Accounting Articles > Illinois Unemployment:
What happens when a former employee files for unemployment?
When an ex-employee files for unemployment, they must proceed to their local unemployment office and file the paperwork. They will list their last or most recent employer on the forms. Only an employer who has employed this person for more than 30 “working” days will be responsible for this person.
A notice will then be sent to the last employer stating that the former employee is seeking unemployment. It is at this point that all employers need to respond. This form can be accepted, indicating that yes, you are the most recent 30 day employer, and that yes, they should receive unemployment. Nothing needs to be done at this point. The department will assume that you are not disputing the notice. If you are not the most recent 30 day employer, or if you dispute the notice, then the form must be filled out accordingly and sent in to the department by the due date.
If it is determined that, because of your documentation, you are not the last 30 day employer, then the former employee will be required to have the unemployment office contact the employer prior to you. If it is determined that you are the last 30 day employer, and that the employee was fired or laid off, then your company will be held responsible for the unemployment. The payments to the ex-employee will come directly out of the fund. Your only liability as a business owner is that the percentage you are required to pay on employees will probably go up if there are too many claims.
If the ex-employee quit, rather than being fired or laid off, you will not be held responsible.
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