Category: Unemployment

Stay informed on unemployment law with insights and legal guidance. Blog covers unemployment benefits, eligibility requirements, appeals, reconsiderations, overpayments, penalties, misrepresentation, and evidence. Get the latest updates and practical advice to navigate the unemployment claims process.

Independent Contractors and Unemployment in Minnesota
In Minnesota, two terms do not go together: independent contractor and unemployment in Minnesota. In most cases, this spells ineligibility.

That being said, the meaning or definition of an independent contractor is certainly not black or white.

As a result, there are a lot of people appealing their benefits that need help.

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Where to begin?

First, the term “independent contractor” is a term used by the IRS. The IRS cares most about whether or not workers are classified as independent contractors.

Quite frankly, employers have more to lose than workers when trying to figure out whether a worker fits the IRS definition of an “independent contractor” or an “employee.”

For this one reason, applicants requesting benefits might be required to defend themselves in an appeal for benefits.

Why does the IRS care so much about your job classification? The IRS cares about the definition used by your former or current “employer” because the IRS wants to assess tax liability to the right party.

Thus, IRS cares and the Minnesota unemployment office care too.

A Simple Unemployment Law applicable to all Independent Contractors in MN

Second, lets reference a very simple unemployment law applicable to independent contractors in Minnesota. The law in Minnesota says a person seeking unemployment benefits is automatically ineligible if they are an independent contractor. Because this is true, there really isn’t any point in claiming or filing for benefits.

On the other hand, just because a document or a person classified you as an independent contractor doesn’t mean you are automatically ineligible for unemployment. If this is your situation, then for heaven’s sake, start helping your cause to make sure you are properly classified.

But wait, you still don’t know if you are an Independent Contractor or an Employee

It is the experience of this law office that people claiming unemployment benefits do not find out they are ineligible until their former employer identified them as an independent contractor.

Often, this law office hears the following:
- “I was pushed into the role of being a contractor”
- “They just told me I had to be an independent contractor”
- “Even though they said I was an independent contractor, they still treated me like an employee”
- “I never filed any documents with the IRS”
- “Sometimes I was independent and sometimes I was an employee”
- “This is the first I have ever heard of this”
- “My employer is trying to get away with something, but I don’t know what”
- “I’m a what?”
Again, these are all very common responses to people, workers, and applicants appealing for unemployment benefits in Minnesota.

Thus, do not feel like you are alone or taking on an untamed beast that has never been defeated. Instead, these types of appeals happen all the time.

Minnesota Statutes for Unemployment Benefits and Contractors:

Brace yourself, things are about to get very technical. In Minnesota, the statute doesn’t explicitly define independent versus employee. Instead, the laws in Minnesota first try to determine whether your job was “employment” or not “employment.” The rule is Minnesota statute 268.035.

As you can see, Minnesota statute 268.035 states “employment” does NOT include services from an independent contractor.

Often, employers will use a contract or form to prove why a person was an independent contractor. However, just because a document classified another person as an independent contractor doesn’t mean they were correctly identified. For this reason, issues regarding an independent contractor and unemployment benefits are regularly scrutinized by the unemployment office.

Minnesota Case Law for Unemployment and Independent Contractors:

In a case called Kirkov v. Helpful Hands Transportation, Inc, the Minnesota Court of Appeals used five factors to determine whether a worker was independent or not and if they could collect unemployment benefits from Minnesota.

The five factors were as follows: did the worker have (1) the right to control the means and manner of performance; (2) what was the mode of payment; (3) who furnished material or tools; (4) who controlled the premises where the work is done; and (5) was there a right to discharge.

If you are thinking to yourself the list of factors didn’t help you much, then you would wouldn’t be to far off. Again, the issue regarding an independent contractor and unemployment in Minnesota is a confusing issue and is fact specific.

In other words, your situation is going to be different situations previously decided by an unemployment law judge. Thus, you need to have a game plan.

