Some of Colorado’s federal workers who were fired in recent weeks may be returning to work. But their future is far from certain.
Last week, two federal judges ruled that the mass layoffs enacted by President Donald Trump in the first weeks of his second term were likely illegal and ordered workers be reinstated. That might sound like good news for Colorado’s 40,000 federal employees. But some workers haven’t yet been told when to report back to work, while many fear that they will eventually be fired anyway.
That’s making it hard for U.S. government workers to know how to proceed. The number of federal employees filing for unemployment insurance claims in Colorado started climbing when Trump took office. As of last week, 651 federal employees have filed for unemployment benefits since the inauguration, according to Colorado's Department of Labor and Employment.
More than 100 of Colorado’s federal workers dialed into a virtual town hall run by Colorado’s labor department to get answers.
Can an employer prohibit workers from filing an unemployment claim?
The short answer is — no.
“Employers may not legally prohibit you from filing an unemployment insurance claim. There have been rumors out there for some of your federal employees that may have been told you cannot file a claim,” said Phil Spesshardt, director of the division of unemployment insurance. “The employer cannot prevent you from filing an unemployment insurance claim. The state of Colorado processing a claim will determine whether your separation constitutes an eligible separation to receive benefits, but it is specifically against Colorado statute to prohibit you from filing an unemployment insurance claim.”
Are federal employees who took the buyout offer last month eligible for unemployment?
Each case is decided based on individual circumstances, and there’s no one-size-fits-all answer. But every employee who took the buyout offer should consider filing a claim, according to Spesshardt. Make sure to upload documents to bolster your case, such as the email blasted out to all federal workers encouraging them to take the buyout offer, he said.
“We're going to look at what you believed may have been reasonable,” he said. “If you have a copy of the ‘fork in the road’ letter, make sure you attach and upload a copy of that because there are certain things within there that might lead you to believe that if you didn't accept that … you might've otherwise been terminated or laid off.”
What happens to unemployment claims for workers that were fired and then reinstated?
Employees should report they have gone back to work the week they return to work. Continue to file for unemployment if you have not yet gone back to work.
What happens to workers who get back pay after being reinstated if they have already collected unemployment? Do they have to pay the money back?
You may have to pay back that unemployment benefit that you received. There is an overpayments section on the state’s website and a phone number to make those arrangements.
But don’t let that scare you from filing a claim, said program manager Jeff Newcomb.
“I would say that due to the uncertainty, I would not take chances,” Newcomb said. “I would go ahead and file. Doing repayments of those backpay benefits is easy.”
Are federal employees who were fired for performance reasons – despite good performance reviews – eligible for unemployment?
Yes. If you disagree with the reason you were let go, you can make your case on your claim.
“You'll receive a request for information related to that and you should absolutely describe that in the document with your application,” said benefits manager Lynn Paulson. “You can also upload any of your review documents that are positive with your application submission … We will look at the information from you as well as your employer during our fact-finding process.
What happens to federal workers who refuse to return to work after being reinstated? Can they still collect unemployment benefits?
“When you're on unemployment insurance benefits, you have to be able, available and actively seeking all work deemed suitable,” Spesshardt said. “You have to report that you didn't return to work and you chose to refuse that job. And then we have to adjudicate and process that as to whether we would continue to allow you to receive benefits or deny unemployment insurance benefits. If we determine that you refuse suitable employment, we're going to take away unemployment insurance benefits … Don't let that necessarily scare you into thinking ‘I necessarily have to accept all jobs. [You] certainly have the ability to appeal.”
“If it were me and I didn't necessarily trust my employer .. Let's say the state of Colorado had laid me off and was calling me back and doing certain nonsense through the courts, I would still come back … I'll remind people of what my parents used to tell me growing up. Don't ever quit another job until you have another one that you've lined up and accepted. That's the best way to keep a paycheck coming.”
