneys and so it's not as though you will be at a significant disadvantage without one anyway. Again, please feel free to let me know if you have any further concerns. If I have answered your question, I would be very grateful for a positive rating of my service so that I may receive credit for assisting you. Very best wishes.

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