Final Thoughts on Independent Contractors collecting benefits in Minnesota

The bottom line is this – if you are trying to collect or defend your right to unemployment benefits and your case involves whether or not your role was independent, seek help from a professional.

Unfortunately, the classification of workers and their titles has exceeded common sense and there is a lot at stake for both workers and their employers.
October 5, 2013
What are the New Rules for an Unemployment Reconsideration?

MN Unemployment Request Reconsideration is a fancy term meaning you want your unemployment case re-reviewed.

Generally, the party who lost after having their case reviewed by an unemployment law judge can have their case re-reviewed by filing a MN Unemployment Request Reconsideration. MN Unemployment Request Reconsideration is the second level (Level II) to an appeal for benefits.

What is the goal of a MN Unemployment Request for Reconsideration?

If done correctly, there are two goals when a person or an employer files a request for reconsideration in Minnesota:

(a) Reverse the Unemployment Decision; and or

(b) Ask the Unemployment Law Judge to order an additional phone appeal (Level I).

What does a MN Unemployment Request for Reconsideration look like?

First, both the Applicant and Employer can file a request for reconsideration on-line. However, the on-line system limits you to a small box to write information in. As a result, it is hardly ideal to file a request for reconsideration on-line.

On the other hand, if you file a formal legal document called a Memorandum of Law, your unemployment request for reconsideration in Minnesota can be drafted in a manner that supports your request. In other words, you are likely going to need more than a small box to highlight case law, Minnesota rules, and space to outline legal arguments favoring your cause.

Generally, a MN Unemployment Request Reconsideration includes a section highlighting the issue identification number, a statement affirming your appeal, an outline of issues you are requesting a re-review of, and an explanation of laws relevant to your situation.

As a result, a MN Unemployment Request Reconsideration can be extremely lengthy depending on issues and exhibits.

Who reviews the MN Unemployment Request for Reconsideration?

In most cases, a MN Unemployment Request Reconsideration is reviewed by the same Unemployment Law Judge that reviewed the unemployment phone appeal. However, there are exceptions to this possibility.

When will a MN Unemployment Request for Reconsideration be changed?

The likelihood of a request for reconsideration in Minnesota being granted in your favor depends on legal arguments, whether this includes a reference to Minnesota laws, case law, or other legal doctrines, a MN Unemployment Request Reconsideration should be approached with care.

What are the results for a MN Unemployment Request for Reconsideration?

After a MN Unemployment Request Reconsideration is filed, there are three potential outcomes:

(i) The Unemployment Law Judge reverses the original decision;

(ii) The Unemployment Law Judge grants another phone appeal (Level I); or

(iii) The Unemployment Law Judge denies the request for reconsideration and the losing party must consider an appeal to the Minnesota Court of Appeals (Level III).

When should a MN Unemployment Request for Reconsideration be filed?

Time is definitely not on your side. Because research will likely be involved in your request and Minnesota law mandates the filing of a reconsideration within a specific period of time, you are limited to a couple of weeks from the date you received the decision from the Level I Phone Appeal.

Also, time is of the essence because you will need time to seek out other documents and or exhibits relevant to your case.

Is a MN Unemployment Request for Reconsideration necessary?

According to the unemployment laws in Minnesota, the losing party in an appeal for unemployment benefits must, as a predicate to appealing the matter to the Minnesota Court of Appeals, seek a request for reconsideration from the Unemployment Law Judge’s (ULJ) determination. In other words, failing to file a timely request for reconsideration in Minnesota can be detrimental to the person or employer seeking an appeal.

If the other party files a MN Unemployment Request for Reconsideration, should you file one too?

If you do not stand up for yourself, nobody else will. In other words, it is critical that you respond to a request for reconsideration if filed by the other party. This is true for both employers and applications. Otherwise, the Unemployment Law Judge may reverse their decision because you failed to respond accordingly.

Who can help you with an Unemployment Request for Reconsideration?

