As part of Cowles & Thompson’s continuing effort to keep our clients informed during the Coronavirus pandemic, we wanted to address an issue that will affect many Texas employers.
Texas Workforce Commission Guidance
If you are forced to lay off or furlough employees because of the current pandemic, such employees will qualify to receive unemployment compensation, assuming they otherwise meet the general requirements. But employers’ accounts will not be subject to a chargeback.
The TWC UI (Texas Workforce Commission Unemployment Insurance Division) has sent guidance to all TWC staff indicating that the standard methodology will be to classify all Covid-19-related work separations as qualifying work separations due to a natural disaster that are not chargeable to the employer’s account (Benefits Help Message HM 04-20, “Tracking Claims Related to the Coronavirus Pandemic” – the relevant quote is, "When ruling on these cases, staff will select the decision, ‘Laid Off – Disaster Declared by Governor – Not Disqualified,’ and protect the employer’s account(s) from chargeback."
The Texas Workforce Commission webpage on Unemployment Benefits Services includes links to Coronavius/COVID-19-related information for Employers and Job Seekers.
Cowles and Thompson will continue to provide client alerts on such developments as we become aware of them.
See our COVID-19 Quick Reference page for additional articles.