Company being bought by new owner. Lay off/re-hire unemployment rights

[Bach1985]

What is the name of your state (only U.S. law)? California

I hope someone can help me or direct me the right way. I work for a company in San Jose, CA that has been sold to a new owner. Our current owner has been trying to sell the company since April. In July we were told of the sale and that it would take a couple of months for the transaction to go through. The new owner has been on sight and has been managing the day to day functions of the business since July. We were informed that on the 31st of Oct the transaction will go through and on that day we will receive a termination notice and final pay from our current owner. The same day we are to receive an offer letter from the new company.

My situation, is I took a promotion in March because it was in Sacramento, CA(where I am from). I was to relocate after training a replacement for my old position. Due to the multiple prospective buyers coming in and changes with the company, I have not been relocated due to my previous position not being filled. I am wonder after I am terminated from the new owner and receive an offer from the new owner, do I have to accept the new owner's job offer? I do not want to accept the job offer from the new owner but don't want it to affect my unemployment eligibility.

Much appreciate any help, thanks

-Don

 

[ecmst12]

I expect it would be the same as any other situation where you quit your job because a promotion failed to happen - so, no unemployment.

 

[Bach1985]

I expect it would be the same as any other situation where you quit your job because a promotion failed to happen - so, no unemployment.

I don't think you read my post, I never said anything about quitting or not getting a promotion. I already had the promotion in March, I just was never relocated to Sacramento as stated in my status change form. I would like to decline the offer from the new owner if it is not a position in Sacramento. If I won't receive unemployment by declining this offer, I plan on staying and will find employment elsewhere.

 

[adjusterjack]

I am wonder after I am terminated from the new owner and receive an offer from the new owner, do I have to accept the new owner's job offer? I do not want to accept the job offer from the new owner but don't want it to affect my unemployment eligibility.

A refusal of suitable work without good cause will disqualify you for unemployment benefits.

See:

http://www.edd.ca.gov/UIBDG/Suitable_Work_SW_5.htm

Your desire for a transfer to Sacramento is not likely to be viewed as good cause by the state.

 

[justalayman]

To explain ecmst12 a bit:

You have a job now. You will, apparently, be terminated. Depending on the job offered, if you refuse it, it would either be seen as a voluntary quit or refusal to accept an acceptable, by the UI Office, job offer.

Since you work in the city you are now, especially since you have not been relocated in any way, a job offer of comparable pay and duties of what you are currently doing where you are now would be a comparable job. If you refuse to accept it, it most likely would disqualify you for UI.

One thing often overlooked is not only comparable pay and duties but benefits and any other type of compensation. They all play in to determining whether the job is comparable. A simple example would be an offer of exact pay and duties but in the old job they paid for a car and fuel to drive the 50,000 miles annually your job requires but the new offer required you to use your own car and pay your own fuel and maintenance. That would amount to a considerable sum of lost compensation.

As another stated, turning down the job because it isn’t in Sacramento is likely to disqualify you for UI.

 

[commentator]

Something else that this OP needs to consider, if you refuse the job and become unemployed, and file a claim for unemployment, the whole process will take a really long time to figure out. They will not start you an unemployment claim and be paying you money any time in the next few weeks, or even months, while a determination is being made whether or not you have refused a suitable job offer with the new company.

You'd begin filing for weeks of benefits that pass as you wait, and eventually, IF you were approved, you'd be back paid for these weeks. But that's NOT doing you any good while you're not working and attempting to find a new job in your desired city. Unemployment insurance is just that, an insurance against being put out of work through no fault of your own. It is not income based or needs based, and as such, they're under no real mandate to get you paid quickly so that you'll have enough money to live on, even if you have a completely no fault easily approved claim. And this one isn't that, this one is a maybe, possibly, but not terribly likely to be approved situation which, like I say, will take weeks to be determined.

And unemployment is almost always, even if approved, less money than you could make working at your job. So you've quit the job, set yourself up to wait a long long time to determine IF you qualify for benefits, that even if approved, will be less than you'd have made working.

If I were you, I'd accept the offered position with the company and try to find something in the place I wanted to be while still working, instead of going there now and filing a claim and waiting to hear whether my unemployment was or was not approved. At least then you'd have no weeks without any income at all.

 

[HRZ]

AS a total aside...upon termination from your current employer you are most likely entitled to immediate payout of any vested Vacation in CA.

I agree with others you have no legal leverage as to Sacramento location ..

 

[Zigner]

AS a total aside...upon termination from your current employer you are most likely entitled to immediate payout of any vested Vacation in CA.

I'll state is a little more unequivocally . Upon termination, he is entitled to a payout of all accrued vacation.

 

[Bach1985]

Thanks everyone for the helpful information! Much appreciated!