If you are considering a MN Unemployment Request Reconsideration, please consider contacting an unemployment lawyer for help. As you proceed through the appeal process, your rights related to unemployment benefits become more complicated.

August 12, 2013
How do I know if I am guilty of Unemployment Fraud MN?

Unemployment fraud MN is defined in two areas under Minnesota law.

First, it is defined under Minnesota statute 268.18 as any person who receives unemployment benefits by knowingly misrepresenting, misstating, or failing to disclose any material fact, or who makes a false statement or representation without a good faith belief as to the correctness of the statement or representation, has committed fraud.

Second, unemployment fraud can turn into theft under Minnesota statute 609.52. This is in addition to potential criminal penalties and or administrative penalties supported under Minnesota statute 268.182.

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What should you do if you are accused of Unemployment Fraud MN?

Although the unemployment office sometimes miss-classifies unemployment fraud issues, approach an accusation like this with extreme care and diligence. This is true because time is not on your side. In other words, Minnesota law has time restrictions that requires you to file an appeal by a certain date. If you don’t file an appeal accordingly, it could bring forth unintended consequences and bar your rights.

Does Unemployment Fraud MN happen a lot?

As the request for unemployment benefits becomes increasingly more complicated, unemployment fraud MN is occurring more and more frequently.

Although not exclusive to unemployment fraud, in the year 2012, the Minnesota unemployment office overpaid applicants more than eighty-five million dollars ( $85,000,000) in unemployment benefits. Since the year 2009, an unemployment overpayment has become twice as likely to occur as it did in previous years.

What is the process for Unemployment Fraud MN?

Specific to unemployment fraud under rule 268.105, you can appeal an unemployment overpayment. Generally, an appeal related to an MN Unemployment Overpayment follows the same procedures and steps as that required during other levels of the unemployment appeal process.

The process for unemployment fraud under Minnesota statute 609.52 depends on the County, the amount owed, and whether or not you are seeking an appeal through the unemployment process.

What is the difference between Non-Fraud and Unemployment Fraud MN?

A Minnesota Unemployment Overpayment is classified under two categories: a nonfraud unemployment overpayment or a fraudulent unemployment overpayment.

Other than the criminal component, the biggest different is an a fraudulent claim can affect your credit history, professional licensing, and the monetary penalties and interest are more significant than those imposed for a nonfraud unemployment overpayment

Although the process for a fraud and non fraud under rule 268.105 is the same, your rights are different and the burden of proof is different.

What should you do about Unemployment Fraud MN?

Yes, you have rights when accused of unemployment fraud MN, but you need to act fast. If to much time expires and you do not properly file an appeal, you will automatically waive your right to reduce or negate your unemployment overpayment.

Should you hire a lawyer for Unemployment Fraud MN?

Unfortunately, yes, this is likely an issue that you will need help from a lawyer. Of course, you have the right to proceed without a lawyer. However, the consequences specific to fraud can be severe. As a result, you should consider proceeding with care.

If you want to review your rights or need help understanding the process, please consider contacting this law office for help

September 16, 2012
Employees Who Quit Job For Health Reasons

If you are looking for an example why a worker should consider having their unemployment appeal reviewed by an unemployment lawyer, look no further than a recent decision in Minnesota called Newkirk v. Gerard Treatment Programs, LLC.

In this case, an applicant from Minnesota requested unemployment benefits after she quit her job for medical or health issues. That being said, the applicant for unemployment benefits made an argument regarding the fact that she quit her job for medical or health issues despite the fact that other arguments could have been made that would have assisted her in her request for unemployment benefits.

Unfortunately, the worker in this case chose to utilize a weaker argument and insisted that she quit her job for medical or health issues. Stating that she quit her job for medical or health issues was a weaker argument because she didn’t satisfy all of the conditions required when a person quits their job for medical or health issues. After she was identified as eligible, it was identified that she didn’t quit. Despite this, the employer appealed the applicant’s claim for unemployment benefits and an unemployment appeal hearing occurred.

Case Law Discussing Health Issues

As outlined by the Minnesota Court of Appeals, the applicant in Newkirk v. Gerard Treatment Programs insisted on a legal argument that failed to help her qualify for unemployment benefits in Minnesota. In Minnesota, a worker who quits their job is ineligible for unemployment benefits.

On the other hand, a worker who quits their job for medical reasons might be eligible for unemployment benefits if they quit their job because of a serious illness or injury made it medically necessary for the worker to quit. But, a worker who quits their job has nearly a dozen other legal arguments available to them on why they should be eligible for unemployment benefits.

Despite this, the applicant in this particular case limited her argument to one issue – she quit her job for health issues.

Quitting A Job for Health Issues

A person in Minnesota who quits their job for medical or health issues is not automatically eligible for unemployment benefits. Quitting a job for health issues or medical reasons in Minnesota is an extremely complicated argument because it requires specific communications between the worker and the employer.

Without outlining these communication requirements, an applicant for unemployment benefits will likely loose their request for unemployment benefits for not meeting requirements mandated by Minnesota law.

As referenced above, the Minnesota Court of Appeals recently reviewed Newkirk v. Gerard Treatment Programs where the worker quit their job for medical reasons. Had the worker not solely argued she was eligible for unemployment benefits after quitting for medical reasons, perhaps the Minnesota Court of Appeals, which heard the applicant’s unemployment appeal, could have used a different legal theory to support her claim for unemployment. But, because the applicant failed to outline this argument, the Minnesota Court of Appeals didn’t have the authority to decide this element of the unemployment appeal.

Therefore, please consider using all available arguments rather than one argument when appealing for unemployment benefits and prevent making the same mistakes the applicant in Newkirk v. Gerard Treatment Programs, LLC made.

April 10, 2012
Getting Fired for checking Sports Scores at Work

Were you fired for checking sports scores at work? As an alternative, were you given a formal warning for checking sports scores at work? If so, please read on.

Primarily, there are two times during the year that workers tend to get fired for checking sports scores at work, although certainly not exclusive.

This law office sees workers are getting into trouble when checking their fantasy football scores. Also, this law office sees workers are getting into trouble when checking scores during March Madness.

Can you get fired for checking sports scores at work?

Obviously, workers are getting fired for checking sports scores at work – but is this legal? Unfortunately, it depends on the situation. During a consultation, this law office will review whether you were checking scores on your phone or on the company’s web site.

Also, this law office reviews the policies in place for technology at your workplace. Just because your employer doesn’t have a formal policy doesn’t imply you have been given permission for checking sports scores at work.

The most significant issue is where you work. In other words, the rules applicable to your situation depends on the State where your place of employment is domiciled.

Minnesota’s opinion on checking sports scores at work:

Minnesota Court of Appeals decision A10-146 affirmed that an employee’s use of a cell phone was employee misconduct. The Applicant argued that his cell-phone use was not misconduct because of the special considerations given to discharges resulting from a single incident.

Although Minn. Stat. § 268.095, subd. 6(a) (2008), stated that misconduct did not include “a single incident that does not have a significant adverse impact on the employer,” since 2009 and applicable here, the statute provides: “If the conduct for which realtor [Applicant] was discharged involved only a single incident, that is an important fact that must be considered in deciding whether the conduct rises to the level of employment misconduct under paragraph (a).” Id., subd. 6(d) (Supp. 2009).

The Applicant testified that he occasionally checked sports scores on his cell phone for other employees and the video indicates that the Applicant used his cell phone on multiple occasions over a lengthy time.

Because the Applicant’s cell phone use was in knowing violation of the employer’s policy, the Minnesota Court of Appeals conclude that the Unemployment Law Judge did not err in determining that the Applicant was discharged for misconduct.

September 17, 2010