Last month, Pennsylvania Governor Tom Corbett signed into law an unemployment compensation ("UC") reform bill. The law, considered by many to be largely pro-employer, is designed to restore solvency to the state’s unemployment compensation trust fund by 2019. Several of the major provisions of the UC reform law are outlined below.

  • The law authorizes the Commonwealth

Should an employee who agrees to resign her employment as part of the settlement of her workers’ compensation claim be eligible to receive unemployment compensation benefits? According to a recent decision from the Commonwealth Court of Pennsylvania, the answer to this question is a firm “no.”

An employee who voluntarily quits her employment will not be

In June 2011, the Pennsylvania General Assembly enacted a law amending the Pennsylvania Unemployment Compensation Law. Many of the amendments’ provisions took effect January 1, 2012, including additional “active search for employment” eligibility requirements for claimants to collect UC benefits.

In interpreting the active search requirement and statutory exceptions, the Pennsylvania Department of Labor and Industry established specific steps that a claimant must take to satisfy the active search requirement. L&I also added the caveat that, to be relieved from the active search requirement under the layoff/lack of work exception, the claimant must have a projected return to work date within 28 calendar days of when he last worked. The addition of the 28-day requirement caused significant concern for employers who engage in seasonal layoffs, particularly those in the construction industry.
Continue Reading Labor & Industry Revises New Active Search Requirements for UC Eligibility, Drops “28 Calendar Days” Recall Requirement for Temporary Layoff Exception

As a reminder, amendments to the Pennsylvania Unemployment Compensation Law that provide for severance pay offsets against unemployment compensation benefits take effect January 1, 2012. We discussed in a prior post the amendments’ definition of “severance pay” and how the severance pay offset will be calculated.

Please note that severance agreements reached between an employer and employee in 2011 should not impact the employee’s unemployment compensation benefits, even if the severance pay continues into 2012. The offset will apply, however, to agreements reached on or after January 1, 2012.
Continue Reading REMINDER: Severance Pay Offset to Unemployment Compensation Benefits Takes Effect January 1, 2012 In Pennsylvania

Reductions in Force, Layoffs, Downsizing, Rightsizing or whatever you may call it is occurring with greater frequency as the economic conditions continue to deteriorate. The business objects are reducing costs, preserving talent, treating separated employee with compassion and avoiding litigation. The compassion and litigation avoidance may go hand in glove.

The most prevalent litigation avoidance strategy

The act of getting coffee is not a gender specific act that can form the basis for a sexual harassment claim according to a recent court decision in Klopfenstein v. National Sales and SupplyThe plaintiff had asserted that being compelled to perform what she considered to be a ‘servile task’ was, in and