Can I receive unemployment during my non compete period?

Was working at a company for a while and decided I wanted to be closer to family. Accepted a position at another company, but it is a direct competitor of my previous employer. I signed a non compete when I first joined, and now I am not able to work for my new employer for 4 months. Am I able to collect unemployment during the 4 months?

2 answers  |  asked Sep 21, 2016 1:39 PM [EST]  |  applies to Ohio

Answers (2)

Neil Klingshirn
Chris is correct that a voluntary resignation is a disqualifying reason for unemployment. However, if the unemployment is a result of the termination from the competitor, then a termination resulting from the enforcement of a non-compete is not, I believe, a disqualifying reason.

A separate issue may come up with respect to the how long you were employed by the new employer after your resignation. You have to work enough weeks and earn enough money in covered employment to receive benefits. Here is more information on that:

https://jfs.ohio.gov/unemp_comp_faq/faq_elig_definitions1.stm

posted by Neil Klingshirn  |  Sep 22, 2016 07:12 AM [EST]
Christina Royer
Entitlement to unemployment compensation is driven by the reason you separated from your employer. The issue is either whether the employer terminated the employee for "just cause," or whether an employee quit for "just cause."

Based on what you write above, it looks like you quit voluntarily to take another job closer to family -- a perfectly acceptable reason to leave one job for another!

That said, the Ohio Department of Job & Family Services (ODJFS) will likely say that you quit voluntarily for what it would characterize as "family obligations." Unfortunately, ODJFS views quits under these types of circumstances as being "without just cause," which means benefits are not payable.

Typically, it is difficult to get unemployment compensation when you leave a job voluntarily. "Just cause" to quit can include situations where the employer asks an employee to perform work that is unsafe, or where an employee is being harassed and complains, but nothing is done about it.

It doesn't hurt to apply for benefits in your case, but the likelihood of receiving them sounds like it would be pretty low.

Chris

posted by Christina Royer  |  Sep 21, 2016 2:03 PM [EST]